Newell Rubbermaid (NYSE: NWL) today announced solid first quarter 2013
results.
“We’ve had a good start to the year and made further progress driving
the Growth Game Plan into action,” said President and Chief Executive
Officer Michael Polk. “Underlying financial results on our continuing
business were solid, with particularly strong performances from our
Commercial Products, Tools and Baby & Parenting operating segments. Core
sales grew 2.5 percent when adjusted for last year’s European
SAP-related timing shift and normalized EPS grew 9.4 percent to $0.35.”
Polk added, “The Growth Game Plan calls for a sharper set of portfolio
choices to prioritize those businesses that have the greatest right to