METHODOLOGICAL NOTE

ENVIRONMENTAL REPORTING

2018

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ORGANISATION OF KERING 2018 ENVIRONMENTAL REPORTING

INDICATORS USED TO MONITOR OUR ENVIRONMENTAL IMPACTS

Kering has monitored the main environmental impacts of its business activities since 2014.

These indicators are split into 10 main themes:

- Energy consumption

- Water consumption

- Waste production

- Paper consumption

- Packaging consumption

- Consumption of raw materials

- Transport (BtoB, BtoC and company cars)

- Air pollution

- Environmental management

- General data on the site (surface, turnover, …) – this enables ratios calculation

A DEDICATED WEB-BASED REPORTING TOOL

Since 2004, Kering has implemented and updated a reliable and secure web-based platform dedicated to the collection, validation and consolidation of extra-financial data. This IT tool is designed to allocate indicators according to site and brand specificities (Warehouses, Stores, Industrial sites and Offices).

The reporting is done at site level (each physical site), which allows Kering to assess the environmental impacts of 1545 sites. The sites are organized as follows:

KERING Group (Level 1)

o Brand : Balenciaga (Level 2)

Business Unit : Balenciaga Europe (Level 3)

Sites : offices, stores, warehouses and industrial sites (Level 4)

Business Unit : Balenciaga Asia (Level 3)

Sites : offices, stores, warehouses and industrial sites (Level 4)

o Brand : Brioni (Level 2)

Business Unit : Brioni US (Level 3)

Sites : offices, stores, warehouses and industrial sites (Level 4)

Business Unit : Brioni Italy (Level 3)

Sites : offices, stores, warehouses and industrial sites (Level 4)

Each data point goes through four successive checks:

- The IT tool automatically compares the 2018 value versus the 2017 value – if the difference is more than 20%,

the contributor has to explain the variation in order to submit the data;

- The validator 1 assesses the variation between 2017 and 2018 for all the sites within his or her scope and

compares the values with similar sites taking into account the percentage that a site’s data represents on the

total; if needed, he or she corrects the data or asks the contributor to correct the data;

- The validator 2 performs the same kind of analysis for all the sites at brand level;

- The Kering sustainability team performs the same analysis at Group level.

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A GLOBAL NETWORK OF USERS

Almost 300 people (“contributors” and “validators”) across the world perform two roles for the sites they are responsible for:

- Inputting primary data for each indicator (contributors)

- Conducting verification checks and validate data (validators)

CONSISTENT METHODOLOGY AND PRECISE GUIDELINES

The Sustainability Leads of each brand manage their network of users and define along with the Kering sustainability department the list of indicators and the main reporting guidelines (timeline, process, extrapolation and estimation procedures, emission factors, breakdown of indicators by brand and type of site…). These guidelines and the precise definition of the indicators are compiled and distributed to the users’ network through the 2018 Kering reporting protocol, as well as other supporting documentation. The guidelines recommend that contributors:

- Collect invoices, weighing tickets or slips, IT systems extractions, meter readings to gather actual data;

- If the data does not cover the whole period, extrapolate the invoices data to the whole year;

- If no actual data can be collected, estimate the figure based on similar sites by applying a ratio of impact per

square meter (or per turnover), or if this is not possible by applying the ratios provided by Kering sustainability

department that are specific averages (per region/type of site/division) of past three years Group data.

To ensure that these guidelines are properly understood and followed, the Kering sustainability department, as well as the Sustainability leads of each brand, organize training sessions for users and provide them with constant support.

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2018 REPORTING SCOPE

The sites covered in the reporting consolidation scope are brands and business units over which the Group holds operational control (i.e. more than 50% stake), and with operational control takeover since July 1st 2018 at the latest. However, in the event of a disposal or loss of operational control, the site is automatically removed from the reporting scope regardless of the time of year when the disposal or closure occurred. Similarly, activities listed as “discontinued” under the IFRS standards on 31 December 2018 are removed from the reporting scope (for the 2018 scope: Volcom, Stella McCartney and Christopher Kane). Since the 2013 reporting, Kering has managed to collect (or estimate) the environmental impacts of 100% of the sites within its reporting scope. Moreover, within all these sites, no indicator data has been excluded from the reporting scope, as missing data have been estimated and erroneous data corrected. This means that: • The 2018 reporting scope and reported scope of consolidated figures are identical • The 2016-2018 pro forma scope only excludes the sites that were not opened in 2016 or 2017 and the sites that closed in 2017 or 2018. Hereafter are the types of sites included in the 2018 reporting scope, and the exclusions due to the reporting methodology:

Brand Within reporting scope Outside of scope

Gucci All stores, offices, industrial sites and warehouses

Offices with less than 10 people

Bottega Veneta

All stores, offices, industrial sites and warehouses

Offices with less than 10 people

Saint Laurent All stores, offices, industrial sites and warehouses

Offices with less than 10 people

Balenciaga All stores, offices, industrial sites and warehouses

Offices with less than 10 people

Alexander McQueen All stores, offices and warehouses Offices with less than 10 people

Brioni All stores, offices, industrial sites and warehouses

Offices with less than 10 people

Girard-Perregaux All offices, warehouses and industrial sites Offices with less than 10 people

Pomellato/Dodo All stores, offices, industrial sites and warehouses

Offices with less than 10 people

Qeelin All stores and offices Offices with less than 10 people

Ulysse Nardin All stores, offices, industrial sites and warehouses

Offices with less than 10 people

Kering Eyewear All offices, warehouses and industrial sites Offices with less than 10 people

Kering Corporate All offices, warehouses and industrial sites Offices with less than 10 people

Note: Tomas Maier and Richard Ginori are not consolidated in the 2018 environmental reporting in accordance with the financial consolidation rules

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PRO FORMA SCOPE 2016 – 2018

To ensure reliable monitoring of trends over the years, several Group indicators are presented on a pro forma basis in this report. This method eliminates any bias due to changes in scope, by taking into account only the sites that were open during two consecutive years (in this case 2016, 2017 and 2018).

This means that the pro forma excludes:

- The 2018 sites that were not present in the 2016 or 2017 reporting (which automatically excludes the new

brands that joined the Kering Group in 2017 or 2018);

- The 2016 or 2017 sites that have been closed in 2018 (which automatically excludes the brands that left the

Group in 2016 or 2017).

COVERAGE RATE OF PRO FORMA 2016 - 2018

At group level, 79% of the 1 545 sites open in 2018 are included in the pro forma figures.

% of 2018 sites included in the pro forma scope

Kering Corporate 65%

Boucheron 79%

Gucci 87%

Saint Laurent 71%

Alexander McQueen 57%

Bottega Veneta 83%

Balenciaga 75%

Girard-Perregaux 100%

Brioni 84%

Qeelin 58%

Pomellato 80%

Ulysse Nardin 100%

Kering Eyewear 29%

Total général 79%

RECALCULATION OF 2016 AND 2017 INDICATORS FOR PROFORMA COMPARISON PURPOSES WITH 2018 DATA

Recalculation of 2016 and 2017 indicators in order to allow pro forma comparison with 2018 indicators takes into account several parameters: perimeter variations and methodological improvements. In 2016, all of the emission factors have been updated in order to take into account new emission factors databases available. In 2017, an analytical review has been conducted in order to target the major evolution of the emission factors. In 2018, some emission factors have been updated for the transportation (especially sea transport, air transport and rail transport). Hereunder the detailed methodology of pro forma data recalculation for each indicator group:

Méthodology pro forma

Energy(MWh) Pro forma on sites perimeter

Energy (CO2) Pro forma on sites perimeter

BtoB Transport Recalculation of 2016 and 2017 emissions with 2018 emission factors Pro forma on brands perimeter No pro forma on geographical perimeter (new transportation sections covered by carriers’ reportings)

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Express Transport Recalculation of 2016 and 2017 emissions with 2018 emission factors Pro forma on brands perimeter No pro forma on geographical perimeter (new transportation sections covered by carriers’ reportings)

Business travel Recalculation of 2016 and 2017 data with 2018 methodology Pro forma on brand perimeter Pro forma on travel agencies coverage

