Proposed Settlement

Class Members in the Class Action consist of all persons in Canada:

(i) whose personal or financial information held by Estée Lauder was compromised and/or stolen from Estée Lauder on or around July 12, 2023 (the "July Incident"); or who received an email or letter from Estée Lauder, dated on or about September 5, 2023, informing them of the July Incident; and/or

(ii) whose personal or financial information held by Estée Lauder was compromised and/or stolen from Estée Lauder on or around May 31, 2023 (the "May Incident"); or who received an email or letter from Estée Lauder, dated on or about October 19, 2023, informing them of the May Incident.

You have nothing to pay and nothing to do in order to remain included in the Class Action.

Under the terms of the Settlement, Estée Lauder has agreed to pay a total of one million five hundred fifteen thousand Canadian dollars (CAD $1,515,000.00) (the "Settlement Fund"). Following deduction of class counsel fees, disbursements, administrative costs, and notice costs, the remaining balance of the Settlement Fund will be distributed in accordance with the structure outlined below:

• Substantiated Losses. Class Members who submit a timely and valid claim with supporting documentation evidencing out-of-pocket losses reasonably attributable to the Data Incidents may receive up to CAD $5,000, subject to the overall Settlement Fund and the pro rata provisions described below. For clarity, the email or letter from Estée Lauder notifying you of a Data Incident does not constitute supporting documentation for a Substantiated Loss.

• Unsubstantiated Losses. Class Members who submit a timely and valid claim without supporting documents may receive:

  • CAD $150 if the Class Member falls within only one of the Data Incidents (the "First Group");
  • CAD $300 if the Class Member falls within both of the Data Incidents (the "Second Group").
  • Class Members who are entitled to a Monetary Benefit for Substantiated Losses will also be entitled to receive a Monetary Benefit for Unsubstantiated Losses.
  • Claims for Substantiated Losses will be paid from the Settlement Fund before any amount is paid regarding the claims for Unsubstantiated Losses.
  • If funds remain after payment of approved Substantiated Losses, the Unsubstantiated Losses claims may be increased up to a maximum of CAD $300 for First Group claimants and up to a maximum of CAD $600 for Second Group claimants in addition to their claim for Substantiated Losses, if applicable.

• Payment Method. If you are eligible for a Monetary Benefit, the payment will be sent to you by Interac e-Transfer. If you wish to receive the payment by cheque, you must make a written request to the Claims Administrator after the Claim Form becomes available and following submission of your claim.

• Pro rata adjustments. If the total value of approved claims exceeds the funds remaining in the Settlement Fund, payments will be reduced proportionally on a pro rata basis. If, after such pro rata reduction, the value of each individual payment would be less than CAD $3.00, no individual payments will be issued to Class Members. In such event, all remaining Settlement Funds will be distributed to charitable organizations identified below, after payment of the Fonds d'aide aux action collectives levy (if applicable). Conversely, if the total value of approved claims does not exhaust the Settlement Fund, payments of the claims for Unsubstantiated Losses may be increased proportionally on a pro rata basis, subject to the maximum caps specified above.

• The Fonds d’aide aux actions collectives (the “FAAC”) is legally entitled to receive a percentage of the Québec portion of any remaining balance from the Settlement Fund, according to the Regulation respecting the percentage withheld by the Fonds d’aide aux actions collectives. After the FAAC has been paid said levy, as applicable, the remainder will be distributed in equal parts to the following charitable organizations: the Jewish General Hospital Foundation and Chai Lifeline Canada.