LVMH 2018 . C h a i r m a n s m e s s a g e

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A SENSE OF RESPONSIBILITY

As ambassadors of excellence, inspired by the continued success of our Maisons, we are also aware of the responsibility we have. The sustainability of our model is built on our exemplary approach to ethics and respect for our partners. Where the environment is concerned, we have already spent over 25 years working to preserve the shared heritage of rare and precious raw materials used to craft our products. Back in 1992, we took the lead by setting up an environment department. Today, more than ever, we are engaged in the protection of the environment, especially in the fight against climate change. For example, we have set ambitious 2020 goals for all our Maisons that concern their products, workshops and stores. It is also our responsibility to increase transparency in our supply chain and ensure that our practices reflect the highest standards of integrity and respect for our partners. Sharing our expertise is another key commitment. For example, we hand down expertise to younger generations through the Institut des Métiers d Excellence LVMH, which by the end of 2018 had already trained 500 apprentices. And we support up-and-coming creative talent with the LVMH Prize for Young Fashion Designers, which has been showcasing the work of new and emerging designers every year since 2014. Lastly, we also promote and celebrate our artisanal expertise with a multitude of people during the Journées Particulières; the fourth edition of this event in 2018 was an unprec- edented success, with our artisans welcoming 180,000 visitors.

CAUTIOUSLY OPTIMISTIC FOR 2019

In 2019, LVMH will again demonstrate its strong focus on innovation. Further progress will be made on many existing projects as well as a number of new launches. Powered by their creative momentum, our Maisons will further refresh and enrich their iconic lines while maintaining the exquisite quality of their products. Retail is another growth driver for our products, which will be boosted by our increasingly customer-centric approach as we develop our brands. The growing use of digital technologies in our business activities will also enrich the customer experience that we offer, both online and in our physical stores. Over the last 20 years, in addition to its Maisons excellence, the Group has benefited from the general increase in living standards worldwide. This trend is set to continue in the years to come. Therefore, while I am watchful, I remain optimistic about the Group s medium- and long-term outlook. For the short term, conditions at the beginning of this year are buoyant, but we will keep a close eye on developments in light of persistent geopolitical uncertainties. We are therefore cautiously optimistic for 2019 and have set ourselves the ambition of further strengthening our global leadership in high-quality products.

Bernard Arnault Chairman and Chief Executive Officer