EX-1.01 2 conflictmineralsreportexhi.htm EXHIBIT Conflict Minerals Report Exhibit 1.01


Exhibit 1.01

Maxim Integrated Products, Inc.
Conflict Mineral Report
For the Calendar Year Ended December 31, 2013


Company Overview:

Maxim Integrated Products, Inc. ("Maxim Integrated" or the "Company" and also referred to as "we," "our" or "us") designs, develops, manufactures and markets a broad range of linear and mixed-signal integrated circuits, commonly referred to as analog circuits, for a large number of customers in diverse geographical locations.

We operate in one reportable segment - the design, development, marketing and manufacturing of a broad range of linear and mixed signal integrated circuits. Our linear and mixed signal products serve four major end-markets: Communication, Computers, Consumers, and Industrial. We utilize our own wafer fabrication facilities as well as third party foundries for the production of our wafers for our broad range of products.

Our Conflict Minerals Policy:

Maxim Integrated is committed to complying with the letter and the spirit of the conflict minerals disclosure requirements adopted by the Securities and Exchange Commission (“SEC”) under Section 13(p) of the Securities and Exchange Act, as amended (“Exchange Act”), in the form of Rule 13p-1 and Form SD (together, the “Conflict Minerals Rule” or “Rule”). Maxim Integrated has considered the Rule’s requirements, guidance from the Organisation for Economic Cooperation and Development (the “OECD”) that has been recognized as authoritative by the SEC (the OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas, Second Edition, and related Supplements for tin, tantalum, tungsten and gold (“OECD Due Diligence Guidance”)), and related measures being taken by the EICC/GeSI Extractives Work Group and other organizations, and is implementing and enhancing its formal Conflict Minerals compliance program accordingly. Our Conflict Minerals Policy Statement is available on our website at: http://www.maximintegrated.com/en/aboutus/corporate-responsibility/partnerships-with-suppliers.html.1 

To support this policy, Maxim Integrated:
•
Conducts a reasonable country of origin inquiry of its suppliers and, if required by the Conflict Minerals Rule (as it was for calendar year 2013), implements a program of due diligence on the source and chain of custody of conflict minerals (tin, tantalum, tungsten and gold, or “3TG”) that we consider necessary to the functionality or production of our products (“necessary conflict minerals”).
•
Expects our suppliers to have policies and procedures in place which are in compliance with the Maxim Conflict Minerals P Policy Statement, and will enable transparency of the supply chain to facilitate our compliance with the Conflict Minerals Rule.
•
Provides, and expects our suppliers to cooperate in providing, reasonable country of origin and due diligence information with regard to use of “necessary conflict minerals” in our supply chain.







 
 
 
 
 
1 The content of this website, and any other website referred to in this Conflict Minerals Report and/or the accompanying Form SD, is not incorporated by reference into either of these documents, or any other document Maxim Integrated has filed or will file with the SEC.




Efforts to determine the mine or location of origin of the conflict minerals in our products

Tracing the 3TG we use in our products back to the mine and source country of origin of each such mineral is a complex endeavor, but an important aspect of responsible sourcing. To help establish our supply chain sourcing programs, we have followed currently established industry guidelines such as the Conflict Free Sourcing Initiative of the EICC and the GeSI (“CFSI”), which are taking action to address responsible sourcing through the development of the Conflict-Free Smelter ("CFS") program which enables companies to source minerals from conflict-free sources.

Facilities used to process the conflict minerals in our products; brief description of our products

Through our reasonable country of origin inquiry (“RCOI”) survey process, we adopted the CFSI’s industry approach and traced back the origin of 3TG by identifying smelters, refineries or recyclers and scrap supplier sources. We also utilized the CFSI and its CFS program to trace the mine of origin of the 3TG when the information was available. The CFS program audits smelters and refineries to ensure that all certified smelters and refineries only use the ore that are conflict free from the DRC and covered countries.

Maxim Integrated procures IC and discrete components and raw materials that may contain conflict minerals from the following major types of suppliers:
•
Raw material supplier
•
Wafer foundry
•
IC assembly subcontractor
•
Contract Manufacturers
•
Component manufacturer

As discussed above, we manufacture a broad range of linear and mixed signal integrated circuits for a variety of uses (e.g., communications and computers), and have our own wafer fabrication facilities. We also use third-party wafer foundries.

