A A A A A A A A A A &$% A A A A A A A A '()*+,$% A &)-.$**/%$"0- Thanks A A A A A

15
CBS 2011 !"# %&’# CASE COMPETITION

Transcript of A A A A A A A A A A &$% A A A A A A A A '()*+,$% A &)-.$**/%$"0- Thanks A A A A A

!"#$%&'#$()** 1

CBS2011!"#$%&'#

CASECOMPETITION

!"#$%&'#$()**2 !"#$%&'#$()** 3

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

!"#$34H<-M33$(303"0/-"B$023$4!"!*343"0$03!4$!*(33#$02!0$02/,$.!,$!"-023($ ;3M$ :2!<<3"*3$ 0-$ :-",/#3($ !,$ H!(0$ -1$ !$ ,+,0!/"!G<3$ *(-.02$,0(!03*M$_$023$34H<-M33,$.3(3$023$G!:;G-"3$-1$023$-(*!"/X!0/-"=%&'("$,+443#$+H$023$#/,:+,,/-"\

“We are looking for sustainable and

high-impact strategic initiatives that

will allow us to grow while keeping

our business as simple as possible”

!"!"!

!+,-$./-0$,-$.10/203$45$./-0$61,201-$7189$%:';$4/-03$8<$7/.2-$/48=2$">?$/<3$,<201@,06-$6,2+$.810$-2/77A$!+0$@,06B8,<2-$8<$,A0A$2+0$681C3$87$2+0$/BB/10C$102/,C$/<3$D08D1/B+,./C$210<3-$9,1181$2+/2$87$2+0$./-0$61,201-$<82$<0.0--/1,C5$2+/2$87$">?A$$&-$2+0$./-0$,-$-B0.,E./CC5$61,220<$781$2+0$./-0$.89B02,2,8<$,2$9/5$<82$

.8110-B8<3$6,2+$10/C$.+/CC0<D0-$781$">?A$&CC$7/.2-$/48=2$">?$+/@0$400<$.+0.F03$45$">?A

!"#$%&'#$()**4 !"#$%&'#$()** 5

KCC$199

Product O!ering@(</"*$F3(,,-"

C!(<DE-2!"$F3(,,-"

9./4,+/0

"12$344#+'$&$,526#+$-1$#/113(3"0$:-":3H0,$+"#3($/0,$H!(3"0$"!43=$>23,3$:-":3H0,$ !(3$ :-<<3:0/L3<M$ ,-<#$ /"$ 56)$ ,0-(3,\$ >(3"#B$ @L3(M#!MB$ K/L/#3#B$Y=A=`=`=B$!"#$)!44!$0-$"!43$!$13.=$>23$:-":3H0,$!(3$#/L3(,3$!"#$!/43#$!0$#/113(3"0$0!(*30$*(-+H,$!:(-,,$0!,03B$,3N$!"#$!*3$*(-+H,=$J"M$*/L3"$56)$,0-(3$,3<<,$!$:-4G/"!0/-"$-1$023,3$:-":3H0,$!"#$023$,H3:/I:$,0-(3$-113(/"*$/,$!#!H03#$0-$#34!"#$/"$023$,H3:/I:$<-:!0/-"\$3=*=$023$>(3"#$:-":3H0$/,$023$4-,0$1!,2/-"!G<3B$ !/43#$!0$4-(3$2/*2$ 1!,2/-"$:-",+43(,B$ !"#$ /,$ 023(31-(3$

-"<M$ -113(3#$ /"$ 023$ <!(*3,0$ a!*,2/H$ ,0-(3,$$/"$G/*$:/0/3,=$56)$/,$:-",0!"0<M$<--;/"*$

1-($ "3.$ H(-#+:0$ :!03*-(/3,$ !"#$:-":3H0,$02!0$:!"$:-4H<343"0$023$ 3N/,0/"*$ H(-#+:0$ H-(01-</-$!"#$ :(3!03$ !##/0/-"!<$ L!<+3$1-($/0,$:+,0-43(,=$

#+7(,-$*#+''3,$435,8#8$56)$ /"$WTUQ$ /"$9.3#3"$.23"$23$-H3"3#$2/,$I(,0$,0-(3B$.2/:2$ ,-<#$ .-43",.3!($ +"#3($ 023$ "!43$ b53""3,7$ c9.3#/,2$ 1-($ 23(,d=$ 5/,$ /"/0/!<$G+,/"3,,$:-":3H0$1-:+,3#$-"$-113(/"*$b1!,2/-"$!"#$8+!</0M$!0$023$G3,0$H(/:37$!"#$56)$2!,$,0!M3#$0(+3$0-$02/,$:-":3H0$3L3($,/":3=$AL3($023$<!,0$eV$M3!(,B$56)$2!,$3L-<L3#$,/*"/I:!"0<M=$Z/02$023$!:8+/,/0/-"$-1$023$2+"0/"*$!"#$I,2/"*$38+/H43"0$,0-(3$)!+(/0X$Z/#1-(,,$/"$WTeOB$023$:-4H!"M$:2!"*3#$/0,$"!43$0-$53""3,$6$)!+(/0X$!"#$3NH!"#3#$

/0,$H(-#+:0$H-(01-</-$0-$/":<+#3$43",.3!($!"#$:2/<#(3",.3!(=$>-#!MB$56)$-113(,$!$L!(/30M$-1$#/113(3"0$H(-#+:0,$./02/"$:<-02/"*B$!::3,,-(/3,B$,2-3,B$:-,430/:,B$!"#$4-,0$(3:3"0<M$/"03(/-($03N0/<3,$./02$023$<!+":2$-1$56)$5-43=56)$/,$!$*<-G!<$1!,2/-"$(30!/<3($./02$4-(3$02!"$OQBSSS$

H!(0D$!"#$1+<<0/43$34H<-M33,=$>23$:-4H!"M$#/,0(/G+03,$/0,$H(-#+:0,$02(-+*2$4-(3$02!"$PBPSS$,0-(3,$<-:!03#$/"$VQ$:-+"0(/3,$/"$@+(-H3B$f-(02$J43(/:!B$J,/!DF!:/I:$!"#$023$)/##<3$@!,0=$56)$/,$23!#8+!(03(3#$/"$90-:;2-<4$!"#$

/,$ </,03#$-"$023$9.3#/,2$90-:;$@N:2!"*3$5-.3L3(B$ /0$ (34!/",$ 1!4/<MD-."3#$ !"#$/,$:-"0(-<<3#$GM$023$F3(,,-"$1!4/<M$.2-$2-<#$023$4!&-(/0M$-1$023$L-0/"*$(/*20,=$ ^"$E+<M$PSSTB$023$1-+"#3(7,$*(!"#,-"B$C!(<DE-2!"$F3(,,-"B$0--;$023$,3!0$!,$?@A$-1$023$:-4H!"M=$53$"-.$1!:3,$023$:2!<<3"*3$-1$(+""/"*$$-"3$ -1$ 023$ .-(<#7,$ <!(*3,0$ !HH!(3<$ (30!/<3(,$ !"#$(3!</X/"*$!$*(-.02$0!(*30$-1$WSDWR$]$ /"$ 023$"+4G3($

-1$,0-(3,$H3($M3!($D$!"#$023(3GM$:-"0/"+/"*$0-$-+0*(-.$023$*<-G!<$!HH!(3<$(30!/<$4!(;30=$Z/02$ !$ ,-</#$ !"#$ ,0!G/<3$ I"!":/!<$ G!:;*(-+"#B$ 56)$ 2!,$ G33"$ !G<3$

0-$ H+(,+3$ 023$ !4G/0/-+,$ *(-.02$ 0!(*30$ !"#$ G+M$ .23"$ -023(,$ :-+<#$ "-0$ !11-(#=$$J"#$ !<02-+*2$ 023$ :-4H!"M7,$ <!03,0$ I"!":/!<$ (3,+<0,$ #/#$ "-0$ </L3$ +H$ 0-$ 023$$!"!<M0/:,$3NH3:0!0/-",B$56)$,0/<<$2!,$023$:!H!:/0M$!"#$!4G/0/-"$0-$-H3"$PRS$"3.$,0-(3,$#+(/"*$023$1/"!":/!<$M3!($PSWSgWW=

Background

!"#$%&'#$()**6 !"#$%&'#$()** 7

BRANDSFIVEH&M’s

!"#$"12$-+35*$ -.",$1-+($!##/0/-"!<$G(!"#,\$?A9B$Z33;#!MB$)-";/B$ !"#$ ?23!H$)-"#!M=$ >23,3$ G(!"#,$ :!03($ 0-$ #/113(3"0$:+,0-43($ ,3*43"0,$ 02!"$ 023$ 56)$ :-":3H0,$ !"#$ !(3$ ,-<#$/"$023/($-."$,0-(3,=$?+,0-43(,$!(3$"-0$43!"0$0-$!,,-:/!03$023,3$1-+($ G(!"#,$ ./02$ 56)$ !"#$ 4!"M$ !(3$ +"!.!(3$ 02!0$ 023,3$G(!"#,$ !(3$ !:0+!<<M$ -."3#$ GM$ 56)=$ 53!#$ -1$ %+,/"3,,$K3L3<-H43"0B$%&'("$)!*"+,,-"$+"#3(</"3,$02!0$h023$1-+($!##/0/-"!<$ G(!"#,$ !(3$ ,0!"#!<-"3$ -113(/"*,=$ ?+,0-43(,$#-"70$ H3(:3/L3$ 023,3$ G(!"#,$ !,$ 56)$ _$ 023,3$ G(!"#,$ !(3$,-4302/"*$3<,3=i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

0-$3NH3:0!0/-",$!"#$!(3$ &+#*3#$ 0-$2!L3$*(3!0$H-03"0/!<$ /"$023$1+0+(3=$%+0$023$-(/*/"!<$56)$,0-(3,$:-"0/"+3$0-$G3$023$:-4H!"M7,$:-(3$G+,/"3,,$!,$023M$*3"3(!03#$4-(3$02!"$TS$]$-1$0-0!<$,!<3,$/"$PSWS=

!"#$,-$2/1D0203$/2$6890<;$90<;$200</D01-$/<3$.+,C310<A$!+0$6890<-60/1$.8CC0.2,8<-$109/,<$">?G-$.810$4=-,<0--;$/<3$/10$2/1D0203$/2$7/-+,8<H.8<-.,8=-$6890<$87$/CC$/D0-A$!+0$B183=.2-$/10$3,@,303$,<28$/$<=9401$87$3,77010<2$.8<.0B2-$2+/2$/10$-8C3$,<$2+0$">?$-2810-A$!+0$3,77010<2$B183=.2$D18=B-$,<.C=30$.C82+,<D;$-+80-;$.8-902,.-;$/..0--81,0-;$/<3$,<201,81$20I2,C0-A$J,2+$9810$2+/<$(;())$-2810-$,<$KL$9/1F02-;$2+,-$,-$">?G-$M/D-+,B$4=-,<0--$.89B1,-,<D$9810$2+/<$$NO$P$87$282/C$<=9401$87$-2810-$/<3$D0<01/2,<D$9810$2+/<$N)$P$87$282/C$-/C0-$,<$()*)A$$$$$$$$$

$$$$$

!9:;<=$;:>?@

%>AB<@=C

*:DB<$:9A;<

8DC=:DE?=D>A

29:F<=C

!"#$%&'#$%'(%)'*+,-).$%'"/'(--'(0$1

2.$%)&'3")$.%'4-(11,*&'56$.7)(7&'3(##(&''8,0',1'8$(9:,/9-&';,6,)$)&'<')$%,#

=">':"',%:$.#$),(:$'

3".$':+(%'?@A'">%'1:".$1'(%)'(."9%)'@A'/.(%*+,1$'1:".$1

59."B$&'C".:+'D#$.,*(&'D1,(EF(*,G*&3,))-$'5(1:

!9:;<=$;:>?@

%>AB<@=C

*:DB<$:9A;<

8DC=:DE?=D>A

29:F<=C

2$$%(0$'0,.-1

3"%H,

I$.7'-">'

JK'">%'1:".$1

L>$)$%&'C".>(7&';$%#(.H&'M$.#(%7'

