Kimberly-Clark 2010 Annual Report Download - page 21

PART II
(Continued)
Commentary:
2010 versus 2009
Percent Change in Net Sales Versus Prior Year
Total
Change
Changes Due To
Volume
Net
Price Currency
Mix/
Other
Consolidated ............................................. 3.3 1 1 — 1
Personal Care ............................................. 3.6 3 — — 1
Consumer Tissue .......................................... 1.4 (2) 2 — 1
K-C Professional & Other ................................... 3.4 1 2 — —
Health Care .............................................. 6.5 7 (2) 1 —
• Personal care net sales in North America increased about 4 percent due to an increase in sales volumes
and net selling prices of 3 percent and 1 percent, respectively. The sales volume increases resulted from
higher sales of feminine care and adult incontinence products, including benefits from innovation in the
U by Kotex, Poise and Depend brands and higher sales of training pants and baby wipes, partially offset
by lower sales of Huggies diapers.
In Europe, personal care net sales decreased about 2 percent due to unfavorable currency effects of
2 percent and a decrease in net selling prices of 1 percent, partially offset by increases in sales volumes
of 1 percent.
In K-C’s International operations in Asia, Latin America, the Middle East, Eastern Europe and Africa
(“K-C International”), net sales increased about 6 percent driven by a 5 percent increase in sales
volumes and a 1 percent favorable currency effect. The growth in sales volumes was broad-based, with
particular strength in Asia and Latin America, excluding Venezuela.
• Consumer tissue net sales in North America decreased 1 percent as an increase in net selling prices of
2 percent and improvements in product mix of 1 percent were more than offset by a sales volume
decline of 4 percent. Sales volumes were down low single-digits in bath tissue and double-digits in
paper towels, primarily as a result of continued consumer trade-down to lower-priced product offerings.
In Europe, consumer tissue net sales decreased 2 percent due to unfavorable currency effects of
2 percent and a decrease in sales volumes of 2 percent, partially offset by an increase in net selling
prices of 2 percent.
In K-C International, consumer tissue net sales increased about 8 percent due to an increase in net
selling prices of 4 percent, favorable currency effects of 2 percent and improvements in product mix of
1 percent. Increases in net selling prices were broad-based, with particular strength in Latin America and
Russia.
• K-C Professional’s net sales in North America increased 3 percent due to higher net selling prices of
about 2 percent and favorable currency effects of 1 percent. Volume comparisons benefited from the
Jackson Products, Inc. (“Jackson”) acquisition in 2009 and growth in the wiper and safety categories,
while washroom product volumes declined in a continued challenging economic environment. In
Europe, sales of K-C Professional products decreased 1 percent, as an increase in sales volumes of
3 percent was more than offset by unfavorable currency effects of 3 percent and lower net selling prices
of 1 percent.
• The increased sales volumes for health care products were primarily due to a 9 percent benefit from the
acquisition of I-Flow Corporation (“I-Flow”) in late November 2009, as well as volume increases in
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