The table below lists the facilities which, to the extent known, were identified by our supply chain as sourcing smelters or refineries for one or more of the necessary conflict minerals in our products (we use gold, tin, tantalum and tungsten).
EICC Status(1)
Metal
Standard Smelter Names
Smelter ID
Active
Tin
Cooper Santa
CID000295
Active
Tin
CV United Smelting
CID000315
Active
Tin
Liuzhou China Tin
CID001070
Active
Tin
PT Bangka Putra Karya
CID001412
Active
Tin
PT Eunindo Usaha Mandiri
CID001438
Active
Tin
PT Refined Bangka Tin
CID001460
Active
Tin
PT Stanindo Inti Perkasa
CID001468
Active
Tin
Soft Metais, Ltda.
CID001758
Active
Tin
Yunnan Chengfeng Non-ferrous Metals Co.,Ltd.
CID002158
CFSP
Tungsten
Ganzhou Huaxing Tungsten Products Co., Ltd.
CID000875
CFSP
Tungsten
Ganzhou Seadragon W & Mo Co., Ltd.
CID002494
CFSP
Tungsten
Guangdong Xianglu Tungsten Industry Co., Ltd.
CID000218
CFSP
Tungsten
Hunan Chun-Chang Nonferrous Smelting & Concentrating Co., Ltd.
CID000769
Compliant
Gold
Allgemeine Gold- und Silberscheideanstalt A.G.
CID000035
Compliant
Gold
AngloGold Ashanti Córrego do Sítio Minerção
CID000058
Compliant
Gold
Argor-Heraeus SA
CID000077
Compliant
Gold
Asahi Pretec Corporation
CID000082
Compliant
Gold
CCR Refinery – Glencore Canada Corporation
CID000185
Compliant
Gold
Chimet S.p.A.
CID000233
Compliant
Gold
Dowa
CID000401
Compliant
Gold
Eco-System Recycling Co., Ltd.
CID000425




EICC Status(1)
Metal
Standard Smelter Names
Smelter ID
Compliant
Gold
Heimerle + Meule GmbH
CID000694
Compliant
Gold
Heraeus Ltd. Hong Kong
CID000707
Compliant
Gold
Heraeus Precious Metals GmbH & Co. KG
CID000711
Compliant
Gold
Ishifuku Metal Industry Co., Ltd.
CID000807
Compliant
Gold
Johnson Matthey Inc
CID000920
Compliant
Gold
Johnson Matthey Ltd
CID000924
Compliant
Gold
JX Nippon Mining & Metals Co., Ltd.
CID000937
Compliant
Gold
Kennecott Utah Copper LLC
CID000969
Compliant
Gold
Kojima Chemicals Co., Ltd
CID000981
Compliant
Gold
LS-NIKKO Copper Inc.
CID001078
Compliant
Gold
Materion
CID001113
Compliant
Gold
Matsuda Sangyo Co., Ltd.
CID001119
Compliant
Gold
Metalor Technologies (Hong Kong) Ltd
CID001149
Compliant
Gold
Metalor Technologies SA
CID001153
Compliant
Gold
Metalor USA Refining Corporation
CID001157
Compliant
Gold
Mitsubishi Materials Corporation
CID001188
Compliant
Gold
Mitsui Mining and Smelting Co., Ltd.
CID001193
Compliant
Gold
Nihon Material Co. LTD
CID001259
Compliant
Gold
Ohio Precious Metals, LLC
CID001322
Compliant
Gold
PAMP SA
CID001352
Compliant
Gold
Royal Canadian Mint
CID001534
Compliant
Gold
SEMPSA Joyería Platería SA
CID001585
Compliant
Gold
Solar Applied Materials Technology Corp.
CID001761
Compliant
Gold
Sumitomo Metal Mining Co., Ltd.
CID001798
Compliant
Gold
Tanaka Kikinzoku Kogyo K.K.
CID001875
Compliant
Gold
Tokuriki Honten Co., Ltd
CID001938
Compliant
Gold
Umicore SA Business Unit Precious Metals Refining
CID001980
Compliant
Gold
United Precious Metal Refining, Inc.
CID001993
Compliant
Gold
Valcambi SA
CID002003
Compliant
Gold
Western Australian Mint trading as The Perth Mint
CID002030
Compliant
Tantalum
Conghua Tantalum and Niobium Smeltry
CID000291
Compliant
Tantalum
Duoluoshan
CID000410
Compliant
Tantalum
Exotech Inc.
CID000456
Compliant
Tantalum
F&X Electro-Materials Ltd.
CID000460
Compliant
Tantalum
Global Advanced Metals
CID000564
Compliant
Tantalum
H.C. Starck Group
CID000654
Compliant
Tantalum
Mitsui Mining & Smelting
CID001192
Compliant
Tantalum
Ningxia Orient Tantalum Industry Co., Ltd.
CID001277
Compliant
Tantalum
Plansee
CID001368
Compliant
Tantalum
Taki Chemicals
CID001869
Compliant
Tantalum
Ulba
CID001969
Compliant
Tantalum
Zhuzhou Cement Carbide
CID002232
Compliant
Tin
Alpha
CID000292
Compliant
Tin
Gejiu Non-Ferrous Metal Processing Co. Ltd.
CID000538
Compliant
Tin
Malaysia Smelting Corporation (MSC)
CID001105
Compliant
Tin
Mineração Taboca S.A.
CID001173
Compliant
Tin
Minsur
CID001182
Compliant
Tin
OMSA
CID001337
Compliant
Tin
PT Bukit Timah
CID001428
Compliant
Tin
PT Timah
CID001482
Compliant
Tin
Thaisarco
CID001898
Compliant
Tin
White Solder Metalurgia e Mineração Ltda.
CID002036
Compliant
Tin
Yunnan Tin Company, Ltd.
CID002180




