J.W. Childs/Sunny Delight & Punica

J.W. Childs Associates, L.P. Will Purchase P&G's Sunny D and Punica Brands*

CINCINNATI, OH, April 1, 2004 – The Procter & Gamble Company (NYSE:PG) announced today it is selling the Sunny Delight and Punica juice-based drink businesses to J.W. Childs Associates, L.P., a Boston-based private equity firm.  J.W. Childs Associates, L.P. will operate Sundor Brands, Inc. under the name of the Sunny Delight Beverages Company as a freestanding company to house these businesses, which will be headquartered in Cincinnati.  Terms of the transaction were not disclosed.

      The Sunny Delight Beverages Company will have more than $550 million in annual sales, operate in eight countries across North America and Europe, own or lease six manufacturing facilities and have approximately 700 employees. Ray Rudy, an operating partner of J.W. Childs Associates, L.P., will be the Chairman of the company and William B. Cyr, currently the vice president/general manager of P&G's North America juice-based drink business, will become the President & CEO. Several other P&G managers will join the new company.

      "This is a perfect arrangement for several reasons," commented P&G's President of Global Snacks & Beverages Jorge Montoya.  "First, J.W. Childs Associates, L.P. has demonstrated the ability to grow midsize businesses to the next level.  Second, this transaction enables the vast majority of our employees currently in the juice-based drink businesses to have continued employment.  Finally, this fits with our intent to sell these businesses to an owner that has beverages as a strategic priority, and it will allow us to focus on growing our key billion-dollar Folgers and Pringles brands."

      John W. Childs, founding partner of J.W. Childs Associates, L.P., commented, "We're extremely happy to be acquiring two leading juice-based drink brands in Sunny D and Punica.  Both brands are growing, with good advertising, strong future prospects, and a fantastic organization.  We're obviously impressed with the caliber of the people and the quality of the manufacturing facilities we'll be inheriting."

      As part of this transaction, P&G has agreed to provide transition services for up to 12 months to allow for a smooth transition, and enable the business to continue on its current growth trend without any major disruptions.  During this period, P&G will continue its current commercial relationship with its customers.

      Pending regulatory approval, closing of the transaction is expected in the July-September quarter of 2004.  Therefore, this transaction will have no impact on P&G earnings per share in the current fiscal year, and the impact on fiscal year 2005 earnings per share is not expected to be material as the gain from the divestiture is expected to be reduced by the loss of contribution from the business.  There will, however, be quarterly impacts related to this transaction throughout the next fiscal year as the divestiture is completed, the remaining organization is right-sized, and the transition service is managed. P&G will provide additional perspective on these quarterly impacts in the summer of 2004 after the deal has closed and when guidance for the 2004/05 fiscal year can be provided.

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ABOUT SUNNY D AND PUNICA

      Originally created in Florida in 1964, Sunny D is a leading brand in the US, Canada, Spain, Portugal, United Kingdom and France.  Since acquiring Sunny D in 1989, P&G has more than quadrupled the sales of the brand through geographic expansion, new flavors and packages, and effective marketing.  The brand's line-up includes Tangy Florida Style, Smooth California Style, Tropical Punch Caribbean, a calcium fortified version, no added sugar variants, Lemonade and a variety of sizes, including the fast selling 333ml Big D sports bottle.

      Punica is a leading brand sold primarily in Germany.  Since acquiring Punica in 1984, P&G has more than tripled the sales of the brand through several innovations, including the launch of Schorle and Tea and Fruit flavors, and PET packaging forms.

ABOUT P&G

      Two billion times a day, P&G brands touch the lives of people around the world.  The company has one of the largest and strongest portfolios of trusted, quality brands, including Pampers, Tide, Ariel, Always, Whisper, Pantene, Bounty, Pringles, Folgers, Charmin, Downy, Lenor, Iams, Crest, Actonel, Olay and Clairol Nice 'n Easy.  The P&G community consists of nearly 98,000 employees working in almost 80 countries worldwide.  Please visit http://www.pg.com/ for the latest news and in-depth information about P&G and its brands.

ABOUT J.W. CHILDS ASSOCIATES, L.P.

      J.W. Childs Associates, L.P. is a private equity investment firm based in Boston specializing in leveraged buyouts and recapitalizations of middle-market growth companies in partnership with management.  The firm is focused on acquiring companies in the consumer products, health care and specialty retail industries.  Since 1995, J.W. Childs Associates, L.P. managed investment vehicles have invested in 27 companies with a total transaction value of over $6.5 billion.  Current portfolio companies include American Safety Razor, Esselte, Hartz Mountain Corporation, The Meow Mix Company, The Nutrasweet Company and Pinnacle Foods.

* Compass Advisers acted as financial advisor to J.W. Childs Associates, L.P.