Hermès - Registration Document 2016

7

INFORMATION ON THE COMPANY AND ITS SHARE CAPITAL

FINANCIAL AUTHORISATIONS

Resolution number

Duration of the authorisation Expiry

Use during the 2016 financial year

Characteristics

Granting stock options

14th

38 months (31 July 2019)

The number of purchase options granted pursuant to the 14th resolution and the 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.

The purchase price of the shares shall be set by the Executive Management within the limits and according to the procedures 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 exercise price of the options will not include any discount; 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. 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. 225-197-6 of the French Commercial Code ( Code de commerce ); and s the allocated shares may not be sold before the termination of duties as Executive Chairmen, unless a quantity of these shares has been fixed that they must keep registered until the cessation of their functions; s the freely allocated shares will be subject to serious and demanding performance conditions to be satisfied for several years and defined at the time of their allocation; s the maximum percentage of bonus shares that may be allocated shall be 0.05%, this sub-limit being offset against the limit of 2% common to the delegations of authority of the 14th and 15th resolutions.

None

See pages 140 and 146

Free allocations of the Company’s existing ordinary shares

15th

38 months (31 July 2019)

The number of purchase options granted pursuant to the 14th resolution and the 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.

(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