Employee Manual Draft

Table of Contents We’re a Community ............................................................................3 Welcome and Integration ................................................................................................ 3 Get to Know Us .................................................................................................................. 4 Past, Present and Future .................................................................................................. 4 Vision and Mission ............................................................................................................. 4 Ardene Goes Global .......................................................................................................... 4 Ardene Foundation............................................................................................................ 4 Ardene Collective .............................................................................................................. 6 Ardene Values .................................................................................................................... 7 Ardene Corporate Objectives ......................................................................................... 8 We’re Real...........................................................................................9 Code of Conduct ............................................................................................................... 9 Dress Code.........................................................................................................................15 Performance Management .............................................................................................16 Breach of Policy and Performance Improvement Plan .........................................16 Salary Reviews ...............................................................................................................16 Performance Evaluations.............................................................................................16 We’re Tuned in ...................................................................................17 Employee Purchases........................................................................................................17 Employee Referral Program............................................................................................19 Group RSP Information...................................................................................................20 Gym Discount ....................................................................................................................21 Employee Recognition.................................................................................................... 22 We’re Magnetic ................................................................................23 Work Schedules ............................................................................................................... 23 Minimum Hours of Pay ................................................................................................ 23 Availability Requirements ........................................................................................... 23 Attendance ....................................................................................................................24 Breaks .............................................................................................................................24 Overtime ........................................................................................................................24 Employee Transfers ..................................................................................................... 25 Time Off.............................................................................................................................26 Vacation .........................................................................................................................26 Statutory Holidays........................................................................................................ 27 Employee Manual - Canada 1/50 8/6/2019

Leaves ................................................................................................................................ 28 Maternity and Parental Leave .................................................................................... 28 Medical Leave ...............................................................................................................30 Bereavement Leave ......................................................................................................31 Employment Verification................................................................................................ 32 We’re Responsible............................................................................33 Accommodating Disabilities..........................................................................................33 Accessibility for Ontarians with Disabilities Act, 2005 (AODA).............................. 33 Health & Safety Rights and Duties ..............................................................................33 Right to Refuse Dangerous Work.............................................................................. 37 Violence & Harassment ..................................................................................................38 Workplace Accidents ......................................................................................................38 Employees .....................................................................................................................38 Customers .....................................................................................................................38 Drug & Alcohol Policy .....................................................................................................39 General Emergency Procedures...................................................................................42 We’re Connected..............................................................................45 Operate in Style ...............................................................................................................45 Customer Service.........................................................................................................45 Policies ...........................................................................................................................46 Safe Operating Procedures for Handling Cash and Daily Deposits ......................48 Procedure for Daily Deposits .....................................................................................48 Bank Night Deposits ....................................................................................................49 Working Alone Procedures.........................................................................................50 Deposit Slips..................................................................................................................50 Employee Manual - Canada 2/50 8/6/2019

We’re a Community We’re a Community: Teamwork and support is fundamental to our organization. We have partnered with different charities and foundations to help shape a better world. Continue reading to learn more about Ardene and the exciting initiatives we’re involved with. Welcome and Integration We are very pleased to welcome you to Ardene. Thank you for joining our team! It is our sincerest wish that your association with Ardene will be a mutually rewarding and pleasant one. Our continued success is fully dependent on each and every valuable team member. As such, your initiatives, ideas, determination and hard work are essential and much appreciated. We have clearly identified our market and we are confident that you will deliver to the needs of that market in a way that is relevant. By doing so, you will ensure Ardene’s position in the marketplace and will continue ranking our stores the number one fashion destination. During your first five shifts, you will be paired up with a mentor to go over everything you will need to know in order to set you up for success. From everyone at Ardene’s Head Office, we extend to you our best wishes for a long and successful career. Employee Manual - Canada 3/50 8/6/2019

Get to Know Us With 375+ stores and a growing ecommerce business at Ardene.com, our company is inspired by the ever-changing world of our customer, social media, pop culture, fashion, and beauty. Ardene believes that fashion shouldn’t be exclusive or intimidating; it should be celebrated with youthful confidence and fearless enthusiasm, inspiring girls and empowering them to be unique and individual. Over the years, Ardene has expanded its product line to meet the growing wants and needs of our customers. The brand has seen the successful introduction of Est. EIGHTYTWO Denim, swimwear, MOVE activewear, ACW contemporary wear, Rose + Vine intimate apparel, an expanded basics collection and more. Past, Present and Future The Ardene brand has spanned three generations in the Canadian retail market, and has started to expand internationally both in the US and abroad. In 1982, Ardene started as an accessories and jewelry retailer, and today, the Company is on a whole new level – selling clothing, footwear, accessories, jewelry, activewear, intimates, and more. Vision and Mission Vision: To be the leading destination for value fashion worldwide. Mission: To connect with our customers by offering a unique and inspiring fashion experience at the best prices. Ardene Goes Global After 35+ years in the Canadian market, Ardene has established itself as a highly recognizable fast fashion brand with a reputation for operational excellence. The Company has already seen successful expansion within the United States as well as in many countries in the Middle East. With more stores scheduled to open each year, Ardene has begun to set its roots abroad and nurture a solid network of partnerships that will drive the brand forward for years to come. Ardene Foundation The Ardene Foundation is Ardene’s dedicated charity organization, committed to making a difference at home and around the world. Our mission is to inspire meaningful change in the realms of empowerment, poverty, education, and health by leveraging the strength of our communities. Our involvement with non- profits started back in 1982, but we’ve made leaps and bounds since then. Today, we take a collaborative approach to fundraising that integrates local and global partners, along with our team members and the broader Ardene community. With the help of all our generous supporters, we’re proud to say we're shaping a better world. Mission To inspire meaningful change in the realms of empowerment, poverty, education, and health by leveraging the strength of our communities. Employee Manual - Canada 4/50 8/6/2019

Vision To make a positive local and global impact that will improve people’s lives and fuel the dreams of future generations. Learn more about the Ardene Foundation at ardenefoundation.org. Employee Manual - Canada 5/50 8/6/2019

Ardene Collective Over the years, we’ve monitored our sustainable practices, but today we have even more Social Responsibility and Sustainability goals than ever before. Together, we call these initiatives the Ardene Collective. For us, Collective means we’re all in this together – from our manufacturing processes all the way to our store experience. Our initiatives also include an Ardene Collective product line. We continue our process of product and packaging innovation, whether in the fabrics and material choices we make or the way we package goods. Innovation in this area will not only help us reduce waste and overall carbon footprint, but will allow us to share new and exciting products with customers! Our Pillars People We care about the wellness of our entire workforce, including our extended partners. Planet We pledge to keep finding innovative ways to reduce our waste; from recycling programs to energy and water consumption. Product We want to continue reducing our carbon footprint by making smart choices in merchandise, packaging, and supply chain logistics. Policies We will continue to attain certifications and partnerships to support our teams, as we go above and beyond in this ongoing journey. Learn more about the Ardene Collective at https://www.ardenefoundation.org/sustainability/ Employee Manual - Canada 6/50 8/6/2019

Ardene Values Since the beginning, we at Ardene have conducted business based on our core principles and values which have continually guided our decisions as well as our relationships with our clients and each other. As we keep looking towards the future, we continue to rely on this foundation: Employee Manual - Canada 7/50 8/6/2019

Ardene Corporate Objectives Ardene has defined corporate objectives to ultimately guide you in setting clear annual objectives that enables you and your supervisor to measure performance more objectively. Having an understanding of the corporate objectives allows you to have more control over your own performance. Employee Manual - Canada 8/50 8/6/2019

