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2016 REGISTRATION DOCUMENT

HERMÈS INTERNATIONAL

64

Corporate social responsability

2

Environment

tion development department has drawn up sustainable construction

guidance based on three main ambitions:

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reduce the ecological footprint;

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promote the well-being of users;

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conserve vital resources.

This Sustainable Construction Framework, applies to all new construc-

tion or renovation projects relating to office, production and distribution

sites in France and internationally, in collaboration with the Group’s

project managers and external partners (architects, technical design

offices, builders and suppliers) selected by the construction develop-

ment department. The Framework serves to:

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harmonise and oversee sustainable building practices aimed at

achieving ambitious goals;

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improve the environmental quality of construction projects from

conception to completion, for users;

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transcribe the values and characteristics of the Hermès Group inter-

nally and among partners;

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set out scalable and comprehensible goals for all players in the

construction process.

Changes in regulations in respect of construction are monitored by the

Group’s teams, in close collaboration with stakeholders (architects,

engineers and suppliers).

2.5.1.2

Methodology and tools

Industrial

Since 2012, Hermès has monitored environmental data from its indus-

trial sites using reporting software accessible as a web resource to col-

lect data about consumption at each site. The software also provides

access to documentation explaining how the indicators collected are

organised and defined. A consistency check is carried out automatically

when the figures are entered and again when the global consolidation is

performed by the industrial department. The published figures do not yet

include data fromnewPrecious Leathers sites in Australia and theUnited

States. Consumption figures for certain leased sites are not available

(such as water for the Saint-Antoine leather goods production unit, and

water and energy for the John Lobb Mogador workshop in Paris); howe-

ver, given the size of the workshops and the absence of industrial water

use, they represent a negligible proportion of the consolidated total.

Construction

Our environmental reporting primarily measures the energy consump-

tion of stores and the offices of distribution branches around the world.

Since 2015, environmental reporting has been further backed up by

the gradual deployment of an automated system to consolidate energy

consumption data from all new sites. Consumption data for exclusive

concession stores are not included, as the Group does not control their

operation.

This reporting does not include consumption by certain branches, pri-

marily because of their location in shopping centres, which complicates

access to source data. The absence of individual sub-metering in stores

means that thisenergy consumptiondata isnot available. Newsiteswere

factored in from the date of opening, or when they joined the Group. Sites

that closed or left the Group over the year covered by the reporting were

also taken into account. Primary data are collected from contributors

from each distribution subsidiary (in a network of over thirty contributors

worldwide) and are centralised by the construction development depart-

ment, which runs various checks (analyses) in relation to the previous

year’s figures (comparison with similar sites) before consolidating them.

For energy consumption, only the electricity consumption indicator is

published. The consumption of other forms of energy, which are very

marginal, is excluded from this indicator. Electricity consumption data

concern nearly 76% of Hermès branches across the world, as well as

John Lobb, cristallerie Saint-Louis and Puiforcat branches. In France,

data for 100% of stores are included in the reporting. The same applies

to all French branches of John Lobb, Saint-Louis and Puiforcat.

For Faubourg Saint-Honoré, the storeaccounts for 41%of total consump-

tion in a building that also houses offices and workshops.

In Europe (excluding France) almost 93% of stores are covered. In Asia,

over 92% of stores in Greater China (mainland China, Hong Kong and

Macao) and100%of stores in Thailand, Malaysia and Australia are cove-

red. In Japan, the four main stores are also included. For the Americas,

88%of stores are covered, including 100%of stores in the United States.

Water usagedataby stores arenot publishedowing to the lack of informa-

tion reported and the insignificant proportion of theGroup’s overall water

use it represents, being mainly water used in washrooms.