French cosmetics maker L’Oreal announced a 27 percent net profit fall in 2008.

Sales rose 2.8 percent in the year to euro17.54 billion ($22.39 billion), compared to +8.1% in 2007. The company said it noted a "clear deterioration" in North American sales in the fourth quarter, particularly in department stores where holiday sales were particularly disappointing. In Europe, strict inventory management by distributors has affected sales, the company said.

In an environment made very difficult in 2008 by the economic crisis, L’Oreal is proving resilient,” Chief Executive Officer Jean-Paul Agon said in a statement. He gave no outlook for 2009, except to say the company will tackle the year “with realism, confidence and resolve.