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Stock impact report

Italian court shuts Giorgio Armani luxury fashion subsidiary for ‘exploiting Chinese workers' [Yahoo! Finance]

KERING SA UNSP/ADR (PPRUY) 
NASDAQ:AMEX Investor Relations: kering.com/en/finance
Company Research Source: Yahoo! Finance
The decision followed a criminal investigation into Giorgio Armani Operations' unit responsible for the design and production of clothes and accessories by the Carabinieri police's labour inspectorate. The alleged exploitation is related to work which was subcontracted and produced at illegal plants in the province of Milan using Chinese citizens who were employed off the books, according to Italian media reports. An official Italian supplier to Armani, Manifatture Lombarde, is alleged to have subcontracted the production of bags, leather goods and Armani designer accessories. Investigators said Giorgio Armani Operations had been “incapable of preventing and curbing phenomena of labour exploitation within the production cycle, having not implemented suitable measures to verify the real working conditions or the technical capabilities of the contracting companies”, thus facilitating “the crime of gang mastering”. Italian media said Manifatture Lombarde was paid €1.6 billion (£ Show less Read more
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