Form Table of Contents Employee and Occupational Safety Regulation We are subject to certain state and fetal employee safety and employment practices regulations. including regulations issued pursuant to the U.S. Occupational Safety and Health Act, and regulations governing prohibited workplace discriminatory practices and conditions. These regulations require us to comply with certain manufacturing safety standards. including protecting our employees from accidents, providing our employees with a safe and non-hostile work environment and being an equal opportunity employer. Environmental Regulation As a result of our pet food manufacturing and packaging activities, we at our Heartland facility and we and our contract manufacturers at their facilities, are subject to federal, state and local environmental laws and regulations These govern, among other things. air emissions, wastewater and stormwater discharges. and the treatment, handling and storage and disposal of materials and wastes. Manufacturing Related Regulation In addition, in connection with our operations at our Heartland manufacturing facility, we are subject to the jurisdiction of the U.S. Department of Agriculture and certain state and local agencies which may inspect the facility and regulate health and safety issues. Ownership of land in Joplin, Missouri and the operation of the Heartland facility also subject us to regulation by the Missouri Department of Natural Resources and local planning, zoning and health agencies. The facility must also be registered with the FDA. Legal Proceedings We are from time to time subject to, and are presently involved in. litigation and other proceedings. Other than the litigation and related class action lawsuits described below, we believe that there arc no pending lawsuits or claims that, individually or in the aggregate. may have a material adverse effect on our business, financial condition or results of operations. On May 6, 2014. Nestle Pur