EICC Status(1)
Metal
Standard Smelter Names
Smelter ID
TI-CMC
Tungsten
A.L.M.T. Corp.
CID000004
TI-CMC
Tungsten
Fujian Jinxin Tungsten Co., Ltd.
CID000499
TI-CMC
Tungsten
Global Tungsten & Powders Corp.
CID000568
TI-CMC
Tungsten
HC Starck GmbH
CID000683
TI-CMC
Tungsten
Hunan Chenzhou Mining Group Co
CID000766
TI-CMC
Tungsten
Kennametal Fallon
CID000966
TI-CMC
Tungsten
Tejing (Vietnam) Tungsten Co., Ltd.
CID001889
TI-CMC
Tungsten
Wolfram Bergbau und Hütten AG
CID002044
#N/A
Gold
Aida Chemical Industries Co. Ltd.
CID000019
#N/A
Gold
Almalyk Mining and Metallurgical Complex (AMMC)
CID000041
#N/A
Gold
Asaka Riken Co Ltd
CID000090
#N/A
Gold
Aurubis AG
CID000113
#N/A
Gold
Bangko Sentral ng Pilipinas (Central Bank of the Philippines)
CID000128
#N/A
Gold
Caridad
CID000180
#N/A
Gold
Chugai Mining
 Unknown
#N/A
Gold
Daejin Indus Co. Ltd
CID000328
#N/A
Gold
DaeryongENC
CID000333
#N/A
Gold
DO SUNG CORPORATION
CID000359
#N/A
Gold
Hwasung CJ Co. Ltd
CID000778
#N/A
Gold
Jiangxi Copper Company Limited
CID000855
#N/A
Gold
Korea Metal Co. Ltd
CID000988
#N/A
Gold
Navoi Mining and Metallurgical Combinat
CID001236
#N/A
Gold
Ningbo Kangqiang
 Unknown
#N/A
Gold
Rand Refinery (Pty) Ltd
 Unknown
#N/A
Gold
Sabin Metal Corp.
CID001546
#N/A
Gold
SAMWON METALS Corp.
CID001562
#N/A
Gold
Scotia Mocatta
 Unknown
#N/A
Gold
Shandong Zhaojin Gold & Silver Refinery Co. Ltd
CID001622
#N/A
Gold
Shanghai Gold Exchange
CID001631
#N/A
Gold
SHENZHEN TIANCHENG CHEMICAL CO LTD
 Unknown
#N/A
Gold
So Accurate Group, Inc.
CID001754
#N/A
Gold
Tai zhou chang san Jiao electron Co.,Ltd
 Unknown
#N/A
Gold
The Great Wall Gold and Silver Refinery of China
CID001909
#N/A
Gold
The Refinery of Shandong Gold Mining Co. Ltd
CID001916
#N/A
Gold
Tongling nonferrous Metals Group Co.,Ltd
CID001947
#N/A
Gold
Torecom
CID001955
#N/A
Gold
Yamamoto Precious Metal Co., Ltd.
CID002100
#N/A
Gold
Yokohama Metal Co Ltd
CID002129
#N/A
Gold
Zhongshan Public Security Bureau, Guangdong Province ,China
 Unknown
#N/A
Tin
CNMC (Guangxi) PGMA Co. Ltd.
CID000278
#N/A
Tin
CV Serumpun Sebalai
CID000313
#N/A
Tin
EM Vinto
CID000438
#N/A
Tin
Feinhütte Halsbrücke GmbH
CID000466
#N/A
Tin
Fenix Metals
CID000468
#N/A
Tin
Gejiu Zi-Li
CID000555
#N/A
Tin
Huichang Jinshunda Tin Co. Ltd
CID000760
#N/A
Tin
IBF IND BRASILEIRA DE FERROLIGAS LTDA
 Unknown
#N/A
Tin
Metallo Chimique
CID001143
#N/A
Tin
Minmetals Ganzhou Tin Co. Ltd.
CID001179
#N/A
Tin
Mitsubishi Materials Corporation
CID001191
#N/A
Tin
Novosibirsk Integrated Tin Works
CID001305
#N/A
Tin
PT Artha Cipta Langgeng
CID001399
#N/A
Tin
PT Babel Inti Perkasa
CID001402




