HERMÈS - 2019 Universal Registration Document

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OVERVIEW OF THE GROUP RISK FACTORS

SAFETY OF PROPERTY ●

1.11.2.4

DESCRIPTION OF THE RISK s

RISK MANAGEMENT s

The objective therefore is to design a strategy to tackle these main threats. The following measures have been implemented: safety governance is set out in a safety policy covering the entire • production and distribution network; in case of a serious event, a crisis management process is • implemented. This provides for the setting up of a crisis unit with dedicated resources made available. Crisis management exercises are regularly conducted. Hermès is organised so as to take account of these risks on a daily basis: a central monitoring station, operating round the clock, is connected to the 60 production and distribution sites in France. The Group took the decision to employ 60 agents in its internal security division, to which external service providers are added. This system is also backed by partnerships set up through agreements signed with the police force and the Ministry for Europe and Foreign Affairs. More generally, all risks identified are addressed by eight dedicated security committees (e.g.: production, distribution, transport, information systems, cash, parallel market, compliance). The major risks thus targeted are discussed individually at the Group Security Committee, which includes the Executive Vice-President of Governance and Organisational Development, and which has decision-making powers.

The safety of property means all measures and means for combating threats and malicious acts. The main threats identified are: physical damage to property, people and infrastructure, damage to savoir-faire and intangible property, exploitation of human weaknesses or violations related to such weaknesses. POTENTIAL IMPACTS ON THE GROUP s These breaches could give rise to damage to property and people working at both production and distribution sites. Moreover, they could expose craftsmen and sales associates to risks, causing moral and psychological damage to all Group employees. In addition to direct financial losses, they could harm the Group’s image.

2019 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

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