LVMH

LVMH Moët Hennessy • Louis Vuitton S.A. , usually shortened to LVMH, is a French

France

France , officially the French Republic , is a country located in Western Europe, with several overseas islands and territories located on other continents. Metropolitan France extends from the Mediterranean Sea to the English Channel and the North Sea, and from the Rhine to the Atlantic Ocean...

 holding company

Holding company

A holding company is a company that owns other companies' outstanding stock. It usually refers to a company which does not produce goods or services itself, rather its only purpose is owning shares of other companies. Holding companies allow the reduction of risk for the owners and can allow the...

 and one of the world's largest luxury goods conglomerates. It is the parent of around 60 sub-companies that each manage a small number of prestigious brands. These daughter companies are, to a large extent, run autonomously. The group was formed after mergers brought together champagne producer Moët et Chandon and Hennessy, a leading manufacturer of cognac

Cognac (drink)

Cognac , named after the town of Cognac in France, is the most famous variety of brandy, produced in the wine-growing region surrounding the town from which it takes its name, in the French Departements of Charente and Charente-Maritime. The town of Cognac is one of only three officially demarcated...

.

LVMH Moët Hennessy • Louis Vuitton S.A. , usually shortened to LVMH, is a French

France

France , officially the French Republic , is a country located in Western Europe, with several overseas islands and territories located on other continents. Metropolitan France extends from the Mediterranean Sea to the English Channel and the North Sea, and from the Rhine to the Atlantic Ocean...

 holding company

Holding company

A holding company is a company that owns other companies' outstanding stock. It usually refers to a company which does not produce goods or services itself, rather its only purpose is owning shares of other companies. Holding companies allow the reduction of risk for the owners and can allow the...

 and one of the world's largest luxury goods conglomerates. It is the parent of around 60 sub-companies that each manage a small number of prestigious brands. These daughter companies are, to a large extent, run autonomously. The group was formed after mergers brought together champagne producer Moët et Chandon and Hennessy, a leading manufacturer of cognac

Cognac (drink)

Cognac , named after the town of Cognac in France, is the most famous variety of brandy, produced in the wine-growing region surrounding the town from which it takes its name, in the French Departements of Charente and Charente-Maritime. The town of Cognac is one of only three officially demarcated...

. In 1987, they merged with fashion house Louis Vuitton

Louis Vuitton

Louis Vuitton Malletier, commonly referred to as Louis Vuitton, or shortened to LV, is an international French fashion house specializing in trunks, leather goods, ready-to-wear, shoes, watches, jewelry, accessories, sunglasses, and books. Known the world over for its iconic LV monogram and logo,...

 to form the current group.

The group is partly owned by the Christian Dior

Christian Dior SA

Headquartered in Paris, Christian Dior S.A. is a French high-fashion clothing retailer which owns the major luxury company, Moët Hennessy • Louis Vuitton. Alone, Christian Dior S.A. itself controls 42% of LVMH assets. The Dior label is the namesake of designer Christian Dior who launched the haute...

 group, and Bernard Arnault

Bernard Arnault

Bernard Arnault is a French businessman. He is the 14th richest person in the world, the 3rd in the European Union and France's richest person with an estimated net worth of $16.5 billion US dollars, according to a Forbes report in March 2009.In 2007, Arnault was listed among Time magazine's 100...

 is Chairman and CEO of both companies. His successful integration of various famous aspirational brand

Aspirational brand

In consumer marketing, an aspirational brand means a large segment of its exposure audience wishes to own it, but for economical reasons cannot...

s into the group has inspired other luxury companies into doing the same. Thus Gucci

Gucci

The House of Gucci mane, better known as Gucci , is a Florentine fashion and leather goods label, part of the Gucci Group, which is owned by French company Pinault-Printemps-Redoute...

 (now part of the French conglomerate PPR

PPR (company)

PPR is a French multinational holding company specializing in retail shops and luxury brands. The company was founded in 1963 by the billionaire businessman François Pinault and is now run by his son François-Henri Pinault. It is quoted on Euronext Paris and is a constituent of the CAC 40 index...

