Global Security & brand Protection

2014 AnnuAl RepoRt: YeAR in Review

ProtectinG ul aSSetS everywhere

2014Counterfeiting impacts us all – it places the consumer

at risk with dangerous products, it robs our global economy of hundreds of

billions of dollars, it costs tens of thousands of jobs and funds organized crime.

In 2014 our Anti-Counterfeiting Operations group changed its name to Global

Security & Brand Protection (GSBP). This change reflects our group’s growing role

within the company to protect UL assets on a global basis to more accurately

reflect the work we do. Our team consists of a wide range of professionals with

expertise that can provide support beyond our historic anti-counterfeiting role.

Our primary mission will remain focused on helping safeguard people, products,

places, and supply chains. We will continue to increase our capabilities and

service offerings to ensure we remain relevant and keep pace with the needs of

our internal and external stakeholders. We will use the best available technology

and science to keep ourselves ahead of counterfeiters, increase our global

partnerships, and enhance our capabilities for building capacity within public

and private sector organizations to combat IP crime.

Sincerely,

Brian MonksVice President of Global Security and Brand Protection

2 who we are

4 effective enforcement: Global inveStiGationS

6 effective enforcement: Global border Protection

8 Global PartnerShiPS and education

10 international 2014 conference

11 2014 ul brand Protection conference

12 iiPcic colleGe 2014 accomPliShmentS and the chilean Police certification

15 tobacco induStry curriculum and iiPcic trained brandS holderS

16 PhySical & diGital Security

18 lookinG ahead to 2015

Global Security & brand Protection(GSBP)

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Our international team stands ready

to protect the UL family of marks from

counterfeiting activities. We work with law

enforcement to remove products bearing

counterfeit UL trademarks from the stream

of commerce and hold accountable those

responsible for their manufacture and

distribution. Our program is continually

evolving and adapting best practices to

combat counterfeiting activities. We also

work closely with global partners including

UL customers to develop and implement

solutions that will stem the flow of these

illegal and potentially dangerous goods.

3541,294470181

reSultS

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GLOBaL InVeStIGatIOnSinveStiGationS undertaken

GLOBaL BOrder PrOtectIOncuStomS inquirieS received

SeizureS

PortS Sent inquirieS

latin america

In 2014 the GSBP team opened an office in Mexico

City and received intelligence from a global

customer that led to the seizure and destruction

of over 600,000 counterfeit USB adapters. These

products, carrying a counterfeit UL Mark, had the

potential to defraud consumers, compromise the

global manufacturers brand, and our UL standards.

The UL GSBP Latin American operation prohibited

over 300,000 products from entering the region

with an approximate market value of $5 million.

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ToronTo

new york

norTh Carolinalos angeles

mexiCo CiTy

ChiCago

uniTed kingdom

dublin

hong kongguangzhou

shanghai

Global GSbP officeS

effectIVe enfOrcement:

Global inveStiGationS

Our global enforcement team is led by former law enforcement officers with significant experience in investigating and prosecuting counterfeiting offences.

Our group uses a strategic approach for dealing with IP crime and

targets all levels of the supply chain from the manufacturer to the

retailer selling the illegal goods. Intelligence-led investigations are

utilized to identify counterfeiters and gather evidence that can be

relied upon to support criminal, civil or administrative actions against

them. We work very closely with global law enforcement agencies

and support their efforts to seize products, lay charges and ultimately

prosecute offenders.

InternatIonal

InvestIgatIons

In 2014 UL’s GSBP successfully initiated its first criminal investigation in Sweden, with a UL customer and known high-end lighting manufacturer. This action led to an arrest. The investigation focused on counterfeit UL Marks for lighting components.

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north amerIcan

InvestIgatIons

UL GSBP working with CA law enforcement identified and seized over 28,000 illicit USB adapters with a retail value of over $575,000. These products mimicked Apple’s popular chargers.

