LEVI STRAUSS & CO

Our business is subject to numerous risks. The following summary highlights some of the risks you should consider with respect to our business and prospects. This summary is not complete, and the risks summarized below are not the only risks we face. You should review and carefully consider the risks and uncertainties described in more detail in the “Risk Factors” section of this Annual Report on Form 10-K which includes a more complete discussion of the risks summarized below as well as a discussion of other risks related to our business and an investment in our Class A common stock.

The summary of risks affecting our business includes:

•global economic conditions have had, and will likely continue to have, an adverse effect on our business, operating results and financial condition;

•we are a global company with significant revenues and earnings generated internationally, which exposes us to the impact of foreign currency fluctuations and political and economic risks;

•we may be adversely affected by the financial health of our customers;

•extreme weather conditions and natural disasters could negatively impact our operating results and financial condition;

•public health crises and a future outbreak of a highly infectious or contagious disease, pandemic or epidemic have had and could in the future have an adverse effect on our business and results of operations;

•our success depends on our ability to maintain the value and reputation of our brands;

•failure to continue to obtain or maintain high-quality endorsers of our products, or actions taken by our endorsers, could harm our business;

•the success of our business depends upon our ability to forecast and respond timely to consumer demand and market conditions and offer on-trend and new and updated products at attractive price points;

•we depend on a group of key wholesale customers for a significant portion of our revenues;

•our efforts to expand our retail business may not be successful;

•if the technology-based systems that give our consumers the ability to shop or interact with us online do not function effectively, our operating results as well as our ability to grow our digital commerce business globally or to retain our customer base, could be materially adversely affected;

•we may be unable to maintain or increase our sales through our third-party distribution channels;

•if we encounter problems with our distribution or the operation of company-owned or third-party distribution facilities, our ability to deliver our products to market could be adversely affected;

•unexpected obstacles in new and existing markets may limit our expansion opportunities and cause our business and growth to suffer;

•we may not be able to realize the potential financial or strategic benefits of the transactions we complete, or find suitable target businesses to acquire;

•we face risks arising from the ongoing restructuring of our operations and uncertainty with respect to our ability to achieve any anticipated cost savings associated with such restructuring;

•our business is affected by seasonality and other factors could result in fluctuations in our quarterly operating results;

•we rely significantly on information technology and data to operate our business, and any delay or problem with operating or upgrading that technology or data, or those third parties upon which we rely, could cause a disruption to our business and adversely affect our financial results;

•we may be subject to security breaches or other confidential data theft from our systems, which can lead to adverse consequences;

•disruptions or delays at our third-party service providers could adversely impact our operations;

•our inability to secure production sources meeting our quality, cost, social and environmental risk mitigation, and other requirements, or failures by our contract manufacturers to perform, could harm our sales, service levels and reputation;

•our suppliers may be impacted by economic conditions and cycles and changing laws and regulatory requirements which could impact their ability to do business with us or cause us to terminate our relationship with them and require us to find replacements, which we may have difficulty doing;

•the global apparel industry is subject to intense competition and cost and pricing pressure;

•increases in the price or availability of raw materials could increase our cost of goods and negatively impact our financial results;

•our business is subject to risks associated with sourcing and manufacturing overseas as well as risks associated with tariffs, transportation disruptions or a global trade war;

•the loss of high-quality employees, including members of our executive management team and other key employees, or the failure to attract and retain key personnel or maintain our workplace culture, could harm our business;

•certain employees in our production and distribution facilities are covered by collective bargaining agreements, and any material job actions could negatively affect our results of operations;

•we have substantial liabilities and cash requirements associated with our postretirement benefits, pension, and deferred compensation plans;

•our licensees and franchisees may not comply with our product quality, manufacturing standards, social, environmental, marketing, and other requirements, which could negatively affect our reputation and business;

•our current and future products may experience quality problems from time to time that could result in negative publicity, litigation, product recalls and warranty claims, which could result in decreased revenues and harm to our brands;

•we are subject to a complex array of laws and regulations and litigation and other legal and regulatory proceedings, which could have an adverse effect on our business, financial condition, and results of operations;

•our ability to pay dividends, repurchase stock and make acquisitions is dependent on a variety of factors, including restrictions in our notes, indentures and Credit Facility that may limit our activities; and

•the dual class structure of our common stock concentrates voting control with descendants of the family of Levi Strauss, who have the ability to control the outcome of matters submitted for stockholder approval.