) and Richemont

Richemont

Compagnie Financière Richemont SA is a Swiss luxury goods company that was founded in 1988 by the late South African billionaire businessman, Anton Rupert. It has four main business areas: jewellery, watches, writing instruments and clothing. The company is listed on the SIX Swiss Exchange and on...

 have also created extended portfolios of luxury

Luxury good

In economics, a luxury good is a good for which demand increases more than proportionally as income rises, in contrast to a "necessity good", for which demand is not related to income....

 brands. The oldest of the LVMH brands is wine producer Château d'Yquem, which dates its origins back to 1593.

In 2001 De Beers launched a joint venture with LVMH in order to establish De Beers

De Beers

De Beers and the various companies within the De Beers Family of Companies engage in exploration for diamonds, diamond mining, diamond trading and industrial diamond manufacture....

 as a retail brand.

LVMH created a prize called the "Prix Science pour l'Art", which nominated several scientists who would later receive the Nobel Prize

Nobel Prize

The Nobel Prize is a Sweden-based international monetary prize. The award was established by the 1895 will and estate of Swedish chemist and inventor Alfred Nobel. It was first awarded in Physics, Chemistry, Physiology or Medicine, Literature, and Peace in 1901...

. The last Prize was awarded in 1997 to Rolf Landauer

Rolf Landauer

Rolf William Landauer was an IBM physicist who in 1961 argued that when information is lost in an irreversible circuit, the information becomes entropy and an associated amount of energy is dissipated as heat. This principle is relevant to reversible computing, quantum information and quantum...

.

Financial data

Financial Data in euro millions

Year	2002	2003	2004	2005	2006	2007	2008
Sales Sales A sale is the pinnacle activity involved in selling products or services in return for money or other compensation. It is an act of completion of a commercial activity.A sale is completed by the seller, the owner of the goods...	12 693	11 962	12 623	13 910	15 306	16 481	17 193
EBITDA EBITDA EBITDA «ee-bit-dah» is the acronym for Earnings before Interest, Taxes, Depreciation, and Amortization. It is a non-GAAP metric that is measured exactly as stated. All interest, tax, depreciation and amortization entries in the Income Statement are reversed out from the bottom line Net Income...	2 300	2 796	2 745	3 382	3 646	4 076	?
Net Result share of the group	556	723	1 010	1 440	1 879	2 025	2 026
Net Debt	6 455	5 427	5 100	4 318	3 400	?	?

Source :OpesC

Corporate structure

LVMH is based in Paris

Paris

Paris is the capital of France and the country's most populous city. It is situated on the river Seine, in northern France, at the heart of the Île-de-France region...

, France. The company is listed on the Euronext Paris

Euronext

Euronext N.V. is a pan-European stock exchange based in Paris and with subsidiaries in Belgium, France, Netherlands, Portugal and the United Kingdom. In addition to equities and derivatives markets, the Euronext group provides clearing and information services...

 exchange and is a constituent of the CAC 40

CAC 40

The CAC 40 is a benchmark French stock market index. The index represents a capitalization-weighted measure of the 40 most significant values among the 100 highest market caps on the Paris Bourse...

 index. As of 2008, the group had a turnover of 17,2 billion euros with a net income of 2,318 billion euros. The group currently employs 77,000 people. 30% of LVMH's staff work in France. LVMH operates over 2,300 stores worldwide. Its current business plan aims to tightly control the brands it manages in order to maintain and heighten the perception of luxury relating to their products. For example, Louis Vuitton products are sold only through Louis Vuitton boutiques found in upmarket locations in wealthy cities or in concessions in other luxury goods shops (such as Harrods

Harrods

Harrods is a department store located on Brompton Road in Knightsbridge, London, England. The Harrods brand also applies to other enterprises undertaken by the Harrods group of companies including Harrods Bank, Harrods Estates, Harrods Aviation and Air Harrods.The store occupies a site and has...

 in London). This practice contrasts greatly with less exclusive brands which can be bought in shopping malls around the world.