5

“�UL�and�Apple�continue�to�work�together�globally�to�

fight�fake�products�including�shutting�down�counterfeit�

factories�in�China.�Together�we�have�been�successful�

in�getting�hundreds�of�thousands�of�counterfeit�USB�

adapters�off�the�market�around�the�world.” – Apple

4

In 2014 our group continued to work closely with various global customs agencies and completed a large number of product authentication requests to identify counterfeit UL marked products.

The GSBP group conducted 348 investigations worldwide. The majority of our

cases originated in the United States and Greater China. Our team worked very

closely with both U.S. Customs and Border Protection (USCBP) and the General

Administration of Customs – People’s Republic of China (China Customs) to identify

and prevent counterfeit UL marked products from entering the stream of commerce.

These agencies prevented hundreds of thousands of potentially hazardous items

from reaching the public. Additionally, we gleaned valuable intelligence from

these shipments that assisted us in targeting the offenders and supporting global

enforcement actions. For example, this year 19 new countries were identified as final

destinations for counterfeit products seized in Greater China.

effectIVe enfOrcement:

Global border Protection ProGram

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2014 chIna customs and global traInIng actIvIty

UL’s China office worked closely with Shenzhen Dapeng Customs to detain a shipment of over 6,500 KG in UL Marked Wire & Cable product. This product had a destination of Malaysia. Zhongshan Customs, working with UL, was able to detain a shipment of over 1,600

electric water heater supply cords. These products were marked with unauthorized UL Marks and were destined for Chile. China customs received over 505 shipment inquiries in 2014 with 120 of these shipments identified with counterfeit UL Marked goods that were detained.

2014 ul mark traInIng held In trInIdad and tobago

Our team provided UL Mark authentication training to law enforcement agencies worldwide.

Training for the Bureau of Standards in Jamaica,

Trinidad and Tobago focused on authentications for UL marked products and was held for law enforcement, manufacturers, importers, distributors and retailers.

Canada

Brazil

Argentina

Ecuador

Costa Rica

Peru

Mexico

United States

Germany

France

Russia

China

ThailandPhillipines

Japan

Fiji

Korea

Taiwan

Australia

New Zealand

South

Myanmar

Pakistan

UgandaGhana

Africa

Turkey

Egypt Saudi Arabia

India

Denmark

6 7

desTinaTion CounTries for CounTerfeiT ul marked ProduCTs seized in China

newly idenTified

PoPular

2014 newly identified destination countries for counterfeit ul marked productscosta rica, ecuador, Peru, denmark, czech, austria, Bulgaria, egypt, Ghana, Uganda, Jordan, turkey, Pakistan, Bangladesh, myanmar, thailand, Philippines, fiji, russia

2014 Popular destination countries for counterfeit ul marked productscanada, USa, mexico, Guatemala, columbia, Panama, dominican republic, Venezuela, Brazil, chile, UK, Germany, Belgium, Poland, Ukraine, Italy, Israel, Iran, Iraq, Saudi arabia, Uae, Kenya, nigeria, South africa, India, Singapore, malaysia, Indonesia, australia, Vietnam, Hong Kong, taiwan, china, Korea, Japan.

latIn amerIcan PartnershIPs

UL trained over 250 members of the Mexican Institute of Industrial Property (IMPI), the Mexican governmental agency that fights counterfeiting including patent, certification and trademark violations. Participants of this training encompassed all areas of IMPI including industrial property, management, legal affairs, and regional offices. The list of Latin American UL partners trained in 2014 includes Homeland Security U.S. Government, American Chamber of Commerce Mexico, IMPI and INTERPOL.

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FIrst scottIsh antI-

IllIcIt trade summIt

The first Scottish Anti-Illicit Trade Summit co-hosted by The Scottish Business Resilience, The Scottish Anti-Illicit Trade Group and UL in March of 2014 attracted 200 public and private sector delegates and was opened by the Cabinet Secretary for Justice, Mr. Kenny MacAskill. Speakers from international and regional law enforcement as well as governmental agencies communicated intelligence on illicit trade, counterfeiting and piracy. Scottish authorities successfully seized $10 million worth of illegal goods within the following months.

