2022 Universal Registration Document

Summary table of the components of remuneration paid in 2022 or allocated for that year to Mr Nicolas Hieronimus, Chief Executive Officer

Remuneration components submitted for a vote	Amounts allocated for the 2022 financial year or accounting valuation	Amounts paid in 2022 or accounting valuation	Description
Fixed remuneration	€2 000 000		At its meeting of 9 February 2022, on the recommendation of the Human Resources and Remuneration Committee, the Board of Directors kept Mr Nicolas Hieronimus’s fixed remuneration at the gross amount of €2,000,000 on an annual basis. This amount has not changed since 2021.
Annual variable remuneration	€2 260 000 i.e. 113% of target annual variable remuneration		The annual variable remuneration is designed to align the executive corporate officer’s remuneration with the Group’s annual performance and to promote the implementation of its strategy year after year. The Board of Directors strives to encourage the executive corporate officer both to maximise performance for each financial year and to ensure that it is repeated and regular year-on-year. The target is set at 100% of the fixed remuneration (or €2,000,000 gross); the annual variable remuneration may reach up to 120% of the fixed remuneration (€2,400,000 gross) if there is out performance on the objectives.
			CRITERIA FOR ASSESSMENT OF PERFORMANCE FOR 2022
			Financial criteria	60 %
			Evolution in like-for-like sales as compared to the budget	15%
			Sales growth differential compared to the main competitors	15%
			Operating profit as compared to the budget	10%
			Earnings per share as compared to the budget	10%
			Cash flow as compared to the budget	10%
			Non-financial and qualitative criteria	40%
			CSR criteria: L’Oréal for the Future	10%
			Human Resources criteria	7,5%
			Digital development criteria	7,5%
			Qualitative criteria: Management	7,5%
			Qualitative criteria: Image, company reputation, dialogue with stakeholders	7,5%
			The assessment is carried out on a criterion-by-criterion basis without offsetting among the criteria. A summary of the achievements for 2022 is available in section 2.4.2.2.2 of the 2022 Universal Registration Document.
			ASSESSMENT FOR 2022 BY THE BOARD OF DIRECTORS’ MEETING OF 9 FEBRUARY 2023
			On the basis of the aforementioned assessment criteria, on 9 February 2023 the Board of Directors decided, on the recommendation of the Human Resources and Remuneration Committee, to award gross variable remuneration of €2,260,000 for 2022, or 113% of the maximum target, given the level of achievement of the financial criteria and the qualitative and non-financial criteria of 113.7% and 111.9%, respectively. The assessment elements are detailed in section 2.4.2.2 of the 2022 Universal Registration Document.
		€1 552 667 i.e. 116.45% of €1,333,333(€1,333,333 is the pro rata of the €2,000,000 of target annual variable remuneration over the period from 1 May to 31 December 2021)	As a reminder, following the approval by the Annual General Meeting of 21 April 2022 of the twelfth resolution, an annual variable remuneration was paid for the 2021 financial year amounting to a total of €1,552,667 since the Board of Directors decided on 9 February 2022 that 116,45% of the maximum objective had been achieved. €1,552,667 is the 116,45% of the €1,333,333, pro rata of the €2,000,000 target annual variable remuneration over the period from 1 May to 31 December 2021.