We’re Real We’re Real: We have created important internal policies that reflect the authenticity and transparency of our organization which helps drive the business forward. Code of Conduct Purpose & Policy Statement While working here, you’ll get to experience what it’s like to assist customers, and help them find their unique style. As you probably are a fashion lover yourself, you know that actions and appearances go a long way. While our brand is youthful, and fun, we do ask our associates to adhere to some specific practices. Where a policy violation is found to have occurred, the consequences will reflect the individual circumstances and may include corrective action, including immediate termination of employment for cause. Scope This policy applies to all store employees in Canada. Guidelines 1. Be Tuned-In We listen to our customers and our teams; paying attention where it counts. We believe that open communication helps us innovate, foster new ideas and stay ahead of the curve. As an employee you are expected to foster this kind of environment and pay attention to what’s going on around you. Inform Yourself • All employees have the responsibility to read the Code and comply with all the policies within. If you have questions or need clarification, do not hesitate to contact your manager. Talk it Out • You are strongly encouraged to seek guidance, discuss issues or report any possible violations to management immediately. If you do not feel comfortable speaking with your manager, you can always contact the next level of management or reach out directly to HR. In no event will you or any employee be subject to reprisals, retribution or any career disadvantage for complying with the Code or reporting wrong-doings. MANAGEMENT Managers have the additional responsibility to lead by example, ensure that other employees Employee Manual - Canada 9/50 8/6/2019

understand and comply with the Code and foster an environment that promotes compliance. 2. Be Real We value honesty and authenticity, no matter what. Here at Ardene, we’re committed to the truth. Honest communication of information, accurate record keeping and genuine interactions is what we expect from you as an employee. Records & Reporting • Do not falsify, manipulate, misrepresent or omit facts on documents, records, or reports including, but not limited to, employment applications, sales and performance records, contest information, time-worked records or financial statements. Theft • Do not participate in theft or unauthorized removal of company property, merchandise or the property of others. • Any instance of theft must be reported to senior management immediately. Misuse of Company Assets • Our brands and trademarks are valuable to us. As an Ardene employee, you are expected to do your best in protecting the Company’s tangible and intangible assets (ie. trademarks, designs, innovations and processes…) against loss or unauthorized use, and to report any misuse to senior management immediately. • Counterfeit merchandise or the improper distribution of our products must be reported to senior management immediately. 3. Be Magnetic We value teamwork and collaboration; that’s why our teams stick together. Work together. We value each of our employees, customers, vendors, and suppliers, and believe that everyone should be treated with respect and dignity. We know that we work better as a team and encourage all our employees to collaborate and foster meaningful relationships in their day to day interactions. Respect All customers, employees, vendors and suppliers should always be treated with respect and • courtesy. We will not tolerate any form of disrespectful or abusive language under any circumstances. Violence & Harassment • We take harassment, violence and threats of violence very seriously. Any form of harassment, either violent, sexual or psychological in nature, will not be tolerated and will be promptly investigated. Any violation of this policy will result in immediate disciplinary action and/or dismissal. WHAT IS HARASSMENT? Workplace Harassment is defined as engaging in a course of vexatious comments or conduct that is known or ought reasonably to be known to be unwelcome. This includes, but is not limited Employee Manual - Canada 10/50 8/6/2019

to, inappropriate, offensive or unwelcome: slurs, remarks, jokes, sexual solicitation, advances or body contact.  Refer to the full Workplace Violence & Harassment policy specific to your province on the FYI board in the back store and on Ardene Campus. Fair Treatment for All • We are an equal opportunity employer and it is the duty and responsibility of every Ardene employee to foster an environment free of discrimination. Any act of discrimination will not be tolerated. • It is our policy to recruit, hire, train, promote, assign, compensate and in all ways treat all persons in compliance with all applicable laws and without regard to race, color, religion, gender, gender identity, national origin, citizenship, age, disability, sexual orientation, marital status or any other prohibited ground of discrimination under applicable law. • Ardene will always do its best to provide reasonable accommodations to employees with disabilities, as needed or required by applicable law. If you require accommodation for a disability, even for a short period of time, be sure to inform your manager immediately. 4. Be Connected We’re accessible to people wherever, whenever. Stay accessible to your customers and your colleagues. We value open communication at Ardene and encourage all of our employees to engage with others on a regular basis and foster an environment of openness. Open Door Policy • Our doors are always open. Managers should do their best to remain accessible to their employees and foster an environment of positive exchange. At every level, employees are encouraged to engage with their colleagues and offer assistance where necessary. Audits & Investigations • You must cooperate fully with any audit, inquiry or investigation undertaken at the Company’s discretion. We expect that all information communicated be honest and forthcoming. • Before providing any confidential information to outside parties, it is imperative that you consult with senior management and the legal department to ensure the validity and legality of the request. Media • As an Ardene employee, you are not authorized to speak to the media on behalf of the Company, whether it is to provide your personal opinion or comment on Ardene’s business. The Company has designated specific resources to manage such requests. • You are not authorized to discuss Ardene’s private business online, including on social media (ie. Facebook, Twitter, Instagram, etc.) or on online forums. These platforms are accessible to all, the media included, and are therefore deemed public. • When posting on social media, we ask that all employees use their good judgement and represent Ardene in a responsible way. Use the following guidelines to help you decide what to post: Employee Manual - Canada 11/50 8/6/2019

o How would you feel if your post appeared on the front page of a newspaper? If you feel it could negatively impact the Company’s reputation, don’t post. o Never post confidential information about the Company or a co-worker. If you are unsure whether something is confidential, speak with your manager. o Ensure that your posts reflect the Company’s values. Even when off duty, Ardene employees still represent the Company. o Don’t make false or unsubstantiated claims about our products or compare them to other products. 5. Be a Community We do our part because it’s the right thing to do. Do the right thing. As a company we strive to be a good public citizen. All employees are expected to obey all applicable laws and regulations, on or off duty, here and in any country in which we do business. Safety & Compliance • We strive to sell merchandise that complies with all applicable product safety laws and ensure the safety of our employees and customers. As an employee of the Company, you are expected to inform yourself on and follow all applicable safety and compliance laws related to our business. Social Responsibility • Ardene believes in responsible business practices and is continuously making efforts to uphold our commitment to the environment, fair workplace standards, community involvement and responsible partnerships. As an employee, we expect that you do your part to ensure our daily practices reflect this commitment. Drugs & Alcohol • We are committed to providing a safe, drug and alcohol-free workplace. The possession, use or being under the influence of alcohol, marijuana or illegal drugs during work hours is strictly prohibited. Any violation of this policy, exposes the Company and our employees to unacceptable risk, and will result in immediate disciplinary action and/or dismissal.  Refer to the full Drug & Alcohol policy in the “We’re Responsible” section of the employee manual. Conduct Off the Job • Illegal activities, conduct that violates the code or that will likely have negative effects on the Company can be subject to disciplinary action up to and including termination, even if that conduct occurs off the property or outside of business hours. 6. Be Responsible Be accountable and take ownership of everything you do! Ardene trusts every employee to perform their duties faithfully, efficiently, and with the best interest of the Company and all fellow employees in mind. Privacy & Confidentiality Employee Manual - Canada 12/50 8/6/2019

• We respect our employees’ privacy and comply with applicable privacy laws. As an employee, you are required to protect the confidentiality of our information and trade secrets – even when no longer an employee. Trade secrets and confidential or sensitive information must not be shared with outside parties without a legitimate business reason and permission from management. • In no event should any confidential information or trade secrets be used by you for personal benefit or for the benefit of any competitor or other person. • Employees with access to personal information about other employees are required to protect the confidentiality of such information and respect the privacy of each individual. Employees must not share such information unless it is determined to be for a business need or as required by law. Company Resources • We expect that employees will not waste the Company’s resources or use them for personal gain. Employees should always be diligent in protecting the Company’s interests and resources. • We respect our employee’s privacy, however, we monitor and inspect our assets when deemed necessary. These assets include the communications and computing devices, services, and applications that we provide to you (collectively, the “Network). As a result, your personal activities carried out using company resources are also subject to inspection and may become known to others. • Your connection to and use of the Network constitutes your consent of company policy and Ardene assumes no responsibility for the protection of personal information shared using company resources. • By using company resources, you agree not to: o Access, transmit, copy or create material that violates the Code of Conduct, corporate values, copyrights or applicable laws. o Access, transmit, copy or create files that contain viruses, spyware or malicious code of any kind. o Violate the privacy and confidential information of the Company and other users of the network. o Engage in activities for personal financial profit or to further the business activity of any other entity other that of Ardene. o Share password login information with any other person or entity, use other individuals’ account names or passwords or attempt to access resources to which the employee has not been given authorized access Conflicts of Interest • Engaging in other business or employment activities can create the appearance of a conflict of interest. Any outside business or employment activities that prevent employees from doing their job with the Company or that undermine or conflict with the Company’s interests are prohibited. Before engaging in any outside business or employment activity, ensure that you receive approval from senior management to determine if there is a potential conflict of interest. • You may not use your position with Ardene to obtain a personal benefit of any kind. All business decisions must be based on and promote the best interests of the Company. • Additionally, you must not appropriate to yourself or any other person or organization, the benefit of any actual or potential business opportunity that relates to Ardene’s business without first obtaining the consent of senior management. Gifts and Entertainment 13/50 8/6/2019 Employee Manual - Canada

