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Exhibit 99.1
News Release
[LETTERHEAD:THE GILLETTE COMPANY]
Date: September 18, 2000
Contact: Eric A. Kraus, Vice President, Corporate Communications,
(617) 421-7194
Claudio Ruben, Vice President, Corporate Investor Relations,
(617) 421-7968
GILLETTE ANNOUNCES EXPECTED THIRD-QUARTER RESULTS
BOSTON - The Gillette Company expects to report that third-quarter sales will be
virtually unchanged from those of the prior year, while earnings per share will
be slightly ahead of a year ago.
Sales are expected to be significantly affected by exchange, primarily the
continued devaluation of European currencies. The exchange impact is estimated
at 6% for the quarter, offsetting good gains from volume/mix and pricing.
In addition, the Company's battery business in North America continued to
perform below expectations in the quarter, due to the difficult competitive
environment. The Company expects a stronger Duracell performance in the fourth
quarter, reflecting the launch of Duracell Ultra alkaline batteries with M3
technology, increased in-store display activity and an aggressive consumer
sampling campaign.
During the third quarter, the Company maintained strong marketing support behind
its core businesses and continued to make progress in programs to reduce
overhead expense. The benefit from these activities is not expected to fully
offset the adverse impact of exchange.
The Company remains comfortable with current Wall Street earnings estimates for
the fourth quarter.
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NOTE: The Gillette Company will conduct a conference call for financial analysts
at 10:30 A.M. today. The call will be webcast via www.gillette.com. To access
the webcast, please go to the "Events & Webcasts" page of the "Investors"
section.
The Company will answer individual telephone inquires immediately following the
conclusion of the conference call.
This release contains "forward-looking statements" about the Company's future
performance. There are, however, a number of factors that can affect the
Company's future prospects and progress. These include, among other things,
finalizing quarterly results, the acceptance of new products, economic
conditions, share price and the competitive market environment, all of which
contain elements of uncertainty. Please refer to the Cautionary Statements
contained in the Company's 10-K and 10-Q filings for a more detailed explanation
of the inherent limitations in such forward-looking statements.
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