StrenGtHenInG PUBLIc and PrIVate SectOr reLatIOnSHIPS:

Global PartnerShiPS and education

In 2014 UL’s Outreach & capacity Building team participated in many initiatives designed to strengthen public and private sector capabilities to combat counterfeiting and piracy crimes. this innovative program partners global law enforcement agencies with private groups to deliver cutting edge anti-counterfeiting initiatives such as the International Law enforcement IP crime conference, the International IP crime Investigators college and global training events for law enforcement worldwide.

Multi-agency and multi-jurisdictional training and enforcement efforts are

critical components for defeating transnational organized IP crime. These

partnerships are essential for supporting global anti-counterfeiting efforts.

Our team devotes significant resources and effort into building effective long-

term relationships. We greatly value our partnerships and we continually work

to maintain and improve them, as well as develop new relationships that can

aid to effectively combat counterfeiting.

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2014 international law enforcement iP crime conference

4TH ANNUAL CONFERENCE HELD IN LOS ANGELES, CA

HELD IN HANOI, VIETNAM

UL PARTNERED WITH INTERPOL AND VIETNAM NATIONAL POLICE

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225 DELEGATES

500 DELEGATES

80 COUNTRIES 125 DIFFERENT PUBLIC AND PRIVATE SECTOR ORGANIZATIONS REPRESENTED

200 ORGANIZATIONS

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2014 reSultSreSultS

Global�Partnerships�To�Turn�Back�Crime was the theme of the

2014 International Law enforcement Intellectual Property (IP)

crime conference held in Hanoi, Vietnam and co-hosted by

InterPOL and the Vietnam national Police in partnership with

UL (Underwriters Laboratories).

500 senior law enforcement officials, security and industry experts from more

than 80 countries and 200 organizations attended the three-day conference which

enabled participants to share best practices in combatting counterfeiting and

piracy crimes, via operational sessions led by public and private sector experts. The

event included plenary sessions, operational workshops, interactive round tables

and specialized IP crime learning sessions. As co-host of this year’s Conference,

the Vietnam National Police was pleased to underline its commitment to working

in collaboration with INTERPOL and its partners against the criminals involved in

intellectual property crime and other forms of criminality.

In 2014 UL’s Brand Protection Summit was held in Los angeles,

california. Participants included UL clients, key law enforcement

partners, invited guests, and a select number of brand protection

service providers/specialists.

The annual UL Brand Protection Conference acts as a value-added service to our clients

and provides them and other rights holders the opportunity to meet and network with

law enforcement and IP crime experts. These experts share operational methodologies,

best practices and case studies that highlight the latest developments in brand

protection solutions, technologies and strategies. This conference provides participants

with training, tools and networking opportunities that help them to establish or

enhance their own brand protection programs.

The Los Angeles conference was attended by approximately 225 delegates, including a

number of key UL customers, who participated in learning sessions taught by presenters

from many different organizations including INTERPOL, Europol, the U.S. National

IPR Coordination Center, U.S. Customs and Border Protection, Homeland Security

Investigations, U.S. Department of Justice, Los Angeles County Sherriff’s Department,

Panama Customs as well as the private sector.

ul brand Protection conference

the International IP crime Investigators college (IIPcIc)

is the premier training center for global law enforcement,

regulatory authorities and private sector investigators to

receive the critical knowledge needed to combat current

and emerging threats from IP crime.

The UL-INTERPOL certificated course consists of 14 courses and sets the

global standard for competency in IP crime investigation. In 2014, IIPCIC

translated all 14 courses into Mandarin making this knowledge accessible

to a key geographical area.

In 2014 the College significantly increased the number of global law

enforcement officers receiving training through the IIPCIC online platform.

The number of registered learners increased by 37% and reached 7,093

in total. These learners represent 145 countries and 347 agencies and

organizations around the world. The significant growth of the college in

2014 included an increase in participation from the private sector who

purchased IIPCIC courses to train their employees around the world on

intellectual property issues.

