Henkel Reaffirms 2013 Guidance Following Strong Q1

Posted: May 8, 2013

Reporting strong earnings growth for first quarter 2013, Henkel reconfirmed its 2013 guidance figures and announced Q1 2013 results. Sales rose 0.6% to €4.033 billion, an organic increase of 2.5%, and adjusted operating profit was up 8.9% to €600 million. The company also recorded strong sales growth in emerging markets, with organic growth increasing 8.2%.

“We increased both sales and earnings in the first quarter of 2013 despite a challenging market environment with declining markets in Western Europe and weak global industrial demand,” said Henkel CEO Kasper Rorsted. “Both laundry and home care and beauty care outperformed their relevant markets while our adhesives business was affected by weaker than expected demand from industrial customers. Nevertheless, we were able to substantially improve the profitability of all our business sectors.”

Commenting on fiscal year 2013, Rorsted said, “We expect the global economic environment to remain difficult. However, we anticipate industrial demand to improve during the second half of the year. Given the challenges in our global market environment, we will continue to further simplify and accelerate our processes in order to increase our flexibility and efficiency.”

Rorsted also confirmed Henkel’s previously stated outlook for fiscal 2013, saying, “We expect organic sales growth for the full fiscal year to be between 3–5%. We expect our adjusted EBIT margin to increase to around 14.5% and adjusted earnings per preferred share to grow by about 10%.”

Specifically for the beauty care business sector, Henkel achieved solid organic sales growth amounting to 4%.

Net income for the quarter rose by 8.9% from €370 million to €403 million. After deducting €10 million attributable to non-controlling interests, quarterly net income amounted to €393 million (prior-year quarter: € 361 million).

 

Henkel’s full first quarter 2013 financial can be viewed here.



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Murad Announces New Corporate Headquarters

Posted: May 8, 2013

Skin care brand Murad signed a new 12-year lease and announced its plan to relocate its corporate office to accommodate the company’s exponential growth and future expansion. Having outgrown its current location, Murad has committed to a $35 million investment that will result in a new, 45,000-square-foot global headquarters in El Segundo, California, just two blocks from the company’s current location.

“We are excited to have signed the lease to our new custom-designed office space where we will be able to meet the needs of our growth plans as well as honor our commitment to provide our valued employees with a spectacular, creative work environment, which is being designed to fit our specific requirements,” said Richard Murad, general manager of Murad, Inc. “This is a testament to our confidence in the company, our brand and our dedication to continue to innovate and exceed the expectations of our customers.”

The Murad Flagship Spa will remain in its current location; however, the entire 7,000-square-foot space will be upgraded to accommodate a fitness/yoga center and incorporate an update to its treatment rooms and retail section. Additionally, the new Murad Inclusive Health Spa will expand its service offerings to meet the increasing customer requests, including those in line with Dr. Murad’s Inclusive Health philosophy.

“Murad’s new global headquarters relocation is a bold step that significantly increases their local visibility and anchors the transformation of buildings along Park Place in El Segundo,” commented David Kluth, executive managing director of Newmark Grubb Knight Frank. “When completed, Murad’s recognizable brand will be a focal point of the Rosecrans Corridor and an inspiration for further innovative redevelopment of nearby properties. This is a fantastic solution for Murad’s world-class operations to continue thriving in a totally new environment.”

Murad will move to the new location at 2121 Park Place in El Segundo, California, sometime in early 2014.



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A Look to Luxe Pack New York, Tottles, and More Beauty Packaging News for Early May 2013

Posted: May 7, 2013

Adam Levine fragrance bottles on a blue background

The pack for the new Adam Levine fragrance from Gerresheimer


Gerresheimer is showcasing its latest glass and plastic cosmetic packaging designs at Luxe Pack New York. The Adam Levine bottle designed by Gerresheimer will be highlighted, featuring both the 50 and 100 ml bottles with their unpretentious design. The women’s bottle has a straight, slim and rectangular form and is printed in two colors, and the bottle for the men’s fragrance is very similar, except that it is more compact in shape. With their silver mesh caps, both bear a striking resemblance to a microphone.