EICC Status(1)
Metal
Standard Smelter Names
Smelter ID
#N/A
Tin
PT Bangka Tin Industry
CID001416
#N/A
Tin
PT Belitung Industri Sejahtera
CID001421
#N/A
Tin
PT DS Jaya Abadi
CID001434
#N/A
Tin
PT Mitra Stania Prima
CID001453
#N/A
Tin
PT Sariwiguna Binasentosa
CID001463
#N/A
Tin
PT Tinindo Inter Nusa
CID001490
#N/A
Tin
Traxys
 Unknown
#N/A
Tungsten
Alta Group
CID000045
#N/A
Tungsten
Atlantic Metals
CID000109
#N/A
Tungsten
Beijing Zenith Materials
CID000149
#N/A
Tungsten
ChangChun up-optech
CID000206
#N/A
Tungsten
China Minmetals Nonferrous Metals Co Ltd
CID000239
#N/A
Tungsten
Chongyi Zhangyuan Tungsten Co Ltd
CID000258
#N/A
Tungsten
Dayu Weiliang Tungsten Co., Ltd.
CID000345
#N/A
Tungsten
Ganzhou Grand Sea W & Mo Group Co Ltd
CID000524
#N/A
Tungsten
Japan New Metals Co Ltd
CID000825
#N/A
Tungsten
Jiangxi Minmetals Gao'an Non-ferrous Metals Co., Ltd.
CID002313
#N/A
Tungsten
Jiangxi Rare Earth & Rare Metals Tungsten Group Corp
CID000868
#N/A
Tungsten
Nanchang Cemented Carbide Limited Liability Company
CID001228
#N/A
Tungsten
Wolfram Company CJSC
CID002047
#N/A
Tungsten
Xiamen Tungsten (H.C.) Co., Ltd.
CID002320
#N/A
Tungsten
Xiamen Tungsten Co., Ltd
CID002082
#N/A
Tungsten
Xinhai Rendan Shaoguan Tungsten Co., Ltd.
CID002095
#N/A
Tungsten
Zhuzhou Cemented Carbide Group Co Ltd
CID002236

(1)
Compliant means audited as a conflict free smelter.
(2)
Active, CFSP and TI-CMC means the smelter is in progress to be certified as conflict free.
(3)
#N/A means it has to be confirmed as an active smelter, and if so, the smelter needs to commit to be a conflict free smelter.

Countries of origin for mines of the conflict mineral these facilities process are believed to include:
Australia, Austria, Bolivia, Brazil, Belgium , Canada, Chile, China, Columbia, DRC, Ethiopia, Guyana, Germany, Korea , India, Indonesia, Malaysia, Mexico, Mozambique, Namibia, Nigeria, Peru, Philippines, Portugal, Russia, Rwanda, Spain, Thailand, Sierra Leone, South Africa, Suriname, USA, Vietnam, Zimbabwe.

Exercise due diligence on the source and chain of custody of its conflict minerals following recognized framework:

Due Diligence Framework

We have exercised due diligence on the source and chain of custody of our conflict minerals to identify minerals originating from the Covered Countries (DRC or an adjoining country) that are not from scrap or recycled materials. Maxim Integrated’s due diligence process has been designed and implemented based on the framework set forth in the OECD Due Diligence Guidance.

