A Special Message from Lauder Family Members

This letter was shared with The Estée Lauder Companies' global employees on November 4, 2024

Dear Colleagues, 

Since its founding in 1946, The Estée Lauder Companies has been rooted in the core values instilled by our founder, Mrs. Estée Lauder. In little more than 75 years, we have grown from just four products to two dozen brands. We have gone from serving consumers in one market to earning the loyalty of millions of consumers across ~150 countries and territories. Today, we are home to some of the world’s most desirable brands in prestige beauty and the most passionate, creative, and dedicated employees. We embrace a culture of respect for one another that is inspired by the entrepreneurial spirit and love of the consumer experience that came from Mrs. Estée Lauder herself. We got this far because we had a dream of where we were going, and we knew we must make necessary decisions along the way to help us get there. 

Because of who we are – because of who we have always been – we are optimistic about the future of this beautiful Company.

This is a difficult time, and we know you feel this challenging moment deeply, as do we. Our recent results tell us we have much to improve upon. As a result, the Company must continue moving forward on a necessary and fundamental turnaround plan to bring us back to profitable growth.

We have navigated through challenging moments before, and the entire Lauder family is confident in the Company’s continued ability to address the ever-changing market realities and re-establish our position as the global leader in prestige beauty. We know we will get through this, and we will be even stronger on the other side.

As you heard from William and Jane last week, they have made the decision to step away from their operational and managerial roles during this time of transition and turnaround to dedicate themselves to serving the Company as members of the Board of Directors, and as stockholders. 

The Lauder family intends to remain meaningful stockholders, ensuring that our values and our approach to long-term patient capital continue to play a vital role in the Company. To repeat – we will remain meaningful stockholders, and we are committed to this Company for the long term. 

As we look to the future, we will continue to work with the leaders at ELC to ensure our values are reflected. We are thrilled that Stéphane will be our new President & CEO as of January 1. 

With more than 25 years in the beauty industry and nearly 14 years with our Company, Stéphane will continue to nurture our incredible brands while driving innovation for the future of prestige beauty.  

We know he has the courage, the drive, and an understanding of, and respect for, our Company’s culture and values that will accelerate change quickly, effectively, and profitably. 

This is a moment where we must lean into our heritage, drawing strength from what makes us unique and enduring.

As our mother and grandmother used to say, “I didn't get there by wishing for it, I got there by working for it,” and we, too, will address this moment of difficulty by following her words. We know we can get there, because in our Company’s history, we have never lost sight of the future or been afraid of the work ahead.

Thank you for all you do each and every day. 

Our best to you all,

Leonard A. Lauder
Ronald S. Lauder
William P. Lauder
Aerin Lauder Zinterhofer
Gary Lauder
Jane Lauder 

Cautionary Note Regarding Forward-Looking Statements
Statements in this letter may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include those in the various quotations. Although the Company and the Lauder family believe that their expectations are based on reasonable assumptions within the bounds of their knowledge of individual situations and the Company’s business and operations, actual results may differ materially from the Company’s expectations. Factors that could cause actual results to differ from expectations include the ability to successfully implement its strategy, including the Company’s profit recovery and growth plan; successfully transition its leadership; and those other factors described in the Company’s filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K. The Company and the Lauder family assume no responsibility to update forward-looking statements made herein or otherwise.