SMART? DISCOUNT! OUR MANAGE MENT THAT S SMART! THAT S TAKKO FASHION!

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2 OUR MANAGE MENT SMART? DISCOUNT! Arnold Mattschull CEO Alexander Mattschull CPO We are a Smart Discounter! We offer casual fashion for the whole family at a sensational cost-benefit ratio. With about 1,900 stores in 17 countries, including one test country, and almost 18,000 employees worldwide, Takko Fashion is one of the largest fashion retailers in Europe. As a Smart Discounter we particularly value customer orientation. Our customers can reach us anytime, anywhere, from our stores and online shop to social media. With our Omni-Channel we link these channels together and offer our customers a boundless shopping experience. That's important to us, because as a Smart Discounter we want to let our customers decide for themselves how, where, and when they buy their fashion. We are proud of the big variety of our products and our strong private brands. Our swiftly growing assortment always gives our customers the perfect combination of trendy styles and classic basics, and always with new accents. THAT S SMART! THAT S TAKKO FASHION! Ulli Eickmann CSO Andreas Silbernagel CFO

3 CON TENT 06 TAKKO FASHION AT A GLANCE 12 BRANDS 08 MILESTONES 18 STORES 10 FASHION 20 EXPANSION 22 EMPLOYEES 24 RESPONSIBILITY 28 TAKKO HILFT E.V.

4 TAKKO FASHION AT A GLANCE COMPANY: TAKKO GROUP FOUNDED 1982 ALMOST 18,000 EMPLOYEES ABOUT 1,900 STORES 12 x TAKKOEXPRESS COUNTRIES INCLUDING ONE 17TEST COUNTRY CHIEF PARTNER: APAX PARTNERS INSTAGRAM IN DEVELOPMENT 524,000 FACEBOOK FANS UP TO 2 MILLION VISITORS MONTHLY AND UP TO 3,500 PRODUCTS ONLINE ONLINESHOP: TAKKO.COM (GER) As of February Inside Takko Fashion 2018 / 2019

5 MILE STONES We have a new store concept and more than 1,000 stores for the first time; market debut in Slovakia 2009 Proper stores in Croatia, Slovenia, Estonia and Lithuania; we develop a new brand design and our stores undergo a relaunch Test market debut in France 1982 Company was founded by the Hettlage Group under the name "Modea" Start of internationalisation: market debut in Austria 2004 Market debut in Hungary 2007 Market debut in Romania and Switzerland 2011 Market debut in Serbia; Apax Partners becomes chief partner; 1,500th grand opening; opening of the new central warehouse in Winsen/Luhe Start of the online shop and Omni-Channel in Germany 1999 We are now called Takko ModeMarkt GmbH & Co. KG We follow a vertical business model: we monitor the entire value-added chain Market debut in Poland; franchise stores in Croatia Market debut in Italy Introduction of a new small space concept ("Takko Express") 2003 Market debut in the Netherlands and Czech Republic; franchise stores in Slovenia years of Takko Fashion 08 Inside Takko Fashion 2018 / 2019 Inside Takko Fashion 2018 /

6 FASH ION Our styles are fashionable and authentic. As a Smart Discounter, our constantly growing range of products combines everything that fashion lovers desire: trendy highlights, casual basics, and sporty, modern daywear. We place great value on a balanced range of products. From sporty T-shirts, sweats, trendy jeans with cool effects, or stylish accessories for the perfect finish, Takko Fashion provides clothing everyone feels comfortable in. We are proud of our own strong brands that offer the right style for every customer. Every private brand bears its own trademarks, and the individual collections are still easy to combine. This lets our customers constantly combine new outfits and redefine their own sense of fashion. 10 Inside Takko Fashion 2018 / 2019 Inside Takko Fashion 2018 /

7 BRANDS FOR WOMEN Colours of the world: Our extensive, basic line with popular bestsellers Jean Pascale: Our trendy, casual styles for all sorts of occasions Page One: Our fashionable trends Denim 1982: Our diverse range of jeans Maxi Blue: Our assortment for customers who need bigger sizes 12 Inside Takko Fashion 2018 / 2019 Inside Takko Fashion 2018 /

8 BRANDS FOR MEN Chapter: Our range for the trendy man Jean Pascale: Our casual fashion for many occasions Denim 1982: Our diverse, stylish assortment of jeans 14 Inside Takko Fashion 2018 / 2019 Inside Takko Fashion 2018 /

