Hermès // CSR Extract 2023

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

The AEI site is launching a call for tenders for its WWTP, which will come on stream in 2026, with a recycling rate of 50% of the site’s effluents. In April 2023, the AS, SIEGL and AEI workshops established a water sobriety plan. This plan takes stock of the actions undertaken to reduce water consumption and gives concrete expression to the division’s ambition to achieve savings and limit water withdrawals to the strictly necessary. Leather / 6.1% increase in consumption in 2023 compared to 2022 and 4.8% decrease in water consumed per leather craftsperson Leather goods workshops have a low water environmental impact since no volume of water is used for the process. The consumption of Leather Goods workshops can therefore be assimilated to that of a tertiary activity with most of the water use being for washrooms. However, the water impact is taken into account in the design of new production units with the implementation, from the start of operation, of key best practices. For example, at the Allan Leather Goods workshop, the implementation of several actions and in particular the change of sanitary water drainage systems has led to a significant 21% reduction in water consumption. Regular awareness‑raising sessions on eco‑friendly practices are also carried out. In addition, the latest leather goods workshops benefit from a rainwater recovery and treatment system to supply washrooms. In 2023, the Leather division consumed 6.1% more water than in 2022. This increase in water consumption is due to the recruitment of new craftspeople at existing sites and the opening of new sites. Accordingly, water consumption per craftsperson fell by 4.8%. Crystal manufacturing / 7.8% decrease in consumption in 2023 compared to 2022 Over the reporting period, compared to the previous year, the production unit’s overall water consumption decreased by 7.8% in absolute value. Water plays a major role the crystal industry, where it is used in the “hot process” to cool production tools and in the “cold process” to avoid overheating of cutting tools. While it is technically and physically difficult to reduce gross water consumption, the main optimisation lever is water recycling and reuse. Partially implemented since the last quarter of 2022 for the cutting activity, the water treatment and recycling solution has made it possible to reduce the water needs of the facilities where it has been installed by 57% in absolute value. This process will be replicated on a larger scale to cover the entire scope of the cutting activity by 2025. (2)

Thus, at the Tanneries du Puy, water savings this year totalled 8%, i.e. more than 10,000 m by optimising the initial tanning stages. The Mégisserie Jullien has installed a monitoring and supervision system for all its utilities in order to better manage its water consumption as well as that of electricity and gas. The introduction of an automated water dosing system is also underway. Textiles / 14% decrease in consumption in 2023 compared to 2022, 33% decrease in intensity by product over the same period Water is an essential element in the printing and finishing stages of fabrics, in particular for the transfer of colours to textiles. 93% of water needs are covered by borehole water, significantly limiting the use of drinking water for industrial processes. In 2023, water consumption was reduced by 14.5% in absolute value and by 33% in intensity in a context of strong growth in activity. These results are the product of work carried out for several years aimed at reducing consumption by relying on five main levers: monitoring and management of meters, raising awareness among teams, optimising processes, changing and modifying machines to achieve solutions that consume less, and the implementation of recycling solutions. In 2023, this resulted, for example, in the purchase and installation of water sub‑meters on the main sites, which will make it possible to obtain results as close as possible to the consumption stations. At the AEI and Ateliers AS sites (61% of the Textile division’s total consumption), water consumption is still taken into account in the incentive scheme agreement, thus showing the importance of the subject to employees. For example, consumption indicators are analysed at least once a week at the three main sites. The division’s efforts are also focused on recycling wastewater to limit water withdrawal. In 2023, investments continued, enabling its gradual implementation: studies and modification of networks, specific treatment equipment, etc. These high‑performance WWTP projects include water recycling in the production process, with a rate of up to 70% ( i.e. a potential saving of 80,000 m of borehole water). Since February 2023, the SIEGL site has thus activated water reuse and consumption has been reduced by 23% with a peak of 45% of water reused in September. This performance was made possible by the installation of an osmosis unit to supply the boilers with recycled water. The Ateliers AS facility is beginning the last phase of civil engineering work and will come into operation in the second quarter of 2024: the water recycling rate will reach 20% in 2025 and may be 40% in 2026. 3 (1) 3

Wastewater Treatment Plant For comparison purposes, the water consumption of the Leather logistics site located in the Lyon region is not included in the indicators in this paragraph but is included in the Group’s overall consumption.

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

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