%&'$,-$/<$=B-./C0$41/<3$2/1D0203$/2$/$+,D+01$B1,.0$-0D90<2$2+/<$">?$-2810-A$%Q'$87701-$7/-+,8<$7816/13$$.C82+,<D$28$90<$/<3$6890<$6,2+$/$.C/--,.$2/-20A$!+0$78.=-$,-$8<$+,D+R=/C,25$D/190<2-$/<3$.C/--,.$C88F-A$$$$$

!9:;<=$;:>?@

%>AB<@=C

*:DB<$:9A;<

8DC=:DE?=D>A

29:F<=C

D)9-:'#$%'<'>"#$%'

4NL

O%:$.#$),(:$

P@'">%'1:".$1

L>$)$%&';$%#(.H'QR&'C$:+$.-(%)1''8$-0,9#&'S.(%*$&'LB(,%&'M$.#(%7'

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

!9:;<=$;:>?@

%>AB<@=C

*:DB<$:9A;<

8DC=:DE?=D>A

29:F<=C

2$$%(0$'0,.-1'(%)'T"71

!$$H)(7'(%)'09$1:')$1,0%$.1

=">':"',%:$.#$),(:$'

?K'">%'1:".$1

L>$)$%&'C".>(7&'S,%-(%)&';$%#(.H&'M$.#(%7

%!),.$#&/+,-$-2/1203$8=2$/-$/$.+0/B$4=2$7/-+,8<H/4C0$U0/<-$41/<3$2+/2$6/-$-8C3$,<$J00F3/5$-2810-;$4=2$+/-$<86$30@0C8B03$,<28$/$6+8C0-/C0$41/<3$6,2+$/$7=CC$-./C0$.8CC0.2,8<$2/1D0203$/2$58=<D$90<;$6890<;$/<3$200</D01-A$!+0$-25C0$,-$=14/<;$=<,-0I$/<3$@015$'./<3,</@,/<A

$$$$$!9:;<=$;:>?@

%>AB<@=C

*:DB<$:9A;<

8DC=:DE?=D>A

29:F<=C

2$$%(0$.1'(%)'7"9%0'#$%'(%)'>"#$%'

4+$(B'3"%)(7

=">

?'1:".$'U4"B$%+(0$%V&'1"-)',%'!$$H)(7'1:".$1'(%)':+."90+'?&@AA'.$:(,-$.1

59."B$&'C".:+'D#$.,*(&'3,))-$'5(1:&'D91:.(-,(&'W(B(%'

#&/*0$,-$/$7=<F5;$C86HB1,.03$.8<.0B2$6,2+$/$</1186$78.=-$8<$58=<D01$200</D0$D,1C-A

!"#$%&'#$()**8 !"#$%&'#$()** 9

The of Apparel Retail

!"#$ -736&7$ &**&+#7$ (,85'!+G$ :-L3(,$ !<<$ ,!<3,$ -1$ .-43",.3!(B$43",.3!(B$ :2/<#(3",.3!($ !"#$ :<-02/"*$ !::3,,-(/3,=$ >23$ *<-G!<$4!(;30$L!<+3$.!,$3,0/4!03#$!0$j$QeT=VG"$/"$PSWS=$%30.33"$PSWS$!"#$PSWV$023$0-0!<$/"#+,0(M$/,$3NH3:03#$0-$*(-.$./02$!$?J`[$-1$R=T$]B$!$(!03$,/*"/I:!"0<M$2/*23($02!"$H(3L/-+,$M3!(,=$>23$ /"#+,0(M$ :!"$ G3$ #/L/#3#$ /"0-$ ,3L3(!<$ #/113(3"0$ ,3*43"0,$

#3H3"#/"*$-"$H(/:3$H-,/0/-"$!"#$4!(;30$ ,3*43"0$ _$ ,H!""/"*$ 1(-4$2!(#$#/,:-+"0$(30!/<3(,$0-$<+N+(M$(30!/<3(,=$J$4!/"$:!03*-(M$-1$H<!M3(,$/"$023$/"#+,0(M$/,$023$1!,2/-"$(30!/<3(,$/":<+#/"*$56)B$k!(!$!"#$`!H$.2-$-113($!11-(#!G<3$1!,2/-"$!HH!(3<$ /"$023$4/##<3$H(/:3$,3*43"0=$%(!"#$<-M!<0M$ /,$4+:2$ <3,,$ 1(38+3"0$ 1-($ 023$ 1!,2/-"$ (30!/<3(,$ :-4H!(3#$ 0-$<+N+(M$(30!/<3(,$/"$023$2/*23,0$H(/:3$,3*43"0B$G3:!+,3$G(!"#$<-M!<0M$/,$4-,0<M$</";3#$0-$!$#3,/*"3($!"#$"-0$!$G(!"#=$>2/,$H(3,3"0,$!$:2!<<3"*3$0-$:-4H!"/3,$,+:2$!,$56)=$$ >23$ *<-G!<$ :-4H30/0/L3$ <!"#,:!H3$ /,$ :2!(!:03(/X3#$ GM$ <-.$

,./0:2/"*$:-,0,$!"#$!$2/*2$#3*(33$-1$H(-#+:0$#/113(3"0/!0/-"=$>2/,$2!,$

<3#$4!"M$:-4H!"/3,$0-$3"03($023$/"#+,0(M$!"#$023(3GM$:(3!0/"*$!$2/*2$<3L3<$-1$(/L!<(M$/"$023$4!(;30=J"$ /"03(3,0/"*$ !,H3:0$ -1$ 023$ !HH!(3<$ /"#+,0(M$ /,$ 023$ /"#/L/#+!<$

(30!/<3(7,$23!LM$(3</!":3$-"$/0,$:-4H30/0-(,$0-$!00(!:0$:+,0-43(,$0-$/0,$,0-(3=$>2/,$2!,$:(3!03#$!$03"#3":M$0-$:<+,03($,/4/<!($,0-(3,$./02/"$!$,2-HH/"*$#/,0(/:0=$J,$K!"/,2$?-+"0(M$)!"!*3($?2(/,03<$l(//,D)/;;3<,3"$3NH(3,,3,$02/,$:2!(!:03(/,0/:\$ hZ3$.-+<#$G3$L3(M$,!#$ /1$k!(!$:<-,3#$#-."$ /0,$ ,0-(3$ /"$ ?3"0(!<$ ?-H3"2!*3"=$ Z3$ 23(3$ !0$ 56)$ .!"0$ !"$!00(!:0/L3$ 4!(;30$ H<!:3$ ,+((-+"#/"*$ -+($ ,0-(3,=$ >23$ :-4G/"3#$-113(/"*$ -1$ 023$4!(;30$ H<!:3$ /,$.2!0$ !00(!:0,$4-(3$ :+,0-43(,$ !"#$023,3$4/*20$!<,-$L/,/0$-+($,0-(3=$Z3$023(31-(3$.3<:-43$:-4H30/0/-"=i9/":3$ 023$ 1!,2/-"$ (30!/<3(,$ !HH3!<$ 0-$ :-",+43(,$./02$ <-.$ G(!"#$

<-M!<0M$ 023(3$ /,$ !$ "+4G3($ -1$ H!(!4303(,$ 023$ (30!/<3(,$ :!"$ !#&+,0$ 0-$:(3!03$ !$ :-"L/":/"*$ -113(/"*$ !"#$./"$ -L3($ !$ :+,0-43(=$ >23$ G+M/"*$#3:/,/-"$ /,$G!,3#$-"$ !$ :-4G/"3#$:+,0-43($3NH3(/3":3$-1$H(-#+:0$-113(/"*B$H(/:3B$/"D,0-(3$,3(L/:3B$!"#$H(-#+:0$H(3,3"0!0/-"=$

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

G33"$ ,0!G<3$ -"$ !$ *<-G!<$ ,:!<3B$ #/113(3"0$ 0(3"#,$ !HH<M$!0$ :-+"0(M$ <3L3<=$ l-($ 3N!4H<3$ 43",.3!($ 2!,$ G33"$023$ <!(*3,0$ ,3*43"0$ /"$ ?2/"!$ ,/":3$ PSSO$ !"#$ 02/,$0(3"#$ /,$ H(3#/:03#$ 0-$ :-"0/"+3$ /"$ 023$ 1+0+(3=$?-"0(!(MB$.-43",.3!($ :-"0/"+3$ 0-$ G3$ 023$ <!(*3,0$ ,3*43"0$./02/"$Z3,03("$:-+"0(/3,$,+:2$!,$`3(4!"MB$l(!":3$!"#$023$m9=5/,0-(/:!<<MB$ 56)7,$ *(3!03,0$ ,0(3"*02$ !"#$ 1-:+,$ 2!,$

!<.!M,$G33"$ 023$.-43",.3!($ ,3*43"0B$.23(3!,$ 023$1-:+,$-"$43",.3!($2!,$G33"$</4/03#=$>23$ *(-.02$ /"/0/!0/L3,$ /"$ (3:3"0$ M3!(,$ 2!L3$ 4!/"<M$

G33"$0!(*303#$0-$.-43"$!"#$!<02-+*2$56)$:-"0/"+3,$0-$ 1-:+,$ -"$ 02/,$ ,3*43"0$ /"$ 023$ 1+0+(3B$ 023$ :-4H!"M$/,$ !<,-$ /"03(3,03#$ /"$ "3.$ -HH-(0+"/0/3,$ /"$ 43",D$ !"#$:2/<#(3",.3!($!,$023M$H+(,+3$1+0+(3$*(-.02=$

2+$'(BB(.$-' .$:(,-' ,%)91:.7' ,1'*+(.(*:$.,X$)'T7' .(B,)-7'*+(%0,%0'*"%19#$.'B.$/$.$%*$1&'('+,0+')$0.$$'"/'B.")9*:'),//$.$%:,(:,"%'(%)'-(.0$'6(.,(:,"%1',%'0.">:+'(*."11'.$0,"%(-'#(.H$:1Y'2+$1$',%)91:.7'*+(.(*:$.,1:,*1',%*.$(1$':+$')$#(%)'"/':+$',%),6,)9(-'.$:(,-$.':"'T$'$6$.'#".$'Z$[,T-$'(%)'()(B:(T-$':"'B9.19$'%$>'0.">:+'"BB".:9%,:,$1'(*."11'#(.H$:1'(%)'*91:"#$.'1$0#$%:1Y

Segment Trends

World!"#$%& "%'$"& !##$(& !)'$#&

"*!$)& "!#$*&)++$%&

),#$#&#+'$#&

%$%&

+%%$%&

(%%$%&

*%%$%&

'%%$%&

,%%$%&

!%%$%&

"%%$%&

)%%$%&

#%%$%&

+%%%$%&

(%%,& (%%!& (%%"& (%%)& (%%#-& (%+%-& (%++-& (%+(-& (%+*-&

!"#$

%&'($)$*+,+-./0+#1$&#$'-."2-$2//23+-$0234+1$,2-5+$6778967):;$&#$!"#$$

!"#$%&'()#$"*"+,-"$(

4D;I$0$8<J<K>@L<A=$DA$;K>E9K$9@@9:<K$L9:F<=$J9K?<$.//MN./0O#$DA$PEA$

!"#"$%

!"#&$%

!"#'$%

!(#)$%

!(#*$%

!+#"$%

*"#&$%

*"#,$%

*"#)$%

*"#($%

!-#-$%

!-#'$%

'*#!$%

'*#!$%

'*#!$%

'*#!$%

'*#*$%

'*#'$%

'(#&$%

'(#($%

'"#-$%

'"#!$%

'"#)$%

'"#($%

*--,%

*--)%

*--+%

*--(%

*--".%

*-'-.%

!"#$%&%'()*+,%-.()+%/+)%01-,23+)%-+#3+4,%&556%7%&5859%

/012345267%% 82345267%% 9:;<=72345267%% >?:274@%

A+)"#!%%%%

A+!)#(%%%%

A)(&#"%%%%

A)""#*%%%%

A+-&#+%%%%

A)+"#-%%%%

'()*+,%:(;1+%%%%

!"#$%&'()#$"*"+,-"$(.(/-0&$1(,+%2#3&(%2"-0,+4(5%%&11"$,&1(1#%0(51(6&2-17(1%5$8&17(42"8&17(05-1(5+3(9&1(((

