Hermès // 2022 UNIVERSAL REGISTRATION DOCUMENT

PARENT COMPANY FINANCIAL STATEMENTS NOTES TO THE FINANCIAL STATEMENTS

3.4 Free share plans Expenses recognised in operating income in respect of free share plans only concern employees of Hermès International (see note 3.2). Costs relating to other employee beneficiaries of Group subsidiaries are presented in extraordinary income or loss and are transferred via an expense transfer account (see note 4). When the shares are delivered to employees, the loss corresponding to the net carrying amount of the treasury shares is recognised as extraordinary expenses in Hermès International’s financial statements.

Income from re‑invoicing to subsidiaries is presented as extraordinary income (see note 4). After taking income and expenses relating to the French and foreign subsidiaries into account, the net impact of the free share plans including social security charges on net income before tax was an expense of €20 million in 2022, compared with an expense of €2 million in 2021. The information relating to the free share plans is provided in chapter 3 “Corporate governance”.

3.5 Compensation of Corporate Officers Gross aggregate compensation paid to Corporate Officers in respect of financial year 2022 amounted to €7 million, including €1 million related to the compensation of members of the Supervisory Board.

EXTRAORDINARY INCOME

NOTE 4

Note

2022

2021

In millions of euros

Extraordinary income

25

125

Free share plans

3.4

23

119

Reversals of provisions for tax depreciation

0

0

Disposals of property, plant and equipment and financial assets

2

5

Other extraordinary income Extraordinary expenses

(35)

(119)

Free share plans

3.4

(35)

(111)

Provisions for tax depreciation

(0)

(0)

Net value of fixed assets sold

(0)

(8)

Other extraordinary expenses

(0)

(0)

6

EXTRAORDINARY INCOME

(10)

6

2022 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

457