Sustainability Plan

CORPORATE GOVERNANCE AND SUSTAINABILITY

Foster a culture of sustainability within the Group

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Implementation of an integrated sustainability management system which incorporates environmental and social considerations into business decisions

2015 RESULTS

- The Control and Risks Committee at Board of Directors level became the Control, Risks and Sustainability Committee

– Sustainability Steering Committee established

– First Sustainability Plan created

– First Sustainability Report designed

OBJECTIVES

2016 Inclusion of sustainability aspects into the self-assessment questionnaire for members of the Board of Directors

2016 Presentation of the first Sustainability Report and the Sustainability Plan at the Annual Shareholders’ Meeting

Table 2

ACTIONS

Monitoring of Key Performance Indicators (KPIs) for non-financial aspects

2015 RESULTS

- Reporting of non-financial aspects began according to the GRI-G4 standard

OBJECTIVES

2016 Increase in KPIs monitored

2017 Analysis of information requests by sustainability rating agencies and monitoring of additional KPIs

Table 3

ACTIONS

Incorporation of environmental and social aspects into employee performance objectives

2015 RESULTS

- Environmental and social aspects incorporated into the performance objectives of senior executives

OBJECTIVES

2016 Incorporation of environmental and social aspects into the performance objectives of employees and management involved in the implementation of the Sustainability Plan

Table 4

ACTIONS

Organisation of classroom or web-based training seminars to raise employee awareness of sustainability issues

2015 RESULTS

OBJECTIVES

2016 Organisation of training sessions in Italian corporate offices

2017 Extension of the training activities to other Countries where Group operates

Maintain the corporate governance and risk management systems in line with best practices

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Code of Ethics update

2015 RESULTS

OBJECTIVES

2016 Code of Ethics update with focus on sustainability issues

2017 Formulation and dissemination of Guidelines integrated into the Code of Ethics

Table 2

ACTIONS

Expansion of the scope of Company processes covered by the Enterprise Risk Management (ERM) system

2015 RESULTS

- New risk factors linked to sustainability identified

OBJECTIVES

2016 ERM update and consolidation with periodic assessment of potential risk factors including ones related to social-environmental issues

Table 3

ACTIONS

Update of corporate governance system

2015 RESULTS

- Foreign Group subsidiaries’ corporate governance redefined to align it to the Parent Company guidelines

OBJECTIVES

Continuous monitoring of best practices and the guidelines of Corporate Governance Code for Listed Companies and evaluation of potential updates

Table 4

ACTIONS

Implementation of a whistleblowing procedure

2015 RESULTS

- Plan drawn up

OBJECTIVES

2016 Activation of whistleblowing procedure and process

Integrate sustainability issues in the dialogue with stakeholders

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Reporting of sustainability performance and targets to analysts and investors

2015 RESULTS

- Frequency of contacts with socially responsible investors (SRI) and analysts increased

– Sustainability approach and strategy presented at the Capital Markets Day event

OBJECTIVES

Continuous integration of sustainability issues into financial communications

Table 2

ACTIONS

Collaboration with fashion/textile companies to share best practices and increase sustainability performance in the sector

2015 RESULTS

- Participation in discussion groups related to down, potentially dangerous substances and good environmental practices

OBJECTIVES

Continuous participation to working groups related to sustainability issues

HUMAN RESOURCES

Engage employees and meet their expectations

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Conduct a people satisfaction survey to learn more about employee needs and expectations

2015 RESULTS

OBJECTIVES

2017 Performance of a people satisfaction survey on a global level, analysis of the results and definition of an action plan

2018 Beginning of action plan implementation

Table 2

ACTIONS

Strengthening internal communications

2015 RESULTS

- New intranet site designed

– Meetings organised with Italian corporate staff to discuss Group performance

OBJECTIVES

2016 Launch of a new intranet site

2016 Recruitment of an individual responsible for employee engagement projects

Offer equal opportunities

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Management of vacancies through a Job Posting system

2015 RESULTS

OBJECTIVES

2016 Implementation of a pilot Job Posting programme

2017 Launch of the Job Posting programme worldwide

Table 2

ACTIONS

Supporting and taking part in the Valore D association, which aims to promote the role of women in the workplace

2015 RESULTS

OBJECTIVES

Continuous participation in the initiative

Table 3

ACTIONS

Implementation of a policy to ensure equal opportunities in the recruitment process

2015 RESULTS

OBJECTIVES

2016 Definition and implementation of the policy

Nurture talent

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Extension of the performance assessment programme

2015 RESULTS

- 45.2% of employees (excluding workers) evaluated on results achieved

OBJECTIVES

2017 Assessment of 100% of employees (excluding workers) on results achieved

Table 2

ACTIONS

Definition and implementation of a training and development programme

2015 RESULTS

- Conclusion of 2014-2015 development and training programmes for management and young talents

OBJECTIVES

2016-2018 Design and implementation of a multiyear training programme and establishment of a career path for high potential employees and for management

Promote and support employee welfare

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Implementation of a welfare plan

2015 RESULTS

OBJECTIVES

2017 Implementation of a welfare programme for Italian corporate office employees

Table 2

ACTIONS

Establishment of partnerships with facilities dedicated to health and wellness (gyms, diagnostics centres, etc.)