Subsidiaries

LVMH's brands include:

Company	Sector	Acquisition Date
10 Cane Rum	Wines and spirits	2005
Belvedere vodka	Wines and spirits
Bodegas Chandon	Wines and spirits	Launched 1959
Cape Mentelle	Wines and spirits	1990
Château d'Yquem Château d'Yquem Château d'Yquem is a Premier Cru Supérieur wine from the Sauternes, Gironde region in the southern part of the Bordeaux vineyards known as Graves....	Wines and spirits	1999
Cheval des Andes	Wines ans spirits	2002
Chopin vodka Chopin vodka Chopin vodka is a single-ingredient vodka, 4 times distilled from potatoes grown in the Polish region of Podlasie. It is produced by Siedlce-based Podlaska Wytwórnia Wódek Polmos, which is a subsidiary of the French holding company, LVMH....	Wines and spirits	2002
Cloudy Bay Vineyards Cloudy Bay Vineyards Cloudy Bay Vineyards is a winery in the Marlborough region of New Zealand. The winery is primarily noted for its Sauvignon Blanc wines, and have played an important pioneering role in establishing New Zealand's and Marlborough's reputation. Cloudy Bay's first commercial vintage was produced in 1985...	Wines and spirits	1990
Domaine Chandon California Domaine Chandon California Domaine Chandon is a winery and restaurant located in Napa Valley, California. Established in 1973 by Moët et Chandon, it was the first French-owned sparkling wine producer in Napa Valley....	Wines and spirits	Launched 1973
Domaine Chandon Australia	Wines and spirits	Launched 1986
Hennessy Hennessy Jas Hennessy & Co., or more simply Hennessy, is a prominent Irish-French winery and co-leader of the prestigious luxury goods company, LVMH. Hennessy specializes in the manufacture of cognac. The company is rich in history and has served many a prominent figure. Today, the company of Jas Hennessy &...	Wines and spirits
Krug Champagne Krug Champagne Krug—a "négociant-manipulateur" with offices in Reims, the main city in Champagne—was one of the famous Champagne houses who formed part of the membership of the Grande Marques. Krug Grande Cuvée is one of the crown jewels in the LVMH wine division, placed alongside the Moët et Chandon's...	Wines and spirits	1999
Mercier Champagne Mercier Mercier is a Champagne producer based in the Épernay region of Champagne. The house, founded in 1858, produces both vintage and non-vintage cuvee. Mercier owned the original rights to the name Dom Perignon but sold the brand to Moët et Chandon in 1930...	Wines and spirits	1970
Moët et Chandon Moët et Chandon Moët et Chandon , or Moët, is a French winery and co-owner of the luxury goods company Moët-Hennessy • Louis Vuitton. Moët et Chandon is one of the world's largest champagne producers and a prominent champagne house. The company holds a Royal Warrant to supply champagne to Queen Elizabeth II...   (including Dom Pérignon Dom Pérignon (wine) Dom Pérignon is a brand of Champagne produced by Moët et Chandon. It is named after Dom Pérignon, a Benedictine monk who was an important quality pioneer for Champagne wine but who, contrary to popular myths, did not discover the champagne method for making sparkling wines.-History:Dom Pérignon... )	Wines and spirits
Newton Newton (wine estate) Newton Vineyard is a wine estate in St. Helena in the Napa Valley of California.-Description:Newton Vineyard was the second wine estate established by Peter and Su Hua Newton. Their first was sold to soft drinks giant Coca-Cola in the 1970s...	Wines and spirits	2001
Ruinart Ruinart (champagne) Ruinart is a Champagne house, exclusively producing champagne since 1729. Founded by Nicolas Ruinart in the Champagne region in the city of Reims, the house is today owned by the parent company LVMH Moët Hennessy Louis Vuitton SA....	Wines and spirits	1963
Terrazas de los Andes	Wines and spirits	Launched 1999
Numanthia	Wines and spirits	2008
