BIC - 2019 Universal Registration Document

RISKS MANAGEMENT

Main risks and risk assessment

INTRODUCTION

BIC pursues an active and dynamic approach to risk management. The objective of this approach is to enhance the Group’s capacity in identifying, managing, preventing, mitigating, and monitoring key risks that could affect: the Group’s employees, customers, shareholders, assets, ● environment or reputation; the Group’s ability to achieve its objectives, abide and defend ● its Values, ethics, or laws and regulations. This approach is based on the identification and analysis of the main risks to which the Group is exposed. A description of the risk management system is disclosed in section 2.4 Risk management and internal control procedures implemented by the Company and Insurance – page 55.

The risks set out below are not the only risks faced by BIC. Additional risks and uncertainties of which the Group is currently unaware or that are currently deemed not significant could also harm its business, financial position, or results. BIC has put in place several measures to mitigate the risks it is facing. One of them, described in section 2.4.4. Insurance – Page 52. Coverage of risks page 62, is transferring the risks by insuring them.

MAIN RISKS AND RISK ASSESSMENT 2.1.

Medium

High

X X X X

Risks related to Plastic and Climate change.

Risks related to Consumer Demand and Growth in our three business categories.

Risks related to Retail Disruption and Consolidation.

Risks related to BIC’s Supply Chain and Production.

X X X X X

Risks related to BIC’s Net Sales Regional Concentration.

Risk related to the execution of BIC’s transformation program “BIC 2022 – Invent the Future”.

Risks related to Product Safety.

Risks related to counterfeiting, parallel imports, and non-compliant products from competition.

Risks related to increased Regulations.

X

Risks related to the non-respect of Human Rights and Unfair Practices.

44

• BIC GROUP - 2019 UNIVERSAL REGISTRATION DOCUMENT •