LOREAL_Registration_Document_2017

2 Corporate governance *

ORGANISATION AND MODUS OPERANDI OF THE BOARD OF DIRECTORS

THE ACTIVITIES OF THE BOARD 2.3.3. COMMITTEES The Board’s debates and decisions are assisted by the work performed by its Committees, which report to it after each of their meetings. The remits of each committee are described in detail in the Internal Rules of the Board of Directors. In 2017, the committees were once again tasked with preparing the Board's deliberations. The composition of these committees, their remits and their work in 2017 are described in detail below. The Board’s Committees act strictly within the framework of the remits given to them by the Board. They prepare actively for its work and make proposals but they do not have any decision-making powers. All the Directors who are members of a committee participate in Committee meetings with complete freedom of judgment and in the interest of all the shareholders.

Provision of information to the Board 2.3.2.3. on the Company’s financial situation, cash position and commitments The financial situation and the cash position are reviewed at least twice a year at a Board meeting, when the annual financial statements are approved and when the interim financial statements are reviewed, or at any other time if necessary. The balance sheet structure remains solid. The Company’s commitments are reviewed within the framework of the annual renewal of the authorisations given to the Chairman and Chief Executive Officer and the delegations of authority it grants. It also reviews every year the agreements entered into and authorised during previous financial years which continued in force. As attested to by the preparatory work of its committees (see below), the Board also analyses other aspects of strategy, the Group’s economic and financial management and the Company’s environmental, social and societal commitments. The committees’ work systematically gives rise to a report presented by their Chairman/Chairwoman at Board meetings.

REGISTRATION DOCUMENT / L'ORÉAL 2017

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