9 DOPODOPO Our children's collections are especially important to us. After all, the little ones should feel most comfortable in our fashion. Our main brand, dopodopo, gives little adventurers and explorers cool styles and practical looks, all in top quality. The brand's two ambassadors, the sibling dogs dopo and dopo, report on the many exciting things that happen around them on our website. There are also cool gimmicks like painting templates or books about their fun adventures. An actual dopodopo fan community has even formed, including among some of our grown-up customers. BRANDS FOR CHILDREN Page One Young: Fashion trends for girls between the ages of 8 and 15 Chapter Young: Streetwear looks for boys between the ages of 8 and 15 Dopodopo Baby: Cute outfits for baby girls between the ages of 6 and 24 months Dopodopo Baby: Bold styles for baby boys between the ages of 6 and 24 months Dopodopo Girls: Trendy fashion outfits for girls between the ages of 2 and 8 Dopodopo Newborn: Sweet baby looks for the littlest girls up to 6 months of age Dopodopo Boys: Casual, sporty styles for boys between the ages of 2 and 8 Dopodopo Newborn: Sweet baby looks for the littlest boys up to 6 months of age 16 Inside Takko Fashion 2018 / 2019 Inside Takko Fashion 2018 /

10 The stores are our heart and soul! That is why we invest in a bright, modern design so that we can optimally present the current trends to our customers. Our entrance statement shows the latest fashion highlights, life-size posters depict other astonishing looks, and optimal lighting perfectly presents our goods. 17 EUROPEAN COUNTRIES! ALMOST 1,900 STORES! As a Smart Discounter, our customers and their needs are our top priorities. Thanks to our expansive network of stores, we are easy to find and offer top-notch customer service on site. CUSTOMER FIRST! Our store employees advise our customers, present trendy pieces, and also put together complete outfit suggestions. 18 Inside Takko Fashion 2018 / 2019 Inside Takko Fashion 2018 /

11 ALMOST 18,000 EMPLOYEES Estonia In Europe we offer the latest fashion for the whole The Netherlands Belgium Germany Poland Lithuania ABOUT 1,900 STORES family in about 1,900 stores. LOOKING FOR NEW POSSIBILITIES But we are far from reaching our goal: we wish to further expand our store network and offer Takko Fashion's trends to even more customers across Europe. That is why we are always on the lookout for new ways to expand! Czech Rep. Slovakia Our requirement profile for normal Takko stores * France Switzerland Austria Slovenia Hungary Romania Cities and districts with more than 10,000 residents Sales space of square meter (only ground floor spaces) Specialty markets, urban shopping centres, 1A locations, city district locations 17 COUNTRIES (INCLUDING ONE TEST COUNTRY) Italy Croatia Serbia Our requirement profile for the small space concept Takko Express ** Cities and districts with more than 8,000 residents Sales space of square meter (only ground floor spaces) 1A locations, city district locations What we offer Long-term rental contracts Market-conform rents Premium property amenities * Our requirement profiles differ a little from country to country. This is the German requirement. ** Till now only in Germany 20 Inside Takko Fashion 2018 / 2019 Inside Takko Fashion 2018 /

12 EM PLO PASSION! COMMITMENT! TEAM SPIRIT! YEES Takko Fashion is one of the largest fashion discounters in Europe! With our strategic orientation as a Smart Discounter, we sustainably build upon this position and continue to grow. To this end, it is largely the people behind the brand, our dedicated employees, who have shaped the face of Takko Fashion over the past 36 years. Nearly 18,000 people work in different departments at Takko Fashion: in our headquarters, our individual logistics centres, our own acquisition and country offices, and of course in our stores. Our need for qualified salespeople and managers is constantly growing, because we are expanding rapidly and are continuously creating new jobs. Experience it to believe it! THIS IS THE FUTURE! With our internal Takko Fashion Academy, we offer our employees an extensive range of seminars and training sessions for trainees and managers alike. This helps our employees hone their skills and knowledge, and keep up with the latest developments. As an employer, we at Takko Fashion utilise flat hierarchies and an expansive personnel support concept. We especially value the promotion of younger employees, because well-educated employees from our own ranks are invaluable. We think in the long term and offer a variety of educational opportunities. Our goal is to create the optimal career pathway for young people who want to be a part of Takko Fashion. And the numbers speak for themselves! Our aboveaverage acceptance rate shows that we are promoting trainees the correct way. Takko Fashion stands for openness and fun on the job: we care about convictions and ideas so that we can go forward together faster. With various promotions in our stores we offer our employees a creative challenge every year, and the opportunity to win a great event. These internal activities strengthen team spirit and create a sense of community within the Takko Fashion family. In order to further promote this positive corporate culture, we place special emphasis on the satisfaction of our employees in different departments and all countries in which we are active. 22 Inside Takko Fashion 2018 / 2019 Inside Takko Fashion 2018 /

