PARIS – L’Oréal said on Friday that it had reached a settlement with France’s tax authorities regarding three of its subsidiaries, which resulted in an approximately 320 million-euro charge.
The discussions with the French authorities concerned the Lancôme Parfums and Beauté, Cosmetique Active International and Prestige et Collections units, and spanned the years 2014 to 2018.
L’Oréal said that overall the financial impact per year comes to about 65 million euros during the five years. During that period, the impact is: 47 million euros for Lancôme Parfums et Beauté, 115 million euros for Cosmetique Active International and 158 million euros for Prestige et Collections.
The group said that will be recorded as an exceptional charge for 2019 and have no significant recurrent impact in the future.