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Richemont SA Proposal of the Board of Directors for the Appropriation of Retained Earnings

At 31 March 2006

  €m
Available retained earnings 455.4
1 April 2005, after appropriation 113.8
Net transfer from reserve for own participation certificates 1162.9
Net profit for the year 1732.1
 
Proposed appropriation 198.8
Dividend payable on share capital 602.9
Dividend payable on participation reserve 930.4
Balance to be carried forward 1732.1

The proposed dividend on the share capital will be payable to Compagnie Financière Richemont SA, Geneva.

The proposed dividend on the participation reserve amounts to an ordinary dividend of € 0.55 per participation certificate and a special dividend of € 0.50 per participation certificate. It will be payable to Richemont unitholders on 18 September 2006 in respect of coupon number 7, free of charges and with no withholding tax deduction at the banks designated as paying agents.

The Board of Directors
Luxembourg, 6 June 2006