Loreal 2012 Annual Report Download - page 86

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COMMITMENT
BEAUTY
IS A
Trust and vigilance
go hand in hand
Trust is gained through constant vigilance.
Close monitoring of cash flows and con-
tinuing efforts to safeguard financing help
to further strengthen the company’s good
financial health. The relationship of trust we
share with our suppliers and customers is
underpinned by the high standards of pro-
fessionalism and ethics maintained at all
our subsidiaires.
Expertise and teams
focused on modernisation
Administration and Finance is supporting
the group in its efforts to conquer a billion
new consumers. To further raise efficiency,
it ensures that the group’s standards and
best practices are communicated to all
the entities, particularly in the New Markets.
In 2012, it made significant contributions
to the development of a recently-created
subsidiary in Saudi Arabia. The controlling
and internal audit teams, and the legal
department, were called on to help the
subsidiary in conducting its operational
and financial activities. The group regularly
carries out training and audit missions in
subsidiaries all over the world.
Building the L’Oréal of
tomorrow through strategic
acquisitions
The Legal, Economic Affairs and Acquisitions
departments have combined their efforts
to make several acquisitions, while ensuring
that these operations successfully bolster
the group’s strategy. They have done so
by basing their decisions on strict financial,
operational and prudential criteria. This year,
CADUM, a well-known French brand estab-
lished more than a century ago; EMILIANI
ENTERPRISES, which completes the Professional
Products division’s distribution network in
the United States; the VOGUE brand in
Colombia for mass-market make-up; and
URBAN DECAY, the Californian make-up brand,
have joined the group.
CONTINUYING TO BUILD
CONFIDENCE
2012 was notable for the favourable trend in results, the virtuous structure
of the profit and loss account, and a particularly robust balance sheet. The
administration, controlling and finance teams play an active role in the
group’s economic solidity and contribute to its long-term development.
CONTRIBUTING TO THE SUSTAINABLE GROWTH OF L’ORÉAL
The administration, controlling and finance teams work together to manage
the company’s business and financial interests, and to strengthen the rela-
tionship of trust that binds the group to all its stakeholders: customers,
suppliers, bankers, market authorities, rating agencies and shareholders.
They also support the work of the Board of Directors and its committees,
while meeting exacting transparency and governance requirements.
In 2012, advances were also made in the fields of internal control, internal
audit and resource allocation management.
CHRISTIAN MULLIEZ
EXECUTIVE VICE-PRESIDENT
ADMINISTRATION AND FINANCE
STRONGLY COMMITTED TO THE BUSINESS,
OUR TEAMS ARE HELPING TO BUILD
AND MAINTAIN A RELATIONSHIP OF
SOLID TRUST WITH ALL OUR STAKEHOLDERS.
THIS TRUST IS ABSOLUTELY CRUCIAL FOR
THE GROUP’S SUSTAINABLE GROWTH.
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