• No gifts or entertainment should ever be solicited. • No gratuity, gift, payment or anything of value should be directly or indirectly offered, promised, given or made in order to influence an act or decision, to obtain or retain business or to secure an improper business advantage. • Illegal items, cash or cash equivalents should never be solicited or accepted. WHAT ARE CONSIDERED TO BE GIFTS AND ENTERTAINMENT? Anything of value, including but not limited to, cash, loans, personal or household items, merchandise, services, travel or vacation accommodations, payment of expenses of any kind and discounts or rebates on goods and services also fall into this category. Thank You for taking the time to read through the Ardene Code of Conduct. If you have any questions, speak with your immediate supervisor, a member of senior management or Human Resources for clarification. Remember, as an Ardene employee you have the responsibility to abide by the Code and to report any violations or inappropriate behaviour to management and/or Human Resources. Doing so will help maintain a safe and respectful workplace for all employees. Employee Manual - Canada 14/50 8/6/2019

Dress Code Guidelines Rep the Brand You interact with customers every day, so be connected and inspire them through the products we sell. Always wear your lanyard and badge to let customers know you’re part of the Ardene squad. Dress like (and be) a Trend Expert We’re always on top of the latest trends, that’s why our customers love us! Scroll our ‘gram or flip through our trend booklet for infinite outfit inspiration. Have fun with different cuts, styles and patterns, and inspire your customer to do the same with our merchandise. Stay Profesh We want you to look polished for the crowd that walks through our store. Keep it professional, neat and clean, but consistent with the Ardene brand. The no-no’s • Clothing with a visible logo of another brand • Anything short (shorts, miniskirts, crop tops) or too casual (like sweatpants) • Spaghetti straps or strapless tops (unless you wear ‘em with a cute sweater) • Leggings (unless you wear ‘em with a very long top) • Open toe shoes or sandals, sneakers from another brand, and winter boots When in Doubt, do Without In other words, if you question your safety, comfort or professionalism, chances are you shouldn’t wear it. Employee Manual - Canada 15/50 8/6/2019

Performance Management Breach of Policy and Performance Improvement Plan All employees are expected to follow policies and perform at an optimum level. When employees do not adhere to company policies or do not perform up to company standards, measures will be taken as per our Breach of Policy (BOP) or Performance Improvement Plan (PIP). These measures may range from a verbal and/or written warning to dismissal, depending on the severity of the situation. Managers  For instructions on issuing BOPs and/or PIPs, refer to the toolkit on Ardene Campus. Salary Reviews All Sales Associate and Third Key Holder salary reviews are the sole responsibility of your Supervisor or Manager. There is no set time for reviews. Any salary increase can only be authorized by your Supervisor and is based on merit alone, not length-of-service. Salary information is to be kept strictly confidential. Some of the criteria to be considered Are: • Store sales and profitability relative to company standards • Customer Service Standards • Adherence to operational, visual/merchandising, and marketing direction and standards • Relations with staff members and Supervisors • Reports from virtual and physical audits • Customer complaints from tip line or other methods • The number of BOP’s and/or PIP’s on file Performance Evaluations All Store Managers and Assistant Managers will receive a mid-year touch base in July and a year-end performance review in January.  For further information on performance evaluation competencies, refer to the performance review form on the Ardene Campus. Employee Manual - Canada 16/50 8/6/2019

We’re Tuned in We’re Tuned in: You spoke, we listened. Keeping our teams happy is a top priority, which is why we have created special programs and benefit offerings for the teams we value so much.. you! Employee Purchases Purpose & Policy Statement To establish eligibility, entitlement and procedures regarding employee purchases. Scope This policy applies to all store employees (active and inactive*) on their first day of work. This policy also applies to Head Office employees once their employee discount card has been issued. *Inactive employees are employees that are on maternity, parental or sick leave Guidelines • 50% Off: Accessories, wallets, and handbags at retail price and on promotion. • 30% Off: Clothing and footwear at retail price or on promotion. • 30% Off: Brand collaborations and licensed merchandise at retail price or on promotion. • 20% Off: Liquidation items at 50% off or more. • Exclusions: Does not apply on charity items, gift cards, and surprise bags. The discount card is strictly reserved for employee use only. Examples of how to Apply the Discounts: Item Retail Price Discount Cost (excl. tax) Applied Accessories 3/$10.00 50% $5.00 Clothing, Footwear & Brand 2/$15.00 30% $10.50 Collabs/ Licensed Merch Liquidation Marked at 50% or more $24.50 50% - 20% $9.80 In-Store Policies: • Employee discount will extend to spouse/common law & your children for personal and family use only • Employee must be with spouse (common law) & their children during the purchase. Exchange/ returns included. • Employee discount cannot be combined with any other discount. (I.E. VIP or SPC cards, coupons, etc.) Employee Manual - Canada 17/50 8/6/2019

• A maximum of three (3) identical items of any individual product may be purchased by employees in a particular store. The Company reserves the right to limit quantities and remove this benefit should any abuse of this privilege be reported and found. • If a customer promotion is more beneficial than the employee discount, the employee will take the customer promotion. Triple discounting is not allowed. • No layaways (staff holds) under any circumstances. Stock must always remain on the sales floor. All employee purchases MUST be processed under the correct employee profile. This is required for audit reasons. • In the event of an error when assigning the profile to the purchase, you must refund and reprocess the transaction under the employee profile. • Employee purchases may only be done before or after your shift, during your breaks, or on your day off. • All tenders are accepted. Cash, Credit, Debit and Gift Cards, including Ardene Gift Cards • All employee purchases must be done by either the Supervisor, Store Manager, Assistant Manager or Third Key along with the purchasing employee. No employee may process their own employee purchases. A Store Manager may ask a member of their management team or Supervisor to process their employee purchases and vice versa. • When processing an employee purchase for an employee from another store, ask for a piece of photo ID to validate their profile in APOS. • Receipts must be signed by the Supervisor, Store Managers, Assistant Manager or Third Key processing the sale and the purchasing employee. • The receipt must be kept by the employee purchasing merchandise for a period of six months • All receipts must be kept per employee/per month in a labeled envelope with each individual employee’s name. This is required for audit reasons and during “exit parcel checks”. “Employee Purchase” books should no longer be used. • Exchanges can be done as per the exchange policy enforced at the time and can be done in any store. • Returns will be reimbursed on a company gift cards. • Any abuse of this privilege will be considered fraudulent and can result in immediate dismissal without notice. • All employees, including field and HO are to identify themselves when entering a store as an Ardene employee. We want to ensure that our customers are being serviced in priority. • Employees are responsible for putting away their own merchandise, should they decide to try on merchandise on. Employee Manual - Canada 18/50 8/6/2019

Employee Referral Program Recommend a qualified friend or relative to join our squad and get a cash reward it if leads to a hire. It’s a simple as that. Refer to the Employee Referral Program poster in the back store. Employee Manual - Canada 19/50 8/6/2019

Group RSP Information Saving for Retirement Just Got Easier! For some of you, retirement is still a long time in the future, whereas for others it could be right around the corner. Regardless of your situation, we believe it is important to set yourself up today for the kind of retirement you’d like to have in the future. With that in mind, Ardene has partnered with the Royal Bank of Canada (RBC) to offer employees across Canada who have a minimum of three months of service the opportunity to make regular contributions to a Retirement Savings Plan through pre-tax payroll deductions (as a percentage % of your pay). RBC will also help you build a personalized retirement plan, with the guidance of a Financial Planner, that takes into consideration your current situation and your plans for the future. Your participation is voluntary and at any time you may change the amount of your contributions or stop contributing to the plan by notifying the Employee Shared Services “ESS” team. What Do You Need to Sign-Up?  Two pieces of identification (passport, driver’s license, etc.)  Your employee number and social insurance number  Ardene’s plan number: 015665 How to Sign-Up? IN PERSON BY TELEPHONE  Visit your local RBC branch (Find it here  Call 1-888-769-2566 and let RBC know you’d like to https://maps.rbcroyalbank.com). set up a retirement savings plan through your  An RBC advisor will review your requirements, employer. provide guidance on your investment options,  An RBC advisor will open your account, review your and fill out the required form with all of your requirements, explain your investment options and information. complete the paperwork for you over the phone.  You will then receive a copy of your completed  You will then receive a copy of your completed application form for your records and a copy for application form for your records and a copy for you to forward to Nancy Roberge, Payroll you to forward to Nancy Roberge, Payroll Manager, Manager, by email [email protected] or Rula by email [email protected] or Rula Papadopoulos, Payroll & Benefits Administrator, Papadopoulos, Payroll & Benefits Administrator, [email protected]. [email protected]. Employee Manual - Canada 20/50 8/6/2019

