Information from the Extraordinary General Meeting of H & M Hennes & Mauritz AB

Information from the Extraordinary General Meeting of H & M Hennes &
Mauritz AB

On Wednesday 20 October H & M Hennes & Mauritz AB held an Extraordinary
General Meeting under the chairmanship of the lawyer Sven Unger
regarding the establishment of an incentive programme for all employees
of the H&M Group.

 The meeting resolved to mandate the Board of Directors to introduce an
incentive programme known as the H&M Incentive Program, which will cover
all employees of the H&M Group based on the same principles. The Board
was further mandated to draw up the necessary detailed rules of the
programme and otherwise to take the action required to implement the
programme.

 The programme was initiated by Stefan Persson and family, who will
donate 4,040,404 H&M shares worth around SEK 1 billion to a newly formed
Swedish foundation, Stiftelsen H&M Incentive Program (H&M Incentive
Program Foundation).

Each year the foundation will normally receive an amount from the H&M
Group which corresponds to 10 percent of the increase in dividend
compared with the previous year's dividend. The foundation will manage
the funds, which will be invested in H&M shares. However, its
shareholding shall never exceed 5 percent of the total number of shares
in H&M.

All employees throughout the H&M Group, in all countries, regardless of
their position and salary level, will be included in the programme
according to the same basic principle - based on length of employment,
full-time or part-time. The number of years that the employee has worked
for the company will be taken into account in the qualification period,
which will be five years unless local rules require otherwise. Payouts
will commence at the age of 62. However, it will also be possible for
payouts to be made after ten years of employment - but no earlier than
2021.

A presentation of the programme can be found on H&M's website at
www.hm.com. (http://www.hm.com.)

The meeting approved the Board's proposal to supplement the guidelines
on remuneration to senior executives with the following statement:
‘Senior executives are entitled to the benefits provided under the H&M
Incentive Program'.  

 

Contacts:
Kristina Stenvinkel    
Head of Communications     
Telephone: +46 (0)8-796 39 08   
E-mail: stenvinkel@hm.com       

Nils Vinge
Head of Investor Relations
Telephone: +46 (0)8-796 52 50
E-mail: nils.vinge@hm.com (nils.vinge@hm.com) 

The information in this press release is that which H & M Hennes &
Mauritz AB (publ) is required to disclose under Sweden's Securities
Market Act. It was released for publication at 11.00 (CET) on 20 October
2010. 

H & M Hennes & Mauritz AB (publ) was established in Sweden in 1947 and
is quoted on NASDAQ OMX Stockholm. The company's business concept is to
offer fashion and quality at the best price. In addition to H&M, the
Group includes the brands COS, Monki, Weekday and Cheap Monday as well
as H&M Home. Today the H&M Group has around 2,000 stores in 37 markets.
In 2009, sales including VAT were SEK 118,697 million and the number of
employees was around 76,000. For further information, visit
www.hm.com (http://www.hm.com/).