NYS Senator Brad Hoylman
 27th Senate District

April, 2018

Proctor & Gamble Respond to Senator Hoylman and Assemblymember Simotas'
Call to Overhaul Tide PODs:

The following is the Senior Manager of State Government Relations The
Procter & Gamble Company's written response to Senator Hoylman and
Assemblymember Simotas' call to overhaul its colorful liquid detergent
product "Tide PODs:"*

Dear Senator Hoylman and Assemblymember Simotas:

Thank you for your recent letter to Procter & Gamble Chairman, President
and CEO David Taylor. Nothing is more important to us than the safety of
the people who use our products. We share your concerns about intentional
misuse of laundry packets and reducing accidental exposure to these
products. We have and will continue to take significant action to
meaningfully reduce these incidents so that millions of people can continue
to use our laundry packets safely every day.

*P&G Actions to Reduce Accident Rates*
We appreciate the continued dialogue with you on this topic. As I shared
with you both in our conversations last May, P&G has taken a series of
actions to ensure laundry packets are used properly and stored safely,
including creating child-resistant packaging, enhancing the warning labels,
leading the development of an ASTM industry safety standard, and launching
education campaigns on safe use and storage with key partners. These
measures have already meaningfully reduced accident rates. They include:

• *Child-resistant packaging for both bags and tubs: *All liquid laundry
pacs manufactured by P&G today are in child-resistant packaging. P&G’s new
Child-GuardTM tub was launched in 2017 with a harder-to-open, easy-to-close
child-resistant closure. Our Child-Guard child-resistant bags, have been on
store shelves since 2016.
• *Bitter outer layer:* We added a bitter taste to the laundry packet’s
outer layer as an additional deterrent to accidental ingestion, upgraded
the pod film so it dissolves more slowly to delay content release, and have
enhanced the warnings on the product label.
• *Safety education: *P&G produced a safety-focused education campaign for
Tide PODS, which was deployed across TV, print, and digital media to
increase consumer awareness of the correct way to use and store these
products safely.
• *Key partnerships: *We have partnered with Safe Kids Worldwide, the
Alzheimer’s Association, and the American Cleaning Institute to educate
parents and caregivers on the importance of keeping the product up, closed,
and safe – away from children and vulnerable adults.

In addition to these actions related to our company’s products and
packaging, P&G also co-led the development of a safety standard through
ASTM, an international standards-setting organization. This effort brought
together the U.S. Consumer Product Safety Commission, safety experts and
advocates, poison control centers, medical experts, and other industry
partners to align on best practices to reduce accidents. The ASTM standard
is now in effect, and calls for manufacturers to produce laundry packets
according to clear guidelines:

• Liquid laundry packets must be sold in opaque packaging designed to make
it more difficult for children to open;
• Primary packaging must contain warning information, standardized safety
icons, and first aid instructions;
• Packets must have a bitter-tasting (aversive) agent on their outer film;
• Packets must meet enhanced standards for the amount of time it takes for
the outer film to dissolve in water to delay the release of contents;
• Packets must have the ability to withstand the squeezing pressure of a
young child.

This ASTM standard was published in December 2015 and fully implemented by
all major manufacturers of liquid laundry packets prior to January 1, 2017.
P&G’s liquid laundry packet products sold in the U.S. have been fully
compliant with the ASTM standard since April 2016. We look forward to
sharing data on accident reduction in the first year of the ASTM standard’s
implementation when it is available later this year. We believe it will
show continued progress.

*Proposed New York Legislation*
The proposed legislation would require manufacturers to take four specific
actions to be allowed to sell liquid laundry packets in New York. As noted
above, P&G has already implemented two of the requirements in your bills –
child-resistant packaging and warning labels. I would like to address the
other two requests, individual wrapping of packets and uniform packet
color, in more detail.
*Individual Wrapping*
P&G’s research team has studied individual wrapping extensively. Our
studies have shown that individual wrapping would not be helpful in
reducing accidents and may have significant unintended consequences.
Individual wrapping is commonly used for snacks, which could cause
confusion for consumers or children who are unfamiliar with the detergent
product. Further, difficult-to-open wrapping results in unintended
consequences, as consumers often use scissors or their teeth. These actions
could actually increase accidental ingestion or eye or skin exposure. We
are also conscious of the potential environmental impact of this package
choice. The legislation specifically calls for each packet to be sold in a
“child-resistant” wrapper. It is unclear to what specific packaging
technology this refers. All our liquid laundry packets are sold in
child-resistant primary packaging, which is the most effective way to
reduce access and accidental exposure to small children.
*Uniform Packet Color*
According to a study of data from U.S. poison control centers, color does
not play a critical role in a child’s accidental exposure to laundry
packets. In this report, the primary driver of accidental exposures was the
availability of the product to young children, which is why we developed
and launched child-resistant packages and have focused our educational
efforts on the importance of keeping the product closed and out of the
reach of children. It is unclear if the proposed legislation calls for
packets on the market to be one specific color, or simply uniform in a
single color within a package. P&G currently offers laundry packet choices
including all-white packets (Tide Free and Gentle) for families who may
prefer a product without color or scent. Which product to use – whether
packet, liquid or powder – is always the choice of the consumer based on
the needs of their household.