!"#$%&'#$()** 9

4D;I$.$29:F<=$CQ9:<$@<:$B?C=>L<:$C<;L<A=$.//M$N$./0/#

!"#$%&'#$()**10 !"#$%&'#$()** 11

!"#$ !"#$!%#$

!&#$ !&#$ !&#$

'(#$ '(#$ '(#$!)#$

!!#$ !*#$

*#$ *#$ +#$ +#$ *#$ *#$

'"#$ '"#$ '"#$ '"#$

'&#$ '+#$

,#$ ,#$ ,#$ ,#$ ,#$ ,#$

)#$

+#$

,)#$

,+#$

')#$

'+#$

!)#$

!+#$

*)#$

*+#$

'))+$ '))&$ '))($ '))%$ '))"-$ '),)-$

!"#$%&%'(#")*+,%-+./(0%12+.(%"*%02(%+33+.(,%"*4510.6%7889:78;8<%

./012345$ .5246743283$ -45901:$-;1<=0$ >05901:$-;1<=0$$ ?2@@A0$-459$B$.C1234$!"#$%&'()#$"*"+,-"$(

!"#$ R-+##,$ !+#,8S$ ('$ 1+3</"*$ 023$ (/,/"*$ #34!"#$ 1-($ -(*!"/:$!HH!(3<$ !,$ :-",+43(,$ :2!"*3$ H(313(3":3,$ 0-.!(#,$ 4-(3$3"L/(-"43"0!<<M$ 1(/3"#<M$ !"#$ ,+,0!/"!G<3$ H(-#+:0,=$ >2/,$ 0(3"#$/,$3NH3:03#$ 0-$:-"0/"+3$./02$!$ 1-(3:!,03#$?J`[$ /"$ 023$-(*!"/:$:-00-"$4!(;30$-1$US]$/"$PSWW=$>23$0(3"#$/,$!<,-$3NH3:03#$0-$!113:0$#34!"#$1-($-(*!"/:$H3(,-"!<$:!(3B$1--#$!"#$G3L3(!*3,=$56)$/,$.3<<$H-,/0/-"3#$,/":3$4!"M$-1$023$:-4H!"M7,$*!(43"0,$

!<(3!#M$ /":-(H-(!03$4-(3$ ,+,0!/"!G<3$4!03(/!<,$ ,+:2$ !,$-(*!"/:$:-00-"$!"#$(3D:M:<3#$H-<M3,03(=J,$ 023$ 4!(;30$ 1-($ -(*!"/:$ !HH!(3<$ :-"0/"+3,$ 0-$ *(-.B$ 56)$

G3"3I0,$1(-4$!$:-4H30/0/L3$!#L!"0!*3=$>23$:-4H!"M$/,$L/3.3#$!,$-"3$-1$023$0-H$0.3<L3$-(*!"/:$G(!"#,$./02/"$*<-G!<$!HH!(3<$(30!/<=$56)$2!,$ ,30$ !"$!/4$ 02!0$GM$PSPS$!<<$ :-00-"$ /"$ 023$H(-#+:0/-"$(!"*3$./<<$:-43$1(-4$4-(3$,+,0!/"!G<3$,-+(:3,=$

(,$ .//MT$ !"#$ &2#+(%&'T$ <3#$ GM$ 023$ m9B$ *3"3(!03#$:<-,3$0-$US$]$-1$*<-G!<$#34!"#B$.2/<3$Z3,03("$@+(-H3$!"#$J,/!DF!:/I:$ *3"3(!03#$ :<-,3$ 0-$ VS$]$ !"#$ PQ$]$(3,H3:0/L3<M=$ 5-.3L3(B$ 02/,$ 0(3"#$ 2!,$ :2!"*3#=$ >23$J43(/:!"$4!(;30,$2!L3$G33"$#3:</"/"*$/"$(3:3"0$M3!(,B$.23(3$023$I"!":/!<$:(/,/,$2/0$023$m9$4!(;30$,3L3(3<M$!"#$<3#$0-$!$#3:(3!,3$/"$#34!"#=$9/4/<!($0(3"#,$!(3$,33"$/"$Z3,03("$@+(-H3!"$4!(;30,B$.23(3$4!(;30$,2!(3,$2!,$G33"$1!<</"*$1(-4$PT$]$0-$PR$]$#+(/"*$023$H3(/-#$PSSR$_$PSWS@=$[3L3(,3<MB$023$J,/!DF!:/I:$(3*/-"$2!,$*(-."$/"$,/X3$!"#$023$4!(;30$,2!(3$ /,$3,0/4!03#$0-$G3$:<-,3$0-$023$J43(/:!,$ /"$PSWS=$>23,3$ 0(3"#,$ 02+,$:2!"*3$ 023$*<-G!<$4!(;30$-HH-(0+"/0/3,=>23$J,/!DF!:/I:$(3*/-"$/,$H(-&3:03#$0-$-+0*(-.$023$

*<-G!<$/"#+,0(M$./02$!$0-0!<$?J`[$-1$T$]$1(-4$PSWS$0-$PSWV$ :-4H!(3#$ 0-$ 023$ *<-G!<$ /"#+,0(M7,$?J`[$-1$ R=T$]=$ 56)$3"03(3#$ 023$J,/!DF!:/I:$ (3*/-"$ /"$ PSSQB$ G+0$(3<!0/L3$0-$023/($-023($4!(;30,$023M$#-$"-0$2-<#$!$,0(-"*$H-,/0/-"$/"$02/,$(3*/-"$M30$_$-"<M$V=e$]$-1$0-0!<$PSWS$,!<3,$c/":<=$ nJ>d$ .!,$ *3"3(!03#$ /"$ J,/!$ F!:/I:B$ H(/4!(/<M$ /"$?2/"!=$56)$/,$:+((3"0<M$-H3(!0/"*$RT$,0-(3,$/"$023$J,/!$F!:/I:$cUQ$/"$?2/"!B$WS$/"$E!H!"$!"#$P$/"$9-+02$C-(3!dB$G+0$/,$H<!""/"*$0-$!##$,3L3(!<$4-(3$/"$023$1-(02:-4/"*$M3!(,=$>23$ 0-0!<$ @+(-H3!"$ 4!(;30$ 2!,$ !"$ 3NH3:03#$

?J`[$ -1$ V=V$ ]$ 1(-4$ PSWSDPSWV=$ 5-.3L3(B$ @!,03("$@+(-H3$ /,$3NH3:03#$0-$,2-.$,/4/<!($2/*2$*(-.02$(!03,$!,$ J,/!DF!:/I:$ !"#$ 2!,$ !"$ 3NH3:03#$ ?J`[$ -1$ O=T]=$?-4H!(!0/L3<MB$ Z3,03("$ @+(-H3$ 2!,$ !$ ?J`[$ -1$ -"<M$P=U$ ]=$ J<02-+*2$ 023$ Z3,03("$ @+(-H3!"$ 4!(;30$ /,$ !$<-.D*(-.02$(3*/-"B$/0$/,$!<,-$56)7,$,0(-"*3,0$!"#$4-,0$1!4/</!($4!(;30=$>23$@+(-H3!"$4!(;30$*3"3(!03,$"3!(<M$TS$]$ -1$ 023$ :-4H!"M7,$ 0-0!<$ ,!<3,$./02$`3(4!"M$ !,$023$G/**3,0$4!(;30$.2/:2$!::-+"0,$1-($!<4-,0$VS$]$-1$56)7,$@+(-H3!"$,!<3,=$

Geographical Trends

2+$'B+$%"#$%"%'"/'".0(%,*'*-":+,%0',1'.,1,%0',%'B"B9-(.,:7'(#"%0'*"%19#$.1Y'D1'('.$19-:':+$'".0(%,*'*"::"%'#(.H$:'+(1'$[B$.,$%*$)'('JA'\'4DM]'1,%*$'^AA?'(%)'".0(%,*'.$:(,-'1(-$1'.$(*+$)'QL;'@Y?'T%',%'^A?AY'

An in Organic Fashion Retailing

opportunity

4D;IO$+<;D>A9K$L9:F<=$CQ9:<$DA$=Q<$9@@9:<K$DAU?C=:V$.//MW./0/#

4D;IX$"12YC$:<;D>A9K$C9K<C$C@KD=$DA$./0/$ZDABKI$[&!\

!"#$"# $"#

%&"#

'"#("#

'("#

&("#

)("#

$("#

*("#

+("#

,("#

%("#

!("#

-./012345# #.5246743283##

945:01;#9<1=>0## ?05:01;#9<1=>0## @2AAB0#945:#C#.D1234E#

!"#$%&'()*+,-(.#//01&2$($&3"$4(5676(8(!2/&-(9$":(9$2;%<=-&(-4"$&-((

!"#$%&'#$()**12 !"#$%&'#$()** 13

023$G+M/"*$#3H!(043"0$ /"$90-:;2-<4B$.2/<3$H(-#+:0/-"$ /,$-+0,-+(:3#$0-$QSS$/"#3H3"#3"0$,+HH</3(,$02(-+*2$56)7,$We$ <-:!<$H(-#+:0/-"$-1I:3,$ /"$@+(-H3$!"#$J,/!=$53(3!103(B$023$*--#,$!(3$0(!",H-(03#$0-$L!(/-+,$#/,0(/G+0/-"$:3"0(3,$!"#$023"$#/,0(/G+03#$#/(3:0<M$0-$023$,0-(3,=92-(0$ <3!#D0/43,$ !"#$ ,+HH<M$ :2!/"$ a3N/G/</0M$ /,$

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bH(-#+:0$ /"$ ,0-(37B$ !"#$ /,$ !G<3$ 0-$ *30$,+HH<343"0!(M$-(#3(,$-"$H-H+<!($H(-#+:0,$/"$!$13.$.33;,=$5-.3L3(B$ /0$ /,$ ,0/<<$ 1!($ 1(-4$ ^"#/03N7,$ <3!#D0/43$-1$ &+,0$ 0.-$.33;,$1(-4$/#3!$0-$,0-(3B$.2/:2$ /,$1!:/</0!03#$GM$ /"D2-+,3$

H(-#+:0/-"$ 1!:/</0/3,$ !"#$ !$ +"/8+3$ :-",+43($133#G!:;$,M,034$02!0$#303:0,$H-H+<!($0(3"#,=$J$ (3:3"0$ !##/0/-"$ 0-$ 56)7,$ ,+HH<M$ :2!/"$ /,$

:-<<!G-(!0/-",$ ./02$ 1(!":2/,3$ H!(0"3(,$ /"$ 023$)/##<3$@!,0$!"#$J1(/:!=$F(3L/-+,<MB$!<<$,0-(3,$.3(3$.2-<<M$-."3#$!"#$-H3(!03#$GM$56)B$G+0$./02$023$3"0(M$/"0-$C+.!/0$/"$PSSe$1(!":2/,/"*$!*(3343"0,$.3(3$ +,3#$ !,$ !$ "3.$ G+,/"3,,$ 4-#3<=$ 56)$ 13<0$02!0$ 1(!":2/,3$H!(0"3(,$.3(3$ /"$!$G3003($H-,/0/-"$0-$/#3"0/1M$:-",+43($H(313(3":3,$!"#$/4H<343"0$023$ (3L/,3#$,0-(3$:-":3H0,$ /"$+"1!4/</!($4!(;30,$,+:2$!,$ 023$)/##<3$@!,0=$f3.$ 1(!":2/,3$4!(;30,$/"$ PSWW$ /":<+#3,$ )-(-::-$ !"#$ E-(#!"=$ 56)$ /,$:+((3"0<M$(+""/"*$RS$,0-(3,$-"$!$1(!":2/,3$G!,/,=

