Procter & Gamble Presents at Barclays Global Consumer Staples Conference

Highlights Strong Results and Plan that is Working

Improvements in Portfolio, Cost and Productivity, Innovation, and
Organization and Culture are Driving Continued Growth and Shareholder
Value Creation

CINCINNATI–(BUSINESS WIRE)–The Procter & Gamble Company (NYSE:PG) today will highlight the strong
results and progress the Company is achieving through its winning
strategy at the Barclays Global Consumer Staples Conference.

David S. Taylor, Chairman of the Board, President and Chief Executive
Officer and Jon R. Moeller, Vice Chairman and Chief Financial Officer
will present today at 8:15 a.m. ET. A live audio webcast and replay is
available at www.pginvestor.com.

Additional materials regarding P&G Board and Management’s
recommendations for the 2017 Annual Meeting of Shareholders can be found
at http://voteblue.pg.com.

Highlights of the presentation will include:

  • P&G’s Plan is Working and Delivering Results: P&G delivered
    strong fiscal year 2017 results demonstrating the Company’s strategy
    and plan are working.

    • The Company met or exceeded its objectives despite slowing market
      growth and volatile currency and commodity environments around the
      world:

      • Achieved 2% organic sales growth— with gains driven by volume
        improvements, and accelerated organic sales growth by more
        than a percentage point in a market that decelerated by more
        than a percentage point.
      • Entered fiscal year 2017 targeting mid-single-digit core
        earnings per share growth, and exceeded this objective by
        delivering a 7% increase in core earnings per share versus
        last year, an 11% increase on a constant currency basis.
      • Achieved adjusted free cash flow productivity of 94%, against
        a 90% objective.
      • Strengthened product portfolio over the past two years. Today P&G
        competes in ten core categories with leadership brands that offer
        meaningful benefits to consumers:

        • Divested, discontinued or consolidated more than 100 brands –
          while at the same time building the Company’s market
          capitalization.
        • Executed a $10 billion cost and cash productivity program –
          and making meaningful headway on the next $10 billion cost
          savings program
        • Reduced total roles by 32% including divestitures.
        • Improved profit per employee by 45%.
        • Aligned P&G around one organizing principle – running the
          business by product category.
        • Created a culture of appropriate risk-taking, and aligned
          incentives at a greater level of granularity to better match
          responsibilities and to increase accountability.
        • Examples of noticeably superior product innovation include:

          • Tide PODS and Gain Flings which have driven 90% of U.S.
            laundry detergent category growth since they were introduced.
          • Always Radiant which is meeting the higher standard of
            excellence as P&G’s best performing feminine pad, driving
            market growth of the super premium segment to +7%.
          • Scent beads, including Unstopables, are the fastest growing
            segment in the Fabric Care category, and P&G’s scent bead
            offerings are growing over 30%.
          • Always #Likeagirl Advertising has been viewed over 550 million
            times, generated over 25 billion impressions and won over 240
            industry awards since initially aired during Super Bowl 2015.
          • e-Commerce sales are over $3 billion dollars – larger than our
            top two peer competitors combined.
          • P&G’s ability to deliver on its financial goals has translated
            into value for shareholders:

            • Since the CEO transition on November 1, 2015, the P&G team has
              delivered total shareholder return (“TSR”) of 28% through
              August 18, 2017 – well above the vast majority of peers
              selected by Trian Fund Management (“Trian”) throughout that
              same time period1.
            • Diverse team of Directors who bring a wealth of experience in
              running and transforming large global enterprises, as well as
              in other areas that are key to the Company’s long-term
              strategic priorities, like digital, ecommerce, and retail.
            • The Board regularly reviews the skills and abilities of its
              Directors to make sure that the Board is appropriately
              equipped to provide the necessary oversight to the Company.

            1 The peers selected by Trian in its July 17, 2017
            Introductory Presentation are as follows: Beiersdorf, Church & Dwight,
            Clorox, Colgate-Palmolive, Edgewell Personal Care, Henkel,
            Kimberly-Clark, L’Oreal, Reckitt Benckiser, Unilever. Source: Market
            data as of August 18, 2017. The TSR for “P&G Peers Per Trian” is a
            simple average, which follows the same methodology utilized by Trian in
            its measurement of the same peer constituency in its presentation filed
            with the SEC on July 17, 2017.