Veuve Clicquot Veuve Clicquot Veuve Clicquot Ponsardin is both a champagne house in Reims, France, and a brand of premium Champagne. Founded in 1772 by Philippe Clicquot-Muiron, Veuve Clicquot played an important role in establishing champagne as a favored drink of haute bourgeoisie and nobility throughout Europe...	Wines and spirits	1988
Glenmorangie Glenmorangie Glenmorangie is a distillery in Tain, Ross-shire, Scotland that produces single malt Scotch whisky. The distillery is owned by The Glenmorangie Company Ltd, whose main product is the range of Glenmorangie single malt whisky...	Wines and spirits	2004
Wenjun	Wines and spirits	2007
Chaumet Chaumet The House of Chaumet, founded in 1780, is a high end jeweler based in Paris. Their flagship store, at Place Vendome in Paris, greets visitors with a portrait of Napoleon's second wife, the Empress Marie Louise de Habsburg-Lorraine...	Watches and jewellery	1999
Dior Watches	Watches and jewellery
Fred Joaillier Fred Joaillier Fred Joaillier is a French jewellery store named after the proprietor Fred Samuel. The first store opened in Paris in 1936. In 1976, new stores were opening across the world. The company was sold to LVMH in 1996....	Watches and jewellery	1995
TAG Heuer TAG Heuer TAG Heuer is a Swiss luxury watchmaker known for its sports watches and chronographs. It is a division of luxury goods company LVMH...	Watches and jewellery	1999
Zenith International S.A.	Watches and jewellery	1999
De Beers Diamond Jewellers (joint venture with De Beers De Beers De Beers and the various companies within the De Beers Family of Companies engage in exploration for diamonds, diamond mining, diamond trading and industrial diamond manufacture.... )	Watches and jewellery	2001
Hublot Hublot Hublot is a Swiss enterprise creating luxury watches and founded in 1980 by Carlo Crocco.- History :In 1980, Carlo Crocco created the Hublot watch in gold fitted with the first natural black rubber strap in the history of watchmaking. It took 3 years of research to create the strap...	Watches and jewellery	2008
Louis Vuitton Louis Vuitton Louis Vuitton Malletier, commonly referred to as Louis Vuitton, or shortened to LV, is an international French fashion house specializing in trunks, leather goods, ready-to-wear, shoes, watches, jewelry, accessories, sunglasses, and books. Known the world over for its iconic LV monogram and logo,...	Fashion and leather goods
Fendi Fendi Fendi is a Italian high fashion house best known for its "baguette" handbags. It was launched in 1925 as a fur and leather shop in Rome, but today is a multinational luxury goods brand owned by LVMH...	Fashion and leather goods	1999
Berluti Berluti Berluti is a company that manufactures and retails a very exclusive luxury brand of shoes and boots solely for men. It is known for its unique leather finishing. It also makes and sells a line of leather goods such as belts, bags, and wallets with similar finish.It is based in Paris on the rue...	Fashion and leather goods	1993
Celine Celine (brand) Celine is a French luxury house founded in 1945 by Celine Vipiana. Today, it is an international luxury goods brand owned by LVMH, purchased in 1996 for 2.7 billion French francs ....	Fashion and leather goods	1996
Thomas Pink Thomas Pink Thomas Pink is a retail clothing business which started in London in 1984. The concept was created by three Irish entrepreneurs, brothers James, Peter and John Mullen. The company was named for an 18th century London tailor who was known for making much sought-after red hunting jackets.The first...	Fashion and leather goods	2001
Donna Karan New York (DKNY) Donna Karan Donna Karan is the fashion designer and the creator of the DKNY clothing label....	Fashion and leather goods	2001
eLuxury.com	Fashion and leather goods	2000
Emilio Pucci Emilio Pucci Emilio Pucci, Marchese di Barsento was a Florentine Italian fashion designer and politician. He and his eponymous company are synonymous with geometric prints in a kaleidoscope of colours.-Early life:...	Fashion and leather goods	2000
