Estee Lauder 2002 Annual Report Download - page 54

THEEST{E LAUDER COMPANIES INC.
FORWARD-LOOKING INFORMATION
We and our representatives from time to time make writ-
ten or oral forward-looking statements, including state-
ments contained in this and other filings with the
Securities and Exchange Commission, in our press
releases and in our reports to stockholders. The words and
phrases “will likely result,” “expect,” “believe,” “planned,”
“will,” “will continue,” “is anticipated,” “estimates,”
“projects” or similar expressions are intended to identify
“forward-looking statements” within the meaning of the
Private Securities Litigation Reform Act of 1995. These
statements include, without limitation, our expectations
regarding sales, earnings or other future financial
performance and liquidity, product introductions, entry
into new geographic regions, information systems initia-
tives, new methods of sale and future operations or oper-
ating results. Although we believe that our expectations
are based on reasonable assumptions within the bounds
of our knowledge of our business and operations, actual
results may differ materially from our expectations. Factors
that could cause actual results to differ from expectations
include, without limitation:
(i) increased competitive activity from companies in the
skin care, makeup, fragrance and hair care businesses,
some of which have greater resources than we do;
(ii) our ability to develop, produce and market new prod-
ucts on which future operating results may depend;
(iii) consolidations, restructurings, bankruptcies and reor-
ganizations in the retail industry causing a decrease in the
number of stores that sell our products, an increase in
the ownership concentration within the retail industry,
ownership of retailers by our competitors and ownership
of competitors by our customers that are retailers;
(iv) shifts in the preferences of consumers as to where and
how they shop for the types of products and services
we sell;
(v) social, political and economic risks to our foreign or
domestic manufacturing, distribution and retail opera-
tions, including changes in foreign investment and trade
policies and regulations of the host countries and of the
United States;
(vi) changes in the laws, regulations and policies, including
changes in accounting standards and trade rules, and legal
or regulatory proceedings, that affect, or will affect, our
business;
(vii) foreign currency fluctuations affecting our results of
operations and the value of our foreign assets, the rela-
tive prices at which we and our foreign competitors sell
products in the same markets and our operating and
manufacturing costs outside of the United States;
(viii) changes in global or local economic conditions
that could affect consumer purchasing, the financial
strength of our customers, the cost and availability of cap-
ital, which we may need for new equipment, facilities or
acquisitions, and the assumptions underlying our critical
accounting estimates;
(ix) shipment delays, depletion of inventory and increased
production costs resulting from disruptions of operations
at any of the facilities which, due to consolidations in
our manufacturing operations, now manufacture nearly
all of our supply of a particular type of product (i.e.
focus factories);
(x) real estate rates and availability, which may affect our
ability to increase the number of retail locations at which
we sell our products;
(xi) changes in product mix to products which are
less profitable;
(xii) our ability to acquire or develop e-commerce capa-
bilities, and other new information and distribution tech-
nologies, on a timely basis and within our cost estimates;
(xiii) our ability to capitalize on opportunities for
improved efficiency, such as globalization, and to inte-
grate acquired businesses and realize value there
from; and
(xiv) consequences attributable to the events that
took place in New York City and Washington, D.C. on
September 11, 2001, including further attacks, retaliation
and the threat of further attacks or retaliation.
We assume no responsibility to update forward-looking
statements made herein or otherwise.
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