L'Oréal 728579 225502495 2008-07-14T01:05:00Z Raine r pierre 1073760 /* Spokesmodels */ {{Refimprove|date=May 2008}} {{Infobox Company | company_name = L'Oréal | company_logo = [[Image:L'Oréal logo.svg|200px]] | company_type = [[S.A. (corporation)|Public]] ({{Euronext|OR}}) | foundation = 1909 | founder = [[Eugène Schueller]] | location_city = [[Clichy, Hauts-de-Seine|Clichy]] | location_country = [[France]] | key_people = Jean-Paul Agon <small>([[chief executive officer|CEO]])</small>, [[Lindsay Owen-Jones|Lindsay Owen-Jones]] <small>([[Chair (official)|Chairman]] of the [[board of directors|board]])</small>, [[Liliane Bettencourt]] <small>([[Non-executive director]] and major shareholder)</small> | industry = [[Cosmetics]] | products = | revenue = [[Euro|€]]17.06 [[1000000000 (number)|billion]] <small>(2007)</small><ref name="AR2007">{{cite web |url=http://www.lorealfinance.e-loreal.com/site/us/contenu/rapport/rapport2007/pdf/2007_Full_Annual_Report.pdf |title=Annual Report 2007 |accessdate=2008-07-12 |publisher=L'Oréal}}</ref> | operating_income = {{profit}} €2.827 billion <small>(2007)</small><ref name="AR2007" /> | net_income = {{profit}} €2.039 billion <small>(2007)</small><ref name="AR2007" /> | num_employees = 63,360 <small>(2007)</small><ref name="AR2007" /> | parent = | subsid = [[#Brands|See below]] | homepage = [http://www.loreal.fr www.loreal.fr] | intl = yes }} The '''L'Oréal Group''' is the world's largest [[cosmetics]] and [[beauty]] company and is headquartered in the [[Paris]] suburb of [[Clichy, Hauts-de-Seine|Clichy]], [[France]]. L'Oréal has developed activities in the field of cosmetics, concentrating on [[hair coloring|hair color]], [[skin]] care, [[sun protection]], [[make-up]], [[perfumes]] and [[hair]] care. L'Oréal is active in the [[dermatology|dermatological]] and [[pharmaceutical]] fields. L'Oréal is also the top [[nanotechnology]] patent-holder in the United States. L'Oréal is a listed company, but the founder's daughter [[Liliane Bettencourt]], who is one of the richest people in the world, and the Swiss food company [[Nestlé]] each control over a quarter of the shares and voting rights. == History == In [[1907]], [[Eugène Schueller]], a young [[french people|French]] [[chemist]], developed an innovative hair-color formula. He called his improved hair dye ''Auréole''. With that, the history of L’Oréal began. Eugène Schueller formulated and manufactured his own products, which he then sold to [[Paris]]ian hairdressers. In [[1909]], Schueller registered his company, the '''Société Française de Teintures Inoffensives pour Cheveux''' ("Safe Hair Dye Company of France"), the original L’Oréal. The guiding principles of the company that would become L’Oréal were put into place from the start: research and innovation in the interest of beauty. During the early twentieth century, Schueller provided financial support and held meetings for [[La Cagoule]] at L’Oréal headquarters. La Cagoule was a violent French [[fascist]]-leaning and anti-[[communist]] group. L'Oréal hired several members of the group as executives after [[World War II]]. In [[1920]], the small company employed three chemists. By [[1950]], the research teams were 100 strong; that number reached 1,000 by 1984 and is nearly 2,000 today. L’Oréal got its start in the hair-color business, but the company soon branched out into other cleansing and beauty products. L’Oréal now markets over 500 brands and many thousands of individual products in all sectors of the beauty business: hair color, permanents, styling aids, body and skin care, cleansers and fragrances. They are found in all distribution channels, from