LOREAL_Registration_Document_2017

3 L'Oréal’s corporate social, environmental and societal responsibility* L’ORÉAL’S CORPORATE SOCIAL, ENVIRONMENTAL AND SOCIETAL POLICIES

RELATIONSHIPS MAINTAINED

A FEW INITIATIVES

In 2017, over 60% of the Group’s employees took part in Ethics Day in 2017, and more than 5,700 issues were raised worldwide. Also in 2017, all employees were invited to respond to an ethics survey and to send their suggestions about "What more can we do about Ethics at L’Oréal?". This survey enabled us to collect more than 1,100 suggestions from 64 countries. During annual Business Reviews, L’Oréal discusses 5 main subjects with its suppliers: quality, innovation, competitiveness, delivery/supply chain and Corporate Social Responsibility. 293 Business Reviews took place in 2017. In 2017, L’Oréal continued its policy of actively listening to consumers regarding Sustainable Development issues through a number of studies carried out in France and worldwide in order to understand their expectations and to refine its policies. Publication of the first Digital Activity Report in 2015; s Publication of an Integrated Report in 2017; s Participation in 2017 in the Actionaria Stock Market Fair for the 14 th s consecutive year; The organisation of around ten meetings and site visits with s shareholders in France and Belgium; Sending of shareholders’ letters and newsletters; s Presentation on the US subsidiary by the Executive Vice-President – s Americas zone at the Annual General meeting in April 2017. In 2017, Carrefour Italy and L'Oréal developed an educational campaign for primary schoolchildren on the theme of recycling plastics. Teachers organised interactive workshops during which the children learned about plastic packaging and its recyclability. This is a three-year commitment involving hundreds of schools and in partnership with an association of pupils' parents and the Instituto Italiano Imballagio.

L’Oréal sets up a large number of dialogue arrangements with its employees to ensure their health, safety and well-being at work while listening to their concerns.

Employees

L’Oréal maintains an extensive dialogue with its suppliers and shares with them its ambitions in the area of Sustainable Development.

Suppliers

L’Oréal is heedful of both current and future needs and concerns of its consumers, in particular with regard to Sustainable Development.

Consumers

To enrich and develop a relationship of trust with all of its shareholders, L’Oréal maintains an ongoing dialogue by organising regular meetings, by participating in marketplace actions and via a whole range of multimedia tools.

Shareholders

As it does with its suppliers, L’Oréal builds close relationships with its distributors by involving them in the preparation of joint Sustainable Development projects.

Customers (distributors)

The Panel of Critical Friends is an external governance body, which reviews the progress made on the Sharing Beauty With All programme year on year, by casting a critical eye over the actions conducted, suggesting improvements and challenging L’Oréal’s Sustainable Development ambition. Since 2013, L’Oréal sets up panels and launches consultations on various topics in order to include the views of NGOs, associations and not-for-profit organisations in its reflection process and its projects. Once a year, all L’Oréal’s employees are invited to spend a day on voluntary actions for associations and not-for-profit organisations, on public utility projects and supporting the surrounding communities, while continuing to receive their salary. L’Oréal guarantees the transparency of its information and discusses CSR topics regularly with both extra-financial rating agencies and with investors.

In 2017, L’Oréal held a dialogue at corporate level with 110 organisations from all over the world to discuss its initiatives and challenge its progress. In 2017, for the 9th edition of Citizen Day, more than 30,000 employees took part in the event in 68 countries.

NGOs, associations and not-for-profit organisations

L’Oréal is in contact, in particular, with Vigeo Eiris, OEKOM, the CDP, etc. to discuss extra-financial performance and identify areas for improvement. Through the L’Oréal Foundation’s For Women in Science s programme, the Foundation rewards scientists and awards scholarships to young female researchers; L’Oréal, a long-standing partner of CEEBIOS (the European centre s for excellence in biomimicry in Senlis), signed a long-term corporation agreement with the institution based on biomimicry principles in order to contribute to its sustainable innovation ambition; With its membership of 9 eminent scientists, the Scientific Advisory s Board extended its work in 2017 on the impact of the environment (in particular pollution) on skin and hair health during a specific session in China and continued its quest for future solutions in the area of mechanobiology and sensoriality.

Extra-financial rating agencies and investors

Research and Innovation are an integral part of the identity of L’Oréal which maintains close links with a large number of public or private research centres all over the world, in the form of partnerships or collaboration, in areas as varied as green chemistry, synthetic biology, genomics, skin stem cells, microfluidics, bioprinting, or the microbiome.

The scientific community including researchers and academics

REGISTRATION DOCUMENT / L'ORÉAL 2017

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