Cosmetic Solutions LLC and LF of America Corp. announced the creation of a strategic alliance to expand the presence and services of both companies providing capabilities in the industry. The alliance will showcase efforts to bring new and innovative services to light, including the centralization of production, packaging, specialized filling and container distribution into the private label branding service and OEM contract manufacturing.

DieterBakic has debuted an optimized online catalog to display is available packaging options. It includes new products, a new browse and search functionality, a high-quality picture gallery and much more.

The Global Packaging Alliance (GPA) recently held its annual meeting in São Paolo, Brazil, providing a forum for its partners to review packaging industry and global market trends. The group also discussed ways to further support international brands with enhanced packaging solutions that align with their sustainability goals. Representatives from each company (Diamond Packaging, rlc | packaging group, Colorpak Limited, Gonçalves SA Indústria Gráfica, Polygrafoformlenie – Flexo, Yau Bon Offset Printing, Masterpack and Kumar Printers) shared the latest developments in their packaging operations, including equipment investments, value-added processes, green initiatives, and operating data for benchmarking. Members also provided commentary on current economic conditions in their respective countries, and the impact of the economy on packaging markets.

Toly is showcasing its products at Luxe Pack New York, including its compacts, mascaras, lip glosses, skin care, fragrance and promotional packs. A highlight is Toly’s range of cardboard and printed paper options, which has been extended to the U.S. following the set up of the company’s new Toly Deluxe division and Toly’s alliance with Hung Hing Printing Group. The company will also display its new Intense mascara brush, which helps ensure lashes follow their natural orientation. Through the disposition of the bristles and the use of two kinds of fibers, the brush volumizes central lashes and combs them straight while lateral lashes are also volumized but combed toward the side.

Paper manufacturer Favini is underlining its commitment to protecting the environment by renewing its support for a community based project in Madagascar. The company is working to help improve the quality of life for the community of Sahavondronina by teaching more innovative farming techniques that make it possible to respect the local ecosystem while helping to develop a more ecological tourism industry.

People News

Renzo Sparavier joined The Matlet Group as director of strategic accounts. With 20-plus years of sales success in the printing and packaging industry, he brings a large amount of knowledge and experience working with Fortune 500 clients to the new position and will be based in Cincinnati.

New Launches

Anisa International is set to offer a variety of new patent-pending brush technologies at Luxe Pack New York, along with the launch of Isotonic Face. The Isotonic Face offers cutting-edge convenience using a magnetic patent-pending design for a streamlined cylinder that houses two precision shapes—angled for cheekbones and domed for powder foundation. Other brushes to be showcased at Luxe Pack New York include the Glider Collection, including the debut of the Retractable Glider. The patent-pending brush head is designed with a unique blend of fibers and curved to fit the face’s natural contours for a more precise and lasting application, and the Retractable Glider helps create statement lip looks.

Pacific Packaging Components launched a unique bottle that allows consumers to utilize every last remaining drop of its contents. A patented reservoir is built into the heavy weighted glass bottle allowing the bulb dropper to reach and distribute every final drop. The bottles are currently available in 30 ml with two designs—rounded square glass or rounded cylinder that may be frosted, sprayed, or metallized to obtain a cohesive look for your line. Decoration options include silk screen, hot stamp, off-set printing or label, and the high-end bulb dropper is available with a glass pipette and over shell collar that may be customized in shiny, matte or injection- molded colors.

Tottles from Quadpack are helping to create a longer shelf life for beauty products. A layered composition can protect the formula inside while the inherent bounce-back flexibility means every last drop can be squeezed out, an important selling point in today’s marketplace. The tottles can be single-layered PE or multi-layered to include a sheath of EVOH (ethyl vinyl alcohol copolymer), providing a powerful barrier against oxygen and other exterior elements. Quadpack’s tottle collections come in a variety of capacities, from travel-friendly 5 ml up to 180 ml, and shape, from curved edges to elegant elongated silhouettes. Each model can be customized using a host of decoration options, providing an ideal concept for high-performance formulas such as sunscreens, hair conditioners, body lotions, face creams and foundations.

