Avon 2003 Annual Report Download - page 14

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Segment Review
Below is an analysis of the key factors affecting Net sales and Operating profit by reportable segment for each of the years in the three-year period ended
December 31, 2003.
Years ended December 31 2003 2002 2001
Operating Operating Operating
Net Profit Net Profit Net Profit
Sales (Loss) Sales (Loss) Sales (Loss)
North America
U.S. $2,217.9 $ 420.9 $2,151.2 $ 421.2 $2,024.2 $ 370.1
U.S. Retail* — (20.7) .2 (20.1) 3.6 (21.0)
Other** 308.9 25.7 306.0 43.8 293.1 44.0
Total 2,526.8 425.9 2,457.4 444.9 2,320.9 393.1
International
Latin America 1,747.2 406.3 1,654.9 361.6 1,856.5 411.0
Mexico 669.3 190.2 661.8 164.6 619.7 154.6
Brazil 489.3 93.4 472.5 98.3 485.8 98.0
Europe 1,607.2 313.4 1,228.6 208.8 1,008.5 164.0
Pacific 923.4 156.6 829.7 133.6 773.7 112.5
Total 4,277.8 876.3 3,713.2 704.0 3,638.7 687.5
Total from operations 6,804.6 1,302.2 6,170.6 1,148.9 5,959.6 1,080.6
Global expenses — (263.3) — (249.1) (1.8) (245.9)
Contact settlement gain, net of related expenses ——— — — 25.9
Special charges, net*** — 3.9 — (36.3) — (97.4)
Total $6,804.6 $1,042.8 $6,170.6 $ 863.5 $5,957.8 $ 763.2
*** See Note 17, Other Information.
*** Includes Canada, Dominican Republic, Puerto Rico and Avon Centre. Beginning July 1, 2003, Avon Centre was included in “Other” whereas in prior periods it had been included in U.S.
Retail. Prior periods have been reclassified to reflect this change. Beginning January 1, 2003, the Dominican Republic was included in North America whereas in prior periods it had been
included in Latin America. Prior periods have been reclassified to reflect this change.
*** The 2003, 2002 and 2001 Special charges of $3.9, ($36.3) and ($97.4), respectively, were included in the Consolidated Statements of Income as Special charges ($3.9 in 2003, ($34.3) in
2002 and ($94.9) in 2001) and as inventory write-downs in Cost of sales ($2.0 in 2002 and $2.5 in 2001).
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