Hermès - Registration Document 2016

7

INFORMATION ON THE COMPANY AND ITS SHARE CAPITAL

FINANCIAL AUTHORISATIONS

FINANCIAL AUTHORISATIONS

7.3

SUMMARY TABLE OF THE USE OF FINANCIAL DELEGATIONS OF AUTHORITY In accordance with the provisions of Article L. 225-100 sub-paragraph 7 of the French Commercial Code ( Code de commerce ), the table below shows all of the delegations of competence and powers granted by the General Meeting to the Executive Management, in financial matters, distinguishing: delegations that remain valid; delegations used during the 2016 financial year, where applicable; new delegations submitted to the General Meeting of 6 June 2017.

Resolution number

Duration of the authorisation Expiry

Use during the 2016 financial year

Characteristics

General Meeting of 2 June 2015 Purchase of shares 11th

Ceiling of 10% of the share capital Maximum purchase price €500 Maximum funds committed €850 million

See pages 258 and 259

18 months (2 December 2016) 1 24 months (2 June 2017) 1

Limit of 10% of the capital

None

Cancellation of treasury shares (general

13th

cancellation programme)

In accordance with Article L. 233-32 of the French Commercial Code ( Code de commerce ), the delegations of authority below granted pursuant to the 14th (purchase options), 15th (bonus shares), 17th (issue with maintenance of preferential subscription rights), 18th (issue with elimination of preferential subscription rights), 19th (capital increase reserved for members of a Company or Group savings plan), 20th (issue by private placement) and 21st (issue to compensate contributions in kind) resolutions may be implemented during a period of a public offering on the securities of the Company. Granting stock options 14th 38 months (2 August 2018) 1 The number of purchase options granted pursuant to the 14th resolution and the The purchase price of the shares shall be set by the Executive Management within the limits and according to the procedures None

number of shares freely allocated pursuant to the 15th resolution may not represent a number of shares greater than 2% of the total number of existing shares at the time of the allocation without taking into account those already granted pursuant to previous authorisations

specified in Article L. 225-177 sub- paragraph 4 of the French Commercial Code ( Code de commerce ), and shall be at least equal to the average of the prices quoted on the regulated market of Euronext Paris during the twenty stock market trading days preceding the allocation of the option, without being less than 80% of the average purchase price of the shares held. In the event of allocations to one or more Executive Chairmen: s the Company must fulfil one or more of the conditions specified in Article L. 225-186-1 of the French Commercial Code ( Code de commerce ); and s the purchase options may not be exercised before the termination of duties as Executive Chairmen, unless a quantity of shares resulting from option exercise has been fixed that they must keep registered until the cessation of their functions; s the options granted will be subject to serious and demanding performance conditions, to be met over several years and defined at the time of issuance; s the maximum percentage of shares for which Executive Chairmen may be granted the right to purchase options under this resolution will be 0.05% of the share capital at the date on which Executive Management decides to grant them, the sub-limit being charged within the 2% joint delegations ceiling under the 14th and 15th resolutions.

(1) This authorisation was cancelled, for the remaining duration and for the unused fraction, by new delegations of the same nature authorised by the General Meeting of 31 May 2016. (2) These delegations are intended to be cancelled, for the remaining duration and for the unused fraction, in case of the adoption of new resolutions concerning new delegations of the same nature by the General Meeting of 6 June 2017.

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2016 REGISTRATION DOCUMENT HERMÈS INTERNATIONAL