Chain E"ciency!3$6#$'5%%#''457$(,$ 023$:-4H30/0/L3$ /"#+,0(M$-1$ 1!,2/-"B$(30!/<3(,$"33#$0-$1-:+,$-"$31I:/3":M$!"#$,H33#$0-$4!(;30=$̂ 0$/,$;3M$1-($023$<-.DH(/:3#$:<-02/"*$<!G3<,$0-$2!L3$023$,3!,-"7,$b4+,0D2!L37$ /034,$ /"$ ,0-(3,$ 1!,03($ !"#$ :23!H3($ 02!"$ /0,$:-4H30/0-(,=$ 92-(0$ H(-#+:0$ </13$ :M:<3,B$ 0MH/:!<<M$ !$ ,H(/"*$!"#$!$1!<<$,3!,-"B$(!H/#<M$:2!"*/"*$:-",+43($#34!"#,B$!"#$I3(:3$ H(/:3$ :-4H30/0/-"$ H(-#+:3$ :-",/#3(!G<3$ :2!<<3"*3,$0-$ ,+HH<M$ :2!/",B$ .2/:2$ !(3$ -103"$ <-"*$ !"#$ /"a3N/G<3=$>2/,$ 4!;3,$ ,+HH<M$ :2!/"$ 4!"!*343"0$ !$ L/0!<$ H!(0$ -1$ !$,+::3,,1+<$(30!/<3($,0(!03*M=$?-4H30/0/L3$H(/:3,$!(3$*3"3(!<<M$!:2/3L3#$GM$4!N/4/X/"*$

3:-"-4/3,$ -1$ ,:!<3$ 02(-+*2$ *<-G!<$ ,+HH<M$ :2!/",=$ 9-43$(30!/<3(,$!(3$L3(0/:!<<M$ /"03*(!03#$-."/"*$3!:2$,03H$ /"$ 023$,+HH<M$ :2!/"B$ </;3$ 9H!"/,2$ ^"#/03N$ .2-$ -.",$ 023$ G(!"#$k!(!B$.23(3!,$56)$(3</3,$-"$ /"#3H3"#3"0$,+HH</3(,=$>23$G+,/"3,,$4-#3<,$4!M$L!(M$G+0$ 023$*-!<$ /,$ 023$ ,!43$_$ 0-$:(3!03$4!N/4+4$(30+("=56)7,$G+,/"3,,$,0(!03*M$/,$H!M/"*$-11$ <!(*3<M$#+3$0-$/0,$

/""-L!0/L3$,+HH<M$:2!/"$H(!:0/:3,=$J<<$"3.$:-<<3:0/-",$!(3$#3,/*"3#$GM$WSS$/"D2-+,3$#3,/*"3(,$.2-$.-(;$:<-,3<M$./02$

4D;IM$"12YC$'?@@KV$%Q9DA

!"#$%&' ()&*+),-*.$&%' !$#-.$/*01&' 2"-)$3$&%'

!"#$%&$'()$*(&%($+&,-(.&/0&1((23&

433',133",01&#')."'5"#$%&"5'/6'788'$&9:1*#"'5"#$%&".#'31,)-"5'$&';-1,<:13='

>.15*,01&'$#'1*-#1*.,"5'-1'?88'$&5"@"&5"&-'#*@@3$".#'$&'A*.1@"')&5'4#$)'-:)-')."',1&&",-"5'-1'7B'31,)3'CD('@.15*,01&'1E,"#'

F115#')."'-.)&#@1.-"5'-1'CD(G#'H8'31,)3'5$#-.$/*01&',"&-".#'-:)-')331,)-"'%).="&-#'-1'"),:'#-1."'

(1."'-:)&'H788'1+'-:"'#-1."#')."'I:133691I&"5'/6'CD('I:$3"'J8'#-1."#'$&'-:"'($553"'A)#-')&5'A%6@-')."'=)&)%"5'1&')'+.)&,:$#"9/)#$#'

45*6&0&789:3&;<==%>&?@$5A&

!"#$%&'()*+(

Supply

!"#$%&'#$()**14 !"#$%&'#$()** 15

The Brand"12Y'$65'(,#''$ (8#&$ /,$ 0-$ -113($ 1!,2/-"$ !"#$ 8+!</0M$ !0$ 023$ G3,0$H(/:3=$>23$:-4H!"M$2!,$,0!M3#$0(+3$0-$/0,$/"/0/!<$G+,/"3,,$:-":3H0$!"#$G(!"#$-113(/"*B$.2/:2$2!,$G(-+*20$023$:-4H!"M$02(-+*2$2!<1$!$:3"0+(M$!"#$H<!:3#$56)$/"$023$0-H$-1$023$*<-G!<$(30!/<$/"#+,0(M=$>23$ :-",+<0!":M$ I(4B$ ^"03(G(!"#B$ (!";3#$ 56)$ !,$ 023$ PW,0$ 4-,0$L!<+!G<3$*<-G!<$G(!"#$./02$!"$3,0/4!03#$G(!"#$L!<+3$-1$m9K$WPDWeG"$/"$PSWS=$>2/,$4!;3,$56)$023$2/*23,0$(!";3#$1!,2/-"$(30!/<3($/"$023$,+(L3M=$>23$G(!"#$2!,$H(-L3"$/0,$,0(3"*02$./02$023$:-4H!"M$343(*/"*$1(-4$023$I"!":/!<$:(/,/,$/"$!$,0(-"*3($H-,/0/-"$/"$4-,0$-1$/0,$4!(;30,=$>23$?-+"0(M$)!"!*3($1-($56)$/"$K3"4!(;B$?2(/,03<$l(//,D)/;;3<,3"B$3NH<!/",\$hZ3$2!L3$!$,0(-"*$G(!"#$./02$!$G(-!#$!HH3!<$/"$+H0+("$!,$.3<<$!,$#-."0+("$H3(/-#,=$>2/,$4!;3,$+,$L3(M$!00(!:0/L3$1-($:+,0-43(,=$Z3$2!L3$!$ <-"*$2/,0-(M$/"$4!"M$4!(;30,$!"#$!$2/*2$H3"30(!0/-"$(!03B$!"#$02/,$2!,$3,0!G</,23#$2/*2$G(!"#$!.!(3"3,,=iJ<<$G(!"#/"*$!:0/L/0/3,$!,H/(3$ 0-$:(3!03$:-",+43($H(313(3":3,$ 1-($

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

-1I:3$/"$90-:;2-<4=$>2/,$43!",$02!0$023$!#L3(0/,343"0,$!(3$<!(*3<M$023$,!43$/"$!<<$4!(;30,B$G+0$023$43#/!$4/N$/,$!#!H03#$0-$<-:!<$"33#,$!"#$:/(:+4,0!":3,=$>23$:3"0(!</X3#B$-(*!"/X!0/-"!<$,0(+:0+(3$3",+(3,$!$+"/1-(4$G(!"#/"*$-1$56)$/"$!<<$4!(;30,=$>2/,$43!",$02!0$:+,0-43(,$./<<$ *30$ 023$ ,!43$ 56)$ 3NH3(/3":3$ .23023($ 023M$ 3"03($ !$ ,0-(3$ /"$90-:;2-<4B$9!"$l(!":/,:-$-($92!"*2!/=

Z2/<3$ 56)$ 3"*!*3,$ :-",/,03"0<M$ ./02$ :-",+43(,$ -"$ l!:3G--;B$o-+>+G3$!"#$>./003($0-$#(/L3$0(!1I:$0-$/0,$-"</"3$,0-(3,$!,$.3<<$!,$023$H2M,/:!<$,0-(3,$.2/:2$:-"0/"+3$0-$G3$56)7,$4-,0$/4H-(0!"0$:2!""3<$-1$ :-44+"/:!0/-"$ !,$ 023M$ */L3$ :+,0-43(,$ !"$ /443#/!03$ ,3",3$ -1$.2!0$56)$/,$!<<$!G-+0=$56)$+,3,$/0,$-"</"3$43#/!$4-(3$!"#$4-(3$0-$:-44+"/:!03$/0,$!:0/L/0/3,$3N03("!<<M=$56)7,$:+((3"0$G(!"#$H-(01-</-$/,$:-4H(/,3#$-1$G(!"#,$./02$4-#3("$

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a/:0$./02$023$:-4H!"M7,$3N/,0/"*$-113(/"*=$?2(/,03<$l(//,D)/;;3<,3"$3NH<!/",\$hZ3$!(3$-113(/"*$2/*2D3"#$#3,/*"3($:<-023,$G+0$!0$56)$H(/:3,=$^0$4/*20$G3$02!0$023$H(/:3,$!(3$2/*23($02!"$1-($0(!#/0/-"!<$56)$:-":3H0,B$G+0$.3$!(3$,0/<<$H(-L/#/"*$-+($:+,0-43(,$./02$!$<+N+(M$#3,/*"3($H(-#+:0$!0$!$,/*"/I:!"0<M$<-.3($H(/:3$02!"$023$-(/*/"!<$*+3,0$#3,/*"3(7,$G(!"#=i$

"12$ +&,H'$ &'$ 023$ ,3:-"#$ <!(*3,0$ 1!,2/-"$ (30!/<3($ /"$ 023$ .-(<#$c43!,+(3#$ -"$ !""+!<$ ,!<3,d$ -"<M$ ,+(H!,,3#$ GM$ 9H!"/,2$ ^"#/03N$ !"#$:<-,3<M$ 1-<<-.3#$ GM$ J43(/:!"$ `JF=$ 5-.3L3(B$ 02/,$ (!";/"*$ #-3,$ "-0$*/L3$!"$!::+(!03$H/:0+(3$-1$023$:-4H30/0/L3$<!"#,:!H3B$.2/:2$/,$2/*2<M$/"a+3":3#$GM$(3*/-"!<$!"#$<-:!<$(30!/<3(,=$@L3"$02-+*2$4/"-(B$(3*/-"!<$:-4H30/0-(,$!(3$+"!G<3$0-$:-4H303$-"$*<-G!<$,!<3,$I*+(3,B$023M$:!"$,0/<<$ !113:0$56)7,$H-,/0/-"$ /"$!$*/L3"$4!(;30=$>2/,$43!",$ 02!0$56)7,$:-4H30/0/L3$<!"#,:!H3$#/113(,$,/*"/I:!"0<M$!:(-,,$/0,$4!(;30,=$ ^"$"3.$!"#$+"1!4/</!($4!(;30,$,+:2$!,$023$)/##<3$@!,0$!"#$9-+02D@!,0$J,/!B$<-:!<$:-4H30/0/-"B$ <-.$G(!"#$ (3:-*"/0/-"$!"#$+";"-."$:-",+43($H(313(3":3,$ !(3$ ,-43$ -1$ 023$ :2!<<3"*3,$ 02!0$ 56)$ 1!:3,$ /"$ /0,$!0034H0$0-$,+::3,,1+<<M$3,0!G</,2$/0,3<1=$ ^"$3,0!G</,23#$!"#$4-(3$1!4/</!($ 4!(;30,$ ,+:2$ !,$ 9.3#3"$ !"#$ Z3,03("$ @+(-H3B$ 56)$2-<#,$!$,0(-"*$H-,/0/-"$!"#$/",03!#$2!,$0-$1-:+,$-"$4!/"0!/"/"*$

/0,$H-,/0/-"$/"$4!(;30,$./02$<-.$*(-.02$(!03,=>23$ :-4H<3N/0M$ -1$ <-:!<$ !"#$ *<-G!<$ :-4H30/0/-"$ 4!;3,$ /0$

#/1I:+<0$ 0-$ #3I"3$ !$ */L3"$ 4!(;30$ !"#$ 02+,$ 0-$ :!<:+<!03$ 56)7,$4!(;30$ ,2!(3,=$ %&'("$ )!*"+,,-"$ 3<!G-(!03,$ -"$ 023$ :-4H<3N/0M$-1$56)7,$ :-4H30/0/L3$ <!"#,:!H3\$ h^0$ /,$ !$ G/*$ :2!<<3"*3$ 0-$ /#3"0/1M$-+($:-4H30/0-(,B$G3:!+,3$023M$!(3$,-$#/113(3"0$#3H3"#/"*$-"$023$4!(;30$/"$8+3,0/-"=$>23$#/113(3":3$/"$(!";/"*$-1$:-4H!"/3,$/"$3!:2$4!(;30$ 4!;3,$ /0$ L3(M$ #/1I:+<0$ 0-$ /#3"0/1M$ !"$ +"!4G/*+-+,$ 4!/"$:-4H30/0-(=i$>23$:-4H<3N/0M$*(-.,$!##/0/-"!<<M$.23"$!<<$-1$56)7,$H(-#+:0$:!03*-(/3,$!(3$/":<+#3#=$p("$)!*"+,,-"$:-"0/"+3,\$h^0$/,$!<<$(3<!03#$ 0-$ 023$8+3,0/-"$-1$2-.$.3$#3I"3$-+($4!(;30=$92-+<#$.3$/":<+#3$:-,430/:,B$,H-(0,.3!(B$<+N+(MB$!"#$#3H!(043"0$,0-(3,q$Z3<<$M3,B$G+0$023"$!<<$-1$!$,+##3"$/0$!113:0,$-+($H3(:3H0/-"$-1$-+($4!/"$:-4H30/0-(,=i$

