Delaware | 1-134 | 13-0612970 | ||
(State or other jurisdiction of incorporation or organization) | (Commission File Number) | (IRS Employer Identification No) | ||
13925 Ballantyne Corporate Place, Suite 400, Charlotte, North Carolina | 28277 | |||
(Address of principal executive offices) (Zip code) | (Zip code) | |||
Glenn E. Tynan | ||||
Vice President of Finance and Chief Financial Officer | ||||
(973) 541-3700 | ||||
(Name and telephone number, including area code, of the person to contact in connection with this report.) |
[x] | Rule 13p-1 under the Securities Exchange Act (17 CFR 240.13p-1) for the reporting period from January 1 to December 31, 2013. |
a) | Curtiss-Wright manufactured or contracted to be manufactured products for which “conflict minerals” (as defined in Section 1502(e)(4) of the Dodd-Frank Wall Street Reform and Consumer Protection Act) are necessary to the functionality or production of its products. |
b) | Based on a “reasonable country of origin inquiry” (RCOI) and subsequent due diligence, Curtiss-Wright was unable to determine whether the necessary conflict minerals, i) originated in the Democratic Republic of the Congo (“DRC”) or an adjoining country or, ii) came from recycled or scrap sources. |
• | A broad communication was sent to our supply-base regarding Section 1502(e)(4) of the Dodd-Frank Wall Street Reform and Consumer Protection Act. |
• | Where possible, contract terms and conditions were modified to incentivize compliance. |
• | An introduction email was sent to suppliers identified as being high risk of supplying 3TG and requesting that they complete conflict minerals surveys. Curtiss-Wright’s program utilized the Electronic Industry Citizenship Coalition (EICC) and Global e-Sustainability Initiative (GeSI) Conflict Minerals Due Diligence Template (EICC-GeSI Template) for data collection. |
• | Following the initial introductions to the program and information request, attempts were made to contact to each non-responsive supplier requesting survey completion; Suppliers contacted were offered assistance. This assistance included, but was not limited to, providing further information regarding our inquiry, including an explanation of why the information was being collected, a review of how the information would be used, and clarification regarding how the information needed could be provided. |
• | Escalation protocols were initiated for suppliers who continued to be non-responsive after the above contacts were made. |
• | Supplier responses were evaluated for consistency, accuracy and gaps both in terms of which products were stated to contain or not contain necessary 3TG as well as the origin of those materials. Additional supplier engagement was conducted to address issues including incomplete data on EICC-GeSI reporting templates, responses that did not identify smelters or refiners, responses which indicated sourcing location without complete supporting information from the supply chain, and organizations that were identified as smelter or refiners, but not verified as such through further analysis and research. |
CURTISS-WRIGHT CORPORATION | |||
(Registrant) | |||
By: | /s/ Glenn E. Tynan | ||
Glenn E. Tynan | |||
Vice President of Finance and Chief Financial Officer | |||
Dated: May 30, 2014 | |||
1) | Management Systems |
a. | The Corporation established a charter and identified a cross functional management team consisting of representatives from Legal, Finance and Supply Chain management to oversee the conflict mineral program. |
b. | The Corporation developed a risk mitigation and corrective action plan to support “Due Diligence efforts.” |
c. | The Corporation has adopted the following policy, which is available on our website: http://www.curtisswright.com/investors/corporate-governance/Conflict-Minerals-Policy-Statement/default.aspx |
d. | The Corporation’s policy provides a grievance mechanism for its suppliers to report concerns or seek guidance. |
e. | The Corporation distributed communications by way of contract provisions, training, and educational materials, to its supply chain informing suppliers of their obligation for reporting and disclosure. |
f. | The Corporation utilizes industry working groups to assist with interpretation and execution to the regulation and OECD Due Diligence Framework. |
2) | Identify and assess risks in the supply chain |
a. | Based upon the size and complexity of our supply base, the various markets we participate in, and the number of products we provide, the Corporation took a supplier centric approach for inquiry based upon the nature of the material and likelihood of 3TG content. |
b. | The Corporation relies on our suppliers, whose components may contain 3TG, to provide us with information about the source of conflict minerals contained in the components supplied to us. Our direct suppliers are similarly reliant upon information provided by their suppliers. |
c. | The Corporation leveraged the EICC/ GeSI surveys to conduct our inquiry and gather information for our due diligence efforts. |
d. | The Corporation evaluated supplier responses and performed a manual review of responses identified as high-risk through “Red Flag” checks. |
3) | Design and implement a strategy to respond to identified risks |
a. | The Corporation designed a risk mitigation and corrective action plan through which the due diligence activities are implemented, managed and monitored. |
b. | The Corporation established a management dashboard and weekly management review in which we track and address our communication efforts and supplier responses, or lack thereof. |
c. | Non-responsive suppliers or inadequate responses are addressed through a predetermined schedule of email and telephonic follow-up communications. |
d. | The Corporation evaluated responses and assessed smelter information provided against the Conflict Free Sourcing Initiative (“CFSI”) conflict-free smelters lists. |
e. | Management reviewed supplier responses to comply with our policy. We addressed supplier responses with follow-up letters where deemed appropriate |
4) | Carry out independent third-party audit of smelter/refinery due diligence practices |
a. | The Corporation does not typically have a direct relationship with 3TG smelters and refiners and does not perform or direct audits of these entities within our supply chain. |
5) | Report annually on supply chain due diligence |
a. | In compliance with U.S. Securities and Exchange Commission (“SEC”) rules, as directed by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, the Corporation files a Form SD and this Conflict Minerals Report with the SEC by May 31st of each year, covering the period of the prior calendar year. |