Revlon announces narrowed quarterly loss
NEW YORK Beauty company Revlon narrowed its first-quarter loss and announced plans for a reverse stock split.
According to preliminary first-quarter results, net loss totaled about $5 million compared with a net loss of $35.2 million in the year-ago period thanks in part to cost improvements, and the non-recurrence of brand support related to the launch of Revlon Colorist hair color in the first quarter of last year.
Operating income totaled about $30 million compared with $3 million in the year-ago period, as adjusted EBITDA totaled about $55 million compared with $32.3 million in the year-ago period.
Also benefiting operating income, net loss and adjusted EBITDA was about $6 million in proceeds related to the sale of a non-core trademark, and the non-recurrence of brand support related to the launch of Revlon Colorist hair color in the first quarter of last year.
Net sales totaled $320 million compared with $328.6 million in the year-ago period.
In addition, the company’s board of directors approved a reverse stock split of Revlon’s Class A and Class B common stock as a 1-for-10 split ratio.
“We believe that a reverse stock split is in the best interest of our stockholders because we expect it will allow our stock to be more attractive to a broader range of institutional and other investors, would reduce certain of our costs, such as listing fees, and would be intended to satisfy our compliance with the NYSE’s price criteria for continued listing,” stated Revlon president and chief executive officer David Kennedy.
J&J partners with Glam Media on Melt Away Stress site
SKILLMAN, N.J. Johnson & Johnson Consumer Products Co. is promoting its Melt Away Stress line of skin care products through a new online campaign and microsite.
The site, located at www.JohnsonsForYou.com/Escape, features a user-generated content contest, Jamaica getaway sweepstakes, expert and celebrity videos, and an embeddable quiz widget. Consumers will also have access to an exclusive free trial coupon for the Melt Away Stress products.
Johnson’s has partnered with Glam Media’s media network to distribute the site’s content and promote it to consumers through a custom integrated program. In addition, the company has tapped New York-based interactive marketing agency Deep Focus to develop the creative content and applications for the campaign.
Johnson’s also is supporting the line with traditional advertising in such publications as Allure, Glamour and InStyle.
TAG partners with Island Def Jam on new hip-hop label
NEW YORK Procter & Gamble’s TAG brand has partnered with Island Def Jam Music Group to form a new hip-hop record label, TAG Records as part of TAG brand’s initiative to cultivate relationships with the urban community.
Hip-hop mogul Jermaine Dupri will lead the new label, acting as president of the New York-based venture. Dupri will set the creative vision for the label and will play an integral part in identifying and developing musical talent.
The first artist will be officially announced in May. In addition to an album release, the TAG brand will showcase TAG Record’s artist and Dupri across various TAG brand advertising and marketing initiatives throughout 2008.
“We’re very excited about our partnership with IDJ and the broad platform it provides for creating artistic opportunities within the urban community,” stated Alex Keith, general manager of P&G Deodorants. “We’re confident the partnership will make a positive impact and bring opportunities to undiscovered urban creativity and vision.”