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We are aware of the concerns raised regarding Wing Star Shoes Co., Ltd. (“Wing Star Shoes” or “the factory”), a supplier in Cambodia, particularly involving the case of Mr. Chea Chan. Mr. Chan’s experience, including his arrest and subsequent detention, is of serious concern to us. We responded immediately upon learning of Mr. Chan’s situation and have since engaged continuously with the factory, local unions, and civil society organizations to ensure that the rights of Mr. Chan and all workers are respected and upheld. We recognize the emotional and financial toll such a situation can take on both the individual and their family, and we have been handling this matter by investigating relevant facts with the care and urgency it deserves.

Since early 2024, ASICS has actively worked to understand the events that led to his detention, through direct engagement with the factory, legal counsel, and other relevant parties such as the Cambodian Alliance of Trade Unions (CATU). Based on the investigation of a Cambodian legal counsel, our understanding is that the local police carried out the arrest based on an accusation made by another detained employee, and Wing Star Shoes did not file a criminal charge against Mr. Chan. While ASICS is not a legal authority and does not interfere in law enforcement or judicial proceedings, we are actively seeking all relevant facts and documentation to ensure our response is based on verified information and fairness, and our commitment to human rights.

During his detention, ASICS maintained engagement with the factory to ensure that Mr. Chan’s health, safety, and wellbeing were monitored and supported. Following his release, his employment was reinstated with same salary and title, and given back pay for wages lost during his detention. We have made clear to the factory that any form of isolation or discriminatory treatment against Mr. Chan is unacceptable. We are in ongoing dialogue with factory management and worker representatives, and we are closely monitoring his reintegration to ensure he can work under normal conditions without any retaliation. We have confirmed with Wing Star Shoes that, as of September 1, Mr. Chan will return to his original position prior to his detention.

We recognize, however, that this by itself does not erase the hardship and losses he and his family have suffered, and we continue to work with our supplier to address any remaining concerns. Moving forward, we are reinforcing measures to prevent such situations and to remediate impacts on workers in our supply chain. We have also taken measures to monitor the post-reinstatement situation closely, including periodic discussions with the factory and direct involvement in on-site worker commitments and grievance mechanisms. To foster a culture of accountability and open dialogue at the factory, we supported the formation of a Human Rights Committee with participation from an ASICS representative, and advocated for the adoption of the Worker Voice program, an independent grievance platform that allows workers to confidentially report concerns via mobile app, thereby strengthening worker voice beyond traditional channels and reinforcing our commitment to responsible workplace practices.

Wing Star Shoes currently has five recognized trade unions representing over 90% of the workforce. While this indicates that formal structures for worker representation exist at the factory, we understand that the presence of multiple unions does not automatically guarantee a truly free and fair environment for association. Under Cambodian law and ASICS’s Supplier Policy of Engagement, workers have the right to join or establish unions of their choosing. We are committed to ensuring that workers can exercise this right in practice without fear or interference. Notably, recent independent assessments (such as ILO’s Better Work program) have acknowledged progress on freedom of association issues and have not observed recent instances of management interfering in union activities. Our monitoring is ongoing.

At the same time, we are mindful that challenges persist within the broader national and industry context, particularly regarding the functioning of certain unions and worker fears stemming from past events. These concerns deserve meaningful attention through industry partnership and collaboration. To that end, ASICS is working with external experts to initiate an independent, third-party assessment to review allegations recently raised. We will also explore opportunities to collaborate with external organizations and credible partners to support FOA-related training and remediation efforts in Cambodia and beyond.

From the beginning, ASICS has consistently encouraged resolution through a tri-partite process involving the factory, union representatives, and relevant government authorities such as the Cambodian labor ministry. We believe that this collaborative, locally grounded approach remains the most constructive path toward a fair and sustainable outcome. We closely monitor to ensuring workers’ right is respected in practice.

ASICS will continue to engage transparently with relevant stakeholders and will share progress updates as needed...