Packaging Pro forma on brand perimeter

Water Pro forma on site perimeter

Paper Pro forma on site perimeter

Waste Pro forma on site perimeter

PACKAGING

Packaging data collection is broken down by type of material. Collected data include primary and industrial packaging (used for goods transportation between industrial sites, warehouses and stores) as well as end packaging which goes to the customer. It must be noted that packaging quantities reported in 2017 cover a wider variety of materials. Reporting indicators have been created for wood, metal and textile used for packaging purposes. Since in 2016 the list of packaging items to be reported has been updated and specified (labels, hangers, protection bags and films, covers, intermediate boxes, stuffing paper, jewellery and watch cases, etc.) no update has been made in 2017 (except on sub-category: bioplastic). It must be noted that the packaging repartition between recycled / sustainably managed forest / standard were wrongly applied. Instead of reporting the entire amount of packaging under the right category, only a part was reported. For example, a cardboard with 60% of recycled fibres were reported as follow: 60% of the weight under the recycled category and 40% of the weight under the standard category. The recycled part was underestimated in 2016.

FREIGHT TRANSPORT

In this document, we present Kering’s reporting methodology to consolidate goods transportation indicators.

COVERED SCOPE: PAID FLOWS

The transportation flows included in the environmental reporting correspond exclusively to all transport carried out under the brands’ control, i.e. paid by them. Transportation flows paid by customers, especially for jewellery and watches brands, are not part of the reporting scope because they are outside Kering operational control. In order to make things clearer, transportation was split in two categories for data collection:

- “B to B” transport:

o deliveries from suppliers when paid by Kering brands, regardless of the type of site delivered (store,

warehouse, industrial site, etc.),

o flows of supply to stores by the warehouses or between warehouses

o express deliveries.

- “B to C” transport:

o deliveries to customers.

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It must be noted that the perimeter covered by the reporting does not include transportation of skins between tanneries and manufacturers. Those transportation flows account for a very negligible part of CO₂ emissions compared to the

Group’s total CO₂ emissions.

INDICATORS USED TO REPORT ON FREIGHT STREAMS: LITRES OF DIESEL FUEL, TONNE.KM AND TEU.KM

- “B to B” units of measurement:

o Road, rail, river, air freight and express transport: tonne.kilometer (t.km). This unit corresponds to the

total sum of the distance travelled multiplied by the tonnage transported. The weight used is the actual

weight of products when available or the taxable weight otherwise. Those transportation flows are

handled by carriers and their CO₂ emissions are calculated on the basis of t.km data provided by the

carriers.

o Sea freight: TEU.kilometer (TEU.km; TEU = Twenty-foot Equivalent Unit). This unit corresponds to the

total sum of the distance travelled multiplied by the total volume transported. A TEU represents an

estimation of the volume transported by a 20-foot cargo.

- “B to C” units of measurement:

o Deliveries to customers: litre of fuel (L). The B to C flows cover deliveries of finished products directly

to clients from logistics platforms or sales points. Deliveries to customers are made by the brands’ own

(or subcontracted) vehicles and the CO₂ emissions are calculated based on the fuel consumption.

It must be noted that real distances are preferred and used whenever possible. Calculation of goods transportation distances is consistent between brands thanks to a common automatic calculation tool based on departure and arrival towns.

CO₂ EMISSIONS LINKED TO TRANSPORTATION: CALCULATION METHODS

Use of carriers’ data compliant with EN-16258

In some instances, carriers are able to provide precise annual reporting of CO₂ emissions and activity data (tons.km) linked to the shipments they handled, with any kind of transportation.

These CO₂ emissions are calculated according to the EN-16258 standard and are automatically communicated to the logistics managers in charge. When carriers are able to provide those figures, their data is used as a source for the annual reporting.

In 2017, regarding the Express transport one carrier was not able to provide the real data. A part of the Exress transport has been estimated this year based on the 2016 real data (tons.km, CO2 emissions), activity variation between 2016 and 2017 and the transportation method (air / road) for each brand. USE OF EMISSION FACTORS (OTHER CARRIERS)

Emission factors are used to calculate and transcribe a physical flow into its environmental impact (i.e. the amount of

CO₂ released in the atmosphere). In the case of transport indicators, the purpose is to estimate the CO₂ emissions related to logistical flows.

