APPENDIX 1

GLOSSARY OF TERMS

术语表

PERMITTED SOURCING COUNTRIES means those countries specified by Disney, from time to time, in or from which Licensee may manufacture or source products, components of products, product packaging, advertising and/or promotional materials (including without limitation, raw materials and blank items). Disney may establish additional requirements as a condition to conducting any of the foregoing activities in certain Permitted Sourcing Countries. The current list of Permitted Sourcing Countries is posted on the ILS Website and included in this ILS Program Manual.

PERSON means any individual or form of legal entity.

PROHIBITED PERSONS means (i) those Persons with whom a Licensee or Vendor may not conduct business by Law, and/or (ii) those additional Persons with whom a Licensee or Vendor is prohibited by Disney from engaging in any activities under their agreement to produce Disney branded products (including without limitation, for reasons of intellectual property protectionand enforcement, concerns for political or human rights, or environmental protection). If a Person becomes prohibited by Law, the prohibition shall be automatic as of the effective date of such Law without need of any notice from Disney. It is the responsibility of Licensees and Vendors to monitor any such changes. If a Person becomes prohibited due to Disney’s determination, Disney shall provide reasonable notice to Licensees and Vendors of such prohibition. Disney may provide such notice through the ILS Website.

SOCIAL COMPLIANCE MONITORING ORGANIZATIONS are set forth in Appendix 5.