Gym Discount Ardene wants to make it easier for you to reach your fitness and health goals. We have partnered with GoodLife Fitness and Énergie Cardio to offer all Ardene employees a discount on an annual gym membership! QUEBEC REST OF CANADA $80 Discount off your annual membership Between 10-15% off your annual All Access membership • Access to all 70 Énergie Cardio locations (Depending on location) across Québec and all GoodLife Fitness locations across Canada • Access to 230+ GoodLife Fitness centers • Possibility of extending the corporate rate to across Canada and 70+ Énergie Cardio locations across Québec a spouse and everyone 16 years of age and older living at the same address • Possibility of extending the corporate rate to spouse and dependents living at the same address • Enrollment fees may apply How to sign up How to sign up • Bring a proof of employment (employee • Bring a proof of employment (employee card, pay stub) when you sign up at your card, pay stub) nearest Énergie Cardio location. • Ask for the Modern Resources Corporate Rate. • Mention the Ardene account number: CIP #15709 For more information, please contact your local GoodLife Fitness or Energie Cardio center. Happy workout! Employee Manual - Canada 21/50 8/6/2019

Employee Recognition We recognize hard work and want to encourage recognition amongst each other. That is why we have created different programs to honour, appreciate and reward one of our most valuable assets… you! 1. Recognition Cards - are available in all stores and serve as a way to promote our ARDENE values, encouragement and appreciation. 2. S.T.A.R. - Employees who have received recognition cards may be further rewarded individually or as a team, either monthly, quarterly or yearly.  Refer to the back store for full program details. Management can refer to the Manager Guide on Ardene Campus. Employee Manual - Canada 22/50 8/6/2019

We’re Magnetic We’re magnetic: We’re all about operating efficiently and ethically as a team which is why we have implemented the following workplace policies. Work Schedules Purpose & Policy Statement To establish work hour and scheduling standards. Scope This policy applies to all store employees in Canada. Guidelines Due to the nature of the retail business many of our employees are scheduled to work evenings, weekends and holidays. Work schedules may vary from week to week depending on the needs of the business and are subject to change. Ardene’s commitment for scheduling is to have the current schedule and the following 2 weeks posted at any time, for employees to view. Minimum Hours of Pay Ardene reserves the right to adjust the scheduling of employees for business reasons (e.g.: slowdown in sales). In such circumstances if you are reporting for work but are not needed, you will be paid the minimum hour requirement as per provincial legislation. If you were called at home or contacted in advance of the beginning of your shift, you will not be paid for that particular shift. Availability Requirements Your schedule must be flexible, including weekends, evenings, and holidays. Part-time employees must be available weekends and at least 2 nights during the week. You will be required to work within your indicated availability and the needs of the store, as directed by your direct Supervisor. Your initial availability and all subsequent changes must be pre-approved by your Manager. Each location has a minimum availability requirement in order to meet the ongoing needs of the business. If your availability changes, you must notify your Manager in writing at least 2 weeks in advance. We cannot guarantee that in each case we will be able to accommodate you. In the event that your location is not able to meet your new availability, it may involve a change in your employment status. Managers There should always be at least one management level employee (Store Manager or Assistant Manager) working at all times. Each management level employee may take one full weekend off per month. It is the responsibility of the Manager when creating schedules to ensure that all management shifts are divided according to business needs. Please note that there should be no fixed schedules. Employee Manual - Canada 23/50 8/6/2019

Attendance Purpose & Policy Statement Ardene recognizes the fact that employees are sometimes required to be absent from work. As such, we have established eligibility, entitlement and procedures regarding attendance. Scope This policy applies to all store employees in Canada. Guidelines Employees are expected to maintain an acceptable attendance record. Employees are responsible for notifying their Manager of any absence or lateness at least 2 hours before the start of their scheduled shift, or as soon as possible so that the Manager can make necessary replacement arrangements. Employees are expected to exhaust all communication efforts and methods to ensure that their Manager is aware of the absence or lateness. Managers have the additional responsibility of acknowledging and responding to the notice in a timely manner. If your absence is prolonged, you must notify your Manager on a daily basis. You may be required to provide a doctor’s note upon your Manager’s request. Not working your scheduled shifts, excessive absenteeism, and tardiness for whatever reason is a performance issue. Your Manager will address this issue with you so that the problem can be rectified as quickly as possible. Breaks Employees who work shifts over 5 hours are eligible for a 30-minute unpaid break. The system will automatically deduct the 30 minutes from any shift over 5 hours. You are not required to punch out or in for your breaks (unless otherwise instructed by your Regional Director). Break times must be scheduled at a reasonable time taking into consideration the length of your shift and proper coverage of the sales floor. Overtime Please refer to the following table for payment of authorized overtime as set forth by the Employment Standards Regulation of each province. Employee Manual - Canada 24/50 8/6/2019

Province After After After Greater of Greater of 40hrs/wk 44hrs/wk 48hrs/wk After 40 After Alberta hrs/wk or British Columbia X X X 8hrs/day 44hrs/wk Manitoba X X X or 8hrs/day New Brunswick X Newfoundland X X Nova Scotia Ontario X P.E.I. Quebec Saskatchewan Employee Transfers Ardene reserves the right to relocate your employment to another store location within a reasonable proximity of your then current store location. We will consider your request to work at another store based on business needs. Employee Manual - Canada 25/50 8/6/2019

Time Off Vacation Purpose & Policy Statement To establish eligibility, entitlement and procedures regarding annual vacation. Scope This policy applies to all store employees in Canada. Guidelines • You must request vacation time from your Manager at least 4 weeks in advance. • Blackout dates, where vacation is not permitted, are the following: November 15th to January 1st (inclusively), spring break and back to school. • Depending on business needs during other times of the year, your Regional Director will use their discretion and advise you in advance of other blackout periods for vacation. • It is prohibited to substitute a vacation with a leave of absence. • Please refer to the below table for vacation allowance per province. Province Uninterrupted Service Indemnity Alberta 1 year to 5 years 4% British Columbia 5 years & over 6% Manitoba 1 year to 5 years 4% New Brunswick 5 years & over 6% Newfoundland 1 year to 5 years 4% Nova Scotia 5 years & over 6% Ontario 1 year to 8 years 4% P.E.I. 8 years & over 6% Quebec 1 year to 15 years 4% Saskatchewan 15 years & over 6% 1 year to 8 years 4% 8 years & over 6% 1 year to 5 years 4% 5 years & over 6% 1 year to 8 years 4% 8 years & over 6% 1 year to 3 years 4% 3 years & over 6% 1 year to 10 years 6% 10 years & over 8% Employee Manual - Canada 26/50 8/6/2019

Statutory Holidays Purpose & Policy Statement To establish eligibility, entitlement and procedures regarding the payment of statutory holidays. Scope This policy applies to all store employees in Canada. Guidelines • To be eligible for holiday pay, you must work your scheduled shifts before and after the holiday. • Refer to the below table for statutory holidays in your province. • Refer to your Provincial Employment Standards for conditions and calculations regarding holiday pay. HOLIDAYS AB BC MB NB NF NS ON PEI QC SK  New Year’s Day – January 1 Louis Riel Day – 3rd Monday of  February Islander Day – 3rd Monday of  February Heritage Day – 3rd Monday of  February Family Day – 3rd Monday of   February (2nd Monday for BC) Good Friday – Friday before Easter  Victoria Day – 3rd Monday of May    St-Jean – June 24 Canada Day – July 1st  Civic Day – 1st Monday of August  Labour Day – 1st Monday of September   Thanksgiving – 2nd Monday of October  Remembrance Day – November 11 Christmas – December 25    Boxing Day – December 26      Employee Manual - Canada 27/50 8/6/2019