The emission factors considered by Kering include CO₂ emissions originating from the “upstream” fuel phase (i.e. during extraction, production and transport of fuels), even if the Group doesn’t have direct control over such emissions, in order to be consistent with the EP&L (Environmental Profit & Loss account) methodology (the EP&L is described in the sustainability chapter of the Kering Reference Document).

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HEAT ENGINE ROAD FREIGHT

Our brands mainly carry textile products and leather goods which are considered as light goods. This leads Kering to use a truck-filling rate of 30%, a maximum load of 25 tons and an empty load back-trip rate of 10%. These assumptions come from the Institute for Energy and Environmental Research of Heidelberg (IFEU)1 for voluminous goods (high volume for a low weight). According to the Bilan Carbone® V7.5 method (January 2016)2, these assumptions lead to an average fuel consumption for a loaded truck of 32.6L/100km and for an empty truck 28.8L/100km.

Moreover, the emission factor include a “scope 3 coefficient” in order to take into account the quantity of greenhouse gases emitted during the extraction, refining and transportation phases of the fuel. This coefficient comes from the Bilan Carbone® V7.5 method (January 2016).

Final road emission factor for 2018, 164.27 gCO2/t.km, covers a WTW (well-to-wheel) scope including upstream activities (extraction, refinery and transportation).

ELECTRICAL ENGINE READ TRANSPORT

Selected emission factors depend on the energy consumption of electrical trucks in kWh/t.km. Selected assumptions are as follows:

Source / explanation

Maximum load 16 T Urban delivery

Filling rate 43 %

Emission factors guide V6.1

Average consumption 1 kWh/km

CE Delft study on electric truck3

Empty load back-trip 18 %

Emission factors guide V6.1

Associated emission factor 0.177 kWh/t.km

The emission factor in gCO₂/t.km depends on the country emission factor (see section « Electricity and renewable energy »).

Type of transport Value WtW Unit

Road – unknown type of truck 164,27

gCO2 / t.km

Road – Truck Euro V or VI 164,27 gCO2 / t.km

Road – Natural gas truck 164,27 gCO2 / t.km

Road – Electric trucks Min. 3,7 Max.252,3

gCO2 / t.km

SEA FREIGHT

The BSR’s (Business for Social Responsibility) « clean cargo working group (CCWG)4 » is the source followed by Kering for emission factors. Indeed Kering’s main sea transportation provider was part and even a leading actor of this group. Moreover, the emission factor includes a “scope 3 coefficient” in order to take into account the quantity of greenhouse gases emitted during the extraction, refining and transportation phases of the fuel. This 1.088 coefficient comes from BSR/CCWG’s methodological recommendations presented in June 2015 report.

1 Ecological Transport Information Tool for Worldwide Transports; Methodology and Data; Updated 4th December 2014 2 The Bilan Carbone methodology was created by ADEME, the Environmental French Agency. Bilan Carbone® brand is now managed by ABC (Association Bilan Carbone) http://www.associationbilancarbone.fr 3 http://www.cedelft.eu/?go=home.downloadPub&id=1399&file=CE_Delft_4841_Zero_emissions_trucks_Def.pdf 4 BSR | CCWG: Global Maritime Trade Lane Emissions Factors (August 2014); BSR | CCWG C02 Emissions Accounting Methodology Report, June

2015

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The final WTW emission factors used in 2018 are as follows:

Maritime Route Emission factor Unit Source

South East Asia – North East Asia 65.5 g CO2 / evp.km Clean Cargo Working Group (CCWG), 2015 Progress Report (August 2015) - BSR, 2017 Global Maritime Trade Lane Emission Factors

North East Asia – North East Asia 63.2 g CO2 / evp.km

South East Asia – South East Asia 80.8 g CO2 / evp.km

Europe – Asia 33.2 g CO2 / evp.km

North America– Asia 50.8 g CO2 / evp.km

Africa – Asia 53.2 g CO2 / evp.km

Europe – North America 65.7 g CO2 / evp.km

Europe – Europe 96.4 g CO2 / evp.km

Europe – South Africa 52.9 g CO2 / evp.km

Europe – Africa 66.7 g CO2 / evp.km

Europe – Oceania 72.2 g CO2 / evp.km

North America – South America 69.0 g CO2 / evp.km

South America – Asia 44.9 g CO2 / evp.km

North America (internal) 127.5 g CO2 / evp.km

South America (internal) 78.8 g CO2 / evp.km

AIR FREIGHT

Emission factors selected for air freight come from the Base Carbone ® v8 de l’ADEME5 in order to ensure sources consistency with other emission factors. In particular, those factors are used in the French methodological reference

