P&G is not leaving RI

I want to correct the wrong impression created by the headline of your article about Procter & Gamble (P&G) on May 14, 2003. P&G is not leaving Indonesia. We remain committed to the long-term growth and development of our business in Indonesia, as evidenced by our significant investments in new product introductions containing the latest world-class technologies. We will continue to operate our Jakarta head office and distribution center in Indonesia to make P&G products available to Indonesian consumers. I clearly stated these points during my interview with your paper.

I would also like to make the following clarifications: * Our Indonesia plant will close by around July 2004. Your article did not mention the year and therefore implied closure this year. We are making the announcement early to provide sufficient time for an orderly transition for our employees and partners affected by this move. * P&G Home Products Indonesia will continue to operate in Indonesia. It is not affected by this restructuring and we will continue to operate this company as normal for the foreseeable future. * Our Health Care manufacturing operations will continue to be in Indonesia and not centered in the Philippines as your article indicated. PT Darya Varia Laboratoria will take over the license and manufacture in Indonesia of P&G's Vicks line of products.

P&G is committed to building its long-term business in Indonesia by delivering high quality products which are competitively priced. This change will not affect the availability of P&G brands in Indonesia, and P&G will continue to operate its Jakarta business office and distribution center.

RAUL T. FALCON, President Director, PT Procter & Gamble Indonesia Tbk.,

Jakarta

Note: Thank you for your clarification.

--Editor