HERMÈS - 2018 Registration document

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Combined General Meeting of 4 June 2019

Statutory Auditors’ reports

STATUTORY AUDITORS’ SPECIAL REPORT ON RELATED-PARTY AGREEMENTS AND COMMITMENTS

8.4.3

This is a free translation into English of the Statutory Auditors’ report issued in French and is provided solely for the convenience of English speaking readers. This report includes information specifically required by European regulations or French law. This report should be read in conjunction with, and construed in accordance with, French law and pro- fessional auditing standards applicable in France. General Meeting for the approval of the financial statements for the year ended 31 December 2018 To the General Meeting of Hermès International, In our capacity as Statutory Auditors of your company, we hereby report to you on related-party agreements and commitments. It is our duty to informyou, based on the informationmade available to us, of the features and the essential terms of the agreements and commit- ments of which we have been advised or that we have discovered during our assignment and the reasons justifying their interest to the company, though we are not obliged to comment on their usefulness or their value or to seek out other agreements or commitments. It is your responsibi- lity, under the terms of Article R. 226-2 of the French Commercial Code ( Code de commerce ), to consider the value of the conclusion of these agreements and commitments with a view to their approval. It is also our duty, where appropriate, to inform you of the information provided for by Article R. 226-2 of the French Commercial Code ( Code de commerce ) regarding the performance, over the financial year ended, of the agreements and commitments previously approved by the General Meeting. We have carried out the procedures we considered necessary for this task in accordance with the professional standards of the French National Institute of Statutory Auditors ( Compagnie nationale des com- missaires aux comptes ) regarding this assignment. These procedures consisted in verifying that the information provided to us was consistent with the data in the documents from which it was drawn. Agreements and commitments submitted for the approval of the General Meeting Agreements and commitments authorised during the financial year ended In accordance with Article L. 226-10 of the French Commercial Code ( Code de commerce ), we were informed of the following agreements and commitments previously authorised by the Supervisory Board. a) Agreement for provision of services with Studio des Fleurs Person concerned Mr Frédéric Dumas, member of the Executive Management Board of Emile Hermès Sarl, Executive Chairman of Hermès International. Nature, purpose and conditions On20March2018yourSupervisoryBoardauthorisedacontractbetween Hermès International and Studio des Fleurs relating to the provision of services for shots and retouches for e-commerce product pack shots.

Reason justifying the benefits for the Company Studio des Fleurs has accepted the following points, which were funda- mental for Hermès International: s s obligations of Studio des Fleurs: compliance with very precise speci- fications, duty of advice, monitoring of performance, quality control, criteria for monitoring performance indicators; s s no guaranteed minimum order; s s fixed three-year term followed by indefinite duration; s s long (18-month) prior notice for termination; s s no exclusivity; s s undertaking of Studio des Fleurs to take the necessary steps to pre- serve its economic independence (notably by broadening and diver- sifying its customer base) vis-à-vis the Hermès Group; s s confidentiality and prohibition on using Hermès as a reference; s s no revision of rates before the expiry of three years, and then revision possible but capped. For 2018, invoicing for these services amounted to €2,519,880. Agreements and commitments already approved by the General Meeting Agreements and commitments approved in previous years, a) performance of which continued during the financial year ended InaccordancewithArticleR.226-2oftheFrenchCommercialCode( Code de commerce ), we have been informed that performance of the following agreements and commitments, approved by the General Meeting in pre- vious years, continued during the financial year ended. 1. Service provision agreement with Emile Hermès SARL Person concerned Emile Hermès SARL, Executive Chairman of Hermès International. Nature, purpose and conditions By resolutions of your Supervisory Board on 23 March 2005 and 14 September 2005, a service provision agreement was entered into between your company and Emile Hermès SARL covering day-to-day matters of a legal and financial nature. On 1 September 2007, your Supervisory Board authorised the signing of a rider to this agreement, adding the duties of secretariat. In its meetings of 25 January 2012 and 30 August 2012, your Supervisory Board authorised the signing of two riders to this agreement. changing the price of the secretarial services and adding an exceptional assignment of monitoring shareholding. For 2018, invoicing for these services amounted to €227,778. 2. Contract for the provision of catering services with MOCE Person concerned Mr Charles-Eric Bauer, majority shareholder of MOCE andmember of the Supervisory Board of Hermès International.

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2018 REGISTRATION DOCUMENT HERMÈS INTERNATIONAL