The Procter & Gamble Company (NYSE:PG) today issued the
following statement in response to Trian Partners’ Letter to
Shareholders dated August 16, 2017:
Trian continues to offer no new, actionable ideas to drive
additional value for P&G shareholders. In fact, Trian and
Nelson Peltz have repeatedly encouraged P&G to continue the
execution of the current strategy and plan that P&G already has
in place – direct affirmation of the fact that our plan is working.
Trian instead is criticizing P&G by using timeframes that do
not reflect the significant value creation the Company’s
transformation has started to deliver.
P&G is a fundamentally different company than we were a
decade ago. Since our CEO transition on November 1, 2015, the
completion of a $10 billion productivity program, elimination of
more than 100 brands from our portfolio and renewed focus on growth
through 10 categories that play to our strengths, we have delivered
total shareholder return of 27% while companies where Mr. Peltz
serves as a Board member have delivered total returns of only
8%.
On July 27, 2017, P&G reported strong fiscal 2017 results
that demonstrate that our strategy is working, and our confidence
in our ability to build on this success is reflected in our 2018
guidance. We remain focused on preventing anything from derailing
the work that is already delivering results.
About Procter & Gamble
P&G serves consumers around the world with one of the
strongest portfolios of trusted, quality, leadership brands,
including Always®, Ambi Pur®, Ariel®, Bounty®, Charmin®, Crest®,
Dawn®, Downy®, Fairy®, Febreze®, Gain®, Gillette®, Head &
Shoulders®, Lenor®, Olay®, Oral-B®, Pampers®, Pantene®, SK-II®,
Tide®, Vicks®, and Whisper®. The P&G community includes
operations in approximately 70 countries worldwide. Please visit
http://www.pg.com for the latest news and information about P&G
and its brands.
Forward-Looking Statements
Certain statements in this release or presentation, other than
purely historical information, including estimates, projections,
statements relating to our business plans, objectives, and expected
operating results, and the assumptions upon which those statements
are based, are “forward-looking statements” within the meaning of
the Private Securities Litigation Reform Act of 1995, Section 27A
of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. These forward-looking statements generally
are identified by the words “believe,” “project,” “expect,”
“anticipate,” “estimate,” “intend,” “strategy,” “future,”
“opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,”
“will continue,” “will likely result,” and similar expressions.
Forward-looking statements are based on current expectations and
assumptions, which are subject to risks and uncertainties that may
cause results to differ materially from those expressed or implied
in the forward-looking statements. We undertake no obligation to
update or revise publicly any forward-looking statements, whether
because of new information, future events or otherwise.
Risks and uncertainties to which our forward-looking statements
are subject include, without limitation: (1) the ability to
successfully manage global financial risks, including foreign
currency fluctuations, currency exchange or pricing controls and
localized volatility; (2) the ability to successfully manage local,
regional or global economic volatility, including reduced market
growth rates, and to generate sufficient income and cash flow to
allow the Company to affect the expected share repurchases and
dividend payments; (3) the ability to manage disruptions in credit
markets or changes to our credit rating; (4) the ability to
maintain key manufacturing and supply arrangements (including
execution of supply chain optimizations, and sole supplier and sole
manufacturing plant arrangements) and to manage disruption of
business due to factors outside of our control, such as natural
disasters and acts of war or terrorism; (5) the ability to
successfully manage cost fluctuations and pressures, including
prices of commodity and raw materials, and costs of labor,
transportation, energy, pension and healthcare; (6) the ability to
stay on the leading edge of innovation, obtain necessary
intellectual property protections and successfully respond to
changing consumer habits and technological advances attained by,
and patents granted to, competitors; (7) the ability to compete
with our local and global competitors in new and existing sales
channels, including by successfully responding to competitive
factors such as prices, promotional incentives and trade terms for
products; (8) the ability to manage and maintain key customer
relationships; (9) the ability to protect our reputation and brand
equity by successfully managing real or perceived issues, including
concerns about safety, quality, ingredients, efficacy or similar
matters that may arise; (10) the ability to successfully manage the
financial, legal, reputational and operational risk associated with
third party relationships, such as our suppliers, distributors,
contractors and external business partners; (11) the ability to
rely on and maintain key company and third party information
technology systems, networks and services, and maintain the
security and functionality of such systems, networks and services
and the data contained therein; (12) the ability to successfully
manage uncertainties related to changing political conditions
(including the United Kingdom’s decision to leave the European
Union) and potential implications such as exchange rate
fluctuations and market contraction; (13) the ability to
successfully manage regulatory and legal requirements and matters
(including, without limitation, those laws and regulations
involving product liability, intellectual property, antitrust,
privacy, tax, environmental, and accounting and financial
reporting) and to resolve pending matters within current estimates;
(14) the ability to manage changes in applicable tax laws and
regulations including maintaining our intended tax treatment of
divestiture transactions; (15) the ability to successfully manage
our ongoing acquisition, divestiture and joint venture activities,
in each case to achieve the Company’s overall business strategy and
financial objectives, without impacting the delivery of base
business objectives; and (16) the ability to successfully achieve
productivity improvements and cost savings and manage ongoing
organizational changes, while successfully identifying, developing
and retaining key employees, including in key growth markets where
the availability of skilled or experienced employees may be
limited. For additional information concerning factors that could
cause actual results and events to differ materially from those
projected herein, please refer to our most recent 10-K, 10-Q and
8-K reports.
Important Additional Information and Where to Find It
The Company has filed a definitive proxy statement on Schedule
14A and form of associated BLUE Proxy Card with the Securities and
Exchange Commission (“SEC”) in connection with the solicitation of
proxies for its 2017 Annual Meeting of Shareholders (the
“Definitive Proxy Statement”). The Company, its directors and
certain of its executive officers will be participants in the
solicitation of proxies from shareholders in respect of the 2017
Annual Meeting. Information regarding the names of the Company’s
directors and executive officers and their respective interests in
the Company by security holdings or otherwise is set forth in the
Definitive Proxy Statement. Details concerning the nominees of the
Company’s Board of Directors for election at the 2017 Annual
Meeting are included in the Definitive Proxy Statement. BEFORE
MAKING ANY VOTING DECISION, INVESTORS AND SHAREHOLDERS OF THE
COMPANY ARE URGED TO READ ALL RELEVANT DOCUMENTS FILED WITH OR
FURNISHED TO THE SEC, INCLUDING THE COMPANY’S DEFINITIVE PROXY
STATEMENT AND ANY SUPPLEMENTS THERETO AND ACCOMPANYING BLUE PROXY
CARD, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. Shareholders
may obtain a free copy of the Definitive Proxy Statement and other
relevant documents that the Company files with the SEC from the
SEC’s website at www.sec.gov or the Company’s website at
http://www.pginvestor.com as soon as reasonably practicable after
such materials are electronically filed with, or furnished to, the
SEC.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20170816005851/en/
P&G Media Contact:Damon Jones,
513-983-0190jones.dd@pg.comorP&G Investor Relations
Contact:John Chevalier, 513-983-9974
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