P&G testing diaper product that would cut material costs
The Pampers Change 'N Go disposable diaper uses a slip-in panel that is removed and replaced when wet, allowing the pants to remain on the child, according to a P&G Web site. If the new product is a success, it could add $135 million to the Cincinnati-based company's net income and as much as 3 cents to 5 cents a share to earnings, Sawyer said in a report Friday.
The new product comes at a time when P&G is raising prices to counter higher costs for pulp and oil used in making diapers and Charmin toilet paper. The new Pampers product could reduce raw material costs by about 30 percent versus a regular diaper, because the pants are changed less often, Sawyer said.
Procter & Gamble is building a facility in Box Elder County that will manufacture paper products and initially employ 300 people.
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