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Last Updated: 2013.10.29

Appeal in the Lawsuit Against Bungeishunju Ltd.

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Fast Retailing Co., Ltd., ("Fast Retailing") and UNIQLO Co., Ltd. ("UNIQLO") today announce their appeal with the Tokyo District Court in its October 18, 2013 judgment for their lawsuit against Bungeishunju Ltd. ("Bungeishunju").

The Court's judgment acknowledges that the content of the book that Bungeishunju published entitled, "The Glory and Disgrace of UNIQLO" and the article that it ran in its weekly magazine Shukan Bunshun represent a reflection of an extremely limited aspect of the company. In particular, regarding the working conditions at UNIQLO stores, the judgment asserts that it is only based on the claims that, "Until 2007, Store Managers worked long hours", and, "Even after April 2007, one active Store Manager in his thirties at a non-disclosed store worked over three hundred hours per month over November and December 2007."

In addition, the judgment does not acknowledge the claim that, "Headquarters was likely aware of the situation", rather concluding that, "The author's assertions do not represent a crime, because these two incidences did indeed take place, and headquarters' tacit permission is assumed."

The book, rather than presenting the assertions as one Store Manager's experience working long hours, clearly makes the untrue claim that the working conditions for all UNIQLO Store Managers is negative and that headquarters tacitly allowed this. It further recklessly concludes that, "In order to stick to the UNIQLO deadline, factory workers regularly worked past 9pm, because UNIQLO does not care about the working conditions in the factories", based on vague assertions regarding partner manufacturing facilities in China from local sales heads not working for UNIQLO and factory workers employed for brands that are not made clear.

Fast Retailing and UNIQLO have been working to further improve the working conditions for Store Managers, and adopt a strict stance regarding unpaid overtime, including through disciplinary action.

Regarding partner manufacturing facilities, in order to ensure sustainably safe and healthy working conditions, Fast Retailing and UNIQLO stand by a Code of Conduct and undertake thorough workplace surveys, incorporating independent, third-party experts. The lawsuit asserted this, but the judgment failed to reflect it.

Beyond the above, other areas of concern were observed with the judgment, regarding assertions based on unreliable sources or information.

In conclusion, Fast Retailing and UNIQLO are dissatisfied with the judgment, and seek an appeal for a fair conclusion.

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