Gillette

Gillette

February 24, 2005 12:15 ET

Gillette CEO Views Combination with P&G as Leading to New Era of Growth


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: GILLETTE

NYSE SYMBOL: G

FEBRUARY 24, 2005 - 12:15 ET

Gillette CEO Views Combination with P&G as Leading to
New Era of Growth

SCOTTSDALE, Ariz.--(CCNMatthews - Feb 24, 2005) -

James M. Kilts, chairman, president and chief executive officer of The
Gillette Company (NYSE:G), said today that Gillette's second consecutive
year of record results in 2004, which capped a four-year turnaround of
the Company, had set the stage for the creation of the best consumer
products company in the world through the proposed combination of
Gillette and Procter & Gamble.

Mr. Kilts cited continued gains in key financial measures, significant
franchise growth behind a strong new products program and enhanced
organizational capabilities as the drivers of Gillette's record
across-the-board performance in 2004.

He also noted the strong momentum of the Company's sales and earnings
growth. Gillette sales rose 5 percent in 2002, 9 percent in 2003 and 13
percent in 2004, while earnings per share climbed 15 percent, 18 percent
and 25 percent, respectively, in those years.

In describing the many strengths Gillette brings to the combination with
P&G, Mr. Kilts said, "Strength plus strength will equal success as a
very strong Gillette combines with an equally strong Procter & Gamble.
We will create a global company built upon scale, diversity and brand
strength - all requisites for consistent growth in a consolidating,
highly competitive global environment. This is an opportunity to help
build something that Gillette has been pursuing for four years ... to
become the best consumer products company in the world."

Mr. Kilts discussed the businesses and capabilities Gillette has
created, which will continue to deliver, strong consistent growth. He
described four key growth drivers that give the Company a unique
competitive advantage: Gillette's presence in high-growth, advantaged
global categories; its technological leadership in these categories; its
ability to drive consumer trade-up around the world to better-
performing, premium products; and the Company's culture, which is
defined by a constant turnaround mentality and a drive for total
innovation.

Mr. Kilts' comments were made during a presentation in Scottsdale to a
gathering of more than 500 financial analysts and institutional
investors at the annual conference of the Consumer Analyst Group of New
York.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    The Gillette Company
    Christopher M. Jakubik
    Vice President, Corporate Investor Relations
    (617) 421-7968
    or
    Eric A. Kraus
    Vice President, Corporate Communications
    (617) 421-7194