Hermès - Registration Document 2016

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OVERVIEW OF THE GROUP

ACTIVITY BY SECTOR

Hermès jumping saddle Allegro , successor of the Steinkraus, is espe- cially favoured by North American riders who practise “two point” riding. The launch of these models coincided with an advertising campaign on the theme of the horse-rider-saddle trio: “Les trois font la paire” (“Three make the pair”). The partner riders of Hermès have stood on the most prestigious podiums. Simon Delestre became the world showjumping no. 1 in March. Jessica von Bredow-Werndl came 5th in the international dres- sage ranking. Finally, the young eventing rider Astier Nicolas achieved a historic double at the Rio Olympics: team gold medal and individual silver medal, he is the most decorated French athlete of these Games, across all disciplines. A complete dressage collection has been designed around the Hermès Arpège saddle, including the specific bridle (strap and bridle) as well as a leather-lined tailcoat and a dressage trouser. Finally, the rider’s equipment was completed with boots and mini-chaps for shows designedby PierreHardy, anda technical finepoloneck jumper woven from extra-fine, breathable Merino wool. READY-TO-WEAR AND ACCESSORIES The Ready-to-wear and Accessories sector is the Hermès Group’s second largest sector, representing consolidated sales of 21%. In 2016, it generated revenue of €1,099 million, representing a slight increase. Women’s ready-to-wear Nadège Vanhée-Cybulski, creator of ladies’ ready-to-wear, has deepe- ned her reflection on functional clothing to craft a reliable collection sui- table for everyday wear, aimed at all women. For summer, the silhouette takes on concise, pure lines, with laid-back proportions. The Hermès language is embodied in the techniques and finishes, with a new association of noble and exclusive materials, the “leather twill”, which combines printed twill and lamb leather on emble- matic pieces. Exacting standards were also applied to the construction of the clothing: dresses and skirts cut on the bias, double-sided, two-co- lour montage for reversible pieces, use of specific expertise such as the grafting technique. For winter, Nadège Vanhée-Cibulsky explores wardrobe staples, brin- ging unprecedented lightness and a lean silhouette, for elegance and freedom. The archives and history of the house are a limitless source of inspiration to her. In a nod to the 1960s and as a homage to Catherine de Karolyi, suits are in bright colours such as kumquat, overcoats have geometric lines and are supple and generous, with prints available for a total look, while the mini skirt comes back to the forefront. Equestrian heritage is there via a jersey reinterpreted to spawn tops, dresses, a mesh sweater with contrasting or tone-on-tone cut-out graphics, as well as a new double-sided association whose lamb inlays play on thematte/ glossy appearance of the materials. 1.3.2 1.3.2.1

bag, of equestrian inspiration with its frontal-shaped handle, bridle rings and saddle rivets which hold its wide reverse. Plain or printed with the Scottish Tattersall design, the H Berline canvas is also used for the big classics such as Kelly , Constance and Herbag . New exceptional leathers –BaréniaFaubourgcalfskin,Saddlebullcalf–havealsobeendeveloped. This year’s theme has resulted in whimsical summery images, such as the Tutti frutti range of mini clutches and bags in acid brights, the clever Musardine bag, which combines a light leather structure and a removable silk drawstring pouch, which can be changed in step with the seasons, or the Bolid Picnic bag and the Picnic small ornamental bag in wicker and leather. For the autumn, the Bolide Shark men’s bag, which features amalicious shark smilemade using yokes of overstitched leather, proved very popular. The Collection précieuse line was complemented with bijoux bags com- bining superior craftsmanship and exceptional materials: feathers and embroidery inspired by birds of paradise and butterfly wings for the Stromboli and Plume élan bags, scales and silver for the Poudrier bag. The playful Mini formats embody interpretations which are as charming as they are modern, mini Halzan , mini Roulis , mini Kelly Sellier . Finally, the classics such as Kelly , Birkin, Constance, Lindy , etc. continue their eternal reinvention. The Birkin bag is magnified in a saddle ver- sion in black box calfskin, and the Evelyne sellier bag in Hunter cowhide adopts a saddle constructionwith strong polished edges, decoratedwith a branded H on a diamond background. Diaries, small leather goods and writing objects Small leather goods continue to be redesigned with a focus on versa- tility and modularity. Such as the card wallet for men, as compact as a smartphone and comprising several independent sections linked by a system of press studs, or the ladies wallets with a removable card wallet or change purse and in two sizes – long or compact format – for use in any situation. Diaries took on a new palette of colours inspired by riders’ jerseys, while the writing objects range, available in 28 additional stores, confirmed its success. Finally, for this year’s theme, Hermès worked with Actes Sud to co-edit the work “Féroces et fragiles, les félins dans l’œuvre de Robert Dallet” (“Fierce and fragile - feline in the work of Robert Dallet”) which pays tribute to the talent and sensitivity of this painter of animals, with whom the house has forged a close link. Equestrianism In a highlight of 2016, the Hermès saddle took its place at the highest international level via three new models, the result of a close collabo- ration between the master saddler at Hermès, Laurent Goblet and the partner riders of the house. The Hermès Cavale jumping saddle, deve- loped with Simon Delestre, offers a central balance as close as pos- sible to the horse. The Hermès dressage saddle ( Arpège ) was created with input from Jessica von Bredow-Werndl and Julia Chevanne. The 1.3.1.2 1.3.1.3

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2016 REGISTRATION DOCUMENT HERMÈS INTERNATIONAL