Leaves Maternity and Parental Leave Purpose & Policy Statement To establish eligibility, entitlement and procedures regarding Maternity and/or Parental Leaves. Scope This policy applies to all employees of Ardene across Canada who meet the eligibility requirements set out by the provincial legislation of the province where they are employed. Guidelines Definitions: Maternity Leave: a leave that is granted only to birth mothers. Parental Leave: a leave that is granted to birth mothers, birth fathers or adoptive parents. For birth mothers, Parental Leave must begin right after Maternity Leave. Employees are strongly urged to contact their local EI office (RQAP in Quebec) to confirm the level of coverage specific to their situation. Providing Notice While the amount of notice to be given by an employee to an employer prior to the intended leave or return to work varies by province, for replacement planning and to best support our business needs, it is strongly recommended that the employee give at least four (4) weeks advance notice. In addition, Ardene requests that the employee provide four weeks written notice if they do not intend to return to work after the leave ends, or if they change their original date of return. Process • Before the leave, the employee informs her/his Manager of her/his intent to take Maternity/Parental leave, as soon as possible. For maternity leave, the employee must also provide a certificate from a qualified medical practitioner. To maintain Group Insurance coverage while on leave, the employee must provide Ardene with post- dated cheques to cover the cost of her/his benefit premiums for the full period of the absence. Should we not receive your cheques, we will conclude that you refuse all coverage. Please contact the Payroll department for exact details to maintain benefits coverage. • The Manager/Supervisor completes the Leave of Absence form on the intranet for processing, and faxes the medical certificate to the Employee Shares Services “ESS” team. • Records of Employment will be electronically sent through Service Canada along with the final pay. Employee Manual - Canada 28/50 8/6/2019

Planning the Return from Leave • The Manager/Supervisor contacts the employee at least six (6) weeks prior to the employee’s expected return date to confirm the terms of her/his return to work. • The Manager and Supervisor coordinate a return to work plan. • If the employee does not return calls or is unreachable and does not return to work by his/her expected return date, we will assume that the employee has resigned and will process the termination as such. Safe Maternity in the Workplace (employees in the province of Quebec) • During the first medical appointment, the employee must ask her doctor to fill out the Preventive Withdrawal and Reassignment Certificate for a Pregnant or Breastfeeding Worker. The doctor will send this document to the local CLSC, which will identify if some restrictions are applicable to the workplace of this employee. The “Employer” copy of this certificate must be mailed to the Payroll department. • The CLSC will send a copy of the Programme de maternite sans danger “PMSD” report to the physician and the employee must get a copy of this report to give to her Store Manager/Supervisor. • The Store Manager/Supervisor must immediately send the Preventive Withdrawal Certificate and the PMSD report to the Human Resources Department. • Using the PMSD report, the Human Resources department confirms the changes that must be made to the employee's work and determines the withdrawal date with the Supervisor. The Human Resources department will send an email to the Store Manager/Supervisor describing the restrictions and other details. • The Store Manager/Supervisor must ensure that all changes made to the employee's work are complied with at all times. IMPORTANT: With respect to the “Safe Maternity in the Workplace” Program, the employee must continue to respect her work schedule and any corporate policies, as usual. The employee is also still required to justify any absences. The Manager can communicate with Human Resources in case of an exceptional absence. Employee Manual - Canada 29/50 8/6/2019

Medical Leave Purpose & Policy Statement Ardene recognizes that employees fall sick from time to time and might require time off to attend to their medical needs. To best support employees during this time, we have established guidelines regarding medical leave. Scope This policy applies to all store employees in Canada. Guidelines • Ardene reserves the right to ask all employees to submit verification of the illness signed by a qualified doctor. • For all absences of three (3) consecutive days or more, the employee must provide a medical certificate signed by a qualified doctor stating the employee’s name, date that the leave begins, the expected date of return to work and any work restrictions. • For medical leaves of three (3) days or more, the Store Manager must complete the Change of Employment Status form on the intranet. The original medical certificate must also be faxed to the ESS team. • In all cases, the Company reserves the right to require (at any time) further information and to request a medical examination by a Company appointed physician. • A confirmation of a visit to a clinic is not considered to be a certified medical document. Contact information: • ESS team fax: 514-383-1740 Employee Manual - Canada 30/50 8/6/2019

Bereavement Leave Purpose & Policy Statement Ardene recognizes that bereavement is a very difficult time for an employee and every effort will be made to ensure the employee is provided with time off for making arrangements, settling family affairs, bereavement, and attending the funeral or memorial service of a member of the family. Scope This policy applies to all store employees in Canada. Guidelines An employee may take up to three (3) days of paid leave and up to two (2) days of unpaid leave in the event of the death of a member of his or her immediate family. An immediate family member includes spouse, domestic partner, parents, children, and siblings. An employee may take one (1) day of paid leave and up to four (4) days of unpaid leave in the event of the death of a member of his or her extended family. An extended member of the family includes grandparents, grandchildren, aunts, uncles, cousins, as well as parents-in-law, children-in-law, and siblings-in-law. For hourly paid employees, paid leave days will be paid based on the average amount of hours worked per day. It is the employee’s responsibility to inform his or her immediate supervisor as soon as possible that time off is needed. Stores The Store Manager or Supervisor must send a message to the ESS team , through the WebPortal, to inform the ESS team of any paid or unpaid bereavement leave taken by an employee. Unused bereavement days do not carry over from one year to the next and are not paid for if an employee leaves the Company. The Company reserves the right to require proof of death and familial relationship. Additional Resources Please contact the ESS team with additional questions. Employee Manual - Canada 31/50 8/6/2019

Employment Verification Purpose & Policy Statement To establish procedures regarding employment verification requests from employees and third parties. Scope This policy applies to all store employees in Canada. Guidelines An employment verification is limited to verification of job title, employment dates and salary. All employment verification inquiries are to be directed to the ESS team. Under no circumstances is any other employee authorized to provide a written or official employment verification response on behalf of the Company. Ardene respects our employee’s privacy and therefore has a no reference policy. Requests from Employees • Employees can make an employment verification request to the ESS team via phone or email. • The ESS team will mail the employment verification letter to the employees store or home, depending on what was agreed upon. Requests from Third Parties • The ESS team will release the requested information only once they receive written consent from the employee. Employee Manual - Canada 32/50 8/6/2019

We’re Responsible We’re Responsible: Ardene cares about the health and wellbeing of our teams which is why we have implemented the following safe practices and procedures. Accommodating Disabilities Ardene will attempt to provide reasonable accommodations to qualified employees with disabilities, as needed or required by applicable law. If you are an employee with a disability and believe that you need an accommodation to perform your job even for a short period of time, you should inform your Manager, who will review and respond to your request. Ardene’s Management greatly values our clients. As a result, we are committed to taking every reasonable measure to make our stores accessible to everyone who visits. Ardene is working together with Ministries for Community and Social Services across Canada to ensure all clients are met with our highest standards for customer service. To fulfill this commitment, Ardene will: Develop customer service policies and procedures for serving people with disabilities that are consistent with the principles of independence, dignity, integration and equality of opportunity. The policy will also include provision for allowing people to use their own assistive devices (e.g., cane, wheelchair, oxygen tank, etc.) as well as be accompanied by their guide dog or service animal into the locations. Train staff to communicate with a person with a disability in a manner that takes into account his or her disability and handle feedback on how we have met their needs to establish more appropriate procedures. Accessibility for Ontarians with Disabilities Act, 2005 (AODA) This policy establishes our commitment to accessible customer service under the Accessibility for Ontarians with Disabilities Act, 2005. The founding principles within are applicable to all of our stores, across Canada.  Refer to Ardene Campus for full program and policy details. Health & Safety Rights and Duties Employee Rights • All employees have the right to be informed on issues that affect their Health and Safety • All employees have the right to refuse unsafe or unhealthy work assigned to them • If an employee is not comfortable with the training received, it is their right to advise the Manager of any concerns Employee Manual - Canada 33/50 8/6/2019

NOTE: All relevant provincial regulation booklets and posters regarding worker’s health, safety and standards must be kept on premises and accessible to all employees, where applicable. Supervisors/Managers are responsible for ensuring that employees work safely and therefore must be familiar with the employee’s duties under provincial Health and Safety regulations and Ardene’s internal Health and Safety policies and procedures. Employee Responsibilities • Working in compliance with the provisions of provincial Health and Safety regulations and internal policies and procedures • Using or wearing the equipment, protective devices or clothing that Ardene requires • Reporting to his or her Supervisor any missing or defective equipment or protective device which could endanger any person • Reporting to his or her Supervisor any contravention of provincial Health and Safety regulations or Ardene policies and procedures • Reporting any observed hazards to the Supervisor • Not removing or making ineffective any protective device without providing an adequate temporary substitute. When the work is completed, the original protective device must be replaced immediately • Not using or operating any equipment, machine, device, thing or otherwise working in a manner that may endanger anyone • Not engaging in any prank, contest, feat of strength, unnecessary running or rough and boisterous conduct Other Ardene Employee Responsibilities • Reporting all injuries, incidents and unusual conditions immediately to his or her Supervisor; • Reporting any risks or potential risks of violence or harassment encountered in the workplace immediately to his or her Supervisor; • Inspecting work area and equipment daily and reporting and documenting any hazards immediately to his or her Supervisor; • Attending all required Health and Safety training programs (e.g. orientation), and applying knowledge to daily operating procedures at Ardene; • Reporting any negative conversation between employees that in any way impacts an employee in the Company (as per harassment definition); • Knowing, understanding and implementing safe work practices and procedures; • Knowing, understanding and employing established rules and procedures for handling materials, equipment and processes (e.g. reporting unlabeled containers, using proper lifting techniques, etc.); • Requesting that worn out or defective equipment be replaced; • Using all safety devices provided, ensuring optimum condition of devices and reporting any defects immediately to a Supervisor; • Using equipment and materials only in the manner intended; • Carrying out repairs, alterations and processing changes only when authorized. Duties of Ardene Ardene must ensure the Health and Safety of all their employees and any other workers present at their worksite. Employee Manual - Canada 34/50 8/6/2019

