HERMES_REGISTRATION_DOCUMENT_2017

2

CORPORATE SOCIAL RESPONSIBILITY

ENVIRONMENT

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 this energy consumption data is not available. New sites were 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 contribu- tors from each distribution subsidiary (in a network of over 30 contribu- tors worldwide) and are centralised by the construction development department, which runs various checks in relation to the previous year’s figures (comparisons 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 covers nearly 73% 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 90% of stores are covered. In Asia, over 90% 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, 70% of stores are covered, including 80% 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.

promote the well-being of users;

s

s conserve vital resources. ThisSustainableConstructionFramework, which is stricter than themain existing external frameworks, applies to all new construction or renova- tion 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 development department. The Framework, which is stricter than the main existing external frameworks, serves to: s harmonise and oversee sustainable building practices aimed at achieving ambitious goals; s improve the environmental quality for users of construction projects from conception to completion; s transcribe the values and characteristics of the Hermès Group inter- nally and among our partners; s 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). 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 performance indicators 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 include data from Precious Leathers sites in Australia and the United States (HCP). Consumption figures for certain leased sites, including those for which no data is available, are not taken into account as they are not noteworthy. 2.5.1.2 Methodology and tools

82

2017 REGISTRATION DOCUMENT HERMÈS INTERNATIONAL