finance assignment

ESG Analysis: Each person writes 1 page - https://hbisustains.com/

· Company Introduction - Patrick

Hanesbrands, Inc. operates as a consumer goods company that has multiple operational aspects including the design, manufacturing, sourcing, and sale of everyday basic inner & activewear apparel. Hanes inc. is an international brand that operates in North, South & Central America, Europe, Asia & Australia. It actively engages in the three business segments. Innerwear, Activewear, and its international lines. The Innerwear segment consists of everyday basic apparel products such as men's & children’s underwear, women's panties & undergarments as well as socks & lingerie sold in the United States. The Activewear segment consists of products such as T-shirts, sport shirts & shorts, thermals and other sportswear sold in the US. The International segment consists of both innerwear, activewear, and home goods products sold outside of the US. Its brands include Hanes, Bonds, Champion, DIM, Bali, Lovable, Playtex, Maidenform, Bras N Things, Nur Die/Nur Der, Alternative, L'eggs, Just My Size, Wonderbra, Berlei, and Gear for Sports. 

· Sector description

As stated before, Hanesbrands operates as a Consumer Goods company. This Business sector consists of companies whose products are purchased by individuals or households rather than manufacturers or large scale industries. Products made & sold by consumer goods companies are intended for the direct use of the buyer for personal benefit rather than secondary use. While Hanesbrands operates as a Clothing & Household goods company, the consumer goods sector also consists of companies involved with food production, electronics, beverages, automobiles & packaged goods.

· Competitor Set

· Nike

· Adidas

· Under Armour

· MACK brand

· Fruit of the Loom 

· Market Share

· Business lines

· Innerwear (Underwear, socks, tees, undergarments, lingerie)

· Activewear (sportswear, thermal gear & sweats)

· International (Consists of both innerwear & outwear on an international basis)

· What do they do

· Revenue drivers

· Sales channels

· Sales channels consist of both e-commerce (business to consumer) as well as major retail distributors (business to business) 

· Competitive advantage

Environmental - Sandra

· Content

· analysis of a company's waste (amount and associated costs), impact on biodiversity, or initiatives to decrease greenhouse gas emissions.

· In 2007, began tracking and reporting its energy use (including renewables), water use, greenhouse gas emissions, and waste generated/diverted from landfills.

· Hanes looks into four environmental issues of focus: climate, water, waste, and wastewater & chemical management. Relied on their own facilities to process 

· Achieved a landfill diversion rate of 90%. Selling manufacturing waste to fund their Green for Good employee and community development program to pursuing a zero-waste goal

· Analysis of QUANTITATIVE information (ratios, financials, etc)

· Past vs now - Establish trend line

·

· Peer comparison - How is it doing against competitors

· Impact/Risks/Opportunity

· Determine the potential impact of each issue. Is the risk being managed or the opportunity exploited? Has the probability of the risk occurring been assessed by management and what is the potential scale of seriousness? Understanding incremental risk, systemic risk and the culmination of multiple risks is also important.

Social - Vanessa

· Content

· Social assessment – to help determine the company's social ‘license to operate’, its trade practices and exposure to corruption risk. It could also include an assessment of controls for product safety, customer loyalty, relationships with the communities in which the company hopes to do business and compliance with labeling laws and marketing practices.

· The assessment of human capital management practices – which can also be classified as a social issue, which seeks to evaluate, for example, employee talent attraction and retention strategies.

· Human rights assessment – which can often be part of the social assessment and investigates such things as discrimination policies, labor standards, indigenous rights and procurement practices. The assessment may also investigate the company’s policies in this area for its suppliers.

· Analysis of QUANTITATIVE information (ratios, financials, etc)

· Past vs now - Establish trend line

· Peer comparison - How is it doing against competitors

· Impact/Risks/Opportunity

· Determine the potential impact of each issue. Is the risk being managed or the opportunity exploited? Has the probability of the risk occurring been assessed by management and what is the potential scale of seriousness? Understanding incremental risk, systemic risk and the culmination of multiple risks is also important.

Governance - John-Luke

· Content

· Board Criteria

· personal and professional ethics, integrity and independence;

· diversity among the existing Board members, including racial and ethnic background and gender;

· specific business experience and competence, including an assessment of whether the candidate has experience in, and possesses an understanding of, business issues applicable to the success of a large, publicly- traded company and whether the candidate has served in policy-making roles in business, government, education or other areas that are relevant to Hanesbrands’ global activities;

· financial acumen, including whether the candidate, through education or experience, has an understanding of financial matters and the preparation and analysis of financial statements;

· the ability to represent the Hanesbrands’ stockholders as a whole;

· professional and personal accomplishments, including involvement in civic and charitable activities;

· experience with enterprise level risk management or oversight thereof;

· educational background; and

· whether the candidate has expressed a willingness to devote sufficient time to carrying out his or her duties and responsibilities effectively and is committed to service on the Board

· Committees

· Audit 

· Directly appoint, retain, compensate, evaluate, oversee and terminate the Company’s independent auditor and any other registered public accounting firm engaged to perform other audit, review or attest services for the Company. 

· Compensation

· review and approve the total compensation philosophy covering Section 16 Officers and other key executives of the Company and periodically review an analysis of the competitiveness of the total compensation practices of the Company in relation to the Company’s peer group, chosen by the Committee, or other applicable benchmarks;

· Governance/Nominating

· Nominaing

. The Committee is responsible for developing and implementing the screening process necessary to identify qualified candidates for service on the Board of Directors.

· Governance

. evaluate the Company’s existing independence standards, Global Code of Conduct and Corporate Governance Guidelines.

· Global Code of Conduct - https://ir.hanesbrands.com/static-files/6e86ca4a-3afb-42a8-80e1-abb0da78142e

· Always obey the law and act in a professional, honest, and ethical manner. Not only is it the right thing to do, but it also helps maintain and protect our reputation.

· Treat others with respect.

· Be familiar with the information contained in this Code, as well as applicable laws and HanesBrands’ policies.

· Cooperate and tell the truth when responding to an investigation or audit.

· Analysis of QUANTITATIVE information (ratios, financials, etc)

· Past vs now - Establish trend line

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· Peer comparison - How is it doing against competitors

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· Impact/Risks/Opportunity

· Determine the potential impact of each issue. Is the risk being managed or the opportunity exploited? Has the probability of the risk occurring been assessed by management and what is the potential scale of seriousness? Understanding incremental risk, systemic risk and the culmination of multiple risks is also important.

· https://hbisustains.com/corporate-governance/

· https://ir.hanesbrands.com/corporate-guidelines

Conclusion

· What does this mean for Hanes?

· How should investors look at this information?