Procter & Gamble Company contracts Jones Lang LaSalle as global facilities manager.

Jones Lang LaSalle Incorporated and the Procter & Gamble Company announced an agreement in principle to a global, five-year corporate facilities management and project management contract. The companies expect to reach a definitive agreement by the end of June 2003.

Pending final agreement, Jones Lang LaSalle will provide facilities management and project management services for all P&G offices and technical facilities -- a total of nearly 13.8 million SF of P&G-owned and leased corporate real estate locations around the world. The agreement will cover a broad range of services, including strategic facilities planning, property management, remodeling and furnishing, and employee convenience services. The controllable operating expenses for these services are estimated at $700 million over five years. In addition, nearly 600 employees will transition to Jones Lang LaSalle from P&G's global business services unit.

P&G Global Business Services selected Jones Lang LaSalle after a comprehensive and competitive selection, process initiated in February 2003 that included major corporate real estate and property management firms.

"Jones Lang LaSalle brings global scale, deep management expertise and a proven track record of success that will further optimize P&G facilities management around the world," said Filippo Passerini, global business services officer for Procter & Gamble.

"Jones Lang LaSalle is known throughout the industry as a great place to work, a collaborative business partner, and a trusted real estate advisor. We look forward to a long, successful relationship."

The geographic scope of the assignment extends across 60 countries on six continents, including Africa, Asia, Australia, Europe, North America, and South America.

"The partnership of Jones Lang LaSalle and Procter & Gamble will create a precedent-setting international team working together to deliver a sophisticated real estate platform able to provide consistent quality around the world," said Christopher A. Peacock, president and chief executive officer of Jones Lang LaSalle.

"This is one of the most global portfolio approaches to facilities and project management services the real estate industry has seen."

"Procter & Gamble is recognized for excellence in its operations as well as in its people," said John R. Phillips, chief executive officer with corporate solutions with Jones Lang LaSalle.

"We are honored to have been chosen by P&G 40 focus our globally integrated services on P&G's continuing initiative to reduce costs and enhance service delivery to their business units. We are especially thrilled to be welcoming to our firm 600 talented individuals who will deliver property services aligned with P&G's business strategies."