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Estée Lauder Purchases

November 14, 2005

The Estée Lauder Companies Inc., New York, has acquired the Rodan & Fields skin care line launched in 2002 by Stanford University-trained dermatologists Katie Rodan, MD, and Kathy Fields, MD. Terms of the deal were not disclosed.
The brand will become part of The Estée Lauder Companies’ specialty brands portfolio, which is led by Dan Brestle, group president. Dr. Rodan and Dr. Fields will remain with the company as co-presidents.
“Our acquisition of Rodan & Fields is very timely,” said Fred H. Langhammer, president and chief executive officer of The Estée Lauder Cos. “Dr. Rodan and Dr. Fields are two highly respected dermatologists who have done an extraordinary job developing and positioning their line. We look forward to a productive and profitable long-term relationship that benefits from their experience as doctors and their understanding of how to apply their clinical knowledge to consumer needs at the counter.”
Executives said consumers today have enormous respect for knowledge and expertise, and the product line merges the best of medical care with the cachet of prestige beauty. The existing Rodan & Fields line offers solutions for specific skin problems, targeting them with individually packaged, dedicated regimens trademarked as Multi-Med Therapy. Each color-coded regimen combines over-the-counter medications in a series of specific, step-by-step products that address each aspect of a particular skin condition.
Each regimen kit contains a 60-day supply. The 18-SKU line is currently sold in three U.S. doors and over the internet at www.rodanandfields.com. l
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