Performance with Integrity—A Shared Responsibility

Performance with Integrity

Ferring counts on you to uphold the Company's reputation and standards by always performing with integrity. To do so, keep in mind the following guiding principles:

• Know and live the standards. By knowing, understanding, and acting in accordance with Ferring's values and the applicable laws and Company policies outlined herein, each of us can serve as a role model.
• Know the law and ask tough questions. You are expected to be familiar with the laws that apply to your specific job function and level of responsibility. If you have any questions, ask your supervisor or a member of the Legal Department.
• Don't make assumptions. Do not assume that “senior management already knows” or “management doesn't care about this.” Also, do not assume that no action will be taken. Ferring management is dedicated to ensuring that the standards of legal and ethical behavior are upheld. In fact, responsible managers are obligated to respond to an employee's concerns. Tell us if something is wrong.
• Don't ignore violations. We all need to take the law and Company policies seriously. If you think someone may be violating a law or policy, please take steps to address the situation by speaking with the person directly or by notifying your supervisor, Human Resources or the Legal Department.
• Help improve controls and processes. Some violations may not be easy to detect through our current controls and processes. If you have a suggestion for improvement, please do not hesitate to communicate it to your supervisor.
• Always act with integrity. You should never feel encouraged or pressured to violate a law or policy–even if the violation will improve the bottom line or help meet a performance goal.

What does it mean to perform with integrity?

Performing with integrity means setting the right priorities and delivering on our commitments while adhering to Ferring's values and the standards set forth in this guidebook. We can do this by:

• integrating integrity into all that we do;
• holding ourselves personally accountable to high ethical standards;
• demonstrating leadership by fostering an environment focused on performance with integrity and accountability.

At Ferring, performance with integrity is not only what we do, it's who we are.

Our Standards

As a Ferring colleague, you share the privilege and responsibility of upholding the Company’s reputation. You do this each time you act ethically and legally. While such conduct may be second nature, there are many situations where making the “right choice” can be challenging.

That is why we have this Summary of Ferring Policies on Business Conduct (The Guide). It is a guide to the Company’s compliance structure, applicable laws, and key policies and procedures that govern doing business in a legal and ethical manner.

Performing with integrity and adhering to our compliance standards is a shared responsibility between the Company and employees. The Company is responsible for defining how Ferring will comply with applicable laws and regulations (through systems, policies, and procedures), monitoring our efforts, and correcting any non-compliance. You are responsible for understanding and following the standards described in The Guide, and for seeking guidance when you need it.

Ferring also holds its vendors and contractors to high standards. Vendors and contractors are expected to comply with all policies that relate to work conducted on Ferring’s behalf.

Ferring’s Compliance Program

Ferring has a well-structured corporate compliance program designed to support legal and ethical actions throughout the Company. It is principally composed of the Chief Compliance Officer and the Corporate Compliance Risk Committee.

While your supervisor should be your first point of contact, Ferring’s corporate compliance system can help you identify who to ask for help when you want or need additional guidance that your supervisor may be unable to provide.

Chief Compliance Officer

The Chief Compliance Officer is responsible for overseeing Ferring’s corporate compliance program, including the monitoring and self-evaluation programs relating to the legal and regulatory obligations of the Company. The Chief Compliance Officer also has responsibility for documenting, researching, investigating and managing all reported activities of alleged non-compliance. The Chief Compliance Officer ensures that there is consistent interpretation of our standards throughout the Company. In addition to investigating matters and promoting compliance with our standards of conduct, the Chief Compliance Officer engages in a number of proactive efforts to strengthen Ferring’s culture of performance with integrity, including the execution of risk assessments, deployment of targeted training, and the delivery of ongoing communications and compliance education initiatives. The Chief Compliance Officer chairs the Corporate Compliance Risk Committee and the Corporate Compliance Oversight Committee. The Chief Compliance Officer reports to the General Counsel of Ferring Group and the CEO of Ferring Holding, Inc.

Competition and Antitrust

We strive to be honest and fair in all our business dealings. We compete vigorously and independently in order to spur innovation and bring better products to the market. In doing so, we will not resort to any practices that could run afoul of the competition and antitrust laws. We recognize the importance of undistorted competition in the market economy and thus alert every employee to not engage in illegal communications with competitors. We will:

• Avoid discussion with Ferring’s competitors concerning sensitive subjects--such as, pricing methods, costs, production capacities, terms of sale, marketing initiatives or product plans;
• Not disclose non-public information concerning Ferring’s business strategies or market and product plans;
• Be careful not to enter into or give the impression of supporting prohibited agreements or understandings with Ferring’s competitors concerning price fixing, bid rigging, market division and customer allocation;
• Not plot with competitors to exclude particular customers, suppliers, licensors or licensees from the market.

