Aproactive corporate policy requires constant adaptation to real situations. It must anticipate crises and include a plan to mobilize partners.

Develop environmental audits

Since 1995, environnemental audits, have been conducted by external private firms on the production sites of Guerlain, Parfums Givenchy, Krug, Veuve Clicquot Ponsardin, Moët & Chandon, Hennessy, Celine, Louis Vuitton Malletier, Tag Heuer subsidiaries...

In 2003 20 environmental audits were thus conducted at the sites internally or by outside parties (insurance companies, ISO 14001 auditors, etc.).

In addition to these audits, at their sites the companies can periodically conduct numerous compliance checkings on a specific point of environmental regulation (e.g. checking of waste sorting). In addition to those verifications, since 2003 there has been a review of environmental regulatory compliance by insurance companies, which included an environmental component when fire engineering inspections were conducted at Group company sites. About 30 inspections were conducted in 2003.

This action will be reinforced in 2004 by forming a team of about 12 environmental internal auditors, who are to conduct environmental management and/or compliance audits.

Anticipate crises

To be prepared for any and all situations, the Group conducts an active environmental risk management policy. Crisis management teams at all our manufacturing sites develop Safety Procedures (organization, simulation, review and update) using a common method that includes:
- identification and analysis of the risk categories in each sector,
- development of a suitable organization and structures,
- implementation of an effective communication network and information tools.

Participating in the community debate on the environment

Since 2003 LVMH has chaired the OREE association which it has been a member of for 10 years. OREE brings together companies, local governments and associations to brainstorm together and create tools to improve environmental awareness.

The Group is also part of the environment committees of many national professional associations (Institut de Liaison des Entreprises de la Consommation [ILEC], Organisation pour la Responsabilité Sociale des Entreprises [ORSE], Association pour le Management des Risques et des Assurances de l'Entreprise [AMRAE], Association Française des Entreprises Privées [AFEP]), and European associations (Association des Industries de Marques [AIM]). Moët Hennessy also sits on the Board of Directors of the Adelphe organization, and LVMH is a shareholder of ECOPAR (Eco-Emballages), two entities that help local governments to sort and recycle household packaging waste.

The Group's environment department has regular relationships with consumer and environmental protection associations, either directly through formal or informal one-time meetings, or through the organizations listed above in which the Group is active.

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