33 BOARd OF dIReCTORS RePORT32 BOARd OF dIReCTORS RePORT MONCLER GROUP 2023

facturing plant in Romania that currently employs more than 1,800 people. This hub was established in 2015, then was moved in 2016 to its current location, which has been expanded in 2022 to sig- nificantly increase its production capacity. Investments in R&d also continue to automate some stages of outerwear production, reduc- ing processing times.

The third-party suppliers (façon manufacturers) working for Moncler are mainly located in eastern european countries, which are currently able to ensure quality standards that are among the highest in the world for the production of down jackets. Moncler oversees these suppliers directly by conducting audits designed to check aspects related to product quality, brand protection and compliance with current laws, Moncler Code of ethics (updated in 2017) and the Supplier Code of Conduct (approved in 2016). For the production, the brand uses 130 suppliers, split between façon and finished products manufacturers: the first 30 suppliers cover about 80% of the value of supply3.

dOWn

Throughout its history, down has been at the heart of Moncler outerwear, and has gradually come to be identified with the brand itself.

A combination of lengthy experience and continuous research and devel- opment has enabled the Company to gain unique expertise in this area, both in terms of knowledge of down as raw material and in terms of garment manufac- turing process.

Moncler ensures that all its suppliers comply with the highest quality standards. Over the years, these standards have been and indeed remain a key point of product differentiation: only the best fine white goose down is used in the brand s garments.

Fine-down content and fill power are the main indicators of down quali- ty. Moncler down contains at least 90% fine-down and boasts a fill power equal to or greater than 710 (cubic inches per 30 grams of down), resulting in a warm, soft, light and uniquely comfortable garment.

each batch of down is subjected to a two-step checking procedure to as- sess its compliance with 11 key parameters, set in accordance with the strict- est international standards and the stringent quality requirements imposed by the Company. In 2023, more than 1,300 tests were performed.

But for the Company, quality is more than this: the origin of its down and the respect for animal welfare are also fundamental for Moncler. When sourc- ing and purchasing raw materials, Moncler considers these aspects as import- ant as the quality of the material itself. Since 2016, all Moncler down is certified with the dIST internal protocol. (Please refer to dist.moncler.com)

MOnCLeR dISTRIBUTIOn Moncler is present in all major markets both through the retail channel, consisting of directly operated stores (dOS4), the online store and the e-concessions, and through the wholesale channel, represented by multi-brand doors, shop-in-shops in luxury de- partment stores, airport locations and online luxury multi-brand retailers (e-tailers).

Moncler s strategy is aimed at the control of the distribution channel, not only retail but also wholesale and digital, which is op- erated through a direct organisation.

As of 31 december 2023, the network of mono-brand Mon- cler boutiques counted 269 directly operated stores (dOS), +18 units compared to 31 december 2022. Some of the most import- ant stores opened and/or converted to dOS in the year include dal- las Highland Park and Moncler Grenoble St. Moritz, in addition to some important relocations/expansions including Zurich Bahn- hofstrasse, Shanghai Plaza 66, Miami Bal Harbour, Paris Galeries Lafayette and Wien Kohlmart. The brand operates 57 wholesale shop-in-shops (SiS).

3 Based on Orders Value. 4 Including free standing stores, concessions, travel retail stores

and factory outlets.

MONCLER 31/12/2023 31/12/2022 Net openings 2023 Asia 130 125 5 eMeA 95 88 7 Americas 44 38 6 RETAIL 269 251 18 WHOLESALE 57 63 -6

Moncler also continues to develop the digital channel. Following the internalization of the .com site completed in 2021 and the sub- sequent implementation of the new front-end concept of the plat- form, the evolution continues with constant updates, in order to improve the experience and the customer journey inspired by the world of entertainment, guaranteeing smooth navigation with ded- icated contents and services. These also include customization through the new Moncler by Me service launched in 2022.

MOnCLeR MARKeTInG And COMMUnICATIOn Moncler was born in the mountains. Born to protect, to keep warm. Born to deal with extremes. A dynamic company by nature. At a time when the fashion world still recognized a two-season calendar as its only marketing model, Moncler broke old patterns. Since the launch of Moncler Genius in 2018, the Group has successfully delivered the industry s most compelling response to an increasingly digital world, where consumer expectations are shaped at the speed of In- stagram. It strove towards increasingly ambitious goals, sought out more voices and embraced its boldest side always with exacting precision. The marketing of Moncler has been revolutionised: month- ly collections launches by visionary designers are transmitted from the feed straight to consumers with dedicated editorial plans. This approach has demanded absolute coordination between all depart- ments and functions within marketing and in the whole Company.

The future of the brand will take shape through distinctive ini- tiatives aimed at continuing strengthening each brand s dimension: Moncler Collection, Moncler Grenoble and Moncler Genius.

In February 2023, Moncler unleashed a new vision for Mon- cler Genius through an immersive live event, The Art of Genius, that took place at Olympia London during London Fashion Week. Trans- forming its collaboration model into a platform for co-creation, Moncler challenged the boundaries of possibility at the intersection of Art, design, entertainment, Music, Sport, and Culture. A commu- nity of 10,000 guests came together to embrace this experience. The Art of Genius saw distinct artistic worlds collide under one roof as the 2023 lineup of creators took over the space, bringing togeth- er their unique interpretations of Genius. Moncler s heritage was reimagined in ways that went beyond fashion, including a futuris- tic journey into modes of transportation, and a psychedelic take on glamping in the wilderness. each co-creator brought together their own unique brand of Genius to the potent mix, challenging the boundaries of what s possible while presenting immersive experi- ences and performances that represented their creative visions.

For Moncler Grenoble, 2023 saw the launch of collections across the entire first half of the year (Spring-Summer 2023 in Feb- ruary and Pre-Fall 2023 in June) for the first time ever, presenting essential outdoor layers for all seasons on the mountains. In de- cember 2023, Moncler opened in the heart of St. Moritz its first-ever Moncler Grenoble flagship store entirely dedicated to the world of Moncler Grenoble and at the same time launched the new global campaign Beyond performance . The new campaign stars four world-renowned winter athletes xuetong Cai, Perrine Laffont, Richard Permin, and Shaun White and captures the group as they commune with the mountain and each other, cutting from adren- alin-fuelled descents to more intimate, off-duty moments.

In 2023, Moncler launched the first ever Moncler Collection Summer, creating a new space for the brand to serve Moncler cus- tomers all year around and celebrating Moncler summer in style by focusing on core items, from puffer to lightweight jackets, all the way into cut & sewn, beachwear and more.