Hermès // CSR Extract 2023

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

of all Australian sites as part of the implementation of a Virtual Power Plant (VPP). The project also plans to reinject the surplus photovoltaic energy produced during the day into the grid, which will enable the farms to draw energy from it to maintain the temperature of the pools at night. A parallel prior study was carried out to ensure that the project was relevant by comparing the gain from renewable energy, which proved to be greater than the carbon weight of the production of the panels and batteries. The project specifications and its implementation will also take into account the possibility of reusing existing batteries. The Australia division is also working on an ongoing basis to control refrigerant leaks from the equipment needed to preserve hides. A quarterly prevention plan has been put in place at all the sites concerned. The sites of the United States division are building a roadmap for reducing energy consumption. The farm mainly consumes electricity (96%) for the pumping and distribution of water, as well as for lighting. Textiles / 2.5% decrease in consumption in 2023 compared to 2022, 23% decrease in intensity per product over the same period Despite the strong growth in activity, the energy consumption of the Textile division was reduced by 2.5% in absolute value compared to 2022, thanks to efforts to manage consumption. This resulted in a significant decrease in consumption per unit of textile produced (-23%). This management of consumption is the result of an ambitious policy initiated in 2020 for all sites in the division, which resulted in the performance of energy audits leading to energy saving actions. The plan to reduce consumption for all the Textile division’s sites follows four major axes: optimisation of equipment operation (humidity regulation system at SIEGL, high‑performance fans at ATBC (electricity savings of 7%), detection of presence for lighting and LED technology, optimisation of ventilation of the AEI tenter (10% saving), precise control of boiler rooms to limit boiler start‑ups, etc.); s building insulation and consumption management with the introduction of monitoring software (CTM, Building Management System, monitoring and alert software); s phasing out of fossil fuels as energy production resources (geothermal energy, pellet boilers, photovoltaic panels); s raising employee awareness through internal communications. s Among these achievements, the geothermal installation on the ATBC site, a heat pump using vertical boreholes, was commissioned in December 2023. This will enable the site to eliminate the use of gas, which represented around 10,000 m /year, i.e. 150 MWh. The pellet boiler at this site, which replaced a fuel oil boiler at the end of 2021, saves 90 MWh per year. In 2023, 16.4 tonnes of pellets were consumed to enable this transition. 3

The energy consumed by the tanneries is still mainly of non‑renewable origin with 65% gas consumed in 2023. To reduce the use of fossil energy, the tanneries are exploring different energy efficiency and decarbonisation solutions. For example, the Vivoin tannery has launched projects aimed at completely eliminating its gas boilers by 2024 and thus reducing its use of fossil energy by 90% (lower temperature settings, elimination of the steam network in favour of electric heaters, heat pump installations and photovoltaic study). An 18% reduction in gas use has already been observed with the first projects undertaken. The Montereau tannery is studying another decarbonisation solution. Discussions are underway with the operator of the city’s urban heating network to connect to the site. This possibility is planned for the summer of 2024 and will enable the tannery to reduce its consumption of gas by 90%, used to heat process water as well as buildings (tertiary use). The Annonay tannery has chosen to replace its gas boiler room with a mixed system that will combine a biomass boiler and heat pumps. The division is conducting studies on the installation of photovoltaic panels on the roofs of buildings or car parks in order to reduce the consumption of electricity from the grid (§ 2.5.3.2.1). The sobriety actions undertaken are already producing visible results this year at all tanneries, reflected in a decrease of up to 30% in energy consumption per number of leathers produced. At existing facilities and during redevelopment or creation of premises, the following points are given special attention to improve energy performance: supervision of equipment using centralised technical management (CTM), replacement of production equipment by equipment with superior energy performance, thermal insulation, pipe insulation or replacement of lighting with LED lighting, such as at the Cuneo tannery where relamping was carried out during the summer of 2023, which led to a 4% reduction in electricity consumption from September. Farms / 1% decrease in consumption by farms in 2023 compared to 2022, 6.1% reduction at constant scope compared to 2022 The Farm division’s energy consumption decreased by 1% in 2023 compared to 2022 in connection with the increase in capacity of the new Australian farm inaugurated in 2022. At constant scope, consumption decreased by 6.1% compared to 2022. Electricity is the most widely used energy on the farms, with gas accounting for 21% of energy consumption (electricity and gas). The other energies used on the farms are fuel for agricultural machinery and, for one of them, fuel oil, which is used during the cold season to supplement the pool heating. A study is underway to find low‑carbon heating solutions. Of the electricity consumed on Australian farms, 250 MWh were of solar origin and produced by the photovoltaic panels installed. This fleet of panels will increase over the coming years to cover the needs

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

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