HERMÈS - 2018 Registration document

Consolidated financial statements

Statutory auditors’ report on the consolidated financial statements

How our audit addressed this risk Our work involved: s s discussions with Hermès International’s Group management and tax department in order to understand all the existing disputes and uncertain tax positions identified; s s considering the management of the Company’s analysis of the risks, the corresponding documentation and any written opinions from external advisers; s s collecting the relevant evidence to assess, with the help of our tax experts, the validity of management’s judgements to evaluate the probability of the main risks occurring and assessing the reasonableness of assumptions used to determine the amount of the liabilities; s s validating the proper application of IFRIC 23. We have also performed, in accordance with professional standards applicable in France, the specific verifications required by legislation and regu- lations of information pertaining to the Group presented in the Executive Management report. We have no matters to report as to its fair presentation and its consistency with the consolidated financial statements. We attest that the consolidated statement of non-financial performance provided for in Article L. 225-102-1 of the French Commercial Code ( Code de commerce ) is included in themanagement report. However, in accordancewith Article L. 823-10of the FrenchCommercial Code ( Code de commerce ), we have not verified the fair presentation and consistency with the consolidated financial statements of the information given in that statement, which will be the subject of a report by an independent third party. 4. SPECIFIC VERIFICATIONS Appointment of the Statutory Auditors We were appointed as Statutory Auditors of Hermès International by your General Meeting held on 30 May 2011, for PricewaterhouseCoopers Audit, and on 31 May 1999, for Cabinet Didier Kling & Associés. As at 31 December 2018, PricewaterhouseCoopers and Cabinet Didier Kling & Associés were in the 8th year and 20th year of total uninterrupted engagement respectively. RESPONSIBILITIES OF MANAGEMENT AND THOSE CHARGED WITH GOVERNANCE FOR THE CONSOLIDATED FINANCIAL STATEMENTS Management is responsible for preparing consolidated financial statements presenting a true and fair view in accordance with International Financial Reporting Standards as adopted by the European Union and for implementing the internal control procedures it deems necessary for the preparation of consolidated financial statements free of material misstatement, whether due to fraud or error. In preparing the consolidated financial statements, management is responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless it is expected to liquidate the Company or to cease operations. The Audit and Risk Committee is responsible for monitoring the financial reporting process and the effectiveness of internal control and risks mana- gement systems and where applicable, its internal audit, regarding the accounting and financial reporting procedures. The consolidated financial statements were approved by the Executive Management. 6. 5. REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS

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2018 REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

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