« Information on CO₂ from transportation services » which is consistent with the EN-16258 standard6. Moreover, the emission factors from the Base Carbone® v8 of l’ADEME include a “scope 3 coefficient” in order to take into account the quantity of greenhouse gases emitted during the extraction, refining and transportation phases of the fuel.

For “short and medium-haul category”, Kering used the average of “short haul” (1 275 gCO₂/tkm WTW) and “medium”

haul (1 258 gCO₂/tkm WTW).

Emission factor

Unit Source

Air – short/medium-haul (less than 4000 km) 1 275 g CO2 / t.km ADEME, Bilan Carbone v8 Air – long-haul (more than 4000 km) 1 258 g CO2 / t.km

RAIL FREIGHT

A major part of our rail transportation is done in the US, Germany and in Canada, where the energy mixes for electricity vary, and so does the percentage of fuel or electrical locomotives. Therefore different sources are used to obtain the most accurate emission factors for 2018.

5 Toutes les mentions de la Base Carbone® font référence à la version 8 de la Base Carbone disponible sur le site du Centre de ressources sur les

bilans de gaz à effet de serre de l’ADEME (http://www.bilans-ges.ADEME.fr/) 6 CO₂ information related to transport services – Report on the scheme implementation – 14/12/2015, p. 16

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Exceptionally, those factors only include tank-to-wheel (TTW) emissions, and do not take into account upstream emissions. The rationales for this assumption are as follows:

- Rail freight emissions only account for about 0.5% of Kering total freight emissions;

- Upstream emissions are not easily calculated for each rail network because of the variety of traction modes and

power supply modes according to the countries.

Selected emission factors for 2018 rail freight are: Emission factor Unit Source

Denmark 37,8 g CO2 / t.km

ADEME, Bilan Carbone v8

France 5,6 g CO2 / t.km

Germany 32,0 g CO2 / t.km

Italy 29,1 g CO2 / t.km

Norway 8,2 g CO2 / t.km

Spain 34,5 g CO2 / t.km

Sweden 4,3 g CO2 / t.km

Switzerland 3,6 g CO2 / t.km

United Kingdom 33,5 g CO2 / t.km DEFRA, Conversion factors 2018, v.01-00

Canada 15,2 g CO2 / t.km Canadien National (CN)

USA 14,4 g CO2 / t.km

US EPA - Department of Transportation (DOT) - Emission Factors for Greenhouse Gas Inventories - March 2018

Other European countries 22,6 g CO2 / t.km ADEME, Bilan Carbone v8

Rest of the world 14,4 g CO2 / t.km

US EPA - Department of Transportation (DOT) - Emission Factors for Greenhouse Gas Inventories - March 2018

TRANSPORT B TO C

The emission factors used for B to C transportation are the same as for B to B. However the brands report the fuel consumption of their vehicle fleet or their service provider’s fleet. In that case the emission factor used is the one of the Base Carbone® v11.4 of Ademe (updated on August 5th 2016).

TYPE OF TRANSPORT Value scope 1

Value scope 3

Value scope 1 + 3

Unit

Diesel consumption 2,52 0,656 3,17 kg CO₂ / L

COMPANY CARS

The brands report in priority their diesel or gasoline consumption. When this information is not available, the contributors can report the average emission factor of their fleet (given by their leasing supplier or carmaker) together with the distance travelled by the fleet. Emission factors used in this case are the ones provided by the Base Carbone® v11.4 of Ademe (updated on August 5th 2016). The upstream emission factor comes from the same source.