Givenchy Givenchy Givenchy is a French brand of clothing, accessories, perfumes and cosmetics with Parfums Givenchy.The house of Givenchy was founded in 1952 by designer Hubert de Givenchy and is a member of Chambre Syndicale de la Haute Couture et du Pret-a-Porter...	Fashion and leather goods	1993
Kenzo Kenzo Takada Kenzo Takada is a Japanese fashion designer. He is also the founder of Kenzo, a world-wide brand of perfumes, skincare products and clothes....	Fashion and leather goods	1993
Loewe Loewe (brand) Loewe is a Spanish luxury clothing and accessories brand owned by the LVMH Group.- History :Loewe's story goes back to 1846, with the establishment of a skin workshop on Lobo street in central Madrid. In 1872, Enrique Roessberg Loewe, a German craftsman, arrived in Madrid and became associated...	Fashion and leather goods	1996
Marc Jacobs Marc Jacobs Marc Jacobs is an American fashion designer. He is the head designer for Marc Jacobs, as well as the diffusion line Marc by Marc Jacobs. Jacobs is currently the Creative Director of the prestigious French design house Louis Vuitton.-Biography:Marc Jacobs was born in New York City to Jewish...	Fashion and leather goods	1998
StefanoBi	Fashion and leather goods	1996
DFS (retailer) DFS (retailer) DFS is a chain of upscale department stores and shopping malls comprising high-end boutiques, located primarily within Oceania and around the Pacific Rim. Its website proclaims it to be "the world's leading luxury retailer catering to the travelling public"...	Retailing	1996
Sephora Sephora Sephora is a chain of beauty product stores founded in France in 1969 and acquired by Paris-based conglomerate LVMH in 1997. The Sephora chain includes more than 750 stores in 21 countries...	Retailing	1997
La Samaritaine La Samaritaine La Samaritaine was a large department store in Paris, France, located in the First Arrondissement. The nearest metro station is Pont-Neuf. It is currently owned by LVMH, a luxury-goods maker...	Retailing	2001
Le Bon Marché Le Bon Marché Le Bon Marché is the name of one of the most famous department stores in Paris, France. It is sometimes regarded as the first department store in the world. Although this depends on what is meant by 'department store', it may have had the first specially-designed building for a store in Paris...	Retailing	1998
Miami Cruiseline Services	Retailing	2000
Parfums Christian Dior Parfums Christian Dior Parfums Christian Dior is the make-up and perfumery line of Christian Dior SA, based on the company created by twentieth-century fashion designer Christian Dior. It was created in 1947 with the launch of Miss Dior perfume...	Perfumes and cosmetics	1970
Guerlain Guerlain Guerlain is among the oldest perfume houses in the world. It has a large and loyal customer following, and is held in high esteem in the perfume industry. Perfumes by Guerlain are often said to be inspired by the scent of confections, as a result of a common vanilla and amber accord in many of...	Perfumes and cosmetics	1994
Parfums Givenchy Parfums Givenchy Parfums Givenchy is a French brand of Perfumes and Cosmetics.-Introduction:Givenchy was founded in 1952 by designer Hubert de Givenchy, who retired in 1995...	Perfumes and cosmetics	1988
Kenzo Parfums	Perfumes and cosmetics	1996
Acqua di Parma Acqua di Parma Acqua di Parma is an Italian perfume and an Italian perfumes company.-History:It was founded in 1916 and began in the city of Parma in a small perfume factory. It was popular in the '30s and '40s in Europe and it was not until the 1990s that it had its comeback...	Perfumes and cosmetics	2001, September
BeneFit Cosmetics	Perfumes and cosmetics	1999
Fresh	Perfumes and cosmetics	2000
Perfumes Loewe	Perfumes and cosmetics	1996
Make Up For Ever	Perfumes and cosmetics	1999
Groupe Les Echos	Other activities	2007

External links

• Official site
• 2009 Interim Finanacial Report(June 30,2009)