Growth of pre-tax profit of consolidated companies

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2 Growth of pre-tax profit of consolidated companies % % % % % % % % % % % % % % % % % % % % -2-

3 Profit before taxes % 2,063 M 1,870 M

4 Consolidation rate of US $ in euros

5 Growth of consolidated sales 2004 Growth excluding exchange rate impact % Exchange rate impact % Growth published figures % -5-

6 United States 2004 macroeconomic indicators 2004 GDP growth + 4.4% Housing Starts + 8.9% Consumer spending* + 3.8% Retail sales Automotive Gasoline Home and gardens equipment Furniture/home decorating Electronics/appliance Total + 4.3% % % + 7.0% + 7.7% + 7.6% * ex. inflation 2.2% in

7 Evolution of worldwide cosmetic market Geographical zones at constant exchange rates 2004 Western Europe % North America % % Japan Rest of the world % Worldwide market % -7-

8 Growth of cosmetics sales % 14,220 M 13,704 M

9 like-for-like growth Worldwide cosmetics market* and L Oréal sales 10.6% 11.0% + 10% 8.6% 7.3% 5.0% + 5% 7.4% 7.1% 5.2% 4.4% 5.3% 8.7% 8.1% 7.1% 5.4% 5.5% 5.3% 7.0% 6.3 % 5.4% 4.3% 4.6% 3.3% 4.0% 3.3 % Market growth L Oréal growth (*) excluding soaps and toothpastes -9-

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13 USA sales in million dollars

14 2004 cosmetics sales Growth driver countries Growth Like-for-like M % 363 Mainland % 291 Hong Kong % 72 Chine Taïwan Thaïland Mexico Brazil Russia % % % % % Australia % 217 South Africa Turkey India % % %

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20 Group operating margin % Sales % Sales 13 % Operating profit 14.6 % 14 % Adjusted operating profit* 14.9 % *including exchange gains and losses

21 Cosmetical and dermatological Research in M Research budget % Sales 3.0 % 2.9 % 2.9 % 3.0 % 3.0 % 3.0 % 3.1 % Employees % 3.3 % 3.4 %

22 Purchases in % of consolidated sales 1999 Purchases and variation 19.0% in inventories % 18.7% 17.6% 18.0% 17.7% Tuesday17April 26th2005, 2005 février

23 Cosmetics sales by business segment Perfumes 10.4% Colourants 17.2% Others 3.3% 8% Professional Make-up 21.4% Other circuits 16.9 % Hair care 24.9% 22.8% Skin care

24 Number of plants and number of units produced per plant Millions of units per plant 45.8 Number of plants

25 Impact of «value analysis» A single compact for a better quality 0,6 million units 0,6 million units 1 million units 1,8 million units 4 million units 19 % savings on compact component cost

26 Margins Rest of the World Operating profit (% of Sales) 10.3% 11% 10% 8.4% 9% 8% 7.5% 7.4% % 7% 6% 5.2% 5% 4%

27 L Oréal share price 2004 Source: DATASTREAM

28 Ranking Ranking 1. L OREAL 1. L OREAL 2. DANONE 2. PEUGEOT 3. MICROSOFT 3. RENAULT 4. PSA PEUGEOT-CITROEN 4. MICHELIN 5. CARREFOUR 5. DANONE st French Company

29 1 st French Company 1st Global Diversity Award One of 16 America s Safest Companies

30 European business Students choose L Oréal as the ideal company to work for Ranking Ranking 1. L OREAL 1. L OREAL 2. MC KINSEY &COMPANY 2. BMW 3. BMW 3. COCA-COLA 4. THE BOSTON CONSULTING GROUP 4. NESTLE 5. COCA-COLA 5. GROUPE VOLKSWAGEN business students from business students from 5 European countries European countries

31 L Oréal included in all Sustainable Development Indexes* *Ecodurable Survey September

32 First Quarter 2005 Sales by geographic Zone Growth Sales M Like-for-like Published % % North America % % Rest of the World, of which - Asia - Latin America - Eastern Europe - Other countries % % % % % % % % % % % % % % % % Western Europe Cosmetics total Dermatology* Group total IFRS IFRS * Group share, i.e. 50 %

33 Worldwide cosmetics market 1991/2004 (billions $) Average annual growth rate, excluding exchange rate impact % 111,5 107,9 103,8 +3.3% 99,2 95,1 90,6 86,1 81,6 +5.5% 77,4 68,3 65,1 62,9 +5.0% +4.8 % ,3 73,5 +4.4% +3.0% +5.3 % +5.3 % +4.9 % +4.3% +4.6% +4.0% +5.4 % +3.5%

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42 Worldwide cosmetic market by geographic zones Market 2004 (Billions ) Western Europe 32.6 North America 23.0 Japan 10.5 Rest of the World 23.4 WORLDWIDE MARKET

43 Women between 15 and 75 years old (millions) Eastern Europe Western Europe North America 123 M 150 M Africa Latin America 193 M 137 M 258 M Asia 988 M Chine: 487 M Inde 353 M

44 Evolution of sales in China (mainland) Million rmb

45 Evolution of sales in Russia Million Rubles

46 Evolution of sales in India Million Rupees

47 Evolution of sales in Brazil Million Reals

48 Weight of «Rest of the World» in Cosmetics sales % 19.1% % 15.5% %

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50 Jean-Paul AGON 48 years old, Managing Director North America Zone Since September 2001 Joined in septembrer 1978 France LaScad Product Manager 2 years Greece L Oréal Paris Managing Director 5 years France L Oréal Paris Managing Director 3 years Brand Biotherm Managing Director 6 years Germany L Oréal Paris Managing Director 2 years Asia L Oréal Asia Zone Managing Director 4 years

51 Avertissement / Disclaimer «Ce document ne constitue pas une offre de vente ou la sollicitation d une offre d achat de titres L Oréal. Si vous souhaitez obtenir des informations plus complètes concernant L Oréal, nous vous invitons à vous reporter aux documents publics déposés en Franceauprès de l Autorité des Marchés Financiers (également disponibles en version anglaise sur notre site Internet document peut contenir certaines déclarations de nature prévisionnelle. Bien que la Société estime que ces déclarations reposent sur des hypothèses raisonnables à la date de publication du présent communiqué, elles sont par nature soumises à des risqueset incertitudes pouvant donner lieu à un écart entre les chiffres réels et ceux indiqués ou induits dans ces déclarations.» "This document does not constitute an offer to sell, or a solicitation of an offer to buy, L Oréal shares. If you wish to obtainmore comprehensive information about L Oréal, please refer to the public documents registered in France with the Autorité des Marchés Financiers (which are also available in English on our Internet site: document may contain some forward-looking statements. Although the Company considers that these statements are based on reasonable hypotheses at the date of publication of this release, they are by their nature subject to risks and uncertainties which could cause actual results to differ materially from those indicated or projected in these statements."