Avon Sticks to 2002 Earnings Target

Avon Products Inc., the world’s largest direct seller of beauty products, held to its previous guidance for 2002 earnings-per-share growth, despite a hit it expects to take due to Argentina’s economic woes.

The New York-based company said it sees a negative impact of about 5 cents a share from Argentina’s currency devaluation and economic crisis.

But the company said it expects the 2002 earnings impact from Argentina to be offset by factors such as continued strength in its other operations and stronger-than-planned currencies in other markets, particularly Brazil and Mexico.

Shares of Avon closed up $1.59 to $45.70 on the NYSE.