Hermès // CSR Extract 2023

CORPORATE SOCIAL RESPONSIBILITY AND NON ‑ FINANCIAL PERFORMANCE THE PLANET: RAW MATERIALS

2.4 THE PLANET: RAW MATERIALS

Sustainable development at Hermès is based on exceptional raw materials, from renewable natural sources, which enable it to create long‑lasting objects. They are obtained with the aim of controlling their environmental and social footprint, both in terms of biodiversity and human rights, and are used with respect by optimising their use. More broadly, Hermès is committed to sustainably developing its supply chains, by going beyond compliance with environmental, ethical and social regulations, and contributing to the future availability of these resources. Lastly, Hermès is committed to measuring its impacts on biodiversity and undertaking action to preserve it.

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Introduction Hermès’ flagship materials – leather, silk, cashmere and wood – are all natural, renewable and obtained in such a way as to minimise their footprint. The model and values of craftsmanship guiding the House have always promoted the careful and respectful use of these rare and precious materials. Craftspeople take great care not to waste resources, to use only what they need and to optimise the use of materials. Recycled materials are increasingly used in manufacturing. In all métiers, channels are also identified to recover and recycle manufacturing offcuts, in addition to the emblematic activities of petit h, a pioneer in this area since 2010. The materials are selected and supplied in each of the métiers within the framework of a rigorous process set out in the “supply chain brief” and detailed in technical specifications, complying with regulations, respecting biodiversity and best practices, in the constant quest for the highest quality and ethical integrity. These regularly updated supply chain briefs are intended for all suppliers and manufacturers involved in supplying Hermès’ métiers. They are also accessible on the Group’s corporate website. For decades, the House’s approach has been to ensure it has in‑depth knowledge of its

supply chains, to share its requirements with its suppliers – often long‑standing partners – and to develop them in order to achieve the highest quality and thus prepare for future growth while committing to integrating the issues involved in combatting climate change. As stipulated in these “supply chain briefs”, materials or species threatened with extinction (identified in Appendix I of CITES – Convention on International Trade in Endangered Species of Wild Fauna and Flora) or whose trade is illegal, are not used by the Group. The creation of Hermès objects depends on a quality ecosystem, able to provide it with exceptional materials. It is therefore fundamental for the sustainability of Hermès’ business model to respect and protect biodiversity, and to implement science‑based objectives in its direct and extended sphere of responsibility. For the Group, this involves voluntarily engaging beyond its sphere of influence and aligning its action plans with international standards such as SBTN (Science‑Based Targets for Nature) or TNFD (Taskforce on Nature‑Related Financial Disclosures).

THE MAIN COMMITMENTS OF THE PLANET PILLAR: MATERIALS

2022

2024

2030

100% non-mined gold and silver in all our products 100% of unsold items recycled or donated (France)

100% of suppliers aligned with the CSR brief and the supply chain brief

100% of unnecessary single-use plastics * eliminated Monitor the Group’s biodiversity footprint on its main value chains and implement action plans 100% of unsold items recycled or donated (globally) Certification and/or award of label status for 54 supply chains

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*Not having an essential technical function such as to protect the health and integrity of transportation products or regulatory information documentation.

In 2023, the Group made progress on the main issues relating to materials, with the aim of making a long‑term difference through structural improvements with a steady and significant impact. Among these, the selected elements below are particularly illustrative of the year for this section: improvement in the level of coverage of the sectors (90 sectors in total, including 75 active sectors, enrichment of all sector briefs (six new subjects integrated, 66 in total); s structuring of a team dedicated to life cycle analyses. 20% of the métier division’s sales volumes covered by an LCA; s “zero destruction” of unsold goods in France and operational launch of the extension of this target to unsold goods worldwide; s more than 80% of the Leather division’s leather supplies are LWG‑certified, and 74% at Group level; s renewal of RJC CoP certification; s

acceleration of in‑house biodiversity work (SBTN project, employee training, blueprint); s updating of the Forest policy and strengthening of actions to raise awareness of deforestation. s

2023 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL EXTRACT FROM 2023 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

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