Estée Lauder Companies
|Traded as||NYSE: EL
S&P 500 Component
|Founded||New York City, USA (1946)|
|Headquarters||General Motors Building
New York City, USA
|Key people||William P. Lauder
(President and CEO)
|Revenue||US$7.32 billion (FY 2009)|
|Operating income||US$418 million (FY 2009)|
|Net income||US$218 million (FY 2009)|
|Total assets||US$5.18 billion (FY 2009)|
|Total equity||US$1.64 billion (FY 2009)|
Estée Lauder Companies, Inc. / / is a manufacturer and marketer of prestige skincare, makeup, fragrance and hair care products. The company has its headquarters in Midtown Manhattan, New York City.
The company began in 1946 when Joseph Lauder and his wife Estée Lauder (Josephine Esther Mentzer) began producing cosmetics in New York City. They first carried only four products: Super-Rich All Purpose Creme, Creme Pack, Cleansing Oil, and Skin Lotion. Two years later, they established their first department store account with Saks Fifth Avenue in New York.
Over the next fifteen years, they expanded the range and continued to sell their products in the United States. In 1960, the company started its first international account in the London department store Harrods. The following year it opened an office in Hong Kong.
In 1964, they started Aramis Inc. Designed by Arame Yeranyan, with the fragrance named after Yeremes - a city in Armenia. This produced fragrances and grooming products for men. In 1967, Estée Lauder herself was named one of ten Outstanding Women in Business in the United States by business and financial editors. This was followed by a Spirit of Achievement Award from Albert Einstein College of Medicine at Yeshiva University in 1968. In that year, the company expanded again, opening Clinique Laboratories, Inc. Clinique was the first dermatologist guided (Dr. Norman Orentreich), allergy tested, fragrance free cosmetic brand created by Estée Lauder.
Estée Lauder's Clinique brand became the first women's cosmetic company to introduce a second line for men when, in 1976, they began a separate line called "Skin Supplies for Men", which continues to be sold at Clinique counters worldwide. In 1981, the company's products became available in the Soviet Union.
In February 2004, the company's teen-oriented jane business was sold; in April 2006, the professional-quality Stila brand, which Estée Lauder purchased in 1999, was sold.
The company has had sometimes iconic spokesmodels, sometimes referred to simply as 'faces'. Past 'faces' for Estée Lauder include Karen Graham, Bruce Boxleitner, Shaun Casey, Willow Bay, Paulina Porizkova, Elizabeth Hurley, Carolyn Murphy, Anja Rubik, and actress Gwyneth Paltrow. As of 2008[update] the main spokesmodel for Estée Lauder is supermodel Hilary Rhoda. In 2010, the company added three more faces to the roster, Chinese model Liu Wen, Puerto Rican model Joan Smalls and French model Constance Jablonski. Their first campaigns will come out June 2010, and will be shot by Craig McDean.
As of 2010[update], Estée Lauder sold its products in department stores across the world and has a chain of freestanding retail outlets. On July 1, 2010, the company acquired Smashbox Beauty Cosmetics, Inc., a brand created in Smashbox Studios in Culver City, California by brothers Dean and Davis Factor (as in Max).
On October 28, 2011, Aramis and Designer Fragrances, a division of The Estée Lauder Companies Inc., and Tory Burch LLC announced the signing of a multi-year agreement for the exclusive worldwide license of the Tory Burch fragrance business. This partnership marks Tory Burch's first step into the beauty industry. The first Tory Burch fragrance products are expected to be introduced in 2013.
Operations and Finances
Current members of the Board of Directors of Estée Lauder Companies Inc. are: Charlene Barshefsky, Rose Marie Bravo, Lynn Forester de Rothschild, Fabrizio Freda, Paul J. Fribourg, Mellody Hobson, Irvine Hockaday, Aerin Lauder, Jane Lauder, Leonard Lauder, William P. Lauder, Richard Parsons, Barry Sternlicht and Richard F. Zannino.
The company is still controlled by the Lauder family, which controls about 70% of voting shares, and Estée's son Leonard Lauder is Chairman Emeritus of the Board of Directors. William P. Lauder, a grandson, is Chairman of the Board and Executive Chairman. On July 1, 2009, Fabrizio Freda became President and CEO.