PARTNERSHIP BETWEEN UL AND INTERPOL

7,093 STUDENTS ENROLLED

347 AGENCIES REPRESENTED

reSultS

E LEARNING MODULES AVAILABLE IN ENGLISH, SPANISH, FRENCH, ARABIC AND MANDARIN

14

1454.8

COUNTRIES REPRESENTED

COURSE SATISFACTION RATING (OUT OF 5)

12 13

international iP crime inveStiGatorS colleGe (IIPCIC)

OUtreacH & caPacIty BUILdInG:addinG value to our PartnerS and the SuPPly chain

14

chIle PolIce academy traInees and Instructors receIve IIPcIc certIFIcate

In 2014, The International IP Crime Investigators College (IIPCIC) celebrated the successful completion of its 14 online core modules by 300 Chilean Police Academy trainees and instructors.

The certificate ceremony held on 5 November 2014 in Paris, France, included presentations highlighting INTERPOL Trafficking in Illicit Goods and Counterfeiting capacity building and operational activities to chart the course

for combating future transnational organized IP crime.

The International IP Crime Investigators College is available at no cost for all law enforcement around the world and currently has over 7,000 users worldwide. The 14 core modules composed of 7 introductory and 7 intermediate modules are available in Arabic, English, French, Spanish and Mandarin.

iiPcic colleGe Global ParticiPation

AFRICA

LATIN AMERICA

NORTH AMERICA

EUROPE

ASIA AND SOUTH PACIFIC

MIDDLE EAST AND NORTH AFRICA

IIPcIc provides rights holders the opportunity to devlop their own

custom training courses that are securely delivered to all of our registered

law enforcement and regulatory agencies around the world. 2014

saw the launch of IIPcIc’s first ever industry course. the course titled,

“Understanding and addressing the Illicit tobacco trade” was designed

by IIPcIc in cooperation with the tobacco industry. the course focuses on

the issues surrounding the global illicit tobacco market. the course was

launched in July of 2014 and has been completed by law enforcement

officers from 118 departments in 56 countries.

firSt iiPcic courSe develoPed for an induStry GrouP

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3.5%

9.5%

14.5%

18.5%

19.5%

35%

iiPcic StudentS by reGion

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PhySical and diGital Security

lookinG ahead to 2015In 2015, UL’s GSBP team will continue to pursue brand protection initiatives that help safeguard and maintain the integrity of the UL family of marks. We will continue to add value to the supply chain by actively engaging with our customers, law enforcement, retailers, distributors and manufacturers. We engage in a variety of activities to keep potentially hazardous counterfeit products out of the stream of commerce.

• We support brands by developing custom training courses on their products for law enforcement through the IP Crime Investigators College.

• We partner with UL clients on joint investigations.

• We provide international opportunities to discuss IP issues and solutions with global law enforcement and private sector stakeholders through our brand protection conferences and workshops.

Please join us at one of our 2015 brand protection events:

• June 10-11 – UL Brand Protection Conference St. Petersburg, FL

• September 22-24 – International IP Crime Conference Buenos Aires, Argentina

In 2014, the Global Security and Brand Protection

department has grown to include safeguarding

UL in both the physical and digital realms.

The Digital Security and Physical Security teams will now

be aligned with the Global Security and Brand Protection

(GSBP) team.

The GSBP Digital Security team will continue to provide

security for UL’s digital systems which includes Information

Systems Security, Operational Technology Security and

Internet of Things Security.

The GSBP Physical Security team will continue to provide

security assurance to the UL Enterprise.

UL LLC 333 Pfingsten RoadNorthbrook, IL 60062 www.UL.com

Copyright© 2015 UL LLC. UL and the UL logo are trademarks of UL LLC. All rights reserved. No portion of this material may be reprinted in any form without the express written permission of UL LLC or as otherwise provided in writing.

UL’s brand protection initiatives help safeguard and maintain the integrity of the UL marks. Our program is an added value throughout the supply chain to consumers, retailers, distributors and manufacturers.

Our work keeps potentially hazardous counterfeit products out of the stream of commerce and helps protect people, products and places.

for more information please visit www.ul.com/brandprotection