SeaCliff Beauty Packaging Laboratories introduced a cosmetic compact with interchangeable inserts for a customized product choice. The compact has two different insert sizes available that can be arranged to create different layout options for the brand or for consumer preferences. The cosmetic compact is made out of ABS material and can be injection molded, custom color sprayed or metallized. Decoration options include silkscreen and hot stamp printing, and it includes a full mirror located inside of the compact. SeaCliff Beauty Packaging Laboratories also debuted a pocket-sized, slim dispensing component for daily use. The mini pocket component features a unique pump dispenser and snap overcap that is flushed with the bottle to maintain its slim design. The reusable bottle can be unscrewed from the pump and refilled for continuous use, and it works well for cosmetic formulas such as foundations, primers and BB creams, as well as skin care solutions like moisturizers, hand creams and sunscreen.

New on the Shelves

Aptar Beauty + Home provided the closure for the new Coppertone Tattoo Guard Lotion SPF 50 Sunscreen, which uses a 2 oz. tube with a black 1-1/2″ Gloss Classic Tube Top Closure. Additionally, the new Aveeno Active Naturals Men’s Face Wash, Shave Gel and After Shave Lotion also use Aptar closures—the 2-inch Frost Ultra Classic Tube Top closure for the face wash, the 1 ½-inch Frost Classic Tube Top closure for the after shave lotion, and a Bag-On-Valve system and the Optimum gel spout for the shave gel. And the Oxy Daily Defense Facial Cleanser’s pack is topped by the GS Dispensing Pump from Aptar Beauty + Home, while the new Axe Spiked Up Look Extreme Hold Spray has a two-color Moritz Twist-To-Lock aerosol accessory.

L’Oréal’s Maybelline brand selected Mega Airless dispensers for its just-launched, swirl-fill Instant Age Rewind The Lifter Lifting Makeup with Primer Inside. The Mega Airless Micro round neutral pump was used, as its design does not intrude into the container, thus retaining the integrity of the swirl during use. The 100% plastic, neutral, airless dispensers protect such skin care formulations that use active ingredients, as Instant Age Rewind combines a lifting makeup and primer. Its spiral, or “swirl,” form ensures simultaneous delivery of the two formulae and is initially available in 12 shades.

Taking into account the trend of consumers keeping packaging as a keepsake, Cosfibel Premium created a vanity case for the Garden collection from the Gucci Flora line. The vanity case offers elegant design and attention to detail. Made of white PU, it is hemmed in ottoman black ribbon on its top and base, and it opens thanks to a zipper sporting a waxed cotton knot for a puller and decorated with a flat metal bead at each end. Launching in June, the vanity case will be offered with the purchase of the Garden collection in Gucci’s Flora line.

Suncare specialists Supergoop! chose HCT Group’s multi-patented cooling tip technology for its newest product, Advanced SPF 37 Anti-Aging Eye Cream. HCT’s Zamac tip complements Supergoop’s formulation, providing a soothing and refreshing sensation to the delicate eye area. The cool tip applicator glides smoothly around the eye and helps minimize the look of under-eye puffiness.

Pochet du Courval, the bottle-making unit of the Pochet group, works to develop unique bottles for fine fragrance products, including a bottle in which the perfumer is in suspension, underlined by a crystal smile, for La Vie Est Belle. The package for Jour d’Hermès captures an optical mirage with reverse silk screen printing that fades out and reflects from all sides, and a similar style is illuminated by a perfect ellipse for the Una de Natura bottle. These three creations embrace bold luxury codes and create a sensation of optical lightness and total equilibrium. They are the result of Pochet du Courval’s centuries of experience and know-how, as the control of internal distribution goes so far as to determine the shape, becoming part of the bottle’s aesthetics in its own right.

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Interactive Runway Showcases Maybelline Products

Posted: May 7, 2013

Interactive TV solutions provider BrightLine is working with Maybelline New York to launch a flagship collaborative experience amplifying NBC’s Fashion Star and showcasing Maybelline New York products and makeup artist tutorials straight from the Fashion Star runway. The interactive experience allows viewers to go behind-the-scenes with celebrity makeup artist Julianne Kaye for runway secrets and how-to beauty videos from this season’s winning makeup looks.

Features include:

  • Hit the Runway: Viewers spotlight Maybelline New York’s featured products to reveal beauty details and are encouraged to click to “love” their favorites.
  • Makeup Grab Bag: In this arcade-style game, viewers are challenged to collect only the products used in the featured look of the week in their makeup case before time runs out.
  • Get Glamorous: Viewers input a level of difficulty, mood and occasion and are paired with a custom look and the steps to make it come to life with Maybelline New York products. Viewers are also invited to text in to receive the featured product list via mobile phone, making shopping a seamless extension of the interactive experience.
  • Enter the Sweeps: Viewers cast a bid for their favorite Fashion Star beauty look, and are entered for a chance to win a fully stocked Maybelline New York makeup kit.

“Reaching our core consumers through innovative and engaging media is vital in continuing the authenticity of the Maybelline brand. Together with BrightLine, we have carried this engagement into the interactive television space, inspiring fans to enter into a two-way dialogue with our brand,” said Karen Mlynarczyk, VP, media and integrated marketing, Maybelline New York.

The Maybelline interactive destination is live through May 13, 2013 on Dish Network channel 94 and DirecTV channel 111, coinciding with the conclusion of Fashion Star’s second season. New content will be added regularly to offer audiences the latest from the runway. BrightLine is committed to assisting Maybelline New York in creating the premiere destination for fashion forward beauty. “BrightLine is thrilled to assist Maybelline New York reach a broader engaged TV audience with tested and proven interactive television advertising solutions,” said Robert Aksman, Founder, CXO, BrightLine.



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NPD Group Looks Inside the Nail Care Boom

Posted: May 7, 2013

According to global information provider The NPD Group’s March 2013 Nail Care and Polish Consumer Report, more than half of women, age 18+, have purchased nail products for at-home use or professional nail services in the past year.

“The appeal, and power of the nail category is both the permission to play, and the accessibility in price,” said Karen Grant, vice president and global industry analyst, The NPD Group. “Even for those on a tight budget, nail products offer a relatively guilt free treat, with the power to change their options.”

According to The NPD Group, the top five nail polish brands applied at home are Sally Hansen, OPI, Revlon, Wet N’ Wild and Cover Girl, while the top five nail polish brands applied at a salon are OPI, China Glaze, Essie, Spa Ritual and LeChat.

Color is the main factor influencing consumer purchases, with more than 60% of nail product/service buyers reporting that as long as they get the color they want, they do not pay attention to the brand. In general, the preference goes to brighter and neutral/natural shades, with pink/mauve, clear, and red coming out as the top color choices. With 6 in 10 women indicating that they want to try new nail care products, at-home experimentation is being expressed through nail polishes that have special effects, such as glitter, crackle, and shimmer.

”Nail care is an important part of today’s beauty ritual, but some preferences differ between the at-home crowd and the salon-goers. As women shift between these nail care options, it will be interesting to see if their preferences change as well,” said Grant.

In the past year, women spent an average of $204 for salon services, which is almost six times more than what they spent on at-home products. Women age 55 and over spent the most on professional nail services in the past year.

Professional nail service purchasers are predominantly sticking with the basics, more likely to experiment with gel polish than things like nail art (24% vs. 12% respectively). In fact, women are about three times more likely to purchase a professional gel manicure than they are to buy gel polish for use at home.

Seventy percent of women do not agree with the idea that nail care products offered in salons are better than at-home nail products. “So, why do women continue to go to salons? They are winning on look and luxury—it’s the feeling of being pampered, and the end result that attracts today’s nail care consumer, feeling their nails look better, or ‘more polished’, and last longer,” said Grant.

For those that have opted for either more frequent at-home nail care, or less frequent salon visits, financial reasons, including the desire to save money, were the most likely cited factor. “This dynamic, and do-it-yourself trend, helps position the nail care category quite well to continue growing even in times of economic uncertainty,” added Grant.

“Whether the woman opts to do it herself or go the salon route, nail care has an option to appeal to every age of woman. Getting a pulse check on the nail consumer is so very important right now. At this moment in time, nail is still a blue sky-white canvas opportunity. We are just scratching the surface,” ended Grant.

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Cosmoprof North America Reveals 2013 Discover Beauty Lineup

Posted: May 7, 2013

The Discover Beauty program, an exclusive initiative of Cosmoprof North America (CPNA), returns for its seventh year of matching retailers with emerging beauty brands in 2013. Companies from all over the world must be approved to participate in Discover Beauty, ensuring an exclusive array of unique, cutting-edge brands that are sure to be the next big thing. For these brands, CPNA show organizers arrange pre-scheduled sales meetings and events with important retailers; however, the area is open to all attendees throughout the thre-day event.

CPNA is proud to announce the Discover Beauty lineup for 2013:

  • African Botanics is a luxury beauty brand from South Africa, and one of the first to offer a curated collection of pure, powerful indigenous South African botanicals merged with fair trade and wild-harvested marula oil. Its marula collection is like a modern day skin care miracle with potent antioxidants, omegas, nutrients and the benefits of therapeutic essential oils that are handcrafted to transfuse the true essence of Africa’s nature.
  • From the U.S., Control Corrective Skincare Systems is all about transformation. Its purpose is twofold—first to attain and then to maintain the health and beauty of the skin. Offering comprehensive, collection-based skin care with a deep problem/solution focus, Control Corrective formulas deliver results in a practical and accessible way.
  • Also from the U.S., Doll Face Beauty‘s “clever-ful” active ingredients are fused together with skin care formulas that lavish the skin with super-effective solutions to keep it looking sparkling, radiant, renewed and youthful. Doll Face Beauty unleashes “The Power of Pretty!”
  • Dr. Robert Rey, celebrity plastic surgeon and star of E! television’s Dr. 90210, launches his anti-aging skin care line—Dr. Rey Anti-Aging Skin Care, from the U.S.—with Syn-Ake, an anti-wrinkle agent which guarantees highly effective, clinically and dermatologically tested and proven cosmeceuticals for women and men who demand the very best that skin care science can offer.
  • U.S. brand Fairiche gives women the tools to reveal younger, smoother and more radiant skin. Utilizing new formula technologies and innovative ingredients, Fairiche creates problem solving skin care platforms, all enhanced with skin luminosity benefits. The formulas are developed with a luxurious sensibility without sacrificing performance. Fairiche uses safe, efficacious actives as opposed to unsafe materials that are commonly found in the marketplace.
  • From the Netherlands, Greenland, a natural and organic bath and body brand, uses the utmost care when developing its products. The fruit extracts, essential oils, milkies and natural butters in combination with the stunning packaging and design make Greenland products not only great for the skin, but also for the senses. Greenland treats the senses, naturally.
  • Jenetiqa from Canada invites consumers to discover its scientifically innovative luxury skin care line based on the science of ubiquinol. Ubiquinol is a recently discovered, patented and highly bio-available antioxidant that fights free radicals at the source and enhances cellular energy and cellular turnover. Jenetiqa’s innovative products are specifically formulated to fight all signs of aging for eternal youth and an incredible skin experience.
  • Irish beauty brand Karora offers modern women a glamorous choice in the natural beauty category with a true skin caring approach to faux tan. Karora’s botanical bronzing collection delivers custom color technology, with natural and organic bronzing formulas enhanced with signature ingredients of açaí berry and argan that provide intense skin treatments. This is bronzed perfection with a botanical twist at luxe for less price.
  • From Italy, Layla Cosmetics has been creating trend-setting and cutting-edge products from Milan for over 70 years. Fusing the latest in technology with an Italian fashion influence, Layla will reveal its newest collections for the first time to the U.S. market, unveiling groundbreaking innovation and nail art to the industry.
  • Manuka Doctor is an independent brand from New Zealand that has developed a range of groundbreaking formulations based on two key ingredients—certified manuka honey, known for healing and moisturizing; the brands’ own patented purified bee venom, which is refined, concentrated and 100% bee-friendly and nurtures cell regeneration and encourages collagen production. The brand has earned cult status in the U.K. anti-blemish and anti-aging skin care category, earning the title “nature’s answer to Botox.”
  • Marilou Bio from France believes in making certified organic cosmetics affordable to all women who want to pamper themselves while being eco-friendly. The brand’s goal is to introduce its customers to ecological and cleaner products that benefit the environment.
  • Everyone knows the sun is the skin’s No. 1 enemy, but most of still skip sunscreen, finding what’s available to be heavy, pore clogging, and filled with irritants. Faced with this knowledge, dermatologic oncologist Dr. Robert J. Friedman, a clinical professor at the NYU School of Medicine, with a commitment to advance the science of photo (sun)-protection and skin cancer prevention, founded and created, with his dermatologic colleagues, MDSolarSciences.
  • From Norway, Million Dollar Hair believes it is important to use natural ingredients in its products because research has shown that natural ingredients provide the best results for hair and skin care. Million Dollar Hair products have healing properties that will help that hair in a natural way and are developed without harsh, man-made chemicals.
  • Mirabella is makeup with personality. From the U.S., the brand offers clean cosmetics in fashion-forward colors to create beautiful looks for whatever the day may bring. Vitamin-enriched, long-lasting formulas moisturize and condition while providing antioxidant protection and anti-aging properties. Also, these mineral-based products are paraben-free, talc-free, lead-free, gluten-free, and FDC/DC dye-free.
  • German brand Montiel offers intelligent concepts for beauty. With its firm commitment to intelligent care concepts, Montiel’s research basis for new developments is biotechnology as an applied subject area, which combines scientific and medical knowledge with engineering science skills to develop technical solutions based on the models of nature.
  • In 1953, Giuseppina Balestra got the idea of bringing botanical oils based on her old traditional recipes into her skin care line. Science has now shown the fresh ingredients in these oils, such as truffle and argan, contain extremely beneficial compounds in their natural form and are now scientifically proven to have great anti-aging benefits. This is the basis for the SkinCo Roma brand from Italy.
  • Teens shouldn’t have to suffer with pimples and blackheads unnecessarily. Basic daily steps in keeping the skin clean with gentle, all-natural ingredients will help stop that breakout from ever happening. U.S. brand True Girl Skin Care will set them on the right path to healthy, clear, scar-free skin—for life.
  • Born from the harshness of the Australian environment, nature is at the very core of the VitaMan Nautral Grooming for Men brand from Australia. One of the first skin care companies to introduce the therapeutic properties of unique native Australian botanicals, VitaMan has created a natural, high-performance line that is results driven, free of harmful synthetic chemicals, artificial fragrances and colors.

All Discover Beauty brands are automatically enrolled for the 2013 Discover Beauty Award. This award is given to one brand, which is recognized for its creativity in concept, packaging and overall ability to succeed in this competitive retail market. The winner is selected by industry leaders, beauty editors and participating retailers. The Discover Beauty Award winner will be announced on the evening of Sunday, July 14, 2013, as part of a private reception.

Cosmoprof North America will take place July 14–16, 2013 at the Mandalay Bay Convention Center in Las Vegas.



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Burt’s Bees Helps Buoy Clorox Results

Posted: May 1, 2013

The Clorox Company reported results for its fiscal third quarter, which ended March 31, 2013. The company reported a 1% increase in sales and a 2% decrease in diluted earnings per share (EPS) from continuing operations versus the year-ago quarter.

“We grew sales 1% on top of strong 7% sales growth in the year-ago quarter,” said chairman and CEO Don Knauss. “In addition to a challenging year-over-year comparison, the U.S. had the coldest March weather in more than 10 years, which led to double-digit volume and sales declines in our charcoal business. In addition, declining currencies in Argentina and Venezuela also affected our sales results. Excluding the impact of these headwinds, total company sales grew 3%, with solid increases in most of our U.S. businesses and growth in most of our International business.”

Said Knauss, “Looking at the full fiscal year, I’m confident in the plans we have in place to deliver our earnings outlook, including increasing investments in demand-building programs, delivering meaningful product innovation and improving productivity across our operations.”

Clorox reported third-quarter earnings of $134 million, or $1.00 diluted EPS. This compares with $134 million, or $1.02 diluted EPS, in the year-ago quarter. Volume for the third quarter of fiscal 2013 was flat. Sales grew 1% primarily due to the benefit of price increases, with growth in three out of four reportable segments.

Housed in its lifestyle division, which overall saw a 1% volume increase and 2% sales increase before a 7% pretax earnings decrease, Burt’s Bees drove volume growth with double digit increases, reflecting new innovation in lip care products.

Clorox anticipates sales growth for fiscal 2014 in the range of 2–4%, which reflects a negative impact of 1 percentage point from foreign currency declines in Argentina and other countries. The company’s sales outlook also reflects continued product innovation and demand-building programs across the company’s brands.

More from this financial report from The Clorox Company is available here.



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