First answer Morgan Stanley, 5 March 2026

Dear Mr Kenel, 

I am writing in response to your open letter to Morgan Stanley dated 27 February 2026.

Morgan Stanley Research is committed to providing independent analysis that helps investors form their own views. Our work is based on publicly available information and is intended to support informed debate around value, risk and industry dynamics. We approach that task with care and discipline, recognising both the responsibility and the limitations that come with public market analysis.

In developing our estimates and views, our analysts draw on a broad range of public sources, including regulatory filings, company disclosures, industry data and third party materials. As with all external research, the accuracy and granularity of our analysis necessarily depend on the scope and consistency of information that companies choose to make available to the market.

Your letter includes additional detail relating to certain Swatch Group brands that was not previously disclosed publicly. We acknowledge this information and appreciate the context you have provided. Where new data becomes available, we consider it carefully as part of our ongoing analytical work.

We remain open to constructive engagement and to discussing any further information you believe would be helpful in ensuring that public analysis reflects the fullest possible understanding of the business, based on information that can be shared with all market participants on an equal footing.

For clarity, Morgan Stanley Research operates within our Institutional Securities Group which is separate from Morgan Stanley Investment Management.

We would be happy to speak at your convenience.

Kind regards,