Meanwhile, sales rose 9.7% to $4.62 billion. Sales of personal care products rose in Brazil, Russia and India as the standard of living rose. The weaker U.S. currency added 3% to revenue. A line of night-time training pants for children increased sales in North America and helped counter higher costs for pulp used to make Kleenex tissue. Sales in developing markets advanced more than 10% for the 12th straight quarter, the company said.
The Dallas-based health and hygiene products manufacturer said it expects cumulative charges from its cost-cutting plan, through its completion in 2008, to total $875 million to $925 million before taxes. The company said about 35% of those charges will be paid in cash.
“We’re focused on driving our targeted growth initiatives and continually improving our capabilities and cost effectiveness,” Thomas Falk, chairman and CEO, said in a recent statement.