The Estee Lauder Companies Inc. 2008 Annual Report

Bumble and bumble salon in the
NYC Meatpacking District.

SALONS, SPAS AND PHARMACIES
Prestige salons remain an important showcase for our hair care products, lending credibility and authority to our brands. Aveda and Bumble and bumble excel with salon-based hair care professionals. We also provide extensive training to salon professionals, helping to make their salons-and our brands-even more successful. In 2007 more than half of the 200 fastest-growing salons in the United States were part of the Aveda network of salons.

Our Darphin brand was an early champion of the spa experience. Darphin products can now be found in more than 1,200 day spas globally, in the United States, United Kingdom, Korea and Mexico.

We are also increasing our brands' penetration in European pharmacies, which have long been a resource for beauty products. Origins opened in more than 150 pharmacies in Europe, including 75 in France. With new modes of distribution, our commitment to "Bringing the Best to Everyone We Touch" takes on new meaning. We have more ways than ever to "touch" consumers-delivering quality products, and highly personalized shopping and service.