H&M’s Position

!"#$%&'()*+(,+,-./0/

4D;I$]$(KK?C=:9=DJ<$>J<:JD<^$>_$=Q<$:<=9DK$L9:F<=$_>:$9U?K=C$

!"#$$%&''()*#+,'-#+'

./0+12'()*#+,'-#+'

3)/*#"' !#$4#"''

-)10/+'()*#+,-#+'

5660/'-%11"0'78/0*%4*'9/%1:07'

;)<0/'-%11"0'7=+>/2'8/%&07'

-%11"0''7-#%+$>/0#*7'

?%$&)4+>'

8/0*%4*'

;4@4/2'

!"#$%"&'()**+,-./01&

!"#"$$%&'&

8/%&0'6)$%A)+'

-#/B0>'C0:*0+>'

!"#$%&'#$()**16 !"#$%&'#$()** 17

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

2rCHANNEL EXPANSION$ GM$ 3NH!"#/"*$ 023$ "+4G3($ -1$:2!""3<,$ 02(-+*2$ .2/:2$ 023$ :-",+43($ 4!M$ H+(:2!,3$56)$H(-#+:0,B$/":<+#/"*$-"</"3$,0-(3,$!"#$:!0!<-*+3$,!<3,=$

Online Shopping^"$WTTO$56)$<!+":23#$/0,$I(,0$-"</"3$,2-H$/"$9.3#3"B$!"#$0-#!M$-"</"3$ ,2-HH/"*$ /,$ !<,-$ !L!/<!G<3$ /"$ f-(.!MB$ K3"4!(;B$ l/"<!"#B$f3023(<!"#,B$ `3(4!"MB$ J+,0(/!$ !"#$ 023$ mC=$ >23$ -"</"3$ :2!""3<$-113(,$ 023$ ,!43$ H(-#+:0,$ !,$ 56)$ ,0-(3,$ !"#$ */L3,$ :-",+43(,$023$ H-,,/G/</0M$ 0-$ ,2-H$ !0$ 56)$ PUDQB$ .2/:2B$ !::-(#/"*$ 0-$ %&'("$)!*"+,,-"B$ /,$ 8+/"03,,3"0/!<\$ h^0$ /,$ ;3M$ 0-$ 3NH!"#$ -+($ -"</"3$:2!""3<=$ @L3(M$ 0/43$ !$ H-03"0/!<$ :+,0-43($ 02/";,$ !G-+0$ 1!,2/-"B$.3$,2-+<#$G3$023(3B$!"#$023$-"</"3$,0-(3$/,$023$H3(13:0$.!M$0-$#-$3N!:0<M$02!0=i$>23$G/**3,0$:2!<<3"*3$:-":3("/"*$023$-"</"3$:2!""3<$2!,$G33"$

!"#$(34!/",$0-$G3$2-.$0-$/"03*(!03$023$:2!""3<$./02$023$H2M,/:!<$,0-(3$:2!""3<$4-,0$3113:0/L3<M=$56)$:-",0!"0<M$1-:+,3,$-"$!</*"/"*$023,3$0.-$:2!""3<,$0-$!:2/3L3$023$2/*23,0$:-4G/"3#$(30+("=$%&'("$)!*"+,,-"$3NH<!/",\$h^0$/,$!G-+0$+0/</X/"*$023$,0-(3$:2!""3<$!"#$023$-"</"3$:2!""3<$ /"$ 023$,4!(03,0$H-,,/G<3$.!M$ 0-$4!N/4/X3$,3<</"*$!"#$H(-I0!G/</0M$/"$3!:2$:2!""3<B$.2/<3$4!;/"*$0234$,+HH-(0$3!:2$-023($/"$023$G3,0$H-,,/G<3$.!M=$Z2!0$4!003(,$0-$+,$/,$2-.$4+:2$4-"3M$.3$!(3$4!;/"*$-"$!<<$:2!""3<,$:-4G/"3#$!,$!$:-4H!"M=i$>23$ H-H+<!(/0M$ -1$ -"</"3$ ,2-HH/"*$./02/"$ (30!/<$ /,$ *(-./"*=$ ^"$

@+(-H3B$ -"</"3$ ,2-HH/"*$ (3H(3,3"03#$ U=Q$ ]$ -1$ 0-0!<$ (30!/<$ ,!<3,$/"$ PSST$ ./02$ :-",/#3(!G<3$ *(-.02$ H-03"0/!<$ #+3$ 0-$ :2!"*/"*$:-",+43(,7$ G+M/"*$ 2!G/0,=$ ?-",+43(,$ 2!L3$ *(3!03($ 0(+,0$ /"$ 023$^"03("30$0-#!M$!"#$L!<+3$023$a3N/G/</0M$-1$"-0$2!L/"*$0-$!#23(3$0-$:3(0!/"$-H3"/"*$2-+(,$-1$!$,0-(3$0-$4!;3$023/($H+(:2!,3=$56)7,$-"</"3$:2!""3<$M/3<#3#$H-,/0/L3$(30+(",$/"$PSSTB$G+0$,0/<<$

2!,$,/*"/I:!"0$+"0!HH3#$H-03"0/!<$G-02$/"$03(4,$-1$-H0/4/X/"*$023$:2!""3<$/"$4!(;30,$.23(3$/0$/,$!<(3!#M$H(3,3"0$!"#$3NH!"#/"*$023$:2!""3<$0-$"3.$4!(;30,=$

WAYS TOFIVEH&M’s

grow

1 IMPROVING DAY#TO#DAY PERFORMANCE$ GM$ 3":-+(!*/"*$3N/,0/"*$:+,0-43(,$0-$G+M$4-(3$-($!00(!:0/"*$4-(3$:+,0-43(,$0-$G+M$/"$023$,0-(3=$l-:+,$/,$-"$:(3!0/"*$023$G3,0$-113(/"*$3L3(M$#!M$GM$/":(3!,/"*$

,H!:3$H(-#+:0/L/0M=$F3(1-(4!":3$:!"$G3$43!,+(3#$-"$,!<3,$H3($,84$-($,!<3,$H3($,0-(3=

Guest Designers9/":3$PSSU$56)$2!,$/"L/03#$<+N+(M$#3,/*"3(,$,+:2$!,$C!(<$Y!*3(13<#B$)!0023.$Z/<</!4,-"$ !"#$ Y!"L/"$ 0-$ #3,/*"$ 3N:<+,/L3$ *+3,0$ :-<<3:0/-",$ 0-$ G3$ ,-<#$ /"$</4/03#$3#/0/-",$/"$,3<3:03#$56)$,0-(3,=$>2/,$/"/0/!0/L3$.!,$/"03"#3#$0-$H(-L/#3$

:+,0-43(,$./02$!##/0/-"!<$L!<+3$!"#$0-$/":(3!,3$,!<3,$/"$,0-(3,$GM$,+HH<343"0/"*$/0,$/"3NH3",/L3$*!(43"0,$./02$4-(3$<+N+(/-+,$#3,/*"3($/034,=$ ?2(/,03<$ l(//,D)/;;3<,3"$ 3NH<!/",$ 023$ #3L3<-H43"0$ -1$ 023$ /"/0/!0/L3\$ hJ0$

56)$.3$.!"03#$0-$,+(H(/,3$-+($:+,0-43(,$./02$,-4302/"*$:-4H<303<M$"3.$/",03!#$-1$023$!"0/:/H!03#$+"#3(.3!($:!4H!/*"=$Z3$13<0$02!0$/0$.!,$0/43$1-($,-4302/"*$"3.$!"#$0-$H+0$1-:+,$-"$-+($1!,2/-"$/",03!#$-1$.2-$.!,$4-#3</"*$023$+"#3(.3!($:!4H!/*"=i>23$*+3,0$#3,/*"3($:-<<3:0/-",$,3<<$!0$4-(3$3NH3",/L3$H(/:3,$02!"$(3*+<!($

56)$*!(43"0,B$G+0$2!L3$G33"$3N0(343<M$H-H+<!($!"#$2!L3$-103"$,-<#$-+0$/"$,0-(3,$/"$!$4!003($-1$2-+(,=

3rPRODUCT CATEGORY EXPANSION GM$ !##/"*$ "3.$H(-#+:0$:!03*-(/3,$0-$4!;3$3N/,0/"*$:+,0-43(,$G+M$4-(3$!"#$0-$!00(!:0$"3.$:+,0-43(,=$

H!M Home 56)$ <!+":23#$ /0,$ 56)$ 5-43$ :-<<3:0/-"B$ !"$ /"03(/-($ 03N0/<3$:-":3H0B$ /"$ 023$ G3*/""/"*$ -1$ PSST=$ >2/,$ /"/0/!0/L3$ 3NH!"#,$ 023$:-4H!"M7,$H(-#+:0$H-(01-</-$0-$/":<+#3$!$:-<<3:0/-"$-1$G3#$</"3",B$:+,2/-",B$0-.3<,$!"#$-023($2-43$/"03(/-($03N0/<3,=$56)$5-43$/,$023$G/**3,0$,03H$!.!M$1(-4$023$:-4H!"M7,$:-(3$

G+,/"3,,$!"#$/,$:+((3"0<M$-"<M$-113(3#$/"$023$O$-"</"3$,0-(3,$!"#$0.-$,2-.(--4,$/"$90-:;2-<4$!"#$?-H3"2!*3"=$

4rBRAND EXPANSION GM$!:8+/,/0/-"$-($:(3!0/-"$-1$"3.$G(!"#,$0-$0!(*30$"3.$:+,0-43($,3*43"0,=$K+(/"*$023$H!,0$1-+($M3!(,$56)$2!,$!##3#$1-+($"3.$G(!"#,$0-$023$:-4H!"M7,$

G(!"#$H-(01-</-=$%&'("$)!*"+,,-"$3NH<!/",$.2M$G(!"#$3NH!",/-"$/,$!$,0(!03*/:$1-:+,$1-($56)\$hJ##/"*$"3.$G(!"#,$/,$,-4302/"*$.3$2!L3$1-:+,3#$-"$/"$023$<!,0$13.$M3!(,=$^0$2!,$G33"$-"3$3<343"0$-1$-+($*(-.02$,0(!03*M$!,$023M$*/L3$+,$-HH-(0+"/0/3,$ /"$:-+"0(/3,$.23(3$.3$2!L3$G33"$1-($!$<-"*$0/43i=

Fabric Scandinavien AB^"$,H(/"*$PSSO$56)$!:8+/(3#$!$eS$]$,0!;3$ /"$ 023$H(/L!03<MD-."3#$:-4H!"M$l!G(/:$9:!"#/"!L/!"$J%$02!0$#3,/*"3#$!"#$,-<#$1!,2/-"$!HH!(3<$+"#3($02(33$G(!"#,s$Z33;#!MB$)-";/B$!"#$?23!H$)-"#!M=$>23$H+(:2!,3$!*(3343"0$/":<+#3#$!"$-H0/-"$0-$!:8+/(3$023$(34!/"/"*$US$]$,2!(3,B$!"#$/"$f-L34G3($PSWS$56)$3N3(:/,3#$02!0$-H0/-"=$>23$ G(!"#,$ 2!L3$ 3NH!"#3#$ ,+G,0!"0/!<<M$ ,/":3$ 023$ !:8+/,/0/-"$ /"$ PSSOB$./02$ 023$

