LOREAL_Registration_Document_2017

L'Oréal’s corporate social, environmental and societal responsibility* THE SHARING BEAUTY WITH ALL PROGRAMME

This has enabled many brands to improve the environmental and social profile of their products launched in terms of both formula and packaging. For example, in 2017, the Vichy brand updated its Aqualia Thermal rich cream. By using SPOT, it has been possible to accurately quantify progress on each of the four main areas for improvement: packaging: the use of 10% recycled glass and a 10 g s reduction in the weight of the cap (a reduction of 44%) have enabled a reduction in the amount of materials used and the removal of the box's plastic coating encourages recycling; water footprint of formula: the biodegradability rate has s increased from 71% to 97%; sustainably sourced renewable ingredients and derived s from green chemistry: their proportion increased from 55% to 95%; social impact: the formula now includes shea butter from a s L’Oréal sustainable procurement programme in Burkina Faso. Conscious of the influencing ability of its brands, L’Oréal encourages them to inform and mobilise their business partners, customers and consumers around today’s major environmental and social causes. Each brand must therefore identify a cause that it personally wants to defend and undertake campaigns to raise awareness. In 2017, 46% of the brands conducted this type of action. Brands who have already made commitments have continued their activity: Armani with Acqua for Life, its initiative to support access to drinking water; Biotherm and its commitment to ocean protection alongside Mission Blue . La Roche-Posay and its anti skin cancer initiative (more than 120 million people have undertaken to have their moles checked in order to prevent melanoma since the campaign began in 2014) or L’Oréal Professionnel and its initiative to prevent musculoskeletal problems (more than 330,000 hairdressers have had their awareness raised in 2017). Raising awareness among 3.2.3.2. consumers about sustainable lifestyle choices

Among the new campaigns launched in 2017, Garnier has joined with Unicef in order to support children living in countries with humanitarian crises, which affect one child out of four, representing 537 million children worldwide. By supporting Unicef's action and funding Child Friendly Spaces throughout the world, the brand supported 300,000 children in 2017. SkinCeuticals, the skincare expert brand, for its part launched, with the NGO ReSurge International, a programme to train the first generation of women in reconstructive surgery in developing countries. The L’Oréal Group recognises the importance of responsible advertising and marketing communication as essential means of providing information to consumers with regard to the characteristics and qualities of cosmetic products. In this respect, L’Oréal, a member of Cosmetics Europe, signed the charter on responsible advertising and marketing communication on cosmetics in 2012. The purpose of this charter is to set the cosmetics industry common ground towards responsible cosmetics advertising and marketing communication in Europe. It makes it possible to ensure that advertising and marketing communications: comply with the relevant European and national regulations s and the applicable self-regulatory framework; Brands that are committed to acting 3.2.3.3. ethically

3

are sincere, truthful and not misleading; s allow informed choices by the consumer; s are socially responsible. s

L’Oréal is also a member of the French Union of Advertisers ( Union Des Annonceurs or “UDA”) and contributed to preparation of its Charter on Responsible Communication. The Group reports on its actions in this field every year. Since 2012, L’Oréal has developed a training programme for its marketing teams employees in order to keep them apprised of good communication practices.

REGISTRATION DOCUMENT / L'ORÉAL 2017

197