Forest Legality AllianceWinter 2015 Semi-annual Membership Meeting, December 15, 2015

• Risk by Region/Country and Species• Evaluation of Wood Alternatives• Significant Increase in Due Diligence• Formation of Company Philosophy

• Invest in the Forest to Save the Forest• Realistic Change Management

• Vertical Integration• Purchase of Ebony Sawmill in Cameroon• Paniolo Tonewoods in Hawaii

• Diversify Supply Base• Professional Staffing

The Lacey Act and Taylor GuitarsActions Taken

• Continued Evaluation of Risk by Region/Country and Species

• Continued Evaluation of Alternatives• Realistic Replanting Programs• Investment in Plantation Operators• Investment and Preference in Proven Suppliers• Species Propagation on US soil• Professional Staffing for Due Diligence• Cooperation with Certifiers, NGOs, etc.

The Lacey Act and Taylor GuitarsContinuing and Future Projects