SEGMENT INFORMATION

12 Months Ended

Jun. 30, 2012

Notes to Financial Statements [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

Effective during the quarter ended December 31, 2011, we implemented a number of changes to our organization structure for the Beauty & Grooming Global Business Unit (GBU), which resulted in changes to the components of the Beauty reportable segment and the Grooming reportable segment. As a result of these changes, female blades and razors transitioned from the Beauty segment to the Grooming segment, while male personal care products such as Old Spice and Gillette, moved from the Grooming segment to the Beauty segment. In May 2012, we completed the divestiture of the snacks business to The Kellogg Company. As a result of this transaction, the snacks business, which was previously included in the Snacks and Pet Care segment, is reported as discontinued operations. Additionally, as a result of this change, the pet care business is now included in the Fabric Care and Home Care segment. The segment information provided below reflects these changes for all periods presented.

The Company has two GBUs: the Beauty & Grooming GBU and the Household Care GBU.

Under U.S. GAAP, we have five reportable segments:

• Beauty: Antiperspirant and Deodorant, Cosmetics, Hair Care, Hair Color, Personal Cleansing, Prestige Products, Salon Professional and Skin Care;

• Grooming: Blades and Razors, Electronic Hair Removal Devices, Hair Care Appliances and Pre- and Post-Shave Products;

• Health Care: Feminine Care, Gastrointestinal, Incontinence, Rapid Diagnostics, Respiratory, Toothbrush, Toothpaste, Other Oral Care, Other Personal Health Care and Vitamins/Minerals/Supplements;

• Fabric Care and Home Care: Bleach and Laundry Additives, Air Care, Batteries, Dish Care, Fabric Enhancers, Laundry Detergents, Pet Care, Professional and Surface Care;

• Baby Care and Family Care: Baby Wipes, Diapers, Paper Towels, Tissues and Toilet Paper.

The accounting policies of the businesses are generally the same as those described in Note 1. Differences between these policies and U.S. GAAP primarily reflect income taxes, which are reflected in the businesses using applicable blended statutory rates, and the treatment of certain unconsolidated investees. Certain unconsolidated investees are managed as integral parts of our business units for management reporting purposes. Accordingly, these partially owned operations are reflected as consolidated subsidiaries in segment results, with full recognition of the individual income statement line items through before-tax earnings. Eliminations to adjust these line items to U.S. GAAP are included in Corporate. In determining after-tax earnings for the businesses, we eliminate the share of earnings applicable to other ownership interests, in a manner similar to noncontrolling interest and apply statutory tax rates. Adjustments to arrive at our effective tax rate are also included in Corporate.

Corporate includes certain operating and non-operating activities that are not reflected in the operating results used internally to measure and evaluate the businesses, as well as eliminations to adjust management reporting principles to U.S. GAAP. Operating activities in Corporate include the results of incidental businesses managed at the corporate level along with the elimination of individual revenues and expenses generated by certain unconsolidated investees, discussed in the preceding paragraph, over which we exert significant influence, but do not control. Operating elements also include certain employee benefit costs, the costs of certain restructuring-type activities to maintain a competitive cost structure, including manufacturing and workforce rationalization, and other general Corporate items. The non-operating elements in Corporate primarily include interest expense, divestiture gains and interest and investing income. In addition, Corporate includes the historical results of certain divested businesses.

Total assets for the reportable segments include those assets managed by the reportable segment, primarily inventory, fixed assets and intangible assets. Other assets, primarily including cash, accounts receivable, investment securities and goodwill, are included in Corporate.

In 2012, 2011 and 2010, nine product categories individually accounted for 5% or more of consolidated net sales as follows:

	% of Sales by Product Category
	2012	2011	2010
Fabric Care	20%	20%	20%
Baby Care	13%	12%	12%
Hair Care	11%	11%	11%
Male Grooming	9%	9%	9%
Beauty Care	7%	7%	7%
Home Care	7%	7%	7%
Family Care	6%	7%	7%
Oral Care	6%	6%	6%
Feminine Care	6%	6%	6%
All Other	15%	15%	15%
Total	100%	100%	100%

The Company had net sales in the U.S. of $29.5 billion, $29.9 billion and $29.5 billion for the years ended June 30, 2012, 2011 and 2010, respectively. Assets in the U.S. totaled $68.0 billion and $70.3 billion as of June 30, 2012 and 2011, respectively. No other country's net sales or assets exceed 10% of the Company.

Our largest customer, Wal-Mart Stores, Inc. and its affiliates, accounted for 14%, 15% and 16% of consolidated net sales in 2012, 2011 and 2010, respectively.

Global Segment Results		Net Sales			Earnings  from Continuing Operations Before Income Taxes			Net Earnings from Continuing Operations			Depreciation and Amortization		Total Assets		Capital Expenditures
BEAUTY	2012	$	20,318		$	3,196		$	2,390		$	379	$	8,357	$	569
	2011	19,937			3,415			2,542			387		9,544		504
	2010	19,258			3,444			2,568			448		8,516		510
GROOMING	2012	8,339			2,395			1,807			623		24,518		392
	2011	8,245			2,375			1,775			645		24,866		373
	2010	7,864			2,211			1,621			680		24,568		283
HEALTH CARE	2012	12,421			2,718			1,826			353		7,501		496
	2011	12,033			2,720			1,796			359		7,796		409
	2010	11,493			2,809			1,860			385		7,142		383
FABRIC CARE AND HOME CARE	2012	27,254			4,645			2,915			679		11,419		1,036
	2011	26,536			4,867			3,109			633		12,060		950
	2010	25,570			5,405			3,547			643		10,411		817
BABY CARE AND FAMILY CARE	2012	16,493			3,351			2,123			586		7,535		1,250
	2011	15,606			3,181			1,978			549		7,184		912
	2010	14,736			3,270			2,049			612		6,406		852
CORPORATE(1)	2012	(1,145		)	(3,520		)	(1,744		)	584		72,914		221
	2011	(1,253		)	(1,561		)	498			265		76,904		158
	2010	(1,354		)	(2,271		)	(794		)	340		71,129		222
TOTAL COMPANY	2012	83,680			12,785			9,317			3,204		132,244		3,964
	2011	81,104			14,997			11,698			2,838		138,354		3,306
	2010	77,567			14,868			10,851			3,108		128,172		3,067

⁽¹⁾  The Corporate reportable segment includes the total assets and capital expenditures of the snacks business prior to its divestiture effective May 31, 2012.