hair salons and perfumeries to hyper - and supermarkets, health/beauty outlets, pharmacies and direct mail. L’Oréal has five worldwide [[research and development]] centers: two in France: [[Aulnay-sous-Bois|Aulnay]] and [[Chevilly-Larue|Chevilly]]; one in the [[United States|U.S.]]: [[Clark, New Jersey|Clark]], [[New Jersey]]; one in [[Japan]]: [[Kawasaki, Kanagawa|Kawasaki]], [[Kanagawa Prefecture]]; and in [[2005]], one was established in [[People's Republic of China|China]], [[Shanghai]]. L’Oréal purchased Synthélabo in [[1973]] to pursue its ambitions in the pharmaceutical field. Synthélabo merged with [[Sanofi]] in [[1999]] to become [[Sanofi-Synthélabo]]. Sanofi-Synthélabo merged with [[Aventis]] in [[2004]] to become [[Sanofi-Aventis]]. On [[17 March]] [[2006]] L'Oréal made a [[Pound sterling|£]]652 million agreed takeover of ethical cosmetics company [[The Body Shop]]. The company has recently faced discrimination lawsuits in France related to the hiring of spokesmodels. In the UK L'Oreal has faced widespread condemnation from OFCOM regarding truth in their advertising and marketing campaigns concerning the product performance of their mascara brand. Multiple video parodies of their advertising campaigns have spoofed their products and can be viewed on You Tube - search L'Unreal for links to content. L'Oreals history has just been exposed in a bestseller by Monica Waitzfelder published in French as 'L’Oréal a pris ma maison' and English as 'L'Oreal stole my home'. The book details how L'Oreal, a notoriously anti-Semitic company historically, took over the Waitzfelder home in the German city of Karlsruhe (after the Nazis had engineered the removal of the family) to make it its German headquarters. Waitzfelder has run a life-long battle through the French courts to try to get compensation — the case is now to come before the European Court of Human Rights. L’Oréal's famous [[advertising slogan]] is "Because I’m worth it". It has recently been replaced by "Because you're worth it" . L’Oréal also owns a Hair and Body products line for kids called [[Loreal Kids]] There slogan is "Because we're worth it too!" which is very similar to that of its parent company L'Oréal still test new ingredients on animals, which has led to criticism from Naturewatch Compassionate Shopping[[http://www.naturewatch.org/shoppingguide/loreal_response.asp]]. 1400 new formulations have been registered in the last three years. Following L'Oréal's purchase of The Body Shop, who previously were against animal testing, The Body Shop founder Dame Anita Roddick was forced to defend herself against allegations of abandoning her principles over L'Oréal's track record on animal testing. As a result, calls were made for shoppers to boycott The Body Shop.<ref>[http://www.independent.co.uk/news/uk/this-britain/anitas-163652m-sellout-470379.html "Anita's £652m sell-out", The Independent] Published 18 March 2006. Accessed 8 May 2008.</ref> == Business == === Corporate governance === ==== Board of directors ==== Current members of the [[board of directors]] of L’Oréal are: Jean-Paul Agon, Francisco Basco, Werner Bauer, [[Liliane Bettencourt]], Françoise Bettencourt Meyers, [[Peter Brabeck-Letmathe]], Charles-Henri Filippi, Xavier Fontanet, Bernard Kasriel, Marc Lacharrière, Jean-Pierre Meyers, [[Lindsay Owen-Jones]], [[Franck Riboud]], Annette Roux and [[Louis Schweitzer (CEO)|Louis Schweitzer]]. ==== Management committee ==== The management committee includes: * Jean-Paul Agon, Chief Executive Officer * Laurent Attal, Chief Executive Officer, L’Oréal USA * Béatrice Dautresme, EVP of Corporate Communications * Jean-François