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In Brief: Avon

This article was originally published in The Rose Sheet

Executive Summary

Avon: Fourth quarter earnings are expected to be "negatively affected by results in several markets," including Brazil, the U.S., China and Japan, Avon announced Nov. 17. The company is "on track," however, with year-end sales and earnings estimates, the direct marketer said. In the U.S., results for the quarter will be "below earlier expectations," while "further weakness" in Japan, coupled with "tougher regulatory requirements" for direct marketers in China, "slowed sales growth" in the Asia-Pacific region, Avon said. In addition, "aggressive" marketing programs in Brazil are not "generating the expected sales increase in the quarter," partly due to "consumer reaction to growing economic concerns"...
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