"+4G3($-1$,0-(3,$/":(3!,/"*$1(-4$PS$0-$eQ=$56)$2!,$*(3!0$1!/02$/"$023$G(!"#,B$.2/:2$!(3$&+#*3#$0-$2!L3$,0(-"*$H-03"0/!<$1-($023$1+0+(3=$>23$3NH!",/-"$!"#$/"03("!0/-"!<$(-<<-+0$-1$Z33;#!MB$)-";/$!"#$?23!H$)-"#!M$/,$023(31-(3$0-$:-"0/"+3=$l!G(/:$9:!"#/"!L/!"$/,$ 1+<<M$ /":-(H-(!03#$ /"$ 023$56)$`(-+H$G+0$ 023$G(!"#,$ :-"0/"+3$ 0-$G3$-H3(!03#$ !,$,3H!(!03$:-":3H0,=%&'("$ )!*"+,,-"$ 3NH<!/",$ 023$ G3"3I0,$ -1$ !:8+/(/"*$ l!G(/:$ 9:!"#/"!L/!"\$ hZ/02$

)-";/$.3$:!"$-H3"$4-(3$,0-(3,$/"$(30!/<$!(3!,$.23(3$.3$!(3$!<(3!#M$H(3,3"0$./02$56)$,0-(3,=$^0$.-+<#$G3$G3003($0-$H<!:3$!$)-";/$,0-(3$02!"$0-$(/,;$:!""/G!</X!0/-"$GM$-H3"/"*$!"-023($56)$,0-(3$/"$023$,!43$!(3!=$>2!0$.!M$.3$:!"$!##$!$"3.$:-":3H0$!"#$!$"3.$G(!"#$0-$02!0$,0(330i=$

COS^"$PSSQB$56)$!##3#$!"$+H,:!<3$G(!"#$./02$023$<!+":2$-1$?A9$_$?-<<3:0/-"$-1$90M<3=$?A9$0!(*30,$!$#/113(3"0$:+,0-43($,3*43"0$./02$:-<<3:0/-",$/"$!$2/*23($H(/:3$,3*43"0$G+0$ /0$ ,0/<<$4!/"0!/",$!$ 1-:+,$-"$ 1!,2/-"$!"#$8+!</0M$!0$ 023$G3,0$H(/:3=$?A9$ /,$ ,-<#$ /"$VR$ ,0-(3,$ !:(-,,$ @+(-H3$ !"#$ -113(,$ :<-02/"*$ 1-($ 43"B$ .-43"B$ !"#$ :2/<#(3"=$ %&'("$)!*"+,,-"$3<!G-(!03,$-"$023$G3"3I0,$-1$!##/"*$?A9$0-$023$56)$`(-+H\hZ/02$?A9$.3$:!"$(3!:2$!$4-(3$3N:<+,/L3$,2-HH/"*$,0(330$/"$!$4-(3$H(-I0!G<3$.!M$

02!"$.3$.-+<#$G3$!G<3$0-$#-$./02$56)$,0-(3,=i

5rGEOGRAPHICAL EXPANSION GM$ -H3"/"*$4-(3$,0-(3,$/"$3N/,0/"*$4!(;30,$-($3"03(/"*$"3.$4!(;30,=

New Markets in the H&M world56)$2!,$G33"$3NH!"#/"*$,+G,0!"0/!<<M$!"#$:-"0/"+3,$0-$3"03($"3.$4!(;30,$.-(<#./#3=$^"$PSWS$023$:-4H!"M$-H3"3#$/0,$I(,0$,0-(3,$/"$9-+02$C-(3!B$^,(!3<$!"#$>+(;3M$!"#$ /"$ !+0+4"$ PSWWB$ 56)$./<<$ 0!;3$ /0,$ I(,0$ ,03H$ /"0-$9-+02$ @!,0$ J,/!$ "!43<M$ 9/"*!H-(3\$ h>23(3$ /,$ *(3!0$H-03"0/!<$ 1-($ 3NH!",/-"$ /"$ 02/,$ 2/*2<M$ H-H+<!03#$ !"#$1!,2/-"$:-",:/-+,$(3*/-"B$!"#$9/"*!H-(3$/,$023$H3(13:0$I(,0$,03H$1-($02/,i$,!M,$?@A$C!(<DE-2!"$F3(,,-"=$A023($"3.$4!(;30,$/"$PSWW$/":<+#3$[-4!"/!$!"#$?(-!0/!=Z23"$ #3:/#/"*$ .23(3$ 0-$ -H3"$ +H$ "3.$ ,0-(3,B$

56)7,$ 3,0!G</,243"0$ *+/#3</"3,$ 2!L3$ (34!/"3#$ 023$,!43$ ,/":3$ WTUQ\$ /0$ /,$ !<<$ !G-+0$ H(/43$ <-:!0/-"=$ >2/,$43!",$ 02!0$ 56)$ ,0-(3,$ :!"$ G3$ 1-+"#$ -"$ 023$ 4-,0$H(-4/"3"0$,2-HH/"*$,0(330,$!(-+"#$023$.-(<#=56)$ -.",$ "-$ (30!/<$ H(34/,3,B$ /",03!#$ 023M$ <3!,3$

,0-(3$,H!:3$1(-4$<-:!<$H(-H3(0M$-."3(,B$.2/:2$4!;3,$023$ :-4H!"M$ 4-(3$ a3N/G<3\$ h[30!/<$ /,$ :-",0!"0<M$:2!"*/"*=$ >23$ G3,0$ :-443(:/!<$ <-:!0/-"$ 0-#!M$ 4!M$"-0$"3:3,,!(/<M$G3$023$G3,0$<-:!0/-"$0-4-((-.=$>/43D</4/03#$ (3"0!<$ :-"0(!:0,$ !<<-.$ +,$ 0-$ ;33H$ -"$ 0-H$ -1$02/"*,$!"#$!<.!M,$G3$/"$H(/43$<-:!0/-",iB$,!M,$53!#$-1$9!<3,B$9031!"$Y!(,,-"=$$>23$ 4!&-(/0M$ -1$ 56)7,$ (3L3"+3$ 2!,$ ,-$ 1!($ G33"$

*3"3(!03#$ /"$ @+(-H3B$ !"#$ 023$ :-4H!"M7,$ :-"0/"+3#$1-:+,$-"$02/,$(3*/-"$/,$(3a3:03#$GM$QU$]$-1$023/($"3.$,0-(3,$G3/"*$-H3"3#$/"$@+(-H3$/"$PSWS=$l-($PSWW$023$H<!"$/,$0-$-H3"$PRS$"3.$,0-(3,B$!"#$023$

G/**3,0$3NH!",/-"$4!(;30,$!(3$?2/"!B$mC$!"#$m9=$%&'("$)!*"+,,-"$,!M,$ 02!0$!<02-+*2$ /0$4/*20$G3$4-(3$-1$!$:2!<<3"*3$ 0-$ I"#$*--#$ <-:!0/-",$-"$ 1!4/</!($4!(;30,B$023(3$/,$,0/<<$*(3!0$H-03"0/!<=$J<02-+*2$ 56)$ 2!,$ G33"$ /":(3!,/"*$ /0,$ *<-G!<$

H(3,3":3$/"$(3:3"0$M3!(,B$023$:-4H!"M$/,$M30$0-$3"03($9-+02$ J43(/:!=$ J::-(#/"*$ 0-$ F303($ l-(,<+"#B$ 53!#$-1$%+,/"3,,$?-"0(-<<3(,B$ 02/,$:-+<#$G3$!$L3(M$ <+:(!0/L3$-HH-(0+"/0M$ 1-($ 023$ :-4H!"M\$ hZ3$ !(3$ <--;/"*$ /"0-$9-+02$ J43(/:!B$ .23(3$ .3$ !(3$ "-0$ H(3,3"0$ !0$ 023$4-43"0=i !

!"#$%&'#$()**16

!"#$%&'#$()**18 !"#$%&'#$()** 19

"12$ ('$ 23+#$ !"&,$ !$ ,+::3,,1+<$ G+,/"3,,$ :-":3H0=$ >23$ :-(H-(!03$:+<0+(3$_$3NH(3,,3#$!,$023$h56)$,H/(/0i$_$2!,$G33"$!$,/*"/I:!"0$1!:0-($G32/"#$ 56)7,$ ,+::3,,$ !"#$ *(-.02$ /"0-$ G3/"*$ -"3$ -1$ 023$ G/**3,0$1!,2/-"$(30!/<3(,$/"$023$.-(<#=$>23$56)$:+<0+(3$/,$G+/<0$-"$023$,!43$L!<+3,$!,$023$:-4H!"M$.!,$

1-+"#3#$-"$/"$WTUQB$!"#$/,$3NH(3,,3#$!,$!$,0(-"*$G3</31$/"$H3-H<3$!"#$03!4.-(;B$!"$3"0(3H(3"3+(/!<$,H/(/0$#3,H/03$023$:-4H!"M7,$,/X3$!"#$!*3B$!"#$!$:-",0!"0$311-(0$0-$4/"/4/X3$G+(3!+:(!:M$!"#$;33H$02/"*,$,/4H<3=$hA+($L!<+3,$!(3$!:0/L3<M$</L3#$-+0$/"$56)=$Z23"$.3$(3:(+/0$"3.$H3-H<3$.3$<--;$0-$,33$/1$023M$!(3$56)DH3-H<3$-($"-0i$,!M,$?2(/,03<$l(//,D)/;;3<,3"=>23$ :-4H!"M7,$ *3-*(!H2/:!<$

3NH!",/-"$ !"#$ :-",/,03"0$ *(-.02$/"$ 4+<0/:+<0+(!<$ 4!(;30,$ H(3,3"0$!$ "+4G3($ -1$ :2!<<3"*3,$ /"$ 03(4,$-1$ 2/(/"*$ H3-H<3$ ./02$ 023$ (/*20$56)DH3(,-"!</0M$ !"#$ 4!;/"*$,+(3$ 02!0$ 023$ :-(H-(!03$ :+<0+(3$!"#$ L!<+3,$ !(3$ 0(!",13((3#$ 0-$ !<<$"3.$ ,0-(3,=$ K+(/"*$ PSWSB$ "3!(<M$eBSSS$ "3.$ 34H<-M33,$ .3(3$!##3#$ 0-$ 023$ 56)$ 1!4/<M$ !"#$ 0-$

3",+(3$:-",/,03":M$ /"$ 023$:-",+43(,7$G(!"#$3NH3(/3":3$ 023M$4+,0$!<<$G3$0!+*20$2-.$0-$02/";$!"#$!:0$ </;3$!"$56)$H3(,-"\$h^"$-+($"3.$4!(;30,B$/0$/,$!$:2!<<3"*3$0-$4!;3$,+(3$02!0$023$,0!11$+"#3(,0!"#$-+($:+<0+(3=$Z3$2!L3$0-$03!:2$0234$2-.$-+($:-4H!"M$.-(;,B$02/";,$!"#$!:0,iB$,!M,$9!""!$Y/"#G3(*=$K+(/"*$023$,0!(0+H$H3(/-#$/"$"3.$4!(;30,B$03!4,$-1$3NH3(/3":3#$34H<-M33,$1(-4$L!(/-+,$3,0!G</,23#$4!(;30,$!(3$:(3!03#=$>23,3$03!4,$1+":0/-"$!,$:+<0+(3$!4G!,,!#-(,$!"#$0(!/"$023$"3.$H3-H<3$0-$4!;3$,+(3$02!0$:+,0-43(,$./<<$*30$023$(/*20$56)$133</"*$.23"$023M$3"03($023$"3.$,0-(3,=

%&'("$)!*"+,,-"$,0(3,,3,$02!0$023$#3,:(/G3#$*(-.02$,0(!03*/3,$!(3$"-0$3N2!+,0/L3$!"#$02!0$!$./#3$(!"*3$-1$-HH-(0+"/0/3,$3N/,0,=$53":3B$!$1+0+(3$,0(!03*M$:-+<#$G3$!"$3<!G-(!0/-"$./02/"$-"3$-1$023,3$R$!(3!,B$-($!$"3.$+"3NH<-(3#$-HH-(0+"/0M$02!0$:-+<#$,+HH-(0$023$-L3(!<<$*(-.02$0!(*30=$J103($#3,:(/G/"*$2-.$56)$:!"$!"#$2!,$G33"$:-4G/"/"*$#/113(3"0$*(-.02$,0(!03*/3,B$p("$)!*"+,,-"$2/*2</*20,$-"3$-1$56)7,$4-,0$H(-4/"3"0$

L!<+3,s$C33H$/0$,/4H<3B$!"#$</";,$/0$0-$!$,/*"/I:!"0$:2!<<3"*3$-1$G3/"*$!$1!,0$*(-./"*$:-4H!"M\$hZ3$2!L3$!$:2!<<3"*3$/"$03(4,$-1$2!"#</"*$-+($"3.$/#3!,$!"#$-+($*(-.02$/"$"3.$4!(;30,$/"$!$,/4H<3$!"#$31I:/3"0$.!M$./02-+0$/":(3!,/"*$G+(3!+:(!:M=$Z3$2!L3$0-$;33H$/0$,/4H<3ti

and CulturePeople

4D;I$`$'D;ADaB9A=$#J<A=C$DA$"12YC$+<B<A=$"DC=>:V

!"""#$%&'(#)*#'(+&,#%-#.,/#0+&1#

!""2#$%&'(#3%445,#67'(,&-#'(+&,#%-#89:7%#;$&7-<=%',>#

!""?#@79-<=#+A#BC*#

!""D#@79-<=#+A##EF3#E+G,#

!"H"#I<J9%'%K+-#+A#&,G7%-%-L#'=7&,'#%-#$7M&%<##*<7-4%-7N%,-#

!""O#$%&'(#L9,'(#4,'%L-,&#<+557:+&7K+-#/%(=#P7&5#@7L,&A,54#

HDDQ#$%&'(#C-5%-,#'(+&,#%-#*/,4,-#

!"#$%&'()*+(

!