2015 RESULTS

OBJECTIVES

2016 Establishment of new agreements

Table 3

ACTIONS

Organisation of training and awareness sessions on the themes of nutrition, illness prevention and healthy lifestyles

2015 RESULTS

- 500 employees involved in awareness sessions

OBJECTIVES

2016 Continuation of the initiative through additional training sessions

Continue to improve health and safety

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Identification of potential health and safety risks in sites
and stores and implementation of improvement measures

2015 RESULTS

- Potential health and safety risks in Italian offices and stores analysed

– Plans for improvement designed and implementation started in Italian offices and stores

OBJECTIVES

2016 Finalisation of improvement measures in Italian offices and stores and achievement of OHSAS 18001 certification

2016 Analysis of potential health and safety risks and implementation of improvement plans in offices and stores in France, Belgium and Germany

2016 Analysis of potential health and safety risks at the Romanian production unit

2017 Definition and implementation of improvement measures and achievement of OHSAS 18001 certification at the Romanian production unit

2017 Analysis of potential health and safety risks and implementation of improvement plans in offices and stores in the U.K., the Netherlands, Turkey, Spain and Denmark

2018 Analysis of potential health and safety risks and implementation of improvement plans in offices and stores in Switzerland, Eastern Europe and Austria

Prevent work-related stress

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Monitoring of work-related stress levels and definition of prevention plans

2015 RESULTS

– Employee work-related stress in Trebaseleghe (Padua – Italy) Italian corporate office evaluated

OBJECTIVES

2016 Implementation of an action plan to prevent employee
work-related stress at Trebaseleghe Italian corporate office

2017 Assessment of employee work-related stress at Milan corporate offices and implementation
of a tailored action plan

2018 Gradual extension of employee work-related stress assessment
to European offices

2019 Implementation of an action plan to prevent work-related stress
in all European offices

PRODUCTS AND SUPPLY CHAIN

Promote a responsible supply chain

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Definition and dissemination of social, ethical and environmental standards for suppliers

2015 RESULTS

OBJECTIVES

2016 Creation and distribution of a Supplier Code of Conduct

2016 Creation and dissemination of a manual that contains the social, ethical and environmental standards required for suppliers

2017 Supplier training on the manual

2017 Progressive inclusion of contractual clauses on compliance with the Supplier Code of Conduct

Table 2

ACTIONS

Analysis of risk within the supply chain

2015 RESULTS

– Self-assessment questionnaire designed to assess potential and existing suppliers also on sustainability aspects

– Risks map for the supply chain created

OBJECTIVES

2016 Distribution of self-assessment questionnaires to key suppliers

2017 Integration into the vendor rating system of the sustainability results collected via the self-assessment questionnaire and audit results

2016 Definition of a three-year social, ethical and environmental audit plan designed to cover 80% of the value of supplier orders

Table 3

ACTIONS

Performance of audits to verify compliance with social, ethical and environmental standards

2015 RESULTS

- 45 ethical-social audits performed, covering 26% of total value of supplier orders

– Suppliers formally informed of any non-compliance issues identified during audits and corrective actions requested

OBJECTIVES

2016 Performance of an additional 20 social audits and 10 environmental audits

2017-2018 Performance of additional social-ethical-environmental audits, in line with the three-year coverage plan

Continue to define joint supplier-company plans to solve non-compliance issues identified during audits and monitoring of results

Table 4

ACTIONS

Certification of the down supply chain

2015 RESULTS

– DIST (Down Integrity System & Traceability) Protocol created to ensure animal welfare and down traceability and quality

– Protocol implementation started: 120 third-party audits performed

– Auditors trained by the Department of Veterinary Medicine of the University of Milan

OBJECTIVES

2016 DIST Certification of 100% of purchased down

2016 Creation of training material for farmers in four languages

Table 5

ACTIONS

Ongoing review and monitoring of banned or restricted substances (Restricted Substances List, RSL) in products and production processes

2015 RESULTS

– RSL updated according to the most restrictive limits in international regulations

OBJECTIVES

2016-2021 Continued review of the list of substances banned or restricted in Moncler products, in line with the latest and most reliable researches or new regulations on the subject

2016-2018 Analysis of waste water deriving from the production systems of some suppliers/third parties

ENVIRONMENTAL IMPACT

Improve energy efficiency and reduce CO₂ emissions

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Assessment of the environmental impact of the relevant sites/stores and implementation of improvement measures

2015 RESULTS

– Energy audits at the Italian corporate offices in Trebaseleghe (Padua – Italy) and Via Solari in Milan carried out

OBJECTIVES

2016 Definition and implementation of an improvement plan to reduce the environmental impact of the audited sites

2016 Environmental audit of the Romanian production unit

2017 Definition and implementation of improvement measures at the Romanian production unit with the objective to be aligned with the ISO 14001 standard

Table 2

ACTIONS

Purchase of electricity from renewable sources

2015 RESULTS

OBJECTIVES

2016 50% of the electricity used in offices, stores and in the logistics hub in Italy to come from renewable sources

