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Campbell Reports First Quarter Earnings Per Share of $.51

CAMDEN, N.J.–(BUSINESS WIRE)–Nov. 24, 2003–Campbell Soup
Company (NYSE:CPB) today reported diluted earnings per share for the
first quarter ended November 2, 2003 of $.51. This result compares to
$.47 recorded in the year-ago quarter, which was before the cumulative
effect of accounting change. In the year-ago quarter, the company
reported a one-time non-cash accounting charge of $.08 per share
related to the adoption of SFAS No. 142.

For the first quarter, net sales rose 12 percent to $1,909
million. Earnings before interest and taxes were $354 million, up 7
percent versus the year-ago quarter. Sales for the quarter reflect the
following:

    --  Volume and mix increased 2 percent

    --  Price added 2 percent

    --  Reduced promotional spending added 2 percent

    --  Currency added 4 percent

    --  Acquisitions contributed 2 percent

Net earnings were $211 million versus $192 million a year earlier
before the cumulative effect of accounting change.

Douglas R. Conant, Campbell’s President and Chief Executive
Officer, said, “We have delivered a good first quarter and we are on
target to deliver our earnings for the year. Our highest priority is
to revitalize our U.S. soup business through the introduction of more
convenient, higher quality products. Strong consumer demand in the
quarter for our ‘M’m! M’m! Good! To Go’ line of ready-to-serve soups
in microwavable containers, including Campbell’s ‘Soup at Hand,’
‘Chunky,’ and ‘Select’ soups, demonstrates that our strategy is on
target. In fact, consumer acceptance has significantly exceeded our
expectations and we are now working to increase our production
capacity.

“While our focus has been on successfully launching our soup
convenience platform, we recognize the intense competitive activity in
the marketplace, including broader price discounting. Despite this
heavy promotional spending by competition, our key convenience brands
– ‘Chunky,’ ‘Select,’ and ‘Soup at Hand’ – in aggregate grew shipments
in excess of 10 percent. We are confident that we have strong,
competitive promotional programs in place in our more traditional
ready-to-serve and condensed businesses as we enter the peak months of
the soup season.”

Conant added, “In our broader portfolio beyond soup, we are seeing
many examples of strong marketplace performance, including ‘V8’
beverages, ‘Pepperidge Farm,’ ‘Arnott’s,’ and our dry soup businesses
in Europe. The investments we are making in quality, packaging, new
products, and improved marketing are having an impact.”

For the second quarter of fiscal 2004, the company expects
earnings per share to be in the range of $.52 to $.54, which is below
prior year due to planned marketing investment. The company is
maintaining its earnings per share guidance for fiscal 2004 at
approximately $1.58. In fiscal 2003, the company reported earnings per
share of $1.52, before the cumulative effect of accounting change.

    A summary of segment results for the first quarter follows.

    North America Soup and Away From Home

North America Soup and Away From Home sales of $805 million were
up 8 percent, driven by price increases on U.S. condensed soup and
lower promotional spending. Operating earnings of $221 million were up
8 percent. Sales for the quarter break down as follows:

    --  Volume and mix were even with year ago

    --  Price added 2 percent

    --  Reduced promotional spending added 4 percent

    --  Currency added 2 percent

In the U.S., ready-to-serve shipments rose 6 percent, condensed
shipments declined 7 percent and broth shipments rose 14 percent.

    Further details include the following:

    --  The "M'm! M'm! Good! To Go" convenience platform delivered
        strong performance. Seven new varieties of Campbell's "Soup at
        Hand" soups were launched, bringing that line to 11 varieties;
        4 varieties of "Campbell's Select" soups and 6 varieties of
        "Campbell's Chunky" soups in microwavable bowls were also
        launched.

    --  Gravity-fed shelving systems for condensed soup continue to be
        installed in new store locations. To date, fixtures are in
        approximately 2,800 stores, which represent approximately 10
        percent of grocery all commodity volume (ACV). Test results in
        the first quarter have been positive.

