Hermès // CSR Extract 2023

CORPORATE SOCIAL RESPONSIBILITY AND NON ‑ FINANCIAL PERFORMANCE THE PLANET: ENVIRONMENT

52 projects were being assessed with the Harmonie standard at the end of 2023. GOVERNANCE Responsible Real Estate Committee In 2022, a Responsible Real Estate Committee was created, composed of members of the Group’s industrial, commercial, financial, human resources, sustainable development and real estate departments. This committee aims to ensure that the real estate portfolio is in line with the best environmental, social and societal performance. To achieve this, the committee initiates actions that fall within its four missions: take decisions on and augment the Responsible Real Estate roadmap; s examine the choices made in the projects and formulate recommendations to project managers; s monitor environmental, social and societal performance; s communicate on relevant indicators. s In 2023, the committee identified the points of contribution to the environmental performance of new projects in order to define an environmental profile, with the following main indicators, grouped by performance area:

2.5.2 RESPONSIBLE REAL ESTATE With a wealth of real estate assets of around 500 buildings, Hermès ensures that these and construction projects meet the highest environmental standards. This real estate portfolio covers a wide range of buildings: production sites, logistics centres, exclusive stores, offices. Since 2016, this scale has motivated the development and updating of a specific real estate standard, the Harmonie standard, allowing a more accurate measurement of the environmental issues of all of the House’s construction, development and renovation projects, aligned with its values of high standards and uniqueness. This standard, which is significantly more demanding than the market standards, was awarded a label in November 2022 by the independent third‑party verification body, Bureau Veritas. Some The amount of provisions for environmental liabilities at Hermès Cuirs Précieux comprises provisions for the cost of asbestos removal work on the roofs of an industrial building at a tannery and remediation work on a manufacturing site for a total of €1.5 million. In accordance with Article R. 516‑1 of the French Environmental Code, the Annonay and Le Puy tanneries, the only tanneries within the scope of the system, have provided financial guarantees. The latter were updated at the end of 2023 in agreement with the authorities and in accordance with the legal requirements for the period 2024‑2028.

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The main indicators are detailed below, for the relevant performance areas:

KPI

OBJECTIVE

CO 2 eq/m

2 weight per subsidiary and per zone

Alignment with the Group’s carbon trajectory

Carbon footprint

Striving for zero degradation

Degradation of BCS *

Biodiversity

Local sourcing rate (% cost of works)

Local sourcing

Move towards 100% local

Number of projects meeting the thresholds set by the WHO

100% of projects meeting these thresholds

Indoor air quality

*Biotope coefficient by surface.

Harmonie: the strategic expression of the real estate of tomorrow at Hermès Awarded a label for the first time in 2022, the Harmonie standard ensures a level of requirement aligned with the highest real estate standards existing today. In 2023, Bureau Veritas confirmed the label awarded to Harmonie. As indicated in the report on the standard’s label awarded by Bureau Veritas: “We are able to issue an opinion validating the alignment of the (1)

Harmonie standard with the highest standards of the market and its integration of the points of excellence of the main international sustainable real estate standards. Our opinion also validates the quality of application and operational control of the standard such that it allows a fair assessment of the environmental performance.” The standard incorporates environmental sustainability issues in all their dimensions and across the entire real estate value chain. It is based on five pillars: Carbon footprint, Biodiversity, Air quality, Local sourcing and Environmental health.

https://assets‑finance.hermes.com/s3fs‑public/node/pdf_file/2023‑08/1692976774/guide‑referentiel_harmonie_en.pdf 1.

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

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