            The P&G Board of Directors and management team remind shareholders that
            they face an important decision regarding the future of their investment
            in P&G. Trian Fund Management, a New York hedge fund, has nominated
            Nelson Peltz to stand for election to the P&G Board at the Company’s
            upcoming Annual Meeting of Shareholders on October 10, 2017.
            Shareholders are being asked to choose between a Board and management
            team that are successfully executing a proven plan to build a better and
            more valuable company, and Mr. Peltz, who P&G believes would derail the
            work that is delivering returns to all P&G shareholders.

            P&G strongly recommends that shareholders vote to support the P&G Board
            by voting the BLUE Proxy Card “FOR” ALL P&G highly qualified
            Director nominees.

            About Procter & Gamble

            P&G serves consumers around the world with one of the strongest
            portfolios of trusted, quality, leadership brands, including Always®,
            Ambi Pur®, Ariel®, Bounty®, Charmin®, Crest®, Dawn®, Downy®, Fairy®,
            Febreze®, Gain®, Gillette®, Head & Shoulders®, Lenor®, Olay®, Oral-B®,
            Pampers®, Pantene®, SK-II®, Tide®, Vicks®, and Whisper®. The P&G
            community includes operations in approximately 70 countries worldwide.
            Please visit http://www.pg.com
            for the latest news and information about P&G and its brands.

            Forward-Looking Statements

            Certain statements in this release or presentation, other than purely
            historical information, including estimates, projections, statements
            relating to our business plans, objectives, and expected operating
            results, and the assumptions upon which those statements are based, are
            “forward-looking statements” within the meaning of the Private
            Securities Litigation Reform Act of 1995, Section 27A of the Securities
            Act of 1933 and Section 21E of the Securities Exchange Act of 1934.
            These forward-looking statements generally are identified by the words
            “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,”
            “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,”
            “would,” “will be,” “will continue,” “will likely result,” and similar
            expressions. Forward-looking statements are based on current
            expectations and assumptions, which are subject to risks and
            uncertainties that may cause results to differ materially from those
            expressed or implied in the forward-looking statements. We undertake no
            obligation to update or revise publicly any forward-looking statements,
            whether because of new information, future events or otherwise.

            Risks and uncertainties to which our forward-looking statements are
            subject include, without limitation: (1) the ability to successfully
            manage global financial risks, including foreign currency fluctuations,
            currency exchange or pricing controls and localized volatility; (2) the
            ability to successfully manage local, regional or global economic
            volatility, including reduced market growth rates, and to generate
            sufficient income and cash flow to allow the Company to affect the
            expected share repurchases and dividend payments; (3) the ability to
            manage disruptions in credit markets or changes to our credit rating;
            (4) the ability to maintain key manufacturing and supply arrangements
            (including execution of supply chain optimizations, and sole supplier
            and sole manufacturing plant arrangements) and to manage disruption of
            business due to factors outside of our control, such as natural
            disasters and acts of war or terrorism; (5) the ability to successfully
            manage cost fluctuations and pressures, including prices of commodity
            and raw materials, and costs of labor, transportation, energy, pension
            and healthcare; (6) the ability to stay on the leading edge of
            innovation, obtain necessary intellectual property protections and
            successfully respond to changing consumer habits and technological
            advances attained by, and patents granted to, competitors; (7) the
            ability to compete with our local and global competitors in new and
            existing sales channels, including by successfully responding to
            competitive factors such as prices, promotional incentives and trade
            terms for products; (8) the ability to manage and maintain key customer
            relationships; (9) the ability to protect our reputation and brand
            equity by successfully managing real or perceived issues, including
            concerns about safety, quality, ingredients, efficacy or similar matters
            that may arise; (10) the ability to successfully manage the financial,
            legal, reputational and operational risk associated with third party
            relationships, such as our suppliers, distributors, contractors and
            external business partners; (11) the ability to rely on and maintain key
            company and third party information technology systems, networks and
            services, and maintain the security and functionality of such systems,
            networks and services and the data contained therein; (12) the ability
            to successfully manage uncertainties related to changing political
            conditions (including the United Kingdom’s decision to leave the
            European Union) and potential implications such as exchange rate
            fluctuations and market contraction; (13) the ability to successfully
            manage regulatory and legal requirements and matters (including, without
            limitation, those laws and regulations involving product liability,
            intellectual property, antitrust, privacy, tax, environmental, and
            accounting and financial reporting) and to resolve pending matters
            within current estimates; (14) the ability to manage changes in
            applicable tax laws and regulations including maintaining our intended
            tax treatment of divestiture transactions; (15) the ability to
            successfully manage our ongoing acquisition, divestiture and joint
            venture activities, in each case to achieve the Company’s overall
            business strategy and financial objectives, without impacting the
            delivery of base business objectives; and (16) the ability to
            successfully achieve productivity improvements and cost savings and
            manage ongoing organizational changes, while successfully identifying,
            developing and retaining key employees, including in key growth markets
            where the availability of skilled or experienced employees may be
            limited. For additional information concerning factors that could cause
            actual results and events to differ materially from those projected
            herein, please refer to our most recent 10-K, 10-Q and 8-K reports.