Corporate Compliance Committees

Representatives from throughout the Company make up the Corporate Compliance Committees. Committee members provide oversight to Ferring’s corporate compliance strategy and program and are charged with keeping the Chief Compliance Officer, the Board of Directors and senior management informed of significant compliance issues, risks, and trends.

**Compliance Resources

Your central resource for compliance information and contacts is the compliance section of the Ferring USA website, http://ferringusa.com. The website contains helpful information and other resources about the laws, policies, and procedures summarized in The Guide. On this website, you also can find the name and contact information for the Chief Compliance Officer.

Compliance with Laws and Regulations

We are committed to complying with all laws, rules and regulations relating to Ferring’s business and all Ferring policies, procedures and guidelines. Many aspects of our business are governed by laws and regulations, including the research, development, manufacturing and marketing of pharmaceutical products, and dealings with government agencies or regulatory authorities. Each employee must understand and follow the legal and regulatory requirements, as well as Company requirements, that apply to his or her responsibilities.

Communities and Society

We strive to respect society’s values, and each operating Ferring entity must act in full and complete compliance with all applicable environmental laws and regulations.

Our Responsibilities as Ferring Colleagues

All Ferring employees are responsible for upholding the highest standards when acting on Ferring’s behalf. Integrity is at the core of our Company’s identity. We are, therefore, expected to perform with integrity every day. Ferring views all employees as critical to maintaining an effective compliance program. In addition to your personal responsibility for following the standards described in The Guide, you are responsible for raising concerns about risks to the Company–ideally, before these risks become actual problems. Ferring requires all Ferring personnel to report known or suspected information about a non-compliance activity or incident. Failure to report such an incident may subject an individual to disciplinary action, up to and including termination. All known or suspected incidents of non-compliance must be reported, either directly or anonymously, to Ferring’s Compliance Office. Ferring personnel who observe an incident, situation, or conduct that he or she reasonably believes violates federal, state, or local laws, or is prohibited by Ferring’s policies, standard operating procedures, or industry guidance, must notify the Compliance Office or anonymously contact Ferring’s Alert Line (1-800-446-1494).

Non-compliance can pose serious risks for you as an employee, as well as Ferring's customers and patients. By raising concerns, you allow management the opportunity to address potential problems and protect the Company.

Open Door Policy

Ferring takes pride in our open door policy and we support dialogue. We trust that our management adheres to Good Business Practices and our Ferring Philosophy and therefore believe that they will listen and act if anyone speaks up. Therefore, if an employee is in doubt and needs advice about the right way to handle a situation, the best way is to speak up.

While we hope employees feel comfortable discussing any matter with their supervisor, there may be times when a supervisor cannot help. In these cases, you should speak with others, including:

• Your supervisor’s supervisor;
• Human Resources;
• Legal Department;
• Any member of the management team.

Confidentiality

Prohibition Against Retaliation and Protection of Anonymity

A crucial and all-important value at Ferring is maintaining an environment where people in all parts of the organization feel safe raising concerns and reporting suspected violations of applicable ethical and business standards or laws, rules, regulations or Ferring policies. Ferring prohibits any form of retaliation against any individual, who, in good faith, reports actual or suspected violations of applicable regulations, laws, guidance, or Ferring policy. Ferring personnel who retaliate against individuals who have reported an alleged violation will be subject to disciplinary action, up to and including termination. Ferring’s Compliance Officer, in coordination with the Human Resources Department, will investigate and track any and all reported instances of retaliation against Ferring personnel. In action, Ferring will protect the confidentiality of anyone reporting non-compliance information within the boundaries of the law.

Ferring Alert Line

The Ferring Alert Line is a toll-free phone number (1-800-446-1494) or website (http://ferringusa.com) that you can call or access to report your concerns about unethical behavior if you are not comfortable discussing them face-to-face. The Ferring Alert Line is available 24 hours a day, 7 days a week. It never uses call tracing or recording devices, and if you wish, you may remain completely anonymous.

The Alert Line representatives will listen to concerns, ask questions, and review the information provided. They will then forward matters to Ferring’s Global Ethics Officer, who will take appropriate action. Callers can also arrange to receive information about the Company’s response to the call.

To find out more or to contact the Alert Line, visit www.intranet.ferring.com or refer to the Important Contact Information page at the beginning of The Guide.