LOREAL_Registration_Document_2017

Corporate governance * REMUNERATION OF THE EXECUTIVE OFFICERS

2017 EXTRA-FINANCIAL AND QUALITATIVE TARGETS (40% OF TOTAL ANNUAL VARIABLE REMUNERATION)

CSR CRITERIA: SHARING BEAUTY WITH ALL PROGRAMME 2017 RESULTS 2016 RESULTS* The Sharing Beauty With All programme was launched in October 2013 by Mr Jean-Paul Agon. It structures the Group’s CSR strategy and sets ambitious targets to be met by 2020. This project consists of 4 pillars, for which the 2017 achievements are set out in detail in chapter 3.

“Innovating Sustainably” (see chapter 3 § 3.2.1.) Improved environmental or social benefit for 100% s of our products.

2

76% of the new products analysed have an improved social or s environmental profile. Note: Deployment in 2017 of "SPOT": a more comprehensive and demanding analysis tool that covers 14 criteria (Recommendations of the Product Environmental Footprint - European Commission) Reduction of our environmental footprint by ( versus 2005): -73% CO ² emissions s -48% water consumption s -37% waste generation by plants and distribution s 91% of brands have evaluated their impact. s 46% of brands have carried out an action to raise awareness s among consumers. 96% of the Group’s permanent employees have access to s healthcare coverage reflecting the best practices in their country of residence. 92% of the Group’s permanent employees benefit from s financial protection in the event of unexpected life events, such as death or total permanent disability. 87% of them carried out a self-assessment of their Sustainable s Development policy. Access to work for 53,505 people. s Note: the 2016 figure included 20,728 beneficiaries via Community Trade The Body Shop, i.e. 46,805 beneficiaries on a 2016 like-for-like basis. 33% of women on the Executive Committee. 45% of key positions held by women. France: 2 nd place in the 2017 “Féminisation des Instances dirigeantes” ranking (French Ministry of health, social affairs and women's rights) and Prix de la Parité des Instances Exécutives. Worldwide: 1st place in Equileap 2017 (first ranking of companies worldwide on compliance with parity criteria) 2017 RESULTS

82 %

“Producing Sustainably” (see chapter 3 § 3.2.2.) -60% CO2 emissions s -60% water consumption (plants and distribution centres) s -60% waste generation s “Living Sustainably” (see chapter 3 § 3.2.3.) Each brand will have assessed its environmental and social s footprint. Each brand will have reported on its progress and associated s consumers with its commitments. "Developing Sustainably" (see chapter 3 § 3.2.4.) With employees (L’Oréal Share & Care programme) 100% of s L’Oréal employees around the world will have access to healthcare and social protection in 2020.

- 67 % - 48 % - 35 %

90 % 46 %

88 %

85 %

83 %

With strategic suppliers: s

With communities: s

67 533

HUMAN RESOURCES CRITERIA

2016 RESULTS

Gender Balance Improving gender parity, in particular at the level of senior s management positions.

33 % 42,6 % 4th place

N/A

Talent Development Positive policy results for the recruitment of both experienced s and more junior talented employees, and talent development all over the world, in order to favour the emergence of local talent. Attractive, targeted, digital employer communication. s

No. 8 in the Universum global ranking.

no. 9 worldwide

Strong presence on social networks: 1.28 million followers on LinkedIn. Digital sourcing has become the first source of recruitment. Seven million visits to the loreal.com "Careers" page

1 million

Access to training 100% of employees will receive training once a year starting s in 2020.

78% of employees received training in 2017. 170,000 hours of digital training

77 %

Based on data published in the 2016 Registration Document. Note that certain indicators were impacted by the disposal of The Body Shop *

REGISTRATION DOCUMENT / L'ORÉAL 2017

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