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proportion of leather (in m2) from LWG-certified tanneries (%); proportion of gold (in kg) purchased that is RJC COP or CoC certified; proportion of diamonds (in carats) purchased that are RJC COP certified; proportion of cotton (in metric tons) purchased that is BCI certified (%); greenhouse gas emissions avoided per year by projects carried out under the carbon fund (metric tons of CO2 equivalent avoided).

Qualitative information (actions or results): organization of the environmental initiative, in particular governance and commitments, includ- ing the LIFE program; environmental impact of packaging and monitor- ing of the LIFE Product objective; the environmental standards taken into account in the procurement and monitoring of LIFE Sector objective; the fight against climate change and monitoring of the LIFE Climate change objective; environmental management of sites and monitor- ing of LIFE Sites objective.

Selection and appropriateness of indicators

The purpose of the published environmental indica- tors is to report to stakeholders on the Group s annual environmental results. They provide informa- tion on the environmental issues and indicators speci fied in the Decree of April 24, 2012, implement- ing Article 225 of Law No. 2010.788 of July 12, 2010 regarding the national commitment to the environ- ment (also known as the Grenelle II Law).

Raw materials A set of indicators for measuring the quantities (in metric tons) of raw materials used to manufacture products:

Wines & Spirits: grapes; Fashion & Leather Goods: leather, wool, cotton, viscose, etc.; Watches & Jewelry: gold, diamonds, colored stones, metals, etc.; Perfumes & Cosmetics: palm oil derivatives, etc.

Water consumption Water consumption is expressed in m3. This indica- tor enables the quantities of water consumed to be assessed by distinguishing between the following two requirements:

agricultural requirement: measurement of the quantities of water used for irrigation (banned in France), and for sprinkling the vines (to prevent frost, etc.). The water volumes used are either measured directly or, more usually, estimated; processing requirement: this is the measurement of all non-agricultural requirements (industrial and sanitary processes, cleaning, and the watering of green spaces, etc.). These types of water con- sumption are almost always measured.

Water pollution Water pollution is expressed in metric tons of COD. This indicator reflects the total annual flow dis- charged into the natural environment by the sites, after treatment either at, or downstream from, the facility. The only sectors concerned by this parameter are Wines & Spirits, Fashion & Leather Goods and Perfumes & Cosmetics, where the discharges of organic matter and other pollution from effluents are significant and directly related to their operations.

Production of waste All the waste produced is measured in metric tons. The waste taken into account is the hazardous and non-hazardous waste removed from the sites during the reporting period. The treatment method for each kind of waste is also identified so as to calculate a recovery ratio. The various channels for recycling waste are:

reuse: using the waste for the same purpose as the one for which the product was initially intended; the recovery of materials, which includes: recycling: waste is directly reintroduced into the

production cycle from which it came, in order to partially or completely replace a virgin raw material, e.g. paper and cardboard, and some plastics, etc.;

organic recovery: composting and controlled spreading of organic waste in order to fertilize soil, etc.;

energy recovery: incinerating and recovering the energy generated by the combustion process in the form of electricity or heat.

Energy consumption Energy consumed is expressed in MWh, and repre- sents all the types of energy used by the company s sites (electricity, natural gas, heating oil, heavy oil, steam, chilled water, butane-propane, and renew- able energy) and company cars.

Greenhouse gas emissions This indicator is expressed in metric tons of CO2 equiv- alent and corresponds to the greenhouse gas emis- sions relating to the energy consumed by the sites. It