13 Social and ecological responsibility are important pillars of our corporate policy. We at Takko Fashion are responsible for our customers, our employees, the workers at our production facilities, and the environment. That is why we place great value on sustainability and quality in the production of our clothing. As a member of the Fur Free Retailer programme, we also avoid using animal fur. QUALITY Before our textiles reach our stores and online shop, they undergo thorough quality checks. The products are first tested in the production countries. We also examine them in our internal Department for Quality Control in Germany. In doing so we inspect the physical features like colourfastness, seam stretch, or measurement changes from washing. Certified companies hired by us also monitor adherence to the parameters of hazardous substances. Because this issue is so important to us, we have made our internal parameter more rigid than is required by law. We sell our clothing with a good conscience. Our products are only manufactured in tested production facilities. During audits the factories are inspected for safety, working conditions, and much more. Only those who meet our strict standards can produce for us. SOCIAL AND SUSTAINABLE Many of our products, primarily children's wear and underwear, are Oeko-Tex certified and thus comply with very high quality standards. We also provide GOTS-certified products, mainly in newborn clothing. OEKO-TEX STANDARD 100 Oeko-Tex Standard 100 was introduced in 1992 and is a globally consistent, independent auditing and certification system for raw, interim, and end products in the textile industry as well as equipment materials used to produce them. All components of the tested products must pass all tests to receive certification. Inside Takko Fashion 2018 /

14 WE ACCEPT SOCIAL RESPONSIBILITY! GOTS (Global Organic Textile Standard) GOTS is the world's leading standard for ecological and socially responsible textile production. Certified products consist of at least 70 per cent organically produced natural fibres and comply with strict environmental requirements. From the procurement of organically produced, natural materials to environmentally and socially responsible manufacturing. It's important to us that our customers can quickly tell which products meet which standards. That is why we have developed a new quality label: My Favourite Piece by Takko Fashion This label stands for select raw materials, materials tested for hazardous substances, comfortable fits, and monitored social standards. Every product that meets these quality criteria and has also been certified by Oeko-Tex Standard 100 or GOTS (Global Organic Textile Standard) receives our quality label (My Favourite Piece by Takko Fashion). This way, our customers can tell right away which products meet our highest of quality standards. WE THINK SUSTAINABLY! In our point of view, entrepreneurially successful and sustainable conduct should always go hand in hand. That is why we try to optimise our processes so that no extra strain is placed on the environment. By using standardised heat pump systems and installing emission-friendly LED lamps in most of our stores, we try to conserve energy. Our distribution centres in Telgte, Schnelldorf, Winsen, and Senec (Slovakia) have also switched over to LED lighting. The German Sustainable Building Council even awarded our logistics centre in Winsen, constructed in 2011, Gold certification as a "Green Building" for its sustainable structure and building style. We have also been powering all of our stores in the Netherlands with green energy for some years now. In order to meet our own high standards when it comes to working conditions and social responsibility, we have developed a binding Code of Conduct for working with our producers and vendors. Since 2011 we have also been a member of the Fair Wear Foundation, an independent non-profit committed to improving workplace conditions in the clothing and textile industry. Code of Conduct Our Code of Conduct regulates fair treatment of workers in the production countries, and formulates standards for good workplace conditions in the production facilities. The stipulations of the Code of Conduct are based on the International Labour Organisation (ILO) Agreement and the applicable standards of the United Nations. 26 Inside Takko Fashion 2018 / 2019 Inside Takko Fashion 2018 /

15 A MATTER CLOSE TO OUR HEART We want to gradually improve the working conditions of the producers' and vendors' employees. That is why we regularly conduct our own as well as external audits in the factories, some of which are unannounced. These audits allow us to precisely monitor progress within the factories. Furthermore, we offer and pay for a Workers Education Programme for employees at the production facilities so that the workers have the opportunity to partake in these training sessions. This makes it possible for them to work with us in improving working conditions. Takko hilft e.v. Social commitment is a firm component of Takko Fashion's corporate philosophy. This belief resulted in the founding of the association "Takko hilft" in Through this non-profit, independent initiative, Takko Fashion employees volunteer their time to directly and easily support facilities like institutions for children and adolescents. The association focuses on two main issues: the development of children and adolescents through education, and support for people in need. The latter also places special emphasis on children and adolescents. For example, in the past the association has promoted scholastic and professional education for children in Pakistan and Romania. "Takko hilft" e.v. also wants to lend a hand to children in Germany, the country where Takko Fashion was founded and where it continues to be based. That is why, for example, the association directly supports schools, curricular projects, and child-care centres with donations, without any complications. "Takko hilft" e.v. also entertains partnerships with other associations, such as skate-aid, Kinderglück and Kinderlachen, and helps them realise their own projects. Takko School One of our labours of love is the Takko School in Tirupur, southern India, where boys and girls from socially disadvantaged families have been taught since Nearly 200 children currently attend the school. They all receive free instruction and meals, and can obtain a recognised diploma from the Takko School. The well-trained teachers provide the students with diverse, high-quality instruction. Standardised school uniforms create a sense of community, regardless of social and religious background. There is a large courtyard and athletic grounds for breaks. The modern classrooms and a computer room, with enough PCs for multimedia learning, provide the students with an optimal learning environment. Thanks to our Takko School, the boys and girls from the Tirupur region have a solid foundation to start a professional future, and thus the opportunity for an independent, self-determined life. 28 Inside Takko Fashion 2018 / 2019 Inside Takko Fashion 2018 /

16 CONTACT Takko Holding GmbH Alfred-Krupp-Str Telgte phone +49 (0) 2504 / fax +49 (0) 2504 / web info@takko.de takko.com

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