12 The Procter & Gamble Company

ORGANIZATIONAL STRUCTURE Our organizational structure is comprised of Global Business Units (GBUs), Selling and Market Operations (SMOs), Global Business Services (GBS) and Corporate Functions (CF). Global Business Units Our GBUs are organized into ten product categories. Under U.S. GAAP, the GBUs underlying the ten product categories are aggregated into five reportable segments: Beauty; Grooming; Health Care; Fabric & Home Care; and Baby, Feminine & Family Care. The GBUs are responsible for developing overall brand strategy, new product upgrades and innovations and marketing plans. The following provides additional detail on our reportable segments and the ten product categories and brand composition within each segment.

% of % of Net Reportable Segments Net Sales (1) Earnings (1) Product Categories (Sub-Categories) Major Brands Hair Care (Conditioner, Shampoo, Styling Aids, Head & Shoulders, Treatments) , Rejoice Beauty 18% 19% Skin and Personal Care (Antiperspirant and , , Deodorant, Personal Cleansing, Skin Care) Safeguard, SK-II Grooming (2) (Shave Care - Female Blades & , Fusion, , Grooming 10% 16% Razors, Male Blades & Razors, Pre- and Post- Mach3, Prestobarba, Shave Products, Other Shave Care; Appliances) Venus Oral Care (Toothbrushes, Toothpaste, Other Oral Care) , Oral-B Health Care 12% 13% Personal Health Care (Gastrointestinal, Rapid Diagnostics, Respiratory, Vitamins/Minerals/ Prilosec, Supplements, Other Personal Health Care) Fabric Care (Fabric Enhancers, Laundry Additives, Laundry Detergents) , , Gain, Fabric & Home Care 32% 27% Home Care (Air Care, Dish Care, P&G Cascade, , , Professional, Surface Care) Mr. Clean, Baby Care (Baby Wipes, Diapers and Pants) , Baby, Feminine & Feminine Care (Adult Incontinence, Feminine Family Care 28% 25% Care) , Family Care (Paper Towels, Tissues, Toilet Paper) ,

(1) Percent of Net sales and Net earnings from continuing operations for the year ended June 30, 2017 (excluding results held in Corporate). (2) The Grooming product category is comprised of the Shave Care and Appliances GBUs.

Recent Developments: During fiscal 2017, the Company During fiscal 2016, the Company completed the divestiture of completed the previously announced plan to significantly its Batteries business. The Batteries business had historically streamline our product portfolio by divesting, discontinuing or been part of the Company’s Fabric & Home Care reportable consolidating about 100 non-strategic brands. The resulting segment. The results of the Batteries business are presented portfolio of about 65 key brands are in 10 category-based as discontinued operations and, as such, are excluded from both businesses where P&G has leading market positions, strong continuing operations and segment results for all periods brands and consumer-meaningful product technologies. presented. During fiscal 2017, the Company completed the divestiture of During fiscal 2015, the Company completed the divestiture of four product categories, which included 43 of the Company's its Pet Care business. The gain on the transaction was not beauty brands ("Beauty Brands"), including the global salon material. The results of the Pet Care business are presented as professional hair care and color, retail hair color, cosmetics and discontinued operations and, as such, are excluded from both the fine fragrance businesses, along with select hair styling continuing operations and segment results for all periods brands. The Beauty Brands had historically been part of the presented. Company’s Beauty reportable segment. The results of the Refer to Note 13 to our Consolidated Financial Statements for Beauty Brands are presented as discontinued operations and, more details on each of these divestiture transactions. as such, are excluded from both continuing operations and While our ongoing business model may include a certain level segment results for all periods presented. Additionally, the of acquisition and divestiture activity, with the aforementioned Beauty Brands balance sheet positions as of June 30, 2016 are transactions and other recent minor brand divestitures, the presented as held for sale in the Consolidated Balance Sheets. Company has completed the strategic portfolio reshaping The Company recorded an after-tax gain on the final program. transaction of $5.3 billion ($1.95 per share), net of transaction and related costs.