For decades we have focused on supporting the complex environmental and social ecosystems from which we source the matières nobles for our perfumes and cosmetics. Over 15 years ago, to build on our experience in Grasse, we started extending our supply- chain resiliency approach to other strategic raw materials, with projects such as one in Madagascar for vanilla. Given the number of raw materials we source, and the number of suppliers we source them from — more than 300 for our FRAGRANCES & BEAUTY activities — the challenges we face are incredibly diverse. They vary according to the country and raw material in question. At the source of our proprietary natural ingredients supply chains, we commit to promoting and deploying the principles of regenerative agriculture: a system of farming practices and patterns that actively enrich soils, biodiversity, and ecosystems, while increasing the livelihoods of individual farmers. While we have achieved a number of positive social, economic, and environmental outcomes, we still have work to do to be certain all our raw-material sourcing achieves positive impacts in line with the Sustainable Development Goals (SDGs) of the United Nations. We are convinced of the potential that regenerative agriculture holds for transformative change toward reaching our objectives. Promoting regenerative agriculture is a key part of our strategy going forward. 1. The Nagoya Protocol on Access to Genetic Resources and the Fair and Equitable Sharing of Benefits Arising from their Utilisation to the Convention on Biological Diversity (the Nagoya Protocol) is an international agreement that aims to share the benefits arising from the utilization of genetic resources in a fair and equitable way. Following are some examples of our projects aiming to achieve positive social, economic, and environmental impacts: ENHANCING SCIENTIFIC SKILLS IN BHUTAN In 2014, the CHANEL FRAGRANCES & BEAUTY R&D team identified a native plant in Bhutan with high cosmetic potential. As envisaged by the Nagoya Protocol on Access to Genetic Resources and the Fair and Equitable Sharing of Benefits Arising from their Utilization to the Convention on Biological Diversity, 1 we worked with local stakeholders on an access scheme, and established a partnership with the Bhutanese Ministry of Agriculture and Forests and its National Biodiversity Centre. One of their key needs was to enhance the level of local scientific skills. We agreed on a training plan, welcoming Bhutanese scientists to our laboratories in Pantin, France, to conduct, with our support, their own research on the value of Bhutanese biodiversity. We also supported their application for a United Nations Development Programme (UNDP) grant so the National Biodiversity Centre of Bhutan could set up a lab with high-performance liquid- chromatography instruments. Two CHANEL scientists went to Bhutan to set up the instruments and train the local research team on them, while we trained Bhutanese students in our laboratory for analytical chemistry. A CREATION-DRIVEN BRAND