HERMÈS - 2020 Universal registration document

2

CORPORATE SOCIAL RESPONSIBILITY

Methodological note

Through its sustainable development approaches, Hermès implements practices that reconcile economic and social progress with preservation of the planet’s natural equilibrium, in a long-term vision. These societal and environmental challenges, linked to the 17 Sustainable Development Goals for 2030, provide the framework for the House’s action in this area. For more than six generations, Hermès has been a family business, nurtured by the values of craftsmanship. It has been able to adapt to changes by diversifying its métiers , while maintaining its specificity of craftsmanship excellence and favoring a long-term approach. The Group’s craftsmanship manufacturing model is based primarily anchored in the creativity and savoir-faire of men and women located in France, and draws on the House’s four essential heritages: creation, savoir-faire , exceptional raw materials and the retail universe. It is based on the geographical and cultural proximity between designers and craftspeople in our production units. It is supported by a network of regional manufacturing sites, which Hermès enhances, with a desire to ensure the transmission of this exceptional savoir-faire . The model operates in a spirit of balance and sobriety in the use of raw materials and a commitment to a low environmental footprint. The promotion of these four heritages has contributed to the sustainability of this craftsmanship model since 1837. The Hermès Group’s ambition for sustainable development is to enable virtuous economic and social development, not only for employees and shareholders, but more broadly for its stakeholders, and the future of the next generations. This objective will also be achieved by reducing its impacts, however moderate, on the planet. This goal is accompanied by a deep humanistic desire to give back to the world some of what the world gives to Hermès. The scope of this Non-Financial Performance Statement (NFPS) covers all of the Hermès Group subsidiaries and sites, all métiers and all regions included, the scope of which is detailed below.

This NFPS is based on the qualitative and quantitative contributions of the métiers , subsidiaries and central departments, and by the following Group corporate departments: Human Resources, Industrial Affairs, Real Estate, Legal, Finance and Sustainable Development. From the end of the first half-year, the various contributors came together to rank the subjects they wished to discuss and prepare a schedule extending to the end of the year. This year, special attention was paid to information related to the management of the health crisis linked to Covid-19. Given the time frames, certain annual data is reported at end of October, in particular for the industrial affairs department. Each department uses tools to consolidate the information related to their activities. These main contributors rely on their respective networks in order to summaries and highlight the most significant progress and the work carried out on the major strategic sustainable development challenges. This operating mode enables a fairer reflection of operating reality, in an environment in which the activities of the House are very diversified. Finally, verification work is carried out by an independent third party (PricewaterhouseCoopers), which is also one of the Company’s Statutory Auditors, with audits are carried out before publication. The issuance of a reasonable assurance report, which is a higher level of certification than the limited assurance provided for by law in France, covers nearly 50% of the workforce, and therefore more than the required 20% (see § 2.9 of chapter 2 “Corporate Social Responsibility”). As stated in § 3.5.2.4, the assignment was approved as a “service other than certification of the financial statements” by the Audit Committee, and is compliant with the French rules on independence.

46 2020 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL