P&G started its year up against the wall. Record oil prices sent shipping costs skyrocketing and a strong U.S. dollar cut into profits at the 172-year-old consumer products giant. (P&G's fiscal year began in July 2008.)
In response, the company raised the prices of its products by $4 billion and rolled out new products like the Olay Professional Pro-X line -- its most expensive Olay skin-care line ever.
The actions did two things. New products helped bolster P&G's brands amid the recession and higher prices boosted profits by 11%. In a recent interview with Fortune, CEO Bob McDonald said, "We've emerged stronger from every recession we've been in. We know how to do this."--S.C.
