Q2 Pre-Close Presentation

Unilever PLC
25 June 2001

Release: Immediate

                     UNILEVER TELECONFERENCE PRESENTATION

The following is the presentation text for the Unilever pre-close
teleconference, given by Howard Green, head of investor relations, at 1400 hrs
GMT today (June 25, 2001)

The purpose of this teleconference is to update the market on the progress of
our business based on the first two months of trading in the quarter. This is
a precursor to our 'close' period, ahead of the quarterly results announcement
on August 3, 2001. The timetable for future updates remains unchanged from
that previously announced.

I would firstly like to re-calibrate the Unilever advertising and promotion
spend rate following the portfolio changes over the last 18 months. The
reported spend rate for the full year of 2000 was 13.8% of sales. If we look
at this on a continuing business basis, that is including, for a full year,
Bestfoods and the other major acquisitions completed in 2000 and also
adjusting for the major disposals of Elizabeth Arden and European Bakery
supplies, the advertising and promotion spend rate is 13.3% of sales or 50 bps
below the headline rate.

In Q2 2000 the spend rate was 15.7% and again if we look at it on a continuing
business basis the comparable number becomes 14.9%. The latter was the highest
quarterly spend rate last year and reflected the weighting of marketing
activities in the quarter. We expect the Q2, 2001 spend rate to be around this
same level.



Progress towards Path to Growth goals

So, now let me turn to how, in Q2, we see our business progressing towards our
Path to Growth goals.

Revenue growth in the leading brands, before acquisitions and disposals, is
expected to show a further increase in momentum to produce growth of at least
4.5% on a moving annual total basis.


  * Including acquisitions and disposals we expect sales to grow a little
    over 15%.

  * Before acquisitions and disposals we expect sales growth for the second
    quarter to be ahead by approaching 4% including a positive price effect of
    around 100 bps. The latter is primarily driven by Home and Personal Care.

We expect the key drivers of like for like revenue growth in the quarter to
be:


 1. Our innovations in spreads and cooking products particularly driven by
    Europe, through Pro.Activ and Culinesse.

 2. Continuing progress with higher added value product growth for Frozen Foods
    in Europe through launches in Germany and the UK.

 3. A continuation of the recovery in Central and Eastern Europe.

 4. In Latin America through a strong performance from Laundry in South Latin
    America and from the launch of Sedal Shampoo in Mexico.

 5. In Asia, Pacific through the progress of Ready to Drink Tea in Japan and
    the continued strong and broadly based growth we continue to see in South
    East Asia.

 6. Throughout the Unilever world by the progress of Dove and in the US also
    through the growth of the Suave brand and of All in fabric cleaning.

Operating margin before exceptional items and goodwill amortisation is
expected to be ahead by around 180 bps. This reflects stronger gross margins
driven by supply chain and procurement savings, lower overheads as we start to
see the benefits of restructuring, Bestfoods synergy in line with expectations
and the mix effect in advertising and promotion, due to changes in the
portfolio that I have already mentioned.

The improvement in operating margins is after the inclusion of around Euro100
million of investment in associated costs compared with Euro11m in the
previous year. Let me remind you again that these costs form an integral part
of our Path to Growth restructuring and represent costs arising from the
change in IT systems, double running of factories, relocation of personnel and
training.



Review of the Regions

Before I get to the other items in the profit and loss account let me take you
on a very short tour of our regions starting first with Europe.

In Europe we expect sales to be ahead by around 9% with nearly 6 percentage
points coming from net acquisitions and disposals. Operating margin is
expected to rise by around 100 bps above last year, with improvement in gross
margin being partly offset by investment in Advertising and Promotion and
associated costs.

In North America sales are expected to be around 23% ahead of last year with
20 percentage points coming from acquisitions and disposals. Underlying sales
growth is expected to be slightly ahead of first quarter this year, with an
improving performance in Foods as we see the newly integrated sales structure
settling down. Growth in Home and Personal Care is slightly slower in this
quarter than in Q1 2001, reflecting the phasing of marketing activities.
Operating margin is expected to move ahead by approaching 200 bps reflecting
the benefits of portfolio change and restructuring.