TYPE OF TRANSPORT Value scope 1 Value scope 3 Value scope 1 + 3

Unit

Consommation de diesel 2,52 0,656 3,17 kg CO₂/ L

Consommation d’essence 2,26 0,53 2,79 kg CO₂/L

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BUSINESS TRAVEL

In 2018 and in order to have more precise data for business travel, Kering used the data from their travel agencies. This reporting methodology takes into account the class used, the real distance, etc. CO2 values provided by the travel agencies reporting are based on the guidelines produced by DEFRA’s GHG Conversion Factors. The value represents Total Green House Gas (GHG) emissions. The following criteria are taken into account in the calculation:

- The method evaluates flights based on airport locations and calculates emissions based upon the actual

distance flown

- Class of flight7. The available class type are :

o Economy

o Premium Economy

o Business

o First

Flight type8 Class flight Value WtW Unit

Short-haul international All class 141,41 gCO2/passager.km

Medium-haul international Economy 83,78 gCO2/passager.km

Medium-haul international Premium Economy 83,78 gCO2/passager.km

Medium-haul international Business 125,65 gCO2/passager.km

Medium-haul international First 125,65 gCO2/passager.km

Long-haul international Economy 72,965 gCO2/passager.km

Long-haul international Premium Economy 116,75 gCO2/passager.km

Long-haul international Business 211,6 gCO2/passager.km

Long-haul international First 291,88 gCO2/passager.km

ENERGY RELATED TO CO2 EMISSIONS

FUELS

The CO₂ emission factors related to the consumption of energy come from the Base Carbone® v11.4 of Ademe (updated on August 5th 2016). The emission factors for liquid, gaseous and solid fuels are composed of a combustion phase and an upstream phase.

TYPE D’ENERGIE Value scope 1 Value scope 2 Value scope 3 Value scope 1+2+3

Unit

Heavy fuel 279.81 - 45.28 325.09 g CO₂ / kWh

Light fuel 265.89 - 57.95 323.84 g CO₂ / kWh

Natural gas 204.93 - 38.90 243.83 g CO₂ / kWh

Solar electricity (for onsite production)

- - 55 55.00 g CO₂ / kWh

LPG 232.72 - 39 271.72 g CO₂ / kWh

Coal (Lignite)9 364 - 32 396 g CO₂ / kWh

7 For shorter flights class is not applicable 8 Short-haul < 785km

785 km < Medium-haul < 3700 km Long-haul > 3700 km

9 None of the Kering sites uses coal. However, an emission factor was defined, in particular for environmental assessment in the supply chain. In

order to make a conservative assumption, emission factor from lignite was chosen as an average value for the different coal types.

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PURCHASED ENERGY (STEAM, ELECTRICITY)

Steam

The selected emission factor for Scope 2 emissions linked to steam comes from the Base Carbone® v11.4 of Ademe (updated on August 5th 2016). A 10% line losses coefficient was applied.

For scope 3 (upstream of fuels to produce steam), a conservative assumption was made. Upstream Scope 3 associated with fuels used to generate steam (natural gas, coal, etc.) comes from the Base Carbone® v11.4 of Ademe (updated on August 5th 2016) 10 and is a percentage of emissions due to combustion. Therefore, the highest percentage presented in the Base Carbone® v11.4 of Ademe (updated on August 5th 2016) was selected, i.e. the percentage linked to natural gaz combustion11 (18.1%).

ENERGY TYPE Value Scope 1 Value Scope 2 Value Scope 3 Value scope 1+2+3

Unit

Steam - 182.4 33 215,4 g CO₂ / kWh

Electricity and renewable electricity The emission factors used to calculate the emissions of greenhouse gases linked to the production of the electricity consumed by Kering are specific to the countries where the sites of Kering are located. In an effort to match numbers with the reality of the different types of energy mix in the various countries and regions of Group operations, Kering used emission factors specific to each of its countries and regions of operation. Energy mixes used by Kering come from the International Energy Agency (IEA) databases, which are regularly updated. Emission factors related to Scope 2 (i.e. emissions linked to combustion during the electricity production) and Scope 3 (i.e. emissions linked to extraction, refinery and transportation of fuel as well as emissions linked to the construction of energy generation units for renewable energy and nuclear energy) are evaluated based on an LCA approach (Life Cycle Analysis). A summary of the sources used is presented below:

Information for calculation Source

Energy Mix International Energy Agency (IEA), 2016. The IEA’s report published in 2016 is based on 2014 data.

