Before each meeting all pertinent documents and

Before each meeting, all pertinent documents and analyses relating
to the different items on the agenda for the meeting are sent to
each member of the Committee.
Any document submitted to the Committee in connection with
its responsibilities shall be considered confidential as long as it
has not been made public by the Company.
The proceedings of the Committee are confidential and shall
not be discussed outside the Board of Directors.
Decisions of the Committee shall be made by simple majority
vote and shall be deemed to have been reached as a board.
The proceedings of each Committee meeting shall be recorded
in minutes of the meeting.
4. Prerogatives of the Committee
The Committee shall report on its work to the Board of Directors.
It shall submit to the Board its findings, recommendations and
suggestions.
The Committee may request any and all accounting, legal
or financial documents it deems necessary to carry out its
responsibilities.
The Committee may call upon the Company’s staff members
responsible for preparing the financial statements, carrying out
internal control procedures, conducting internal audits, applying
risk management or cash management procedures, investigating
tax or legal matters, as well as the Statutory Auditors, to appear
before it on any number of occasions to address issues in detail,
without requiring the presence of the Chairman of the Board,
the Chief Executive Officer, or Group Managing Director(s) of
LVMH. These meetings may also take place in the absence of
those responsible for the accounting and financial functions.
After having duly notified the Chairman of the Board of Directors,
the Committee may seek assistance from external experts if
circumstances require.
5. Compensation of Committee members
The members and Chairman of the Committee may receive a
special Director’s fee, the amount of which shall be determined
by the Board of Directors and charged to the total financial
package allocated by the Shareholders’ Meeting.

The Committee expresses its opinion on the general policy for
the allocation of options and bonus shares within the Group,
also making proposals on the granting of options and bonus
shares to senior executive officers and to Directors and Advisors
who are employees of the Company or any of its subsidiaries by
virtue of an employment contract.
It adopts positions on any supplemental pension schemes
established by the Company in favor of its senior executives
and issues recommendations on any retirement benefits that
might be paid to them upon leaving the Company.
The Committee issues an opinion relating to the fixed and variable
portions of compensation, whether immediate or deferred, and
benefits in kind to be received by members of the Group’s
Executive Committee and by other senior executive officers of
the Group’s main subsidiaries, and on the allocation of options
and bonus shares to these same individuals. To this end, the
Committee may request copies of any agreements concluded