About this report

This report covers Superior Group of Companies, Inc.’s (SGC) priority environmental, social, and governance (ESG) topics for our three reportable business segments as presented in our 2022 financial statements: (1) Branded Products, (2) Healthcare Apparel, and (3) Contact Centers. Unless otherwise noted, all information and data presented within this report are reflective of SGC’s performance for fiscal year 2022 (January 1-December 31, 2022).

The purpose of this report is to support and improve the transparency of our ESG priorities and the results we have achieved. This marks our fourth annual corporate social responsibility report and the first year that we have incorporated considerations from the Sustainability Accounting Standard Board (SASB) Standards for Apparel, Accessories, & Footwear and Multiline and Specialty Retailers & Distributors. We look forward to continuing this momentum and enhancing our SASB disclosures and reporting alignment in the future as our reporting processes continue to mature.

Legal Statements

This report may make forward-looking statements about SGC’s expectations or predictions about the future. Because these statements are based on current assumptions and factors that involve risks and uncertainties, SGC’s actual performance and results may differ materially from what is included in the report. Please refer to SGC’s SEC filings, including our 2022 Annual Report on Form 10-K filed on March 20, 2023 and our subsequent periodic filings, such as our first quarter 2023 Quarterly Report on Form 10-Q filed on May 8, 2023, for detailed discussions of principal risks and uncertainties that could cause such differences.

For more information about this report or to inquire about our corporate responsibility performance, please contact us at CorporateSocialResponsibility@superiorgroupofcompanies.com.

2022 was an exciting year for SGC. Despite challenges presented by the remnants of the ongoing global pandemic, strengthening macroeconomic headwinds, and geopolitical events, we remained committed to providing innovative solutions that meet the needs of our customers, support our employees and communities, and enhance shareholder value.

Throughout the year, we made significant progress in expanding our market reach and strengthening our industry positions. We achieved this through a combination of strategic investments in systems, people and equipment, operational excellence, and a focus on innovation. We are bringing new products and services to the market with greater speed and through a more efficient cost structure.

Some of the key highlights of the year were completing our corporate re-segmenting into three cohesive business units, enhancing our customer-facing digital capabilities, including work to launch our direct-to-consumer scrubs website (winkscrubs.com), and continued investment in internal technologies, such as the creation of a unified backend for customer-facing websites, that have allowed us to further streamline our operations, increase our efficiency, and improve our customer experience.

On both a personal and professional level, I am honored to have become a Trustee of the Committee for Economic Development of The Conference Board (CED), sitting on its workforce committee. The CED is a non-profit, non-partisan business-led public policy center that delivers well-researched analysis and reasoned solutions to our nation’s most critical business and economic issues.

I also am proud to report that SGC’s commitment to sustainability has remained a top priority throughout the year. We are environmentally responsible across our operations and continually search for ways to be even better.

Benstock CEO

In 2022, we formed our first-ever ESG Council, consisting of a cross-section of senior business leaders from our organization, to guide our ESG initiatives, announced new eco-friendly products, developed new recycled fabrics, and expanded our recycled material products beyond fabrics and garments. We also continued to boost our recycling efforts to reduce waste for the fourth consecutive year. We expect to report even more successes for 2023.

Finally, I want to express my gratitude to our employees, who have shown remarkable resilience and dedication throughout the year. Their hard work and commitment was instrumental in driving our successes and ensuring that we continue to deliver value to our customers and shareholders. We recognize how crucial it is to retain and cultivate our valued talent by offering unique development opportunities and competitive benefits. The company and workplace awards that we received demonstrate the success of our approach to growth and commitment to our people, including being recognized once again in Forbes Magazine’s 2022 America’s Best Small Companies ranking and Fortune Magazine’s 100 Fastest Growing Companies list.

Looking forward to 2023, we will continue to embrace the sense of togetherness achieved through SGC’s commitment to our people, our sustainability initiatives, and our responsible business practices. We are proud of the growth that we achieved and the people who made that growth possible.

Sincerely,

Michael Benstock CEO