LVMH Louis Vuitton and Christian Dior (France): Informative Notice
Treatment In FTSE Indices

04 November 2014

LVMH Louis Vuitton (France, 4061412) is expected to distribute all its Hermes shares to its own shareholders in a deal to be completed on 17th December 2014.

At the same time, LVMH’s main shareholder Christian Dior (France, 4061393) will also redistribute the Hermes shares it receives to its own shareholders.

As a result of these distributions, FTSE will apply a capital repayment equivalent to the value of the Hermes share distribution to both LVMH and Christian Dior while at the same time the Free Float of Hermes will increase (*see footnote). These changes will be based on close values of 16 December 2014 (i.e. effective 17 December 2014).

Since both distributions will be subject to French withholding tax (30%), in order to accommodate this event in the net-of-tax indices, FTSE will apply an xd adjustment in the calculation of the total return indices in the form of a negative ordinary dividend at the close of business on 16 December 2014 (i.e., effective 17 December 2014).

Clients should note that this treatment will be applied to all total return indices, and not just the net-of-tax indices.

Calculation of the total return adjustment below:

Note: The amount corresponding to the distribution will be determined by using the Hermes closing share price on 16th December 2014.

All values are for illustration purposes only.

LVMH distribution: Assuming a distribution value of 5.7 EUR bn , equivalent to EUR 11.55 per share LVMH tax liability: EUR 11.55 * 30% = EUR 3.466 (tax liability) A negative dividend of EUR 4.952 will be applied to the FTSE standard Total Return Indices (i.e. EUR 3.466 / 70%) in order to reflect this Tax adjustment.

Christian Dior distribution: Assuming a distribution value of 2.45 EUR bn , equivalent to EUR 13.71 per share Christian Dior tax liability: EUR 13.71 * 30% = EUR 4.114 (tax liability) A negative dividend of EUR 5.877 will be applied to the FTSE standard Total Return Indices (i.e. EUR 4.114 / 70%) in order to reflect this Tax adjustment

*FTSE will issue a further notice closer to the effective date to confirm the Free Float increase in Hermes.

FREE TRIAL OFFER: FTSE offers free one month index trials to interested clients. For further information or general enquiries please contact us at info@ftse.com or call:

Client Services in UK:	Tel: +44 (0) 20 7866 1810
Client Services in Europe, Middle East & Africa:	Tel: +44 (0) 20 7866 1810
Client Services in US:	New York: (Domestic) + 1 888 747 FTSE (3873) / (International): +1 212 314 1139
Client Services in Asia Pacific:	Hong Kong: + 852 2164 3333 Australia:(Domestic Toll-Free) + 1800 653 680 / (International) + 61 (2) 9293 2864 Japan + 81 (3) 3581 2764

Alternatively please visit our website at www.ftse.com