In Africa and the Middle East, which you will remember now includes Turkey, we
expect to see sales moving ahead by some 13 or 14% with around 4 percentage
points coming from net acquisitions and disposals. Operating margin is
expected to move ahead by over 350 bps reflecting improved gross margins and
the benefits of portfolio change.

In Asia Pacific sales are expected to move ahead by between 5 and 6% with a
net disposal effect of around 1 percentage point within this. Operating margin
is expected to be around 250 bps ahead of the previous year.

Finally in Latin America sales are expected to grow by just under 40% with
around 34 percentage points coming from net acquisitions and disposals.
Operating margin is expected to be ahead by over 250 bps reflecting the
benefits of acquisitions and easier comparatives with respect to South Latin
America Laundry.

P&L Account

Finally let me turn to the other elements of the P&L account.

Goodwill amortisation is estimated to be Euro365 million in the quarter.

Net interest is estimated at Euro420 million and we remain comfortable with a
blended annual interest cost of 6.6% pre-tax as given with our Q4 2000 results
announcement.

Exceptional items for the quarter for Path to Growth and the Bestfoods
integration are forecast to be around Euro330 million before tax and around
Euro215 million after tax. However we will also be booking the profit on
disposal of the Merger Task Force remedy brands, which is some Euro810 million
on a pre-tax basis, and around Euro600 million post tax. Therefore we expect
to show a net credit before tax of Euro480 million for exceptional items in
this quarter.

This also means that whilst we remain comfortable with our original projection
of Euro1.7 billion in Path to Growth and Bestfoods integration exceptionals
for the year, the actual reported number is going to be some Euro810 million
lower from the remedy brands disposal.

We expect the underlying tax rate in the quarter to be around 35% and I would
like to remind you that Bestfoods goodwill is not tax deductible.

The number of shares for calculating year to date EPS is 984 million NV
equivalent share units or 6.56 billion if you take the PLC equivalent share
units.

Let me finally turn to the progression of earnings per share before
exceptional items and goodwill amortisation. You will remember that as we move
through the rest of the year our earnings per share will benefit from:


  * firstly, continued momentum in the leading brands;

  * secondly, the build up of Bestfoods synergy and the contribution from
    the Path to Growth restructuring;

  * thirdly, the full effect of pricing actions in gross margins;

  * and finally, operating cash flow and the disposal programme on the
    interest line.

Thus, for Q2 we expect EPS before exceptional items and goodwill amortisation
to move ahead by around 5%. This is fully consistent with the momentum we
expect to get us to our planned growth for the full year.



Summary

In summary we expect the second quarter to show further progress along the
Path to Growth, with strong growth in the leading brands, and further
improvement in operating margins driven by savings from procurement and
restructuring and the positive contribution from changes in our portfolio.



                                    -o0o-

June 25, 2001

SAFE HARBOUR STATEMENT: This presentation may contain forward-looking
statements (within the meaning of the U.S. Private Securities Litigation
Reform Act 1995). Any forward-looking statements are based on current
expectations with respect to important risk factors. It is important to note
that the actual results could materially differ from the results anticipated
in any forward-looking statements which may be contained in this presentation.
Factors which might cause forward-looking statements to differ materially from
actual results include, among other things, the overall economic, political,
social and business conditions, the demand for our goods and services,
competition in the market, fluctuations in interest rates and foreign
currencies, the impact and other uncertainties of future acquisitions and
disposals and any changes in the tax laws and other legislation and
regulation, in the jurisdictions in which we operate.

We do not undertake any obligation to update any forward-looking statements
contained in or incorporated in this presentation to reflect actual results,
changes in assumptions or in other factors which may affect any
forward-looking statements.