1. What is an Employee Share Plan?
An employee share plan is a capital increase reserved for a company’s or group’s employees. These plans offer eligible employees the opportunity to acquire their company’s shares on preferential terms.

2. Will you propose this offer every year? 
This plan is already the third in four years’ time. It demonstrates the Group’s desire to propose additional plans in the coming years, although not at fixed intervals.

3. Who can subscribe?
Employees recorded as having worked for an eligible Group company for at least 24* months and still a Group employee on the last day of the subscription period (i.e., on June 22, 2022) are eligible

* Certain countries apply restrictions to the eligibility criteria; see the Local Supplement.

4. When can employees subscribe? 
Employees can subscribe from September 17 to June 22, 2022 (23:59 CET - Central European Time) only.

5. How do employees subscribe? 
Employees subscribe online via a specially-created subscription tool, using their personal login details (“login”) that they have been sent by e-mail or post (if they did not specify an e-mail address). However, employees with no office or personal Internet access can also request and fill in a subscription form from the entity’s HR correspondent. Please refer to the Local Supplement for details.

6. If an employee loses their login details, what must they do?
Local HR correspondents will be able to generate a new password for the employee in the subscription tool. Employees can also send an email to [email protected] during the subscription period should they need any assistance to connect or to subscribe.

7. Can employees modify/cancel their subscription? 
Employees can modify their subscription online until the last day of the subscription period, i.e., June 22, 2022. After the subscription period, subscriptions can no longer be modified and are irreversible. The employees must pay their investment in full.

8. What happens if an employee leaves the Group? 
Employees who leave the Group after the subscription period is finalized are still eligible. Their shares will become available when they leave and can be bought.

9. What is the minimum investment? 
The minimum investment is one L’Oréal share.

10. What is the maximum subscription per employee? 
The maximum investment is 50 L'Oréal shares, capped at 25% of your 2022 gross annual salary

11. What do we mean by “gross annual salary”? 
An employee’s gross annual salary consists of their annual salary and any premium, bonus or WPS payments received in 2022 (see the Local Supplement for details).

12. What are the risks if an employee does not comply with the 25% gross annual salary limit?
Employees must agree to comply with this limit by signing their subscription form (online or in writing). The risk is that the number of shares they request may be reduced if they do not comply with this limit.

13. When do employees receive their free shares? 
The free shares will be distributed at the end of the lock-in period, i.e., around November 3, 2025, subject to certain conditions (see the Local Supplement).

14. What are the cases of early release? 
Consult your Local Supplement, which will specify all valid cases in your country

15. How will employees be informed of the shares they hold? 
When they subscribe online, employees will receive an acknowledgement of receipt confirming the number of shares required. In November 2022, every employee who subscribes under the Plan will receive a mail stating the number of shares allocated to them.

16. How do employees obtain the early release of their shares? 
Local correspondents are responsible for authorizing releases on the basis of local cases, constructing the file with the appropriate information and informing the Custodian of the shares to be released.

17. Is it possible to release only part of the assets?
Yes. Employees can request the release of all or some of their locked-in, subscribed shares. However, a reason for release may be given only once: if employees release part of their locked-in shares, the rest remain locked in until the release date unless there is another reason for early release in the case of the employee concerned.

18. What is a dividend? 
A dividend is the part of the earnings that the company pays to its shareholders. This payment is not made automatically; it depends upon the company’s annual results and the decision of the shareholders at the General Meeting.

19. Are dividends locked in? 
No, for employees who hold shares directly, the dividend is paid into their bank account.

20. What is a capital gain/loss? 
A capital gain is the difference between the price of the initial investment (before tax) and the price at which the shareholder’s shares are sold If the difference is a positive one, the employee shareholder has made a capital gain. If not, they have made a capital loss.