2017 100% of the electricity used in offices, stores and in the logistics hub in Italy to come from renewable sources

Table 3

ACTIONS

Use of lighting systems with a low environmental impact

2015 RESULTS

– 52% of stores worldwide (100% in the United States) fitted with LED lighting

OBJECTIVES

2016 100% of stores in Europe to be fitted with LED lighting

2017 100% of stores worldwide to be fitted with LED lighting

Table 4

ACTIONS

Introduction of sustainability requirements in store format

2015 RESULTS

OBJECTIVES

2016 Introduction of sustainability requirements in store format

2017 Start of implementation of store format integrated with sustainability requirements

Table 5

ACTIONS

Virtualisation of servers

2015 RESULTS

- 41 servers on virtual infrastructure implemented. Total of 245 servers on virtual infrastructure implemented on 24 physical servers

OBJECTIVES

2016 Adoption of 10 new virtual servers to reach a total of 255 servers on virtual infrastructure implemented on 24 physical servers

2016 Technological update of server rooms at the corporate offices in Trebaseleghe (Padua – Italy), Milan (Italy) and at the logistics hub in Castel San Giovanni (Piacenza – Italy)

Use of paper from responsible sources

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Use of paper originating from responsible sources

2015 RESULTS

– Since September 2015, all paper material bearing the brand logo (used in folders, business cards, “with compliments” cards , client data sheets, notebooks, envelopes, headed letters, catalogues, etc.) used in Europe and the United States is ECF and comes from responsibly managed sources and ISO 14001 or EMAS certified production facilities

– 91% of office paper coming from responsible sources

OBJECTIVES

2016 Extension of ECF paper from responsibly managed sources and ISO 14001 or EMAS certified production facilities to the entire world for all paper material bearing the brand logo (used in folders, business cards, “with compliments” cards , client data sheets, notebooks, envelopes, headed letters, catalogues, etc.)

2016 Use throughout the world of office paper from responsible sources

Reduce the environmental impact of the shopping experience

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Design and production of a low environmental impact shopping bag

2015 RESULTS

– Low environmental impact shopping bag designed and launched

OBJECTIVES

2016 Worldwide use of the shopping bag

Table 2

ACTIONS

Design and production of low environmental impact boxes used to send items purchased via e-commerce

2015 RESULTS

– Design of a low environmental impact box

OBJECTIVES

2016 Worldwide use of the new boxes

Raise employee awareness of the environmental impact of daily activities and encouragement of responsible behaviour

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Definition of guidelines that focus on incentivising responsible use of paper, toner, and electric energy and foster recycling of waste

2015 RESULTS

OBJECTIVES

2016 Formulation and dissemination of the guidelines throughout the world

Table 2

ACTIONS

Use of technology to support remote interaction among employees with the goal of decreasing business travels

2015 RESULTS

- Tele presence technology room installed at the Trebaseleghe (Padua – Italy) corporate office and in Via Solari, Milan . Total of 11 rooms with video conference/tele presence equipment worldwide

OBJECTIVES

2016 Installation of two new video conference rooms in the Moncler offices in Korea and Romania

2016 Use of a new application enabling video conferencing directly from computers, tablets and smartphones

Table 3

ACTIONS

Adoption of technology to monitor and rationalise the use of printers

2015 RESULTS

OBJECTIVES

2016 Installation of personal codes
on printers with a view to encouraging responsible behaviour and rationalising/limiting the number of printed documents and consequently the consumption of toner and paper in the Italian corporate offices

CLIENTS RELATIONS

Redefinition of the entire retail organisation with an ever-increasing client focus

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Comprehensive redefinition of client engagement methods and content, through the use of all channels of interaction

2015 RESULTS

– Retail Excellence project defined and launched

OBJECTIVES

2016 Redefinition of the sales ceremony, the methods and tools for engaging and listening to the client, the after-sales service policy – application at worldwide level

Table 2

ACTIONS

Update of skills and increase of engagement and the sense of belonging of retail personnel, to align them with client expectations

2015 RESULTS

OBJECTIVES

2017 Redefinition of internal store organisation and retail personnel profile, incentives, training and career path – application at worldwide level

Table 3

ACTIONS

Optimising operational efficiency at mono-brand stores to ensure improved service and time spent on client relationship

2015 RESULTS

OBJECTIVES

2016 Redefinition and standardisation of internal store procedures, stock optimisation and improvement in communication flows between stores and headquarters – application at worldwide level

COMMUNITY DEVELOPMENT AND SUPPORT

Support scientific research through donations, awareness-raising initiatives and fund-raising

ACTIONS

2015 RESULTS

OBJECTIVES

Table 1

ACTIONS

Organisation of initiatives and funding of scholarships or bursaries for researchers to raise awareness and fund-raise for associations dedicated to the fight against AIDS and cancer

2015 RESULTS

– Participated in the ART FOR LOVE initiative in support of the amfAR foundation that runs the Countdown to a Cure for AIDS research programme, created to find a cure for AIDS by 2020

– Two research bursaries for researchers at the Umberto Veronesi Foundation funded

OBJECTIVES

2016-2018 Continuous support for scientific research