L'Oréal - 2018 Registration Document

L’Oréal’s corporate social, environmental and societal responsibility POLICIES, PERFOR MANCE INDICATORS AND RESULTS

POLICIES, PERFORMANCE INDICATORSAND RESULTS 3.3.

ENVIRONMENTAL POLICY 3.3.1. L’Oréal, whose strategy is one of Universalisation, sees its economic performance and its environmental and social performance as being inextricably bound. Long committed to reducing its environmental footprint, the Group aims to be one of the best companies in the field by proving that it is possible to decorrelate growth and environmental and social impact, and to contribute positively to its ecosystem, throughout the world. In 2013, L’Oréal intensified its environmental ambitions by launching the Sharing Beauty With All programme based on four pillars: “Innovating sustainably”, “Producing sustainably”, “Consuming sustainably” and “Developing sustainably”. In 2015, the Group announced its aim of becoming a Carbon Balanced company by the end of 2020. In 2016, a programme was rolled out within Sharing Beauty With All : “Working sustainably”. It brings administrative sites and research centres into the process of improving L’Oréal’s environmental and social impacts. In 2017, through its membership of the Science Based Targets programme, an initiative of the CDP, the United Nations Global Compact, the World Resources Institute and NGO WWF, L’Oréal signalled its goal of reducing its global carbon emissions by 25% in relation to their 2016 levels by end of 2030, and of going one step further by putting its environmental policy at the service of a major collective challenge, namely efforts to combat climate change. To go further, L’Oréal became a core member of the Ellen MacArthur Foundation in 2018, with the aim of adopting refillable, reusable, recyclable and/or compostable plastic for all packaging by 2025. Together, these programmes have allowed L’Oréal to broaden the scope of its action. Beyond its commitment to preserving the health and safety of its employees and reducing the

impact of its sites on their environment, the Group has implemented an ambitious policy to reduce its environmental footprint by preserving natural resources (energy, water, materials, biodiversity) on all sites operated and throughout the product life cycle, from the supply of raw materials to product end of life. L’Oréal is increasingly involving its suppliers in this process, sharing its ambitions and best practices, with the vision of a comprehensive and inclusive environmental policy. An ambitious EHS policy shared by all 3.3.1.1. A pioneering, socially responsible company, L’Oréal applies an ambitious policy with regard to the Environment (E), Health (H) and Safety (S) in order to minimise its environmental impact and guarantee the health and safety of employees (1) , customers and the communities in which the Group performs its business activities. This has been reflected, for a number of years, in the desire to systematically control the risks related to the safety of people and the environment, that are inherent in the Group’s business activities. Any establishment or renovation of a site, any launch of new equipment or manufacturing processes, any changes in industrial processes give rise to a risk assessment and action plans that make it possible to reduce their potential impacts. This commitment has led to deployment of the Group’s EHS policy over the entire spectrum of its business activities, but also beyond it. Indeed, the Group strives to ensure the regulatory compliance of its activities, compliance with its own standards on its sites (industrial or administrative sites, research centres, stores), and makes sure that its subcontractors and suppliers ensure the safety of persons and the environment through a specifically dedicated audit programme.

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The Health and Safety policy addressing the health and safety risk of employees (“Main social risks”, section 3.2.2) is presented and described (1) in the discussion of the Human Resources policy (section 3.3.2).

REGISTRATION DOCUMENT / L'ORÉAL 2018

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