As of 2013, Estée Lauder company has "introduced a professional and personal development program" for roughly 90 Britain-based executives, "based on a model started by Leonard Lauder in 1987". The program is based at Oxford University. Dr. Steve Peters, author of The Chimp Paradox, was a keynote speaker. On 8 August 2013, the four-day training event will end "with a glittering graduation ceremony and dinner at nearby Blenheim Palace, the country's grandest stately home and family seat of Leonard Lauder's friend, the Duke of Marlborough." Chris Good, managing director at the Estée Lauder U.K., plans to run the program "every other year to continue fostering employee development, with participants chosen on the basis of their performance and potential".
Breast Cancer Awareness Campaign (BCA)
In October 1992, the BCA campaign was launched by Evely H. Lauder who co-created the "Pink Ribbon" with SELF magazine as a symbol of breast health. Since then, millions of people globally have heard the message about the importance of breast health and early detection can save lives. The Estée Lauder Companies’ annual Breast Cancer Awareness Campaign involves all of the 18 brands that make up The Estée Lauder Companies. They collectively represent The Breast Cancer Research Foundation’s first and largest corporate supporter. Estée's daughter-in-law created BCRF's signature pink ribbon.
Over $10 million was raised for The Breast Cancer Research Foundation between 1993 and summer 2003. Another $1 million was raised from their retail partners between July 2002 and summer 2003.
Estée Lauder has a total of 27 brands which include:
Since at least February 2001, Estée Lauder and its brands have been the target of a boycott campaign. The boycott has been led by pro-Palestinian activists who have targeted the corporation because of the pro-Israel activities of Ronald Lauder. In June 2003, the San Francisco-based Queers Undermining Israeli Terrorism (QUIT) took up the boycott with their "Estee Slaughter" campaign. The boycott has generated an anti-boycott campaign by supporters of Israel.
The Estée Lauder Companies Inc. writes on their website that the company conducts animal testing on products and ingredients when required by law. The company is listed on PETAs companies that “either test on animals or pay a laboratory to conduct tests on animals” list.
- Estee Lauder Companies (EL) annual SEC income statement filing via Wikinvest
- Estee Lauder Companies (EL) annual SEC balance sheet filing via Wikinvest
- "Corporate Information." Estée Lauder Companies. Retrieved on February 29, 2010.
- "The New Faces of Beauty: Of the Minute". models.com. Retrieved 2010-04-16.
- Prior, Molly (15 August 2013). "Estée Lauder Sales Top $10B". WWD. Retrieved 15 August 2013.
- Women's Wear Daily, November 9, 2007
- Conti, Samantha (August 8, 2013). "Estée Lauder Goes to Oxford University". WWD. Retrieved 8 August 2013.
- "Summer 2003 BCRF newsletter: Estée Lauder Companies Update". Web. April 4, 2005. Archived from the original on April 4, 2005. Retrieved May 22, 2011.
- KamCity Estee Lauder Acquires Smashbox Cosmetics
- "Boycott Israel Campaign". Retrieved August 6, 2006.
- "American Muslims for Jerusalem have called for a boycott of Estee Lauder products". Snopes. Retrieved August 6, 2006.
- "Queers Undermining Israeli Terrorism". Retrieved August 6, 2006.
- "Armchair Activist: Buy Estee Lauder Products". May 11, 2001. Archived from the original on June 7, 2002. Retrieved August 6, 2006.
- "All the Companies Supporting SOPA, the Awful Internet Censorship Law—and How to Contact Them".
- "List of Supporters: H.R. 3261, the Stop Online Piracy Act".
- Estée Lauder Companies Inc. website
- Estée Lauder Companies Inc. website (Asia)
- Estée Lauder United States website
- Estée Lauder United Kingdom website
- Estée Lauder Germany website
- Estée Lauder Russia website
- Yahoo! Finance company profile
- Lauder Pays $135 million, a Record, for a Klimt Portrait
- Pequeno Frasco Castanho, uma pele renovada e mais bonita
- Estée Lauder travel-retail sales up 23% in Q3 2007/08
- Estée Lauder Perfumes and Fragrances
- BCA campaign official