Our conflict minerals due diligence process in calendar year 2013 included each of the five OECD-recommended steps:

•Establishment of Strong Company Management Systems
•Identify and assess risks in the supply chain
•Design and implement a strategy to respond to identified risks
•Encourage the independent third-party audit of smelter/refiner’s due diligence practices
•Report annually on supply chain due diligence







Inherent Limitations on Due Diligence Measures
 
As a downstream purchaser of conflict minerals, our due diligence measures can provide only reasonable, not absolute, assurance regarding the source and chain of custody of the necessary conflict minerals. Our due diligence processes are based on the necessity of seeking data from our direct suppliers and those suppliers seeking similar information within their supply chains to identify the original sources of the necessary conflict minerals. We also rely, to a large extent, on information collected and provided by independent third party audit programs

Brief description of due diligence measures taken

1.0
Strong Company Management Systems:

We have established a management system for complying with the applicable rules. Our management system includes the development of a Conflict Minerals Oversight Committee led by our Vice President and General Counsel, Vice President of Quality and Vice President of Legal and our Corporate Secretary. Maxim Integrated has also developed a team of subject matter experts from relevant functions with specific responsibilities. Quality Director is responsible for directing the project operations and reporting to upper management. The Quality Director is also responsible for implementation of the supply chain due diligence process. Data Collection and reporting is handled by the Banned and Restricted Substances group within the Quality organization. The Banned and Restricted Substances Manager is responsible for day-to-day data collection, customer responses, data/information validation, and archival documentation.

The team of subject matter experts is responsible for implementing our conflict mineral compliance policy and strategy. The Oversight Committee has been briefed about the results of our due diligence efforts on a periodic basis and the Vice President of Quality is updated on a monthly basis.

2.0
Identification and Assessment of Risks in the Supply Chain:

We have made our reasonable efforts to identify suppliers that supply products that may potentially contain necessary conflict minerals by conducting a supply chain survey using the EICC and GeSI Conflict Minerals Reporting Template, requesting direct suppliers to identify smelters and refiners and country of origin of the conflict minerals in products they supply to us; following up with direct suppliers that do not respond to the EICC-GeSi Conflict Minerals Report Template by requesting their responses; comparing smelters and refiners identified by the supply chain survey against the list of facilities that have received a “conflict free” designation from the CFS program, which designations provide country of origin information; and maintaining documentation of reasonable efforts we have made to this subject matter. We also review the responses to identify red flags in the responses for further follow-up and also identify key risks to our supply chain.

3.0
Strategic Response to Identified Risks:

We have and will continue to make reasonable efforts to encourage suppliers who are sourcing from non-Conflict Free Smelters to move towards using Conflict Free smelters (as identified via the CFS program and other industry-developed third-party audit mechanisms). If a supplier fails to remedy the risks identified by our risk assessment, we intend to escalate it to Conflict Minerals Oversight Committee to determine whether to approve or reject the supplier based on the following factors: cost and benefit analysis; potential risk factors; any existing competitive bids; and whether the supplier is a single source supplier. If the Conflict Minerals Oversight Committee decides to continue such a business relationship due to inherent limitations of the supply chain, we will use reasonable efforts to follow up with said supplier for its correction plan, and encourage our suppliers to work with CFS certified smelters. We plan to provide periodic compliance updates or reports to our Conflict Minerals Oversight Committee summarizing our risk mitigation efforts.

4.0
Independent 3rd Party Audit Of Smelter/Refiner’s Due Diligence Practices:

We do not have a direct relationship with 3TG smelters and refiners, nor do we and hence are not able to perform direct audits of these entities that provide the 3TG metals to our supply chain.  However, we do rely upon industry efforts, including EICC and Conflict-Free Sourcing Initiative ("CFSI"), to influence smelters and refiners to get audited and certified through CFSI’s CFS program. We rely upon the summary audit reports on compliance status for smelters




generated by the CFS program to validate the responses received from suppliers to our RCOI process and address red flags identified in Step 2 above. We believe our efforts adequately address this requirement in the OECD Guidance.

5.0
Annual report on Supply Chain Due Diligence:

In addition to this report, for further information about our Conflict Minerals policy statement, please see it at: http://www.maximintegrated.com/en/aboutus/corporate-responsibility/partnerships-with-suppliers.html

Results of due diligence measures taken

Due to the level of complexity of our products and the respective supply chains, it will take additional time and resources for a number of our suppliers to verify the source mines and country of origin of all of the minerals used by their smelters. We are committed to continuing the use of our supply chain due diligence processes, leveraging the industry standard CFS program, and the ongoing update of our supplier RCOI information as we continue to develop additional transparency into our supply chain. However, as of the date of this filing, based on the performance of our due diligence procedures noted above for the calendar year ended December 31, 2013, we are not able to accurately trace and identify the source mine, country of origin and chain of custody of all the 3TG metals, which are necessary to the functionality or production of our products, or determine whether all such 3TG metals, are sourced from conflict free sources.


CONFLICT MINERALS REPORT

The Conflict Minerals Report for the calendar year ended December 31, 2013 filed herewith as Exhibit 1.01, is available at http://www.maximintegrated.com/en/aboutus/investor-relations/financial-filings.html.