NEW YORK Feb 11 Procter & Gamble Co, the
world's largest household products maker, on Tuesday cut its
sales and earnings outlook for the year to reflect unfavorable
foreign exchange rates in Venezuela and the devaluation of
currencies in various developing markets.
The changed outlook reflects the recent devaluation against
the dollar of the Argentine peso, Turkish lira, South African
rand, Russian ruble, Ukrainian hryvnia, Brazilian real and
several other currencies, said P&G, whose products include
Pampers diapers and Tide detergent.
For U.S. companies that do substantial business in
developing countries, the devaluations cause their earnings in
those currencies to be worth less when converted back to
Procter & Gamble said it now sees growth in core earnings
per share of 3 to 5 percent, down from its prior outlook for
growth of 5 to 7 percent. It also revised its forecast for sales
growth to a range of flat to a rise of 2 percent versus its
prior forecast for growth in a range of 1 to 2 percent.
Procter & Gamble shares dipped 0.5 percent to $78.45 in
after-market trading on Tuesday, after closing up 1.4 percent at
$78.84 in regular trade on the New York Stock Exchange.