#1LVMH TIFFANY & CO. LVMH reaches an agreement to acquire Tiffany & Co. November 25, 2019 DISCLAIMER 2 Certain statements in this presentation may constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, each as amended. Forward- looking statements provide current expectations of future events and include any statement that does not directly relate to any historical or current fact. Words such as "anticipates," "believes," "expects," "intends," "plans," "projects," or other similar expressions may identify such forward-looking statements. Actual results may differ materially from those discussed in forward-looking statements as a result of factors, risks and uncertainties over which we have no control. These factors, risks and uncertainties include, but are not limited to, the following: (i) conditions to the completion of the proposed acquisition, including stockholder approval of the proposed acquisition, may not be satisfied or the regulatory approvals required for the proposed acquisition may not be obtained on the terms expected or on the anticipated schedule; (ii) the occurrence of any event, change or other circumstance that could give rise to the termination of the merger agreement between the parties to the proposed acquisition; (iii) the effect of the announcement or pendency of the proposed acquisition on the Company's business relationships, operating results, and business generally; (iv) risks that the proposed acquisition disrupts the Company's current plans and operations and potential difficulties in the Company's employee retention as a result of the proposed acquisition; (v) risks related to diverting management's attention from our ongoing business operations; (vi) potential litigation that may be instituted against the Company or its directors or officers related to the proposed acquisition or the merger agreement between the parties to the proposed acquisition; (vii) the amount of the costs, fees, expenses and other charges related to the proposed acquisition; and (viii) such other factors as are set forth in the Company's periodic public filings with the SEC, including but not limited to those described under the headings "Risk Factors" and "Forward Looking Statements" in its Form 10-K for the fiscal year ended January 31, 2019 and in its other filings made with the SEC from time to time, which are available via the SEC's website at www.sec.gov. Forward-looking statements reflect the views and assumptions of management as of the date of this communication with respect to future events. The Company does not undertake, and hereby disclaims, any obligation, unless required to do so by applicable securities laws, to update any forward-looking statements as a result of new information, future events or other factors. The inclusion of any statement in this communication does not constitute an admission by the Company or any other person that the events or circumstances described in such statement are material. LVMH#2LVMH REACHES AGREEMENT WITH TIFFANY & Co. TRANSACTION DESCRIPTION AT A GLANCE | LVMH reaches an agreement for the acquisition of Tiffany & Co. (NYSE: TIF) | LVMH and the Board of Tiffany agreed on a price of $135 per share in cash to acquire all outstanding shares of Tiffany & Co. • Equity value of $16.2 billion (i.e. c. €14.7 billion) ⚫ Total Enterprise value of c. $16.9 billion (16.6x 2018A EBITDA as of January 31, 2019) | Transaction subject to the approval of Tiffany's shareholders and the clearance by the relevant regulatory authorities Closing of the transaction expected after anti-trust clearances LVMH REACHES AGREEMENT WITH TIFFANY & Co. TIFFANY KEY FIGURES A GLOBAL JEWELLER |2018 Sales US$4,442 million | 2018 EBITDA = US$1,019m (22.9% margin) |2018 EBIT = US$790m (17.8% margin) |14,200 employees | E-commerce representing 7% of total sales 321 company-operated stores in more than 20 countries * For FY2018 ended January 31, 2019 2018 NET SALES BY CATEGORY Designer Jewelry Other 12% 8% LVMH Engagement Jewelry 26% 54% Jewelry Collections 2018 NET SALES BY REGION Europe 11% Other Japan 15% 44% Americas 28% APAC (excl. Japan) LVMH 3#3LVMH REACHES AGREEMENT WITH TIFFANY & Co. TIFFANY: ICONIC GLOBAL JEWELRY BRAND SYNONYMOUS WITH AMERICAN LUXURY | Founded in 1837, when Charles Lewis Tiffany opened a store in downtown Manhattan 2/ Rich and glamourous cultural heritage 3/ A multifaceted brand with a balanced portfolio across high jewelry, engagement, and other beloved collections 4/ Global reach, tightly controlled distribution 1/ Legendary American brand rooted in history 5/ Vertically integrated