HERMÈS - 2018 Registration document

6

Parent company financial statements

Notes to the financial statements

Nominal amounts of derivatives used to hedge foreign exchange risk

Market value of the contracts as at 31/12/2017 1

Nominal amounts of derivatives

Currency swaps 2 US dollar

(156.8)

(164.8)

(1.3)

Yen

3.8 1.4 3.5 5.8 3.9 0.3 4.0 0.5 0.3

1.1 1.4 3.4 3.5

0.0 0.0 0.0 0.0 0.0 0.3

Hong Kong dollar Singapore dollar

Yuan

Swiss franc

(0.2)

Pound sterling Australian dollar Danish krone Canadian dollar

(80.6)

(86.8)

0.4 3.7 0.5

(0.0)

0.0

(0.0)

Other

(0.4)

0.0

(213.8) (148.4)

(238.1) (174.6)

(0.8) 16.8

TOTAL

(1) Gain/(Loss). (2) (Purchase)/Sale.

FINANCIAL COMMITMENTS

NOTE 19

31/12/2018

31/12/2017

In millions of euros

Bank guarantees given 1

0.7

0.6

Irrevocable commitments to purchase financial assets

25.0

23.5

108.4 134.1

119.2 143.3

Other commitments 2

TOTAL

(1) The guarantees assumed on behalf of subsidiaries are re-invoiced to the beneficiary subsidiaries. (2) The other commitments primarily relate to lease payments by Hermès International or by subsidiaries, for which Hermès International is the guarantor.

Moreover, two “umbrella” sureties have been granted to the HSBC and BNP Paribas banks for a maximum amount of €75 million and €100 mil- lion to give subsidiaries designatedbyHermès International access to an aggregate group banking facility. The amounts drawn by the subsidiaries are re-invoiced on the basis of market conditions.

As at 31 December 2018, the amounts drawn on these credit facilities amounted to €4 million and €27 million, respectively. Furthermore, the amount of the subsidiaries’ tax losses that Hermès International is liable for refunding to its subsidiaries under theGroup tax consolidationagreementamountedto€181.7millionasat31December 2018, versus €149.1 million as at 31 December 2017.

AVERAGE WORKFORCE

NOTE 20

The Company’s average number of employees is broken down as follows:

31/12/2018

31/12/2017

Executives and managers Non-management staff

380

367

34

32

TOTAL

414

399

312

2018 REGISTRATION DOCUMENT HERMÈS INTERNATIONAL