Under Provincial Health and Safety Regulations, key responsibilities of Ardene include: • Taking every precaution reasonable in the circumstances for the protection of an employee • Providing information, instruction and supervision to employees to protect the Health and Safety of the employee • Posting and annually reviewing a signed copy of the Ardene Health and Safety policy in an accessible workplace location • Creating a work environment that has a zero tolerance for both violence and harassment in the workplace; • Posting and annually reviewing a signed copy of the violence and harassment policy in an accessible workplace location • In partnership with Human Resources, developing and maintaining a Health and Safety system to implement Ardene’s Health and Safety policy • Ensuring equipment, materials and protective devices are used properly and in a safe manner; • Appointing competent, qualified Supervisors • Where prescribed, providing an employee with written instructions as to the measures and procedures taken for their own protection, and carrying out such training programs for workers and Supervisors as needed • Actively commending employee and Supervisor Health and Safety performance when it meets or exceeds expectations • Affording assistance and cooperation to the Health and Safety Representative in the carrying out their functions • Posting a copy of the OHSA and pertinent regulations in an accessible workplace location. Duties of Managers/Supervisors Under Provincial Health and Safety Regulations, Supervisors/Managers are required to ensure that: • Employees work in the manner and with the protective devices, measures and procedures required by provincial Health and Safety regulations (e.g. wearing safety shoes, confining hair, jewelry or loose clothing around moving parts, etc.) • Employees use or wear the equipment, protective devices or clothing required by Ardene • Employees are advised of the existence of any potential or actual danger to their Health or Safety of which a Supervisor is aware • Where prescribed, employees are provided with written instructions as to the measures and procedures to be taken for their protection • Every precaution reasonable in the circumstances is taken for the protection of an employee • Employees are provided with and sign appropriate job descriptions. Managers must forward the signed job description to Human Resources Other Manager/Supervisor Responsibilities • Supporting a safe work environment that is free from any violence or harassment • Informing Supervisors of any known occupational Health and Safety concerns • Reinforcing and demonstrating a positive “Health and Safety” attitude and working climate and holding information sessions with staff on Health and Safety issues • Showing interest and involvement in the organization’s Health and Safety performance • Upholding safety rules and procedures and supporting enforcement, including disciplinary action; • Performing informal workplace inspections daily and formal workplace inspections quarterly • Making every reasonable attempt to resolve any employee Health and Safety concerns • Conducting Incident Investigations and reviewing all forms and ensuring these are discussed at Management meetings Employee Manual - Canada 35/50 8/6/2019

• Ensuring employees are trained in safe work practices and job safety requirements associated with a particular job process and providing written instructions where appropriate • Holding regular meetings (i.e. once a month) with staff in order to review specific safety practices and policies to reinforce safety • Correcting any substandard or unsafe acts or any unsafe conditions • Reporting, investigating, and properly documenting all incidents and injuries • Implementing emergency plans when necessary and ensuring that employees have been properly trained to comply • Regularly evaluating employee performance and providing periodic feedback with respect to Health and Safety • Commending employees for exemplary Health and Safety practices • Conducting annual evaluations that measure the responsibilities of the employees Employee Manual - Canada 36/50 8/6/2019

Right to Refuse Dangerous Work Purpose This policy outlines the procedures that employees should follow in the case of a refusal to work due to a dangerous circumstance. This policy applies to all employees of Ardene. Policy Under current legislation, employees have the right to refuse to perform work that would expose them or another person to danger to their health, safety or physical well-being. Employees may not exercise this right, however, if their refusal to perform the work puts the life, health, safety or physical well-being of another person in immediate danger. Procedure Employees must immediately notify their Manager indicating the reasons for the refusal to work. Employees must notably remain on the work premises, to perform any other tasks that may be necessary. Employees may not be dismissed because they exercise their right to refuse to work. Employees will continue to be paid, and may in no way be penalized or punished. For more information on the right to refuse work and related responsibilities, refer to your Provincial Employment Standards website or the Government of Canada website. Employee Manual - Canada 37/50 8/6/2019

Violence & Harassment Arden Holdings Inc. (the “Company”) is committed to providing a safe work environment in which all workers are treated with respect and dignity. The Company will take all reasonable steps to protect employees from workplace violence and harassment. Any threats or acts of violence and/or harassment of any kind will not be tolerated from any person in the workplace including customers, employees, managers and supervisors.  Full program and policy details can be found on the FYI board in the back store and on Ardene Campus. Workplace Accidents Employees Any accident, regardless of its severity, is exposed to this procedure and must be reported. Procedures in the event of a workplace accident can be found in your in-store packages as well as on the FYI board in the back store. Customers In the event of an incident in the store: Call 911 immediately (depending on the severity of the situation) The next most senior worker on duty must advise the Supervisor and fill out the “Customer Injury/Incident Report” within 24 hours from the time the incident/injury occurred (or at the earliest opportunity in the event of an emergency). Go to; Intranet  Forms  Customer Accident Report In the event of an incident causing death or critical injury as defined below, Ardene is required to immediately notify the Provincial Health and Safety Division and the worker representative. The employer and the worker representative are to complete and submit an Incident report to the Provincial Health and Safety Division within 48 hours of the occurrence. No one must disturb the site of such an incident until permitted to do so by the Provincial Health and Safety Division, except as to prevent further harm to individuals. Once permission is given by an inspector, the worker representative shall investigate the incident scene and report his/her findings in writing to the Supervisor and the Provincial Health and Safety Division. Employee Manual - Canada 38/50 8/6/2019

Drug & Alcohol Policy Purpose & Policy Statement Ardene is firmly committed to ensuring a safe, healthy, productive and efficient work environment for its employees. As such, the objective of this Drug and Alcohol Policy (the “Policy”) is to confirm that, subject only to the exceptions provided for in this Policy, the use of Drugs and/or Alcohol while performing work for Ardene is strictly forbidden and that Ardene has a zero tolerance policy in this regard. Ardene expects that all employees, while on duty, will remain Fit for Work and will not be impaired by Alcohol or Drugs. Scope This Policy applies to all full time, part time and temporary employees of Ardene. Definitions As used in this Policy, the following words have the following meanings: • “Alcohol” means any beverage that may be legally sold and consumed, that has an alcoholic content in excess of 1.1% by volume. • “Cannabis” means cannabis, as listed under Schedule II of the Controlled Drugs and Substances Act, S.C. 1996, c. 19. • “Company Property” means any space occupied by Ardene for the purpose of conducting its business or social activities, including but not limited to: (i) all head office and distribution center locations; (ii) all store locations; (iii) company vehicles; (iv) venues used for company events (i.e. holiday party, annual conferences etc.); and (v) any location occupied by an employee while carrying out business for Ardene. • “Drug” means any mood-altering substance, either illegal or legal, and includes Medication, Illegal Drugs and Cannabis. • “Fit for Work” means the ability to safely and acceptably perform assigned duties without any limitations or impairment due to the use or after-effects of Alcohol or Drugs. • “Illegal Drug” means any Drug which has not been legally obtained or is not legally obtainable and whose use, sale, possession, purchase or transfer is restricted or prohibited by law. • “Medication” means any substance prescribed for individual consumption by a licensed medical practitioner (including but not limited to medically authorized Cannabis) or any substance intended for individual consumption, obtained legally/over the counter. Prohibited Conduct Concerning Alcohol and Drugs • Employees must report to work Fit for Work and free from impairment by Drugs and/or Alcohol. • Employees are prohibited from consuming any Alcohol or Drugs other than Medication during working hours, including during meal and break periods (whether or not they are considered to be paid time) and whether on or off Company Property. • Employees are prohibited from possessing any Alcohol or Drugs including Cannabis (other than Medication) on Company Property. Employee Manual - Canada 39/50 8/6/2019

