FOR IMMEDIATE RELEASE

                PROCTER & GAMBLE FINALIZES ACQUISITION OF CLAIROL
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            P&G READY TO MOVE FORWARD WITH INTEGRATION OF HAIR CARE,
                     HAIR COLOR AND PERSONAL CARE BUSINESS


         CINCINNATI, Nov.16, 2001 - The Procter & Gamble Company (NYSE: PG)
today announced that it has finalized the acquisition of Clairol and will begin
integrating Clairol's $1.6 billion hair care, hair color and personal care
business into the P&G beauty business. Regulatory agencies around the world
cleared the way for P&G to officially close the $4.95 billion transaction with
Clairol's former parent company Bristol-Myers Squibb.

         P&G President and Chief Executive A.G. Lafley visited Clairol's
Stamford, CT headquarters today to welcome Clairol employees to the P&G beauty
family. "This is an enormously important step for P&G, for consumers and
customers of our brands, for our employees, and for our shareholders," said
Lafley. "Clairol brings P&G into the fast-growing business of hair colorants and
positions us for accelerated growth across our entire hair care category. With
the acquisition of Clairol, we now have a presence in all major segments of the
beauty market."

COMBINING TWO ORGANIZATIONS
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         P&G's Rob Matteucci, who has led the Clairol transition efforts over
the past several months, will become vice-president, global color/professional
products. Addressing Clairol employees in Stamford today, Matteucci said, "We
recognize the tremendous knowledge and experience of the Clairol organization,
and are eager to fully assess the current capabilities as well as opportunities
for future growth and synergy. We will spend the next 90 days seeking to better
understand the opportunities, and will announce future plans as decisions are
made."

PLANS FOR MOVING FORWARD
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         Clairol will become part of P&G's Global Beauty Care business unit. The
hair color and professional products businesses will be based in Stamford, CT.
After a transition period where the company expects to learn more about the
operations, P&G plans to integrate Clairol's Hair Care and Personal Care
operations with its current beauty businesses, drawing from the combined pool of
Clairol and P&G resources. The company will maintain global Clairol/color and
Herbal Essences franchise teams in Stamford. Plans for manufacturing sites,
sourcing, staffing, and Clairol offices outside the U.S. will be determined over
the next 90 days. P&G plans to step up marketing investment and work to
re-instate Clairol as a leader in the professional salon industry. The company
will explore expansion of the Clairol brands into new geographies and look for
ways to bring new technologies to these brands.

THE PROCTER & GAMBLE COMPANY
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         P&G markets approximately 250 brands and employs nearly 106,000 people
in more than 80 countries worldwide. P&G's beauty business had approximately
$7.3 Billion in global sales in 2000/01, making it one of the world's largest
beauty companies. Its beauty brands include Pantene(R), Olay(R), SK-II(R), Max
Factor(R), Cover Girl(R), Giorgio(R), and Hugo Boss(R) among others. For more
information about P&G, please visit our website at www.pg.com.


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Contact:
Maria Burquest, P&G                         Linda Ulrey, P&G
513-945-8152                                513-983-8975