with advanced sustainability practices LVMH REACHES AGREEMENT WITH TIFFANY & Co. 1) LEGENDARY AMERICAN BRAND ROOTED IN HISTORY In 1961, the film Breakfast at Tiffany's is released after the Truman Capote novel published in 1958 and has been since synonymous with New-York luxury. T LVMH 6 Tiffany & Co. is perceived as more than a jewelry house it has become a destination for timeless designs and unparalleled craftsmanship. The Blue Box is a structural part of Tiffany's identity, having been used since it sold its first diamond rings in 1886. LVMH 5#4LVMH REACHES AGREEMENT WITH TIFFANY & Co. 2) RICH & GLAMOROUS CULTURAL HERITAGE B TIFFANY & C TE DES DIAMANTS DE LA COUBONNE PARIS Logoon CATALOGUE. TIPANTS CO In 1887, Charles Louis Tiffany purchased the French Crown Jewels then set in a necklace sold to Mr. J.P. Morgan. Tiffany's blue book is published in January, and is a display of the most high end jewels, one of a kind creations handcrafted by artisans in Tiffany's workshop above the 5th Avenue flagship store. Tiffany-made trophies have been at the center of American sports since 1860 with the creation of a horse racing trophy. In 1967, the National Football League awarded the first Super Bowl trophy, designed by Tiffany. LVMH LVMH REACHES AGREEMENT WITH TIFFANY & Co. 3) A MULTIFACETED BRAND WITH A BALANCED PORTFOLIO ACROSS HIGH JEWELRY, ENGAGEMENT, AND OTHER BELOVED COLLECTIONS Other Designer Jewelry 12% 8% Jewelry 54% Collections 99 Engagement 26% Jewelry PLEASE FUETURN TO TIFFANY & CO. NEW YORK 750 8 LVMH#5LVMH REACHES AGREEMENT WITH TIFFANY & Co. 4) GLOBAL REACH, TIGHTLY CONTROLLED DISTRIBUTION 321 STORES IN PRESTIGIOUS LOCATIONS, GLOBALLY TIFFANY & CO. 44% 124 stores AMERICAS 2% 5 stores OTHER MARKETS* 11% 47 stores EUROPE 28% 90 stores APAC (exc. Japan) 15% 55 stores JAPAN 9 % of total sales as at end FY 2018 * Incl Middle East and wholesale diamond sales LVMH LVMH REACHES AGREEMENT WITH TIFFANY & Co. 5) VERTICALLY INTEGRATED WITH ADVANCED SUSTAINABILITY PRACTICES Canada Sierra Leone Tanzania Brazil Namibia Botswana Lesotho South Africa Russia Australia The majority of diamonds and raw precious metals are obtained through direct sourcing relationships and from known mines and sources which operate in environmentally and socially responsible ways 10 LVMH#6LVMH REACHES AGREEMENT WITH TIFFANY & Co. TIFFANY: A PROMISING OPPORTUNITY FOR LVMH |Leverage Tiffany's iconic heritage and brand awareness Iconic collections TIFFANY & CO. NEW YORK 750 |Sustainable sourcing and Traceable provenance | Long term opportunity for non-jewelry items Ability to accelerate ongoing Tiffany strategy as part of LVMH TIFFANY & C LVMH REACHES AGREEMENT WITH TIFFANY & Co. TIFFANY, A TRANSFORMING ACQUISITION FOR LVMH WATCHES & JEWELRY DIVISION BREAKDOWN OF SALES BREAKDOWN OF OPERATING PROFIT 11 LVMH Selective retailing W&J 9% & others 28% Selective Retailing W&J 16% & others 26% Selective retailing & others 11% W&J 7% Selective Retailing & others W&J 13% 10% Wines & Wines & Spirits 11% Fashion & LG 39% Wines & Spirits 10% Fashion & LG Wines & Spirits 16% Spirits 15% Fashion & LG P&C 36% 59% P&C Fashion & LG 55% 6% 7% P&C 13% P&C 12% |LVMH would become a global player in fine jewelry *Note: Estimates based on FY2018 results of LVMH and Tiffany and an USD/EUR exchange rate of 1.10 12 LVMH#7LVMH REACHES AGREEMENT WITH TIFFANY & Co. FINANCING AND IMPACT ON LVMH | Total equity value of the transaction: $16.2 billion (i.e. c. €14.7 billion) | 2020E Net income accretion: estimated around 5% | Acquisition financing secured through (i) a $8.5bn bridge, (ii) a $5.75bn CP back-up line and (iii) a €2.5bn RCF, to be refinanced on bond markets | Impact on LVMH's leverage limited to +1.6x Net Debt/EBITDA in 2020E |Tiffany's quarterly dividend payment of 0.58$/share maintained before closing LVMH REACHES AGREEMENT WITH TIFFANY & Co. NEXT STEPS 13 LVMH 14 Transaction subject to approval of Tiffany & Co. shareholders and customary regulatory approvals ➤ Preliminary proxy statement to be filed and reviewed by SEC (approx. 3 weeks) ➤ Tiffany Shareholders' meeting to vote on transaction (est. 2 to 3 months) ➤ Regulatory approvals including anti-trust Closing expected following anti-trust clearances (est. mid 2020) LVMH#8LVMH REACHES AGREEMENT WITH TIFFANY & Co. CONCLUSION | Iconic global luxury brand with storied history |Further balances LVMH's leading luxury portfolio across product and geography |Reinforces LVMH's position within Watches & Jewelry | Significant growth opportunities globally | Perfectly aligned with LVMH's objective to combine tradition and modernity 15 LVMH