!"#$%&'#$()**20 !"#$%&'#$()** 21

H&M’S VALUES

Keep it simple We believe in people

We are one team

Entrepreneurial spirit

Cost-Conscious

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a3:0,$-"$023$:-4H!"M7,$(3:(+/043"0$H(/":/H<3\$hA"$023$-"3$,/#3$/0$/,$!$,0(3"*20$/1$.3$4!/"<M$H(-4-03$1(-4$/",/#3B$G+0$/0$:!"$!<,-$G3$!$.3!;"3,,=$Z3$2!L3$0--$13.$"3.$H3-H<3$:-4/"*$/"B$!"#$023"$.3$(/,;$<-,/"*$023$1(3,2$!/($.3$"33#=iJ,$ !$ (3,+<0$ -1$ 023$ (3:(+/043"0$ H(/":/H<3B$ TR$ ]$ -1$ !<<$ 4/##<3$

4!"!*3(,$ c/":<+#/"*$ ,0-(3$ 4!"!*3(,d$ !(3$ (3:(+/03#$ /"03("!<<M=$9!""!$Y/"#G3(*$3NH(3,,3,$02!0$/0$/,$,-430/43,$!$:2!<<3"*3$0-$I"#$4!"!*3(,$./02$023$(38+/(3#$<3L3<$-1$4!"!*343"0$;"-.<3#*3$!"#$,;/<<,\$h^1$^$2!L3$!"$3N:3<<3"0$,0-(3$4!"!*3(B$^$02/";$02!0$H3(,-"$:-+<#$G3$ 023$"3N0$ !(3!$4!"!*3(B$G+0$ 02!0$#-3,$"-0$!<.!M,$ 0+("$-+0$ 0-$G3$*--#=$J,$!"$!(3!$4!"!*3($M-+$.-(;$./02$M-+($4!"!*3(,$-"$!$#/,0!":3=$o-+$#-$"-0$2!L3$ 023$,!43$:<-,3$:-"0!:0$./02$ 0234$!,$.23"$M-+$.3(3$.-(;/"*$!,$!$,0-(3$4!"!*3(=$%31-(3$.3$H(-4-03$H3-H<3B$.3$2!L3$ 0-$4!;3$ ,+(3$ 02!0$ 023M$ (3!<<M$ :!"$.-(;$-"$ 02!0$<3L3<=$ ^0$ /,$ !$2+*3$:2!<<3"*3$G3:!+,3$ ,-43$H3-H<3$ !(3$ &+,0$*--#$.23(3$023M$!(3B$!"#$023"$.3$,2-+<#$+,3$0234$1-($02!0=i$9!""!$ Y/"#G3(*$ 3NH<!/",$ 02!0$ /0$ /,$ !$ :2!<<3"*3$ 0-$ 4-L3$ 1(-4$

!$ H-,/0/-"$ !,$ ,0-(3$ 4!"!*3($ ./02$ :<-,3$ #!/<M$ :-"0!:0$ ./02$ !<<$4!"!*3(,B$ 0-$ G3/"*$ !"$ !(3!$ 4!"!*3($ .2-$ #-3,$ "-0$ 2!L3$ 023$-HH-(0+"/0M$0-$3"*!*3$./02$2/,g23($,+G-(#/"!03,$-"$!$#!/<M$G!,/,=$>23(31-(3B$!$:3(0!/"$<3L3<$-1$4!"!*343"0$3NH3(/3":3$/,$"33#3#$!,$.3<<$!,$!"!<M0/:!<$!"#$,0(!03*/:$:-4H303":/3,=9/4/<!(<MB$4!"M$-1$56)7,$,0-(3$4!"!*3(,$ 1!:3$ 023$:2!<<3"*/"*$

0!,;$!"#$*(3!0$(3,H-",/G/</0M$-1$(+""/"*$!$,0-(3$02!0$2!,$023$,/X3$!"#$(3L3"+3$-1$!$43#/+4D,/X3#$:-4H!"M=$J$,0-(3$4!"!*3($(3a3:0,$-"$23($:2!<<3"*3,\$ h>23$G/**3,0$:2!<<3"*3$ 1-($43$!,$ ,0-(3$4!"!*3($/,$ 02!0$ ^$,0!(03#$!,$!$ 0MH/:!<$,!<3,H3(,-"$.2-$ <-L3#$G3/"*$-"$023$,2-H$a--($!"#$2!L/"*$:-"0!:0$./02$:+,0-43(,=$J,$!$,0-(3$4!"!*3($^$2!L3$0-$H(/-(/0/X3$!#4/"/,0(!0/L3$!"#$<3!#3(,2/H$0!,;,=i$>2+,$-"3$!,H3:0$ -1$ 023$ :-4H!"M7,$ 5[D:2!<<3"*3$ /,$ 0-$ 0(!/"$ !"#$ #3L3<-H$3N/,0/"*$34H<-M33,$,-$023M$!(3$h#(3,,3#i$0-$2!"#<3$023$4!"!*3(/!<$:2!<<3"*3,$/"$4-(3$#34!"#/"*$H-,/0/-",=$9!""!$ Y/"#G3(*$ 3NH(3,,3,$ H!(0/:+<!($ /"03(3,0$ /"$ 3N03("!<$ (3D

:(+/043"0$-1$H3-H<3$./02$2/*23($!:!#34/:$#3*(33,\$Z3$!<,-$"33#$34H<-M33,$02!0$:!"$G3$4-(3$,0(!03*/:$!"#$!"!<M0/:!<=$F3-H<3$./02$023-(30/:!<$4!"!*343"0$;"-.<3#*3$:-+<#$:-"0(/G+03$./02$ 023,3$"33#3#$,;/<<,B$G+0$0-$1+":0/-"$!,$4/##<3$4!"!*3(,$023M$!<,-$"33#$H(!:0/:!<$3NH3(/3":3$1(-4$.-(;/"*$/"$,0-(3,=i$J"#$.2/<3$56)$,33,$023$ G3"3I0,$ -1$ !00(!:0/"*$ 4-(3$ G+,/"3,,$ ,0+#3"0,$ !"#$ H3-H<3$./02$ 4/##<3$ 4!"!*343"0$ 3NH3(/3":3B$ 023M$ !(3$ .-"#3(/"*$ 2-.$0-$!00(!:0$023$"3.$*3"3(!0/-"$-1$!:!#34/:,\$hZ3$2!L3$3NH3(/3":3$./02$!00(!:0/"*$G+,/"3,,$ ,0+#3"0,$ /"$ 023$H!,0B$G+0$ ,/":3$ 023$"3.$*3"3(!0/-"$ /,$#/113(3"0$ 1(-4$-<#3($*3"3(!0/-",B$.3$"33#$0-$;"-.$.2!0$023/($#34!"#,$./<<$G3$/"$023$1+0+(3=$A+($:2!<<3"*3$/,$0-$!00(!:0$0234$!"#$023"$0-$4!;3$0234$,0!Mti$$>-$,3:+(3$ 1+0+(3$,+::3,,$ /0$ /,$:(+:/!<$ 0-$!00(!:0$!"#$ (30!/"$ 023$

4-,0$:-4H303"0$34H<-M33,$_$G-02$/"03("!<<M$!"#$3N03("!<<M$_$!"#$9!""!$ Y/"#G3(*$ .!,$ H-"#3(/"*$ -"$ 2-.$ 0-$ #-$ 02/,=$Z2!0$ .-+<#$G3$023$#34!"#,$-1$023$1+0+(3$*3"3(!0/-"$-1$34H<-M33,$!"#$2-.$,2-+<#$56)$4330$023,3$#34!"#,q$%&'("$)!*"+,,-"$,+HH-(0,$9!""!$Y/"#G3(*$-"$023$/4H-(0!":3$

-1$!##(3,,/"*$023$5[$:2!<<3"*3\$h^1$.3$1-<<-.$023$2/,0-(/:$*(-.02B$.3$!(3$*-/"*$0-$G3$0./:3$!,$G/*$/"$R$M3!(,B$,-$.3$2!L3$0-$<--;$!0$/"03("!<$!,H3:0,=$Z3$"33#$0-$!00(!:0B$(30!/"$!"#$#3L3<-H$-+($H3-H<3$/"$!$(3!<<M$*--#$.!M=i$

Recruitment

Straight forward and open minded

!

!

!

!

!

!

Internal

!"#$%&'#$()**22 !"#$%&'#$()** 23

&'$!"#$2##!(,-$ :!43$ 0-$ !"$ 3"#B$ 023$4!"!*343"0$ 03!4$ (3a3:03#$-"$ 023$ L!(/-+,$ *(-.02$ /"/0/!0/L3,$ 56)$ 2!#$ +"#3(0!;3"$ /"$ (3:3"0$M3!(,$ !"#$ #/,:+,,3#$ .2/:2$ 1-:+,$ 0-$ 0!;3$ /"$ 023$ 1+0+(3=$ $ J<02-+*2$*(-.02$/"$"+4G3($-1$,0-(3,$:-"0/"+3#$0-$G3$!$0!(*30$1-($56)B$%&'("$)!*"+,,-"$3NH<!/"3#$.2M$023M$2!#$0-$02/";$-1$"3.B$<-"*D03(4$*(-.02$-HH-(0+"/0/3,$!,$.3<<\$h>23$8+/:;$.!M$0-$*(-.$/,$&+,0$0-$-H3"$+H$4-(3$,0-(3,$!,$,--"$!,$.3$:!"$I"#$*--#$<-:!0/-",$_$02!0$/,$023$b3!,M7$.!M$0-$(-<<$-+0$023$56)$G(!"#=$Z3$:!"$-H3"$"3.$56)$,0-(3,$3!,/<M$G3:!+,3$.3$;"-.$3L3(M02/"*$!G-+0$/0$_$023$8+3,0/-"$/,$/1$.3$:!"$I"#$3"-+*2$<-:!0/-",$0-$:-"0/"+3$02/,$,0(!03*M$ /"$023$M3!(,$0-$:-43=$>2!0$ /,$023$:2!<<3"*3$-1$/0=$J"#$,/":3$.3$!(3$<--;/"*$1-($<-"*D03(4$,/*"/I:!"0$!"#$H(-I0!G<3$*(-.02B$/0$/,$/4H-(0!"0$02!0$.3$#3L3<-H$!##/0/-"!<$3NH!",/-"$-HH-(0+"/0/3,$1-($023$1+0+(3=i