            Important Additional Information and Where to Find It

            The Company has filed a definitive proxy statement on Schedule 14A and
            form of associated BLUE Proxy Card with the Securities and Exchange
            Commission (“SEC”) in connection with the solicitation of proxies for
            its 2017 Annual Meeting of Shareholders (the “Definitive Proxy
            Statement”). The Company, its directors and certain of its executive
            officers will be participants in the solicitation of proxies from
            shareholders in respect of the 2017 Annual Meeting. Information
            regarding the names of the Company’s directors and executive officers
            and their respective interests in the Company by security holdings or
            otherwise is set forth in the Definitive Proxy Statement. Details
            concerning the nominees of the Company’s Board of Directors for election
            at the 2017 Annual Meeting are included in the Definitive Proxy
            Statement. BEFORE MAKING ANY VOTING DECISION, INVESTORS AND SHAREHOLDERS
            OF THE COMPANY ARE URGED TO READ ALL RELEVANT DOCUMENTS FILED WITH OR
            FURNISHED TO THE SEC, INCLUDING THE COMPANY’S DEFINITIVE PROXY STATEMENT
            AND ANY SUPPLEMENTS THERETO AND ACCOMPANYING BLUE PROXY CARD, BECAUSE
            THEY WILL CONTAIN IMPORTANT INFORMATION. Shareholders may obtain a free
            copy of the Definitive Proxy Statement and other relevant documents that
            the Company files with the SEC from the SEC’s website at www.sec.gov
            or the Company’s website at http://www.pginvestor.com
            as soon as reasonably practicable after such materials are
            electronically filed with, or furnished to, the SEC.

            Non-GAAP Reconciliation

            This release contains certain non-GAAP measurements that management
            believes are meaningful to investors because they provide useful
            perspective on underlying business trends (i.e. trends excluding
            non-recurring or unusual items) and results, provide a supplemental
            measure of year-on-year results, and provide a view of our business
            results through the eyes of management. These measures are also a factor
            in determining senior management’s at-risk compensation. These non-GAAP
            measures are not intended to be considered in place of the related GAAP
            measure and may not be the same as similar measures used by other
            companies. This data should be read in conjunction with previously
            published company reports on Forms 10-K, 10-Q, and 8-K, which are
            available on www.PGInvestor.com
            under Financial Reporting. Reconciliations of non-GAAP measures to GAAP
            are provided below.

            The Core earnings measures included in the following reconciliation
            tables refer to the equivalent GAAP measures adjusted as applicable for
            the following items:

            • Incremental restructuring: The Company has had and continues to have
              an ongoing level of restructuring activities. Such activities have
              resulted in ongoing annual restructuring related charges of
              approximately $250 – $500 million before tax. Beginning in 2012
              Procter & Gamble began a $10 billion strategic productivity and cost
              savings initiative that includes incremental restructuring activities.
              In 2017, the company announced elements of an additional multi-year
              productivity and cost savings plan. These plans result in incremental
              restructuring charges to accelerate productivity efforts and cost
              savings. The adjustment to Core earnings includes only the
              restructuring costs above what we believe are the normal recurring
              level of restructuring costs.
            • Early debt extinguishment charges: During the three months ended
              December 31, 2016, the Company recorded a charge of $345 million after
              tax due to the early extinguishment of certain long-term debt. This
              charge represents the difference between the reacquisition price and
              the par value of the debt extinguished. Management does not view this
              charge as indicative of the Company’s operating performance or
              underlying business results.