Grollier, EVP of Research and Development * Christian Mulliez, [[vice president|EVP]] of Finances * Jean-Jacques Lebel, [[President]] of Consumer Products * Nicolas Hieronimus, President of Professional Products * Geoff Skingsley, EVP of Human Resources * Marc Menesguen, President of Luxury Products === Stockholders === As at year-end 2007:<ref name="AR2007" /> * Breakdown of share ownership: 30.0% by the [[Liliane Bettencourt|Bettencourt]] Family, 28.9% by [[Nestlé]], 3.7% treasury shares, and the remaining 37.4% are publicly traded. * Voting rights distribution: 31.2% to the Bettencourt Family, 30.0% to Nestlé, and 38.9% to the public. === Earnings === In [[2003]], L’Oréal announced its 19th consecutive year of double-digit growth. Its consolidated sales was €14.029 bn and net profit was €1.653 bn. 96.7% of sales derived from cosmetic activities and 2.5% from dermatological activities. L’Oréal has operations in over 130 countries, employing 50,500 people, 24% of which work in France. 3.3% of consolidated sales is invested in research and development, which accounts for 2,900 of its employees. In [[2003]], it applied for 515 patents. It operates 42 [[manufacturing]] plants throughout the world, which employ 14,000 people. * Cosmetics sales by division breakdown: 54.8% from consumer products at €7.506 bn, 25.1% from luxury products at €3.441 bn, 13.9% from professional products at €1.9 bn, and 5.5% from active cosmetics at €0.749 bn. * Cosmetic sales by geographic zone breakdown: 52.7% from [[Western Europe]] at €7.221 bn, 27.6% from [[North America]] at €3.784 bn, 19.7% from rest of the world at €2.699 bn. === Joint ventures and minority interests === L’Oréal holds 10.41% of the shares of [[Sanofi-Aventis]], the world's number 3 and Europe's number 1 pharmaceutical company. The '''Laboratoires Inneov''' is a [[joint venture]] in nutritional cosmetics between L’Oréal and Nestlé; they draw on L’Oréal's knowledge in the fields of [[nutrition]] and [[food safety]]. Galderma is another joint venture in dermatology between L'Oréal and Nestlé. === Community involvement & awards === In [[2007]], L’Oréal's Canadian division was named one of [[Canada's Top 100 Employers]], as published in [[Maclean's]] magazine, the only cosmetics manufacturing company to receive this honour.<ref>{{cite web|url=http://www.eluta.ca/einfo?en=L'Or%E9al+Canada+Inc.&ri=01c7e29b00765143356d9ab408206c1d&rk=cf53704cc356bed006aaab6ec72e916d|title=Reasons for Selection, 2007 Canada's Top 100 Employers}}</ref> ==Brands== Brands are categorized by their targeted markets, which are mass market, professional, luxury, and active. {{L'Oreal Brands}} == False claims in advertising and litigation for racial discrimination== In [[May 2007]], L'Oréal was one of several cosmetic manufacturers ordered by the [[Therapeutic Goods Administration]] in Australia to withdraw advertising regarding the wrinkle removal capabilities of their products.<ref>{{cite news|title=Wrinkle creams are a rip-off|url=http://www.news.com.au/entertainment/story/0,23663,21682971-36557,00.html|publisher=[[The Daily Telegraph (Australia)]]|date=[[2007-05-07]]|accessdate=2007-07-20}}</ref> In [[July 2007]], the Garnier division and an external employment agency were fined €30,000 for recruitment practices that excluded non-white women from promoting its shampoo, "Fructis Style".{{Fact|date=March 2008}} L'Oréal is reported as saying the decision was "incomprehensible"{{Fact|date=March 2008}}, and will challenge the measure in court.