Estee Lauder 2004 Annual Report Download - page 15

Download and view the complete annual report

Please find page 15 of the 2004 Estee Lauder annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 86

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86

Dear Fellow Stockholders:
The hallmarks of a great company are its products, its people and its ideas. By that measure, The Estée Lauder
Companies is truly a great company. Products, people and ideas are the three pillars that have supported our
Company since it was established by our founder, Mrs. Estée Lauder. Although Mrs. Lauder passed away this past
April, her legacy lives on. As the Company completes its 58th year in business, these pillars continue to uphold our
tradition of uninterrupted sales growth.
PRODUCTS and innovation are key drivers in the prestige cosmetics business. We are committed to bringing
the best of both to our consumers. Each year, about one-third of our Company’s sales comes from products that
were launched within the past three years. This year, we introduced more than 300 new products around the
world. Their strength has been recognized not only by our largest year-over-year sales gain ever, but also by
the numerous honors they were awarded. In North America, we were pleased to receive 11 CEW Beauty
Awards from Cosmetic Executive Women for outstanding new products — one of the industry’s top honors.
Innovation remains the driving force that propels our Company forward. Our innovation and skill in product
development come from more than 400 scientists in six Research & Development Centers around the world. They
are constantly working with leading research institutions seeking the latest insights into skin care and makeup
technologies. Our goal is to find the best ideas around the world, nurture them and bring them to consumers in
the form of outstanding products.
The second pillar is the PEOPLE who drive the Company. Our success depends upon people with curiosity,
creativity, passion and energy. These words certainly describe the employees of The Estée Lauder Companies.
From the scientists at our R&D Centers who keep us on the leading edge of innovation to the people in
Operations who ensure that we have a highly efficient supply chain producing and delivering the best products
to stores around the globe to the artists who create the exciting visual merchandising you see at the counters that
13
REVIEW
FRED H. LANGHAMMER WILLIAM P. LAUDER
CHIEF EXECUTIVE’S