• Employees are prohibited from engaging in the sale, distribution, manufacture, purchase or transfer of Drugs or Alcohol on Company Property and while engaged in any activities, or performing work for Ardene. • If an employee reports to work, or is reasonably suspected to have reported to work, while impaired by Alcohol or Drugs, or uses Alcohol or Drugs other than Medication during working hours, he or she may be prohibited from continuing to work, without limiting any other sanctions or measures which may be imposed. Responsibilities All employees are expected to perform their job in a safe manner and in all ways consistent with established Ardene practices and policies. In addition, it is expected that all employees will: • Read and understand this Policy and their responsibilities under it; • Abide by this Policy, and respect their responsibilities thereunder as well as the rules on prohibited conduct concerning Alcohol and Drugs; • Seek advice and follow appropriate treatment if they have a current or emerging Drug or Alcohol problem, and follow recommended medical treatment; • Co-operate with any work modification related to safety concerns; and • Co-operate with any investigation into a violation of this Policy. If an employee witnesses any of the prohibited conduct described above, he or she must advise their immediate supervisor or Human Resources directly at 514-383-4442 ext. 4 as soon as possible. Ardene may investigate any such report and take any action it deems appropriate. Company Events Employees are prohibited from attending Ardene sponsored events while impaired by the use of Drugs and/or Alcohol. However, there are a few circumstances during which responsible Alcohol consumption and possession may occur, for example, at special celebrations or social activities hosted by Ardene such as the holiday party, company celebrations or holiday gift exchanges when authorized by the COO. The recreational use of any Drug (including but not limited to Cannabis) at such events is strictly prohibited. Employees are expected to exercise good judgment in consuming Alcohol in the above-noted circumstances. Medication A prescription does not permit an employee to be impaired at work. It is the responsibility of the employee to confirm with his or her treating physician whether he or she will be Fit for Work while using any Medication. If an employee must take Medication that could result in the employee not being Fit for Work (which includes, without limitation, Cannabis), he or she must immediately inform their immediate supervisor or Human Resources directly at 514-383-4442 ext. 4. Medication must be used only in the manner, combination and quantity prescribed. Under no circumstance may an employee who uses medically authorized Cannabis or other Medication distribute any Medication to other employees. Employee Manual - Canada 40/50 8/6/2019

The disclosure of the use of Medication which would render the employee not Fit for Work will not result in disciplinary action, but may require modified duties, reassignment or other forms of accommodation, up to the point of undue hardship. Ardene reserves the right to confirm and approve the nature and duration of any required work modification as per the existing protocols in place for workplace accommodation. Ardene also reserves the right to request documentation to confirm an employee’s ability to perform his or her job functions, to assess his or her job-related limitations and to substantiate any alternate duties. An employee who is prescribed and/or authorized by a licensed physician to use Cannabis will be required to provide medical documentation from a physician authorizing such use. Social Media Under no circumstances should any employee post any content linking Drugs (including without limitation Cannabis) or Alcohol impairment to Ardene on any type of social media platform. This applies to both corporate AND personal accounts. Ardene employees must refrain from posting, to their personal accounts, materials linking the consumption, possession, growth or sale of Drugs (including without limitation Cannabis) to Ardene. This includes annual holiday parties and other social events organized by Ardene. Disclosure of dependency & Employee Assistance Ardene recognizes that Drug and/or Alcohol dependency, addiction or abuse (a “substance abuse problem”) may be an illness and encourages employees who suspect they may have a substance abuse problem to seek rehabilitation. Ardene also recognizes that early intervention and support improve the success of rehabilitation. Ardene encourages employees in need of assistance with a substance abuse problem to seek help before they violate this Policy. Employees in need of assistance due to a substance abuse problem may also request accommodation from Ardene. Ardene will take all reasonable steps to provide reasonable accommodation in these circumstances in accordance with legal requirements. No adverse employment action shall be taken against an employee because they voluntarily disclose, prior to the occurrence of a Drug and/or Alcohol-related incident on Company Property, a substance abuse problem to Ardene. Consequences of Violation of Policy In situations involving a suspected Policy violation, an investigation will be conducted by Ardene, as it deems appropriate. The employee whose conduct is at issue may be suspended during the investigation with or without pay and removed from the workplace. Where a policy violation is found to have occurred, the consequences will reflect the individual circumstances and may include corrective action, including immediate termination of employment for cause. Confidentiality Confidentiality in connection with enforcement of this Policy (including disclosures made by employees to Ardene concerning use of Alcohol or Drugs, or cases of accommodation and/or Policy violation) will Employee Manual - Canada 41/50 8/6/2019

be maintained to the greatest extent possible subject to disclosure required by law and/or necessary for related health and safety concerns or to ensure the fairness of any investigation. Only information pertaining to an employee’s functionality (e.g. fitness for work and any restrictions that may apply) may be shared with management for purposes of determining fitness for work, appropriate work accommodation, and/or work re-entry initiatives. Should you have any questions regarding this Policy, please contact the Human Resources Department. General Emergency Procedures What is the overall objective of the plan? An emergency plan specifies procedures for handling unexpected situations. The objective is to be prepared to: 1. Prevent injuries and fatalities 2. Reduce damage to buildings, stock, and equipment 3. Protect the environment 4. Accelerate the resumption of normal operations In case of fire, explosion or if you see smoke: The emergency response team or person in charge should be as follows: Manager, Assistant Manager and Third Key Holder. 1. If fire is discovered, activate the nearest fire alarm 2. Notify everyone around you of the emergency situation 3. Call 911 and notify Security even if you have already reported the emergency to police 4. Check all washrooms, back rooms and changing rooms to ensure the floor is fully evacuated 5. If permitted close doors when exiting to help limit the spread of smoke and fire throughout the building 6. Evacuate to a designated assembly area, do a head count and ensure everyone is safe 7. NEVER use elevators 8. Once you are safely out, follow directions of mall security and/or the Fire Department 9. Call your supervisor Evacuation Hints: 1. Personnel should know where the exits are located 2. Do not delay when you hear the fire alarm 3. Walk, do not run 4. Do not retrieve personal belongings 5. Keep calm, assist others to exit 6. Reassure others to stay calm 7. Do not return to the building unless authorized by the Fire Department or security Employee Manual - Canada 42/50 8/6/2019

In case of an active shooter: 1. Call 911 if you can 2. Evacuate • Take note of nearest exit and leave the area as quickly as possible if you have a safe and accessible escape route • Leave your belongings behind • Help others escape, if possible 3. Hide • If evacuation is not possible, shut and lock your front gate • Find a place to hide where the active shooter is less likely to find you • Be out of the active shooter’s view, stay low and away from doors • Barricade back store doors to block entry • Provide protection if shots are fired in your direction (i.e., an office with a closed and locked door) • Silence your phone, remain quiet • Do not move or open the door for anyone unless instructed to by the police 4. Respond to Law Enforcement • Follow instructions immediately • Remain calm • Carry nothing in your hands • Keep your hands visible at all times and keep your fingers spread • Never make any sudden movements • Do not ask for help or medical assistance, there will be responders outside waiting to perform this task • Do not ask for directions on how to evacuate they will either tell you or simply proceed from the area they came from In case of a medical emergency: 1. Call 911 and advise mall security 2. Provide them with the following info: • Your location • Type of injury or illness • Number of people injured/ill • Speak slowly and clearly and answer the questions being asked by the authorities Employee Manual - Canada 43/50 8/6/2019

In case of severe weather conditions: 1. Consult with head security in mall 2. If not in a mall, consult with your supervisor to determine the severity of the weather and take appropriate precaution 3. In the meantime stay calm and away from doors and windows 4. Watch for fire, dangling electrical wires, gas leaks and so on 5. If officials tell you to evacuate, do so and follow their instructions 6. If permitted, close store In case of an Amber Alert: 1. Read it carefully 2. Keep an eye out for the abducted child, the suspect, or the suspect vehicle 3. If you locate the child, suspect, or vehicle fitting the description, immediately call 911 or the telephone number given in the Amber Alert to provide authorities with as much information as possible 4. Persons who locate an abductor should NEVER take any action other than to contact law enforcement In case of a Robbery: 1. If possible, immediately seek assistance (security, enter a busy public area to phone for help, etc.) 2. DO NOT argue or resist – hand over whatever is asked for; 3. Listen to the thief’s instructions and follow them to the best of your ability without endangering others; 4. Do not follow or attempt to capture the thief – this can put you and others in great danger; 5. Do not surprise the thief or move unexpectedly; 6. Try to be observant and remember details: (Physical appearance, clothing, etc) 7. After they leave, try to avoid touching anything the thief has touched to preserve fingerprints After a Robbery • Record all information observed about the thief (appearance, license plate, vehicle, etc) • Notify police immediately by calling 911 and provide them with as much information as possible including the route the thief took when leaving (remember not to try to follow the thief) • Ask all witnesses to remain until police arrive • Contact your Manager Contact Information Once in safety, contact your supervisor or Regional Director to inform them of the emergency. They will alert Head Office via email: [email protected] If at any time you feel that your life is in danger do not hesitate to call 911. Employee Manual - Canada 44/50 8/6/2019