*Intentional Misuse of Liquid Laundry Packets*
We are deeply concerned about the intentional misuse and ingestion of
liquid laundry packets by young people engaging in self-harm challenges.
We’ve taken steps to help stop these dangerous activities. We launched a
social media campaign with Tide spokesman Rob Gronkowski and we are
continuing to work with social media platforms to remove harmful
content that is not consistent with their policies. We have worked with a
variety of national education-focused organizations to provide them with
information and materials to share with their members about the dangers of
intentional misuse of the product. David Taylor also shared his personal
perspective on the dangers of intentional misuse on P&G’s blog noting that,
“... even the most stringent standards and protocols, labels and warnings
can’t prevent intentional abuse fueled by poor judgment and the desire for
popularity.” We continue to monitor the situation closely in partnership
with the CPSC and other stakeholders.

Like you, I am the parent of a young child, and nothing is more important
to me than the health, safety, and well-being of my son. P&G has
consistently taken actions to ensure that our liquid laundry packets are
safe when stored and used as directed. Parents like us can use these
products with confidence. I appreciate the opportunity to continue the
dialogue we started last year and hope we can work together on measures
that will continue to meaningfully reduce accident rates. We share the same
goal and I am confident that working together we can build on the progress
we’ve made.

With best regards,
Mike Prentiss
Senior Manager, State Government Relations
The Procter & Gamble Company

Brad Hoylman

mailing address is:

NYS Senator Brad Hoylman

322 8th Avenue, Suite 1700

New York, NY 10001

If you have any ideas, questions, or concerns, please feel free to contact my office at (212) 633- 8052 or via email at hoylman@nysenate.gov and visit my website at hoylman.nysenate.gov for updates on my activities and other information you may find of interest.




{\rtf1\ansi\ansicpg1252\cocoartf1038\cocoasubrtf360{\fonttbl\f0\froman\fcharset0 Times-Roman;}{\colortbl;\red255\green255\blue255;\red52\green52\blue52;\red83\green83\blue83;}{\*\listtable{\list\listtemplateid1\listhybrid{\listlevel\levelnfc23\levelnfcn23\leveljc0\leveljcn0\levelfollow0\levelstartat1\levelspace360\levelindent0{\*\levelmarker \{disc\}}{\leveltext\leveltemplateid1\'01\uc0\u8226 ;}{\levelnumbers;}\fi-360\li720\lin720 }{\listname ;}\listid1}}{\*\listoverridetable{\listoverride\listid1\listoverridecount0\ls1}}\deftab720\pard\pardeftab720\ql\qnatural\f0\fs56 \cf2 Hoylman: LLCs have operated in near total darkness for too long, and my legislation would shine a badly needed light on them. For the super-rich, these shell companies can be used as a convenient way to move vast sums of money without detection.\'94\\pard\pardeftab720\ql\qnatural\fs40 \cf3 ALBANY \'96 Citing the urgent need for greater oversight, State Senator Brad Hoylman (D, WF-Manhattan) today announced legislation that would shine a light into the murky world of New York\'92s limited liability companies.\These business structures, known as\'a0LLCs, allow owners to hide their identities and limit their personal exposure to debt and other obligations. Under current New York law, to organize an LLC, owners only need to register an official name, the county in which it will operate, and a P.O. box.\Due to these lax regulations, LLCs have long been a mainstay of New York real estate, enabling foreign entities, landlords, and business owners to acquire properties using an endless array of anonymous shell companies. Recent news reports show Donald Trump owns and sells property to countless LLCs.\According to the Wall Street Journal,\'a0upwards of $300 million\'a0reported in a financial disclosure form filed by Trump last year came from assets held by 96 different LLCs. In June, USA Today reported that, since clinching the Republican nomination,\'a070 percent of buyers of Trump\'a0properties were LLCs, potentially opening him to influence from corporations or foreign actors that the American people have no way of identifying. (By comparison, only 4 percent of buyers were LLCs the previous two years.)\Moreover, thanks to their opaque nature, LLCs can serve as an effective vehicle for illicit activities, including fraud, tax evasion, and money laundering. Hoylman\'92s legislation would crack down on these potential abuses by lifting the veil on LLCs.\Specifically, the legislation would:\\pard\tx220\tx720\pardeftab720\li720\fi-720\ql\qnatural\ls1\ilvl0\cf3 {\listtext\'95}Mandate that LLCs organized or doing business in New York publicly disclose their \'93beneficial owners,\'94 including names and current residential or business addresses.\{\listtext\'95}Require the New York Department of State to create and maintain a publicly accessible database of registered LLCs and their owners.\{\listtext\'95}Make it a crime punishable up to three years in prison and up to ten thousand dollars in fines to knowingly provide false, fraudulent, incomplete, or outdated information in connection with beneficial ownership of an LLC.\\pard\pardeftab720\ql\qnatural\cf3 \'a0}

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