Business activities and Group structure

Positioning in the premium segment of the global apparel market

The HUGO BOSS Group is one of the leading companies in the premium segment of the global apparel market. With some 14,000 employees around the world, the Company, which is based in Metzingen, Germany, develops and sells high-quality fashion as well as accessories in the womenswear and menswear segments under the BOSS and HUGO brands. By means of a differentiated brand strategy, the Group positions the brands in different segments and increases their desirability. In fiscal year 2017, the Group achieved sales of EUR 2.7 billion from the distribution of classic yet modern tailoring, elegant evening wear, casualwear, shoes and leather accessories. This also includes royalty income from licenses which the Company grants for products such as fragrances, eyewear and watches. Employees Group Strategy

Collections development follows three steps

The development of the BOSS and HUGO collections involves three steps – design, pattern design and technical product development – which primarily take place at the Group’s headquarters in Metzingen (Germany). In addition, the competence center in Coldrerio (Switzerland) is responsible for the innovation and development activities for a number of product groups. Research and Development

Long-standing collaboration with suppliers supplements own production

HUGO BOSS produces 18% of its total sourcing volumes at its own facilities. 82% are sourced from external contract suppliers or procured as merchandise. Most of the partner factories are located in Eastern Europe and Asia, whereas the Group’s own production facilities are based at four sites in Europe. These are located in Izmir (Turkey), Metzingen (Germany), Morrovalle (Italy) and Radom (Poland). Sourcing and Production