We’re Connected We’re Connected: Since Ardene is all about engaging with our teams and customers, we have put together guidelines in order to stay well connected. Operate in Style One a day-to-day you can expect to: • Ensure that each customer receives outstanding service by providing a friendly environment, which includes greeting, acknowledging and re-approaching every customer, maintaining solid product knowledge and all other aspects of customer service • Keep informed on the most current promotions and advertisements • Assist in merchandising, displays and maintenance of the store’s cleanliness • Replenish merchandise, monitoring floor stock and processing shipments • Direct customers in locating merchandise • Processing cash/credit/debit purchases at register using a Point of Sale (POS) system • Many other fun tasks assigned by your Manager or Assistant Manager Customer Service What Your Customer Wants An exceptional customer experience is the number ONE reason for great sales, brand loyalty, strong customer relationships, and encourages your customer to come back and shop. This is vital to the success of the Ardene Vision and Brand Image. We ask that you read the following sections in Ardene Campus carefully and refer to it regularly to refresh your mind and to execute all the procedures as part of the Ardene Sales Team. • How May I Help You • The In-Store Experience • Zone by Zone • Customer Service Standards Your customer’s impression of Ardene depends on the quality of service you offer – so it is important to meet and exceed her expectations! Employee Manual - Canada 45/50 8/6/2019

Policies Don’t hide behind the cash desk – satisfied customers are rarely the ones who don’t get help. Don’t stay behind the cash unless you are doing a sales transaction, reading a memo, or completing training. Fitting rooms – the only place you are permitted to change or try on clothes – but not during your shift! Always give the receipt – give a receipt to every customer who makes a payment for purchase. Bring your friends & family – your friends and family are welcome to shop in our stores, but be polite and introduce them to Management on their arrival. Also, keep in mind that customers are your priority. Friends forever – many friendships develop inside our doors and we encourage you to be friendly and courteous to your co-workers. However, don’t chat too much on the sales floor or behind the cash, especially if there are lots of customers around. Cellphone – You can’t have your cellphone on you during a scheduled shift. It doesn’t look very professional if customers see you scrolling your ‘gram instead of helping them find the perfect outfit. Loss Prevention Just checkin’ – store management inspects personal clothing and articles such as bags upon every employee’s entrance and exit of the store and in full view of the camera. If you have a coat, you will be asked to put it on and may be asked to empty your pockets. Don’t stress, it’s a standard code when you work in retail. Use the main entrance –we ask that you use the main entrance at all times (not the back door) to enter and exit the store. Don’t leave the store unattended – for safety and security reasons, you aren’t permitted to leave the store empty or unattended during business hours. At least one associate must always be present in the store while it is open. We don’t mingle with fraudsters – we have a zero tolerance policy for fraud. Any act of fraud, for whatever reason, or however small, can be prosecuted to the maximum extent of the law including civil and/or criminal charges where appropriate. Gift cards - any Gift Cards that are left behind by customers must be reported to the Loss Prevention Department and then destroyed and thrown away at the end of the day. Under no circumstances are you allowed to use any leftover Gift Cards with a balance on them for yourself; this is considered fraud and disciplinary action will be taken towards the employee(s) involved. You are not allowed to invite friends & family into - any area of the store after business hours and non- selling areas of the store at any time Note: If you visit a store during non-scheduled workdays, you must not interfere with the operation of Employee Manual - Canada 46/50 8/6/2019

the store and must comply with all policies, like bag checks. Employee Manual - Canada 47/50 8/6/2019

Safe Operating Procedures for Handling Cash and Daily Deposits Purpose This policy outlines the procedures that employees of Ardene must follow when handling cash. It has been developed to ensure that any employee handling cash on behalf of Ardene is aware of potential threats to their person and methods to reduce risks. Policy Management It is the responsibility of all Managers and Supervisors of Ardene to ensure that: • All employees required to handle cash do so in a safe and consistent manner; • All employees know this procedure; and, • Proper enforcement of this policy is followed. Employee It is the responsibility of every employee to: • Follow all cash handling procedures; • Advise Managers/Supervisors when they may sense a threat. Disciplinary action will be taken with any person failing to follow any component of this policy. Standards This procedure has been designed to exceed all expectations under the general duty clause as part of most Canadian Health and Safety legislation. Procedure for Daily Deposits Deposits are the responsibility of the Manager, Assistant Manager or the Third Key Holder. • The front doors must be closed and locked before the deposit process begins. • No customer, friends or employees off duty are allowed in the store once the store has been closed. • You must always count the till at the cash counter, facing the front and in full view of the camera. • During the day make sure you do not leave the cash unattended. Make sure one employee is around the cash all the time. • The deposit bag should be filled with all monies and sealed at the cash counter; you are not permitted to walk away with an unsealed deposit bag. • For the stores with multiple cashes you must prepare only one deposit slip and place it in the deposit bag. Make sure you add all the money from all the cashes, including the US funds. • Deposits must be done daily (unless otherwise specified by HO). • All deposits must be counted then verified by a second employee. If 2 or more employees are working, always counted facing the front and in full view of the camera. • The cash register should always be balanced at the end of each day. If the cash does not balance, find the error and clearly document it on the “Closing Report”. All overages and/or shorts more than $5.00 and less than $30.00 must be communicated to your Supervisor by calling. All Employee Manual - Canada 48/50 8/6/2019

overages and/or shorts more than $30.00 must be communicated to the Accounting Department by sending a message through the intranet immediately. • The employee that counts and makes the deposit must write the following information in the daily planner book: employee’s name, deposit amount, deposit bag # and employee’s signature. • The night deposit box should be used when available. • It is strictly forbidden to falsify transactions in order to balance your till. • It is strictly forbidden to put extra change or money of any kind in the till. • There are certain stores authorized by Head Office to use a safe located in the back store to hold deposits for a specific period due to the bank being in a remote location. All other stores must follow the daily deposit procedure regardless of whether there is a safe in their store or not. • In the event of an emergency that prevents you from making a deposit, you must advise Head Office that same day via Intranet email (attention: Accounting – deposits) along with providing a reason why the deposit was not made. Bank Night Deposits • Deposit bags and deposit slips should be ordered by requisition (intranet) by the Manager or Supervisor. • Night deposit bags have a specially designed locking slide seal that prevents anyone from opening and removing the contents. • Make sure that once you insert all cash with the 2 copies of the bank deposit slips into the night deposit bag, you seal it. Ensure that $50 and $100 dollar bills are attached with a paper clip. Do not deposit only bills; always add some coins into the bag to avoid having stuck deposit bags at the bank. The bills create static with the deposit bags. • 1 copy of the bank deposit slip stays in the store and must be stapled to the “Closing Report”. The other 2 copies go to the bank. • Write down the bag number on your deposit slip copy and in the daily planner book. • Do not re-open the bag. If you notice a variance in the cash after the bag has been sealed, put the difference in the next day’s deposit. The amount on the deposit slip must be the same amount of cash put into the bag. If you forgot to insert the deposit slip inside the bag inform your supervisor and use a new bag. Make sure to put the new deposit bag number on your deposit slip copy. • Make sure you receive the stamped deposit slip from the bank. This is your proof the money was received and accounted for by the bank. If you do not receive your stamped deposit slip from the bank in 10 business days, send a message to the Ardene Accounting Department and go to the bank to inquire. • At the bank make sure you properly insert the deposit bag into the night chute, not leaving it on the interior wall, close the door, open it again and check if the deposit went inside. Avoid the chute interior walls, especially for light deposit bags. The deposit bag creates static with the interior walls. Place the bag in the middle of the chute. • Always keep the till drawers unlocked, and open at night in order to prevent damage caused by a break-in. Employee Manual - Canada 49/50 8/6/2019