2021 Universal Registration Document

RISKS MANAGEMENT

Main risks and risk assessment

INTRODUCTION

A description of the risk management system is disclosed in § 2.4. Risk management and internal control procedures implemented by the Company and Insurance. The risks set out below are not the only risks faced by BIC. There may be additional risks and uncertainties, of which the Group is currently unaware or that are currently deemed insignificant, that could also harm its business, financial position, or results. BIC has put several measures to mitigate the risks it is facing. One of the measures, described in § 2.4.4 Insurance. Coverage of risks , is transferring the risks by insuring them.

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 by and ● defend its values, ethics, or laws and regulations. This approach is based on identifying and analyzing the main risks to which the Group is exposed.

MAIN RISKS AND RISK ASSESSMENT 2.1.

High

• Plastic and climate change • Consumer Demand and categories' growth • Retail Disruption and Consolidation • Supply Chain and Production

• Net Sales regional concentration a • M&B execution in the context of BIC's Horizon strategic plan a • Product Safety a • Counterfeiting, parallel imports, and non-compliant products from competition a • Increased Regulations a • Non-respect of Human Rights and Unfair Practices a • Risks related to IT security

Risk Impact

• Execution of BIC's transformation program "BIC 2022 - Invent the Future"

Low

High

Likehood

48

• BIC GROUP - 2021 UNIVERSAL REGISTRATION DOCUMENT •