>23/($ #/,:+,,/-"$ 2/*2</*203#$ !$ "+4G3($ -1$ -H0/-",$ -"$ .2/:2$ 0-$G!,3$!$1+0+(3$,0(!03*M\$`(-.02$:-+<#$G3$!:2/3L3#$02(-+*2$!##/0/-"!<$43(*3(,$ -($ !:8+/,/0/-",B$ GM$ !##/"*$ "3.$ H(-#+:0$ :!03*-(/3,$ -($:-":3H0,B$ GM$ 3NH!"#/"*$ :2!""3<,$ -($ 3"03(/"*$ "3.$4!(;30,=$ $ >23M$.3(3$!.!(3$02!0$023$#3,:(/G3#$-H0/-",$.3(3$"-0$3N2!+,0/L3$!"#$02!0$!$"+4G3($-1$b+"#/,:-L3(3#7$-HH-(0+"/0/3,$3N/,03#=$>23$4330/"*$:-+<#$3,,3"0/!<<M$G3$G-/<3#$#-."$0-$-"3$;3M$/,,+3$0-$

G3$!##(3,,3#$GM$023$4!"!*343"0$03!4\$2-.$0-$#3I"3$!$,0(!03*M$02!0$!<<-.3#$1-($,/*"/I:!"0B$H(-I0!G<3$*(-.02$.2/<3$;33H/"*$023$G+,/"3,,$,/4H<3=%&'("$)!*"+,,-"$3"#3#$023$4330/"*$./02$!$,/"*<3$(38+3,0\$

“At the end of the day we just have to

ask ourselves one question: where

is the biggest opportunity? ”

!"#$% &'(' &'') &''* &''+ &'', &''-!"#$%&'()#*&+,-& ./0&100 ..2&013 .45&45. 1/&./6 24&42. 3.&2207$8&%"#$%&9$:)#*&+,-; .42&526 .4.&616 22&<6/ 32&650 02&544 0.&/0/=>%8&>?&@>>A%&%>#A B54&/.5 B62&1.1 B65&405 B64&511 B/3&360 B/<&424./011$2/0345$ ,*$&,) ,&$6+6 -6$6,* 6+$*6+ 6'$,,6 7,$(*&!"#$$%&'"()*+%,% -.+/, -0+-, -0+1, -0+0, 1/+1, 1/+0,!$##'(@&$:C$(%$%& B54&3<. B62&//5 B6/&.2< B/3&023 B/6&13. B/.&24.,AD'('%8E"8'F$&$:C$(%$%& B/&2<1 B/&040 B/&.5< B.&332 B.&61< B.&/4289:/;54<=$9/0345 &6$,-) &($,66 &'$(7* (*$7*& (-$&)* (7$(+7234"'5)*(%&'"()*+%,% ..+6, .0+7, ..+6, .7+1, ..+8, .0+1,7$8&'(8$E$%8& 651 5<1 .&4</ 322 <.4 6242/0345$;35:/$34<;<>4;?$45:@1$ &-$''* &&$('7 &($()' ()$(+' (-$*'* (7$--7-":& B0&6/3 B<&3.1 B<&210 B<&<2/ B<&4.. B5&6402/0345$30/$5A:$B:;/$ (*$,*( (,$7*6 (-$&)6 (7$-** ('$+)+ )$&6+9#:";4<%=>?%@**:'A%B43#"5$%

&@@<AUDb$0c$"12$-:>?@$(AB>L<$'=9=<L<A=$.//M$W$./0/$$

!"#$%&

!!#'%&

!(#$%&

!!#)%&

!"#(%&

!!#)%&

!*%&

!"%&

!!%&

!(%&

!'%&

*&

!*&***&

'*&***&

+*&***&

,*&***&

"**&***&

"!*&***&

!**$& !**+& !**)& !**,& !**-& !*"*&

./0&1&

234&56735&& 893:6;<=&>:?@4&%&&!"#$%&'()*+,-(.//#01(2&3"$4-(

,<=$C9K<C$9AU$>@<:9=DA;$L9:;DA

!"!"!

!"#$%&'#$()**24 !"#$%&'#$()** 25

&@@<AUDb$.c$"12$-:>?@$69K9AB<$'Q<<=$.//M$W$./0/

!""#$"%&'(%) *+,+ *++- *++. *++/ *++0 *++1234#5%!""#$"!"#$"%&'()*+&,)-*$..)#.*

/0$"-. 123 134 221 5 5 567.#89)0*0)($#&8".* 3: ;;5 ;<1 5 5 5=)$.)>8(-*0&%>#.* 4?? :22 4@3 <44 <<< <@5A88-B&(( 42 2<2 21; 5 5 5

,%,-. ,%0/6 ,%010 *00 *** *1+C$"%&'()*+&,)-*$..)#.*

/7&(-&"%.*$"-*($"-* 4@4 23< 2?5 244 2<5 24:DE7&F9)"#G*#88(.G*+&,#70).*$"-*+&##&"%. ;2*?;1 ;2*1;3 ;;*34; ?*?<; :*;12 :*;@<

,1%60- ,6%.,, ,*%66, -%*./ /%116 /%0,-

=8"%H#)09*0)I)&J$'().* @;? @@; 2:4 <@1 ;@@ ;23K)+)00)-*#$,*0)I)&J$'().* ;*54@ ;*<24 ;*<33 ??1 ;5< @378$9:%;34#5%9""#$"% ,.%*1+ ,.%*.* ,1%./* ,+%0.- .%+<< .%+//

=>??#@$%!""#$"%L#8IM*&"*#0$-)* ;;*2?: ;5*<25 ?*@55 :*343 :*<<5 4*?2;6700)"#*0)I)&J$'().* 2*@?: 1*?;4 2*;2@ <*;;< ;*4:: ;*2;3L>80#H#)09*&"J).#9)"#.* ?*;4: 1*55; 5 2*355 ?*:2? 4*1@5=&E7&-*+7"-.* ;4*43; ;3*5<2 <<*:<4 ;4*542 3*?:: ;5*23478$9:%A>??#@$%9""#$" 6+%-<* <0%+., <1%</, <,%+61 */%1** *1%,+0

78$9:%9""#$"% 1-%,.* 16%<0< 1,%*6< 6,%/<6 <1%111 <<%,.<

'B>3$C%9@5%:39D3:3$3#"%&'(%) *+,+ *++- *++. *++/ *++0 *++1'B>3$C%%

L>$0)*I$F&#$(* <5: <5: <5: <5: <5: <5:N).)0J). H143 ;*@;2 ;*2;5 <41 << ;*;51N)#$&")-*)$0"&"%.* <@*4@1 <<*@5? <5*513 ;?*51@ ;4*:@1 ;@*14:O08+&#*+80*#>)*P)$0* ;?*4?; ;4*1?2 ;@*<32 ;1*@?? ;5*:3: 3*<2:

78$9:%#B>3$C% 66%,/* 6+%0,< <0%-1+ <*%+-< */%//- *1%-*6

E8@FG$#?)%:39D3:3$3#"%O08J&.&8".*+80*F)".&8".* <@: <@2 <<? ;@4 ;15 :?K)+)00)-*#$,*(&$'&(&#&).* 354 <*51? ;*?;? 4@; 4@5 43:Q#>)0*F08J&.&8".* 5 14? 14? 5 5 5

,%,0< *%00+ *%6,6 .+/ /.+ //1=>??#@$%:39D3:3$3#"%

RII87"#.*F$P$'() 1*34@ 1*44: 1*4@? <*2?1 ;*32< ;*15?C$,*(&$'&(&#&).* <*152 213 ;*<:3 <*514 ;*<<2 ;*:<5Q#>)0*(&$'&(&#&).* <*<5< <*@1; 1*<@@ ;*24? ;*@45 ;*<?@RII07)-*),F)".).*$"-*F0)F$&-*&"I89)* @*1:4 2*2@1 1*4?: <*?2: <*<:5 <*;:;

,<%.6/ ,,%+-+ ,,%./- .%.<6 0%--0 0%6.6

78$9:%:39D3:3$3#"% ,1%+,+ ,<%/1+ ,6%*-< -%06, /%//0 /%*1-

78$9:%#B>3$C%9@5%:39D3:3$C% 1-%,.* 16%<0< 1,%*6< 6,%/<6 <1%111 <<%,.<!"#$%&'()*+(,--#./(0&1"$23(

&@@<AUDb$Oc$"12$29:F<=$3J<:JD<^

!"#$%&' ()*&+)$%)&),-./. -..0 -..1 -..2 -..3 -..4 -./. -..0

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

9#:;)&+"<+=%"&)= >*6)=+?@$A6B+CD5E

!"#$%&'#$()**26 !"#$%&'#$()** 27

Thanks%,')$(102)1'3$)/!$[3/3(,3"D)p*3<*!!(#$u$C(/,0/"3$C(/"*$9/4-",3"$u$K!"/3<<3$C!02!(/"!$%3("02$A"$G32!<1$-1$?%9$?!,3$?-4H30/0/-"$PSWW$023$:!,3$.(/03(,$./,2$0-$02!";$53""3,$6$)!+(/0X$J%

0/2)140)('3$f/<,$n/"*3B$53!#$-1$^"L3,0-($[3<!0/-",B$56)$u$%&'("$)!*"+,,-"B$53!#$-1$%+,/"3,,$K3L3<-H43"0B$56)$u$9!""!$Y/"#G3(*B$53!#$-1$5+4!"$[3,-+(:3,B$56)$u$F303($l-(,<+"#B$53!#$-1$%+,/"3,,$?-"0(-<<3(,B$56)$u$?2(/,03<$l(//,D)/;;3<,3"B$?-+"0(M$)!"!*3($K3"4!(;B$56)$$

)3(303$v(,03#$F303(,3"B$J(3!$)!"!*3(B$56)$u$)3003$%+2<B$90-(3$)!"!*3(B$56)$u$9!""3$5-<</,B$K3H!(043"0$)!"!*3(B$56)$$#)/2&10/53$9p(3"$l(//,$f/3<,3"$%-,0-"$?-",+<0/"*$`(-+H$

%,')$2)'20/53$9p(3"$l(//,$f/3<,3"$u>2-($Ep(*3",3"$u>2-4!,$E-!:2/4$5!",3"$%,')$40+)&3$56)$51,.!0%$+)'05/3$A>Z$?-44+"/:!0/-"$

0/'.01,20&/$,/+$'6..&123$A?$PSWW$u$9!(!$E+3<$J"#3(,3"B$56)$u$%300/"!$fM8+/,0$u$K!"/3<$9L3"#,3"$u$%(/!"$K3<<!$n!<<3$u$)-(03"$>+<</"$

!"#$"%&'(")

*+(,-,.&'(")&

/01(),&!%"##-2&&

3(",#&

4,1()'(")&

560)7#8#'-9'(")&

5:0(#&

;22(##0)-(#&

<%$#&#-=(#&

/"7(),-7>&&2%07:(#

!0#9(?2#&

@,7()-0)&7(A?%(#

AAAAAAAAAA

!"#$% &$% '()*+,$% &)-.$**/%$"0-

AAAAAAAA

A

AAAAA

AA

&@@<AUDb$Xc$"12$29:F<=$*:<C<AB<

&@@<AUDb$Mc$-:>^=Q$DA$A?LE<:$>_$C=>:<C$0d`XN./0/

!"

#!!"

$!!!"

$#!!"

%!!!"

%#!!"

$&'(

"

$&')

"

$&'*

"

$&*!

"

$&*%

"

$&*(

"

$&*)

"

$&**

"

$&&!

"

$&&%

"

$&&(

"

$&&)

"

$&&*

"

%!!!

"

%!!%

"

%!!(

"

%!!)

"

%!!*

"

%!$!

"

+,-./0"/1,23/"-4"$!5$#"6"78"89:;3,"-4"</-,3<"8-/"1=073>3?"

+,-./0"/1,23/"-4"$!5$#"6"78"89:;3,"-4"</-,3<"1=073>3?"

@-9,=3A"BCD"18891E",3F-,/"

&@@<AUDb$]c$"12$*:>U?B=$3__<:DA;$

B0&C"270)-(#&0C&0$)&0',;)0$,1&DEE&#$66%-()#FG&6)01$2?0,&0H2(#

/")I(7#

B('&9")I(7#

JEFF&<)01$2?0,&0H2(#

!"#$%&'#$()**2877789:;<9=>?<@A@A=B89=>