            We do not view the above items to be part of our sustainable results,
            and their exclusion from core earnings measures provides a more
            comparable measure of year-on-year results.

            Organic sales growth: Organic sales growth
            is a non-GAAP measure of sales growth excluding the impacts of
            acquisitions, divestitures and foreign exchange from year-over-year
            comparisons.

            Core EPS and currency-neutral Core EPS:
            Core earnings per share, or Core EPS, is a measure of the Company’s
            diluted net earnings per share from continuing operations adjusted as
            indicated. Currency-neutral Core EPS is a measure of the Company’s Core
            EPS excluding the incremental current year impact of foreign exchange.

            Adjusted free cash flow: Adjusted free cash
            flow is defined as operating cash flow less capital spending and
            excluding tax payments related to the Beauty Brands divestiture, which
            are non-recurring and not considered indicative of underlying cash flow
            performance. Adjusted free cash flow represents the cash that the
            Company is able to generate after taking into account planned
            maintenance and asset expansion. Management views adjusted free cash
            flow as an important measure because it is one factor used in
            determining the amount of cash available for dividends and discretionary
            investment.

            Adjusted free cash flow productivity:
            Adjusted free cash flow productivity is defined as the ratio of adjusted
            free cash flow to net earnings excluding the loss on early debt
            extinguishment and gain on the sale of the Beauty Brands, which are
            non-recurring and not considered indicative of underlying earnings
            performance. Management views adjusted free cash flow productivity as a
            useful measure to help investors understand P&G’s ability to generate
            cash. Adjusted free cash flow productivity is used by management in
            making operating decisions, allocating financial resources and for
            budget planning purposes. The Company’s long-term target is to generate
            annual adjusted free cash flow productivity at or above 90 percent.

            Organic sales growth:

                             
                Foreign   Acquisition/   Organic
            Net Sales Exchange Divestiture Sales
            Total Company   Growth   Impact   Impact*   Growth
            FY 2017   -%   2%   -%   2%

            *Acquisition/Divestiture Impact includes mix impacts of acquired and
            divested businesses and rounding impacts necessary to reconcile net
            sales to organic sales.

            Core EPS and currency-neutral Core EPS:

                 
              Twelve Months Ended
            June 30
            2017   2016
            Diluted Net Earnings Per Share from Continuing Operations $3.69 $3.49
            Incremental Restructuring 0.10 0.18
            Early Debt Extinguishment Charges 0.13
            Rounding    
            Core EPS $3.92 $3.67
            Percentage change vs. prior period 7%
            Currency Impact to Earnings 0.15
            Currency-Neutral Core EPS $4.07
            Percentage change vs. prior period Core EPS   11%    

            Note – All reconciling items are presented net of tax. Tax effects are
            calculated consistent with the nature of the underlying transaction.

            Adjusted free cash flow (dollars in millions):

            Twelve Months Ended June 30, 2017
            Operating Cash   Capital   Free Cash   Cash Tax Payment –   Adjusted Free
            Flow   Spending   Flow   Beauty Sale   Cash Flow
            $12,753   $(3,384)   $9,369   $418   $9,787

            Adjusted free cash flow productivity (dollars in
            millions):

             
            Twelve Months Ended June 30, 2017

            Adjusted

                  Gain on    

            Adjusted

            Free

            Loss on Early

            Sale of

            Adjusted

            Free Cash

            Cash

            Net

            Debt

            Beauty

            Net

            Flow

            Flow

            Earnings

            Extinguishment

            Brands

            Earnings

            Productivity

            $9,787   $15,411   $345   $(5,335)   $10,421  

            94%

            Contacts

            P&G Media:
            Damon Jones, 513-983-0190
            jones.dd@pg.com
            or
            P&G
            Investor Relations:
            John Chevalier, 513-983-9974

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