Line losses International Energy Agency (IEA), 2016. The IEA’s report published in 2016 is based on 2014 data.

Scope 2 emissions « DEAM » database of Life Cycle Analysis (PwC)

Scope 3 emissions (except solar energy)

« DEAM » database of Life Cycle Analysis (PwC)

Solar energy emissions Ecoinvent 3

Proportion of solar energy for non OECD countries

International Energy Agency (IEA), 2015. The IEA’s report published in 2016 is based on 2014 data.

Proportion of wind energy for non OECD countries

International Energy Agency (IEA), 2015. The IEA’s report published in 2015 is based on 2013 data.

Coal, fuel and natural gas yields Energy Efficiency Indicators for Public Electricity Production from Fossil Fuels, IEA, 2008.

10 http://www.bilansges.ademe.fr/static/documents/[Base%20Carbone]%20Documentation%20g%C3%A9n%C3%A9rale%20v11.0.pdf

11 P. 44 of Documentation on emission factors of Base Carbone® v11.4 by Ademe, the Environmental French Agency (updated on August 5th 2016).

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ELECTRICITY EMISSION FACTORS (In gCO2/kWh)

Value scope 2 (strandard electricity)

Value scope 3 (standard electricity)

Total value standard electricity (scopes 2+3)

Value green electricity (scope 3 only)

South Africa 1 032 150 1 182 41

Germany 522 87 609 24

Argentina 451 99 550 21

Aruba 925 158 1 083 8

Australia 903 145 1 048 25

Austria 122 37 160 19

Bangladesh 695 145 840 37

Belgium 183 42 224 22

Brasil 204 52 256 20

Bulgaria 575 91 666 31

Cambodia 494 88 582 23

Canada 173 44 217 21

Chile 534 93 627 18

China 925 139 1 065 20

South Korea 327 65 392 24

Croatia 284 60 344 20

Denmark 368 61 429 8

United Arab Emirates 572 129 701 8

Spain 307 62 369 23

United States of America

594 100 695 16

Finland 218 40 258 11

France 36 12 49 22

Georgia 125 46 171 21

Greece 767 129 895 39

Guam 787 153 940 -

Hong-Kong 1 084 168 1 252 0

Hungary 383 66 449 18

India 1 219 182 1 402 20

Indonesia 893 145 1 038 13

Irelande 510 96 605 9

Italy 367 79 446 28

Japan 607 110 717 26

Koweït 839 156 995 -

Lituania 287 72 359 15

Luxembourg 194 56 250 23

Macau 925 139 1 065 20

Malaysia 826 148 974 22

Mexico 558 113 671 18

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Montenegro 618 102 720 23

Norway 11 21 32 21

New Zealand 132 38 170 16

Pakistan 539 108 648 24

Netherlands 571 103 675 9

Peru 328 85 412 22

Philippines 794 132 926 10

Poland 970 143 1 113 6

Portugal 321 61 382 16

Puerto Rico 787 153 940 -

Qatar 640 145 785 -

Czech Republic 655 100 755 25

Romania 452 81 533 20

United Kingdom 470 82 551 12

Russia 563 115 678 22

El Salvador 368 69 438 10

Serbia 831 128 959 23

Singapore 535 120 655 2

Slovakia 215 41 256 22

Slovenia 251 47 298 23

Sweden 9 12 22 17

Switzerland 5 15 20 21

Taiwan 740 121 861 15

Thaïland 650 127 777 15

Turkey 598 109 706 25

Ukrain 523 82 605 26

Uruguay 82 31 113 19

Vietnam 547 106 653 22

EXTERNAL VERIFICATION BY STATUTORY AUDITORS

For the twelfth year in a row, the extra-financial data published in the Reference document was verified by one of the statutory auditors, Deloitte & Associés. Pursuant to Article L.225-102-1 of the French Commercial Code, Kering has appointed one of its Statutory Auditors as independent third party responsible for the verification of the information published in the Extra-financial Performance Statement, in Chapter 3 of the 2018 Reference Document. The report by the Statutory Auditor concerns, among other things, the presence and the fairness of qualitative and quantitative published environmental, social and societal information. The report issued by our Statutory Auditors can be found on page 149 of Kering 2018 Reference Document.