{{Fact|date=March 2008}} In [[July 2007]], the British [[Advertising Standards Authority]] rapped L'Oréal for a television advert on its “Telescopic” [[mascara]], featuring [[Penélope Cruz]], stating it will make your [[eyelash]]es 60% longer. In fact, it only made the lashes look 60% bigger, by separating and thickening at the roots and by thickening the tips of the lashes. They also failed to state that the model was wearing [[Eyelash extensions|false eyelash]]es. <ref>[http://www.asa.org.uk/asa/adjudications/Public/TF_ADJ_42910.htm L'Oréal (UK) Ltd<!-- Bot generated title -->]</ref> ==Spokesmodels== L'Oréal has hired hundreds of actors, actresses, models, singers, and sport figures for its TV commercials and print ads: {{div col |cols=5}} * [[Ben Affleck]] * [[Jessica Alba]] * [[Crystal Allen]] * [[Magali Amadei]] * [[Jennifer Aniston]] * [[Devon Aoki]] * [[Sónia Araújo]] * [[Ana Paula Arósio]] * [[Hanne Baekelandt]] * [[Laura Bailey]] * [[Ana Beatriz Barros]] * [[Michelle Behennah]] * [[Jessica Biel]] * [[Chermarn Boonyasak]] * [[Mariacarla Boscono]] * [[Shirley Bouganim]] * [[Pierce Brosnan]] * [[Carla Bruni]] * [[Ivona Bruun]] * [[Michelle Buswell]] * [[Inguna Butane]] * [[Laetitia Casta]] * [[Priyanka Chopra]] * [[Sarah Connor (singer)|Sarah Connor]] * [[Brenda Costa]] * [[Sonia Couling]] * [[Cindy Crawford]] * [[Penelope Cruz]] * [[Agbani Darego]] * [[Paula Devicq]] * [[Cintia Dicker]] * [[Waris Dirie]] * [[George Eads]] * [[Joy Enriquez]] * [[Linda Evangelista]] * [[Angie Everhart]] * [[Jane Fonda]] * [[Claire Forlani]] * [[Matthew Fox (actor)|Matthew Fox]] * [[David Ginola]] * [[Judith Godrèche]] * [[Daniella van Graas]] * [[Carla Gugino]] * [[Dayle Haddon]] * [[Jerry Hall]] * [[Shalom Harlow]] * [[Sami Hyypiä]] * [[Natalie Imbruglia]] * [[Scarlett Johansson]] * [[Milla Jovovich]] * [[Maya Karin]] * [[Diane Keaton]] * [[Melissa Keller]] * [[Nastassja Kinski]] * [[Beyoncé Knowles]] * [[Doutzen Kroes]] * [[Diane Kruger]] * [[Angélica Ksyvickis]] * [[Virginie Ledoyen]] * [[Noémie Lenoir]] * [[Gong Li]] * [[Heather Locklear]] * [[Eva Longoria Parker|Eva Longoria]] * [[Jennifer Lopez]] * [[Kelly Lynch]] * [[Andie MacDowell]] * [[Kate Moss]] * [[Bridget Moynahan]] * [[Rafael Nadal]] * [[Rachel Nichols (actress)|Rachel Nichols]] * [[Sarah O'Hare]] * [[Oluchi Onweagba]] * [[Camelia]] * [[Tatjana Patitz]] * [[Daniela Peštová]] * [[Aishwarya Rai Bachchan|Aishwarya Rai]] * [[Michelle Reis]] * [[Portia de Rossi]] * [[Claudia Schiffer]] * [[Michael Schumacher]] * [[Stephanie Seymour]] * [[Cybill Shepherd]] * [[Renee Simonsen]] * [[Spice Girls]] * [[Heather Stewart-Whyte]] * [[Heather Stohler]] * [[Helen Swedin]] * [[Fernanda Tavares]] * [[Krissy Taylor]] * [[Niki Taylor]] * [[Charlize Theron]] * [[Christy Turlington]] * [[Alina Vacariu]] * [[Amber Valletta]] * [[Patricia Velásquez]] * [[Natalia Vodianova]] * [[Manon von Gerkan]] * [[Kerry Washington]] * [[Vanessa L. Williams]] * [[Daniel Wu]] * [[Michelle Yeoh]] * [[Zhang Zilin]] * [[Inna Zobova]] {{div col end}} ==Notes== 1. Although [[Eva Longoria]] and [[Kerry Washington]] are of [[United States|American]] nationalities, they have both appeared together, in multiple adverts made by L'Oreal in the [[UK]] ==References== <div class="references-small"><references/></div> ==See also== * [[L'Oréal-UNESCO Awards for Women in Science]] ==External links == * [http://www.loreal.com/ L'Oreal company website] {{CAC 40 companies}} {{Cosmetics}} [[Category:Cosmetics companies of France]] [[Category:CAC 40]] [[Category:History of cosmetics]] [[Category:Multinational companies]] [[bg:Л'Ореал]] [[de:L’Oréal]] [[es:L'Oréal]] [[fr:L'Oréal]] [[id:L'Oréal]] [[it:L'Oréal]] [[nl:L'Oréal]] [[ja:ロレアル]] [[pl:L'Oréal]] [[pt:L'Oréal]] [[ro:L'Oréal]] [[ru:L'Oreal]] [[fi:L'Oréal]] [[sv:L'Oréal]] [[zh:歐萊雅]]