    --  Away From Home sales increased, driven by strong soup sales.

    --  Canadian soup sales, excluding the impact of currency, were
        down slightly due to start up issues related to the transition
        to a new distribution partner.

    North America Sauces and Beverages

North America Sauces and Beverages sales rose 7 percent to $327
million and operating earnings increased 1 percent to $78 million.
Sales for the quarter break down as follows:

    --  Volume and mix increased 3 percent

    --  Reduced promotional spending added 4 percent

    Further details include the following:

    --  Sales were driven by outstanding performance on "V8" vegetable
        juice, the growth of "V8 Splash" Smoothies, which were
        introduced in the second-half of last year, as well as reduced
        promotional spending.

    --  "V8" vegetable juice performance was driven by new advertising
        created around the "Drink Smarter" advertising campaign and
        new varieties. "Campbell's" tomato juice, which introduced its
        first organic variety during the quarter, continued to post
        solid growth.

    --  "Prego" pasta sauces experienced a decline in sales due in
        part to weaknesses across the entire Italian sauce category.

    Biscuits and Confectionery

Biscuits and Confectionery sales increased 20 percent to $491
million and operating earnings rose 10 percent to $46 million. Sales
for the quarter break down as follows:

    --  Volume and mix increased 5 percent

    --  Price increases added 3 percent

    --  Currency added 6 percent

    --  Acquisitions contributed 6 percent

Operating earnings were driven primarily by currency and
acquisitions.

    Further details include the following:

    --  Pepperidge Farm sales growth was driven by strong cookie
        sales. Consumer response to new Mini Cookies has been
        excellent and seasonal cookie assortments have achieved strong
        growth heading into the holiday period.

    --  Pepperidge Farm fresh bread sales continued to increase driven
        by distribution gains in the mass merchandise channel. Both
        "Swirl" and "Farmhouse" breads contributed strong sales
        growth.

    --  Godiva Chocolatier's worldwide sales were ahead of last year
        due to a recovery in Asia Pacific and the worldwide duty free
        business. Godiva also saw strong growth in its direct sales,
        which includes internet and catalog. Comparable store sales in
        the U.S. were negative versus a year ago.

    --  Arnott's had an excellent quarter, delivering strong sales
        growth in biscuits. Three biscuit brands were added to the
        Arnott's portfolio during the quarter, following their
        acquisition from George Weston Foods Limited.

    International Soup and Sauces

International Soup and Sauces sales rose 18 percent to $286
million, and operating earnings rose 35 percent to $35 million. Sales
for the quarter break down as follows:

    --  Volume and mix increased 8 percent

    --  Price subtracted 1 percent

    --  Promotions subtracted 2 percent

    --  Currency added 12 percent

    --  Acquisitions added 1 percent

Operating earnings growth was driven primarily by volume gains and
currency.

    Further details include the following:

    --  In Europe, dry soup brands performed well in the quarter.

    --  In the U.K., highlights included the re-launch of two improved
        product lines: "Batchelors Cup-A-Soup" and "OXO" gravy
        products, supported by strong advertising campaigns. However,
        wet soup and sauce sales continued to decline.

    --  In Germany, improved mix and stronger branded performance
        overcame declines in private label business.

    --  In Asia Pacific, soup sales rose significantly across the
        region. In Australia, sales gains were driven by new product
        introductions and strong performance in broth, including new
        varieties and marketing programs designed to drive expanded
        usage occasions.

    Conference Call

The company will host a conference call to discuss these results
on November 24, 2003 at 10:00 a.m. Eastern Standard Time. U.S.
participants may access the call at 1-888-603-6970 and non-U.S.
participants at 1-210-839-8500. Participants should call at least five
minutes prior to the starting time. The passcode is “Campbell Soup”
and the conference leader is Len Griehs. The call will also be
broadcast live over the Internet at http://www.campbellsoup.com and
can be accessed by clicking on the Webcast banner. A recording of the
call will be available approximately two hours after it is completed
through midnight November 28, 2003 at 1-800-938-1164 or
1-402-998-0567.

Forward-Looking Statements

This release contains “forward-looking statements” which reflect
the company’s current expectations about its future plans and
performance, including statements concerning the impact of marketing
investments and strategies, new product introductions, and quality
improvements on sales and earnings. These forward-looking statements
rely on a number of assumptions and estimates which could be
inaccurate and which are subject to risks and uncertainties. Actual
results could vary materially from those anticipated or expressed in
any forward-looking statement made by the company. Please refer to the
company’s most recent Form 10-K and subsequent filings for a further
discussion of these risks and uncertainties. The company disclaims any
obligation or intent to update the forward-looking statements in order
to reflect events or circumstances after the date of this release.

About Campbell Soup Company

Campbell Soup Company is a global manufacturer and marketer of
high quality soup, sauces, beverage, biscuits, confectionery and
prepared food products. The company is 134 years old, with nearly $7
billion in annual sales and a portfolio of more than 20 market-leading
brands. In North America, leading brands include “Campbell’s” soups
and “Swanson” broths, “Pepperidge Farm” cookies, crackers, breads and
frozen products, “V8” vegetable juices, “V8 Splash” juice beverages,
“Pace” Mexican sauces, “Prego” pasta sauces, and “Franco-American”
canned pastas and gravies. In Europe, leading brands include “Erasco”
soups in Germany and “Liebig” soups in France, and the company also
has several dry soup and sauce brands: “Batchelors,” “Oxo,” “Lesieur,”
“Royco,” “Liebig,” “Heisse Tasse,” “Bla Band,” “Erin,” and
“McDonnells.” Additional European brands include “Homepride” sauces
and “Fray Bentos” canned meats in the United Kingdom, and “Devos
Lemmens” mayonnaise and cold sauces in Belgium and France. In the Asia
Pacific region, the company markets “Arnott’s” biscuits, “Campbell’s”
soups and stock, and “Swanson” broths. “Godiva” chocolates are sold
around the world. The company is ably supported by 25,000 full-time
employees worldwide. For more information on the company, visit
Campbell’s website at www.campbellsoup.com.


CONTACT: Campbell Soup Company
         Jerry S. Buckley (Media), 856-342-6007
         Leonard F. Griehs (Analysts), 856-342-6428







                  CAMPBELL SOUP COMPANY CONSOLIDATED
                  STATEMENTS OF EARNINGS (unaudited)
                 (millions, except per share amounts)

                                                THREE MONTHS ENDED
                                                ------------------
                                              November      October
                                              2, 2003       27, 2002
                                            ------------  ------------

Net sales                                    $    1,909    $    1,705
                                            ------------  ------------

Costs and expenses
    Cost of products sold                         1,108           971
    Marketing and selling
     expenses                                       293           274
    Administrative expenses                         123           108
    Research and development
     expenses                                        21            19
    Other expenses                                   10             3
                                            ------------  ------------
Total costs and expenses                          1,555         1,375
                                            ------------  ------------

Earnings before interest and taxes                  354           330
    Interest, net                                    43            45
                                            ------------  ------------
Earnings before taxes                               311           285
Taxes on earnings                                   100            93
                                            ------------  ------------
Earnings before cumulative
  effect of accounting change                       211           192
Cumulative effect of accounting change                -           (31)
                                            ------------  ------------
Net earnings                                 $      211    $      161
                                            ============  ============

Per share - basic
   Earnings before cumulative
     effect of accounting change             $      .51    $      .47
   Cumulative effect of accounting change             -          (.08)
                                            ------------  ------------
   Net earnings                              $      .51    $      .39
                                            ============  ============

   Dividends                                 $    .1575    $    .1575
                                            ============  ============

Weighted average shares outstanding - basic         411           410
                                            ============  ============


Per share - assuming dilution
   Earnings before cumulative
     effect of accounting change             $      .51    $      .47
   Cumulative effect of accounting change             -          (.08)
                                            ------------  ------------
   Net earnings                              $      .51    $      .39
                                            ============  ============

Weighted average shares outstanding
  - assuming dilution                               412           411
                                            ============  ============


In connection with the adoption of Statement of Financial Accounting
Standards No. 142 "Goodwill and Other Intangible Assets," the company
recognized a non-cash charge of $31 (net of a $17 tax benefit) as a
cumulative effect of accounting change for the write-down of goodwill
of one business unit in the first quarter of fiscal 2003.

Certain reclassifications were made to prior year financial
statements.


                  CAMPBELL SOUP COMPANY CONSOLIDATED
        SUPPLEMENTAL SCHEDULE OF SALES AND EARNINGS (unaudited)
                 (millions, except per share amounts)

                                        THREE MONTHS ENDED
                                        ------------------
                                        November  October   Percent
Sales                                   2, 2003   27, 2002  Change
-----                                   --------  --------  -------
Contributions:
   North America Soup and Away
    From Home                           $   805   $   746        8%
   North America Sauces and
    Beverages                               327       307        7%
   Biscuits and Confectionery               491       410       20%
   International Soup and
    Sauces                                  286       242       18%
                                        --------  --------
    Total sales                         $ 1,909   $ 1,705       12%
                                        ========  ========

Earnings
--------
Contributions:
   North America Soup and Away
    From Home                           $   221   $   205        8%
   North America Sauces and
    Beverages                                78        77        1%
   Biscuits and Confectionery                46        42       10%
   International Soup and
    Sauces                                   35        26       35%
                                        --------  --------
      Total operating earnings              380       350        9%
      Unallocated corporate expenses        (26)      (20)
                                        --------  --------

Earnings before interest and
 taxes                                      354       330        7%
Interest, net                               (43)      (45)
Taxes on earnings                          (100)      (93)
                                        --------  --------
     Earnings before cumulative
       effect of accounting
       change                               211       192       10%
     Cumulative effect of
      accounting change                       -       (31)
                                        --------  --------
     Net earnings                       $   211   $   161       31%
                                        ========  ========

Net earnings per share before
 cumulative effect of
 accounting change
   - assuming dilution                  $   .51   $   .47        9%
                                        ========  ========


In connection with the adoption of SFAS No. 142, the company
recognized a non-cash charge of $31 (net of a $17 tax benefit), or
$.08 per share, as a cumulative effect of accounting change for the
write-down of goodwill of one business unit in the first quarter of
fiscal 2003.


                  CAMPBELL SOUP COMPANY CONSOLIDATED
                      BALANCE SHEETS (unaudited)
                              (millions)

                                                  November   October
                                                  2, 2003    27, 2002
                                                 ---------- ----------

Current assets                                   $   1,655  $   1,577

Plant assets, net                                    1,846      1,736

Intangible assets, net                               2,937      2,622

Other assets                                           305        315
                                                 ---------- ----------
     Total assets                                $   6,743  $   6,250
                                                 ========== ==========


Current liabilities                              $   2,763  $   3,702

Long-term debt                                       2,556      1,860

Nonpension postretirement benefits                     304        317

Other liabilities                                      505        368

Shareowners' equity                                    615          3
                                                 ---------- ----------
     Total liabilities and shareowners' equity   $   6,743  $   6,250
                                                 ========== ==========


Total debt                                       $   3,724  $   3,907
                                                 ========== ==========

Cash and cash equivalents                        $      39  $      41
                                                 ========== ==========

    CONTACT: Campbell Soup Company
             Jerry S. Buckley (Media), 856-342-6007
             Leonard F. Griehs (Analysts), 856-342-6428

    SOURCE: Campbell Soup Company