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SARA LEE CORPORATION REPORTS RECORD SALES AND EARNINGS FOR SECOND QUARTER 1993

 CHICAGO, Jan. 21 /PRNewswire/ -- Sara Lee Corporation (NYSE: SLE) today announced record sales and earnings for the second quarter ended Dec. 26, 1992.
 Net income for the quarter rose 15.9 percent to $220 million from $190 million reported for the same period last year. Primary earnings per share, which reflect the Dec. 1, 1992, two-for-one stock split, increased 15.8 percent to 44 cents, compared to 38 cents a year ago. Net sales for the quarter were $3.8 billion, up 6.8 percent over last year's $3.6 billion.
 Excluding a nonrecurring gain in last year's first quarter, primary earnings per share for the first six months of fiscal 1993 increased 14.3 percent to 72 cents from 63 cents. In the first six months of fiscal 1992, reported earnings per share of 93 cents included a nonrecurring earnings per share benefit of 30 cents, reflecting the sale of the corporation's European-based over-the-counter pharmaceutical business, net of restructuring charges. Including the fiscal 1992 nonrecurring gain, reported net income for the first half of fiscal 1993 declined 20.2 percent to $362 million from $453 million for the same period last year, and primary earnings per share declined 22.6 percent. Net sales for the first six months were $7.4 billion, up 10.8 percent over last year.
 "Our second quarter results reflect continued margin improvement in Packaged Foods and investment spending in Packaged Consumer Products," said John H. Bryan, chairman and chief executive officer of Sara Lee Corporation.
 A performance review for each business segment follows (dollars in millions):
 SARA LEE PACKAGED FOODS
 Second Quarter Pct. Six Months Pct.
 1993 1992 Chng. 1993 1992 Chng.
 Sales:
 Packaged Meats and
 Bakery $1,267 $1,217 4.1 $2,457 $2,403 2.3
 Coffee and Grocery 541 509 6.4 1,057 942 12.2
 Total $1,808 $1,726 4.8 $3,514 $3,345 5.1
 Operating income:
 Packaged Meats and
 Bakery $ 81 $ 76 7.8 $ 133 $ 122 8.5
 Coffee and Grocery 73 67 8.6 146 121 20.9
 Total $ 154 $ 143 8.2 $ 279 $ 243 14.7
 Sales and operating income for Packaged Meats and Bakery increased during the second quarter and the first half of fiscal 1993. Margins improved due to a better product mix and improved operating efficiencies. Unit volume for Packaged Meats rose 2 percent during the quarter, with strong gains in smoked sausage and packaged lunchmeats. Sara Lee Bakery unit volume increased 8 percent for the quarter, led by strong sales in North American foodservice and core retail Bakery products. For the first six months of fiscal 1993, unit volume increased 3 percent for Packaged Meats and 8 percent for Bakery, respectively.
 Sara Lee Coffee and Grocery also reported increased sales and operating income for the second quarter and first six months of the fiscal year. European volume for retail coffee rose 2 percent in the quarter and 3 percent during the first six months. Margins expanded due to higher unit sales and improved operating efficiencies. This line of business also was positively affected by the strengthening of foreign currencies relative to the U.S. dollar.
 SARA LEE PACKAGED CONSUMER PRODUCTS
 Second Quarter Pct. Six Months Pct.
 1993 1992 Chng. 1993 1992 Chng.
 Sales:
 Personal Products $1,729 $1,578 9.5 $3,269 $2,758 18.5
 Household & Personal
 Care 304 290 4.7 641 598 7.1
 Total $2,033 $1,868 8.8 $3,910 $3,356 16.5
 Operating income:
 Personal Products $ 196 $ 178 9.9 $ 332 $ 303 9.8
 Household & Personal
 Care 30 29 4.0 51 50 1.4
 Total $ 226 $ 207 9.1 $ 383 $ 353 8.6
 Personal Products sales and operating income increased in the second quarter and first half of fiscal 1993 due to good results from continuing operations as well as benefits from recent acquisitions. Worldwide knit products unit volume grew 16 percent with strength in both underwear and activewear. Foundations unit volume rose 21 percent in the quarter with increased volumes in key worldwide markets. Worldwide hosiery unit volume declined 5 percent, due, in part, to difficult conditions in European markets. For the first six months of fiscal 1993, worldwide hosiery unit volume declined 2 percent, knit products volume grew 14 percent and foundations unit sales rose 13 percent.
 The Household and Personal Care line of business reported an increase in sales and operating income for both the quarter and the first six months of fiscal 1993. Strong sales in Asia were partially offset by the effects of weak economies in several European markets.
 Net interest for the quarter fell to $9 million from $24 million one year ago, primarily reflecting lower financing costs. The effective tax rate in the current quarter was 35.0 percent versus 34.8 percent for the second quarter of fiscal 1992. For the first six months, net interest expense was $31 million versus $50 million for the same period last year. For the first six months, the effective tax rate was 35.1 percent compared to 35.5 percent for the first six months of fiscal 1992.
 Sara Lee Corporation, a global food and consumer products company, markets a wide variety of products under leading brand names, including Hanes, Hanes Her Way, L'eggs, Dim, Bali, Playtex, Champion, Kiwi, Hillshire Farm, Ball Park, Jimmy Dean, Douwe Egberts, and Sara Lee.
 -0- 1/21/93
 /CONTACT: E. Denise Stovell (media), 312-558-8691, or Janet E. Bergman (analysts), 312-558-8651, both of Sara Lee/
 (SLE)


CO: Sara Lee Corporation ST: New York IN: FOD SU: ERN

GK-TO -- NY013 -- 7272 01/21/93 09:32 EST
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Date:Jan 21, 1993
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