As the Company ’ s strategic body , the Board of

Directors ’ key priority is enterprise value creation . It

endeavors to promote long - term value creation by the

Company and protecting its corporate interests ,

focusing in particular on the social , environmental and

climate issues facing its business .

ROLE OF THE BOARD

OF DIRECTORS IN

THE COMPANY ’ S STRATEGY

The Board of Directors ’ principal assignments are

to   approve the Company ’ s and the Group ’ s broad stra -

tegic direction –   particularly with regard to social ,

environmental and climate - related matters   – and super -

vise its implementation , as well as verifying the fair and

accurate presentation of information . It is also tasked

with protecting the Group ’ s corporate assets and

ensuring that the major risks to which the Company

is exposed with regard to its structure and targets are

taken into account in its management . The Board also

sees to it that procedures to prevent corruption and

influence - peddling risks are implemented within the

Group and that procedures are followed with regard

to data protection and ethics . It also monitors the

impact of the Group ’ s non - discrimination and diversity

policy . Lastly , it acts as guarantor of the rights of all

of   its shareholders .

A Charter has been adopted by the Board of Directors

which outlines rules governing its membership , duties ,

procedures , and responsibilities .

COMMITTEES OF THE BOARD

OF DIRECTORS

The Board of Directors has established three special -

ized committees : the Performance Audit Committee ,

the Compensation Committee , and the Sustainability

& Governance Committee , the principal duties of which

are as follows :

– The Performance Audit Committee ensures the

integrity of the financial and sustainability reporting

processes , the independence of the auditors by

supervising their assignments , and the effectiveness of

internal control and risk management procedures ,

including those for social and environmental risks .

– The Compensation Committee advises on the com -

pensation policy for company officers and makes

proposals concerning the compensation , benefits in

kind and stock option and bonus share allocations of

senior executive officers , Directors and Advisory Board

members holding operational positions . It also makes

recommendations on the performance criteria applied

to the variable portion of senior executive officers ’

compensation , as well as periodically assessing the

extent to which these criteria have been met .

– The Sustainability & Governance Committee assists

the Board of Directors in defining and monitoring the

Group ’ s strategic direction with regard to ethical , envi -

ronmental , climate - and workforce - related matters ,

and ensures that its values and rules of conduct are

upheld . It issues opinions on applications for Director

or Advisory Board member positions , on the member -

ship , diversity , independence and operation of the

Board of Directors , and on all governance - related

matters . It also tracks on an annual basis the total

compensation and benefits of any kind awarded to

Executive Committee members .

These committees consist of at least three members ,

appointed by the Board of Directors . The Chairman of

each committee is appointed from among its members

by the Board of Directors . All three committees are

chaired by an Independent Director .

Meetings or joint working sessions may be organized

between the Board ’ s various committees on   cross - cutting

topics , particularly with regard to social , workforce -

related and environmental responsibility and climate

issues . This helps to enhance coordination and the

sharing of expertise on all the major issues facing

the   Group .

Robust corporate

governance

The rights of LVMH shareholders are protected

by law and the principles of corporate governance ,

which govern the way the Group operates .

100

ATTENDANCE

50

WOMEN ON THE

BOARD OF DIRECTORS