All-In to Win Transformation Program

ட COTY TPM RAW MATERIAL & FREIGHT INFLATION BEING FULLY OFFSET MATERIAL COST HEADWINDS BY CATEGORY IN FY22 PACKAGING Glass Secondary pack Closure & Collars Plastic Color Cosmetic Plastic Dispensing Plastic primary Metal primary Tubes Other - Aluminum Chemicals Color Cosmetic Nail Fragrance Aerosol ⚫ Freight No Impact <5% > 5% ~5% avg. increase in direct materials + >20% in inbound freight 1 = ~$60M HURT FY22 IMPACT 2 Gross Margin Attack MITIGATING ACTIONS GLOBAL PRICING INITIATIVE More central control and more ambitious view on price increases STRATEGIC SOURCING 2 ~$500M in procurement spend currently in RFQ¹ MVA² & PLATFORMING 3 E.G. ~70% of new makeup initiatives now platformed =>$60M OFFSET1 4 MULTI-YEAR AGREEMENTS & LOCAL SOURCING IN FREIGHT 1 In FY22, AITW cost reductions are expected to fully offset the impact of our originally budgeted material inflation. Due to unprecedented developing market conditions, we are now anticipating increased incremental material cost headwinds in FY22, which we expect to be able to fully offset through additional pricing actions Request for quote; 3 Material value analysis 2 9

View entire presentation