Procter & Gamble is about to shrink, according to the Associated Press.The world's largest consumer products maker said it will jettison more than half its brands around the globe over the next year or two, leaving it with about 70 to 80 of its top performers when the nips and tucks are complete. The maker of CoverGirl, Pampers and Tide declined to specify what exactly it will shed but noted they're smaller brands that collectively account for less than 10 percent of sales.
CEO A.G. Lafley said Procter & Gamble should have made the move long ago.
"In an ideal world, we would've done this at the depth of the financial crisis, in the recession," Lafley said Friday during a conference call with analysts and investors. "Having said that, I don't see any reason to wait. I don't see any virtue in waiting another minute."
P&G had already been slimming down in recent years, having sold off food brands such as Jif peanut butter, Folgers coffee and Pringles chips. More recently, it moved to get out of the edible business entirely by selling off Iams pet food to Mars Inc. Now it's focusing on culling its consumer products, which has mushroomed over the years to include beauty products, detergent, paper towels and razors.
