Hermès // 2021 Universal Registration Document

CORPORATE SOCIAL RESPONSIBILITY BUSINESS MODEL

BUSINESS MODEL

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objects designed to last: rigor and responsibility that are the life force s of the House’s 16 métiers (see § 1.6 in chapter 1 “Presentation of the Group and its results”); a French House with an international reach: 78% of production is s made in France; an integrated model, from manufacturing (58% of objects are made s its in-house and exclusive workshops) to distribution throughout the world, tailored to local situations; controlled development and solid results; s a contribution to a more sustainable world through its model, through s a humanist vision of its activity, and a desire to give back to the world some of what the world gives it.

The Hermès Group presents its value creation model using graphics (see the following pages) in order to put the distinctive features of its French craftsmanship manufacturing model into perspective. This approach is designed to help explain the activities of the House, its footprint and contribution to a more sustainable world, in their economic, social, societal and environmental dimensions. The Hermès Group’s model is unique in many ways: a family-run business rooted in a tradition of craftsmanship, the s foundations of an eagerness to ensure transmission of skills and sustainability; fundamental heritages, sources of sustainability, that are s continuously reinvented: creation, savoir-faire , materials and retail;

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For readers who would like more details on all of the Group’s actions in addition to what is presented in this Non-Financial Performance Statement, the Hermès Finance website can be accessed using this QR Code.

For each aspect of its business, the House has taken steps to protect and preserve: employees: jobs and basic salaries maintained for employees s worldwide, installation of protective devices at the entrance to sites and in all living spaces, establishment of a psychological counselling unit for eight months, payment or exceptional bonuses; partners: support and continuation of local relationships, dialogue s and economic support (payment prior to due dates); customers: spectacular development of e-commerce and s development of the customer relationship with the omnichannel approach renewing the in-store experience and promoting remote interactions with local and international customers; sustainable growth: continued investments despite the uncertainty, s with new production sites in France and store renovations; society: donations of hydroalcoholic gel and financial sponsorship s (donation to the Paris hospitals, AP-HP). During these various periods, in 2021 as in 2020, the Group decided not to request any State aid relating to partial activity measures. This decision has been applied in all countries where the Group operates.

Covid-19 – A resilient and contributive model in a situation of crisis 2021 marked a second year of the Covid-19 pandemic, the extent and duration of which impacted geographical areas in different ways. Hermès has reaffirmed its value as a safe haven for all its employees, while reinforcing its societal commitment to stakeholders. The Group remained very active, regularly reviewing the situation and adapting its systems to the measures required by the medical and public authorities. The Group health monitoring unit, activated since 2020, provides the best possible support in the various periods of health crisis, depending on the country and legislation, by implementing all the necessary measures in terms of prevention and by supporting the various lockdowns, including as they start and end. The human resources function, which was heavily used during this period, proved to be solid and able to act as a true partner in the face of the crisis, close to the teams through use of the internal social networks, with positions regularly shared at global level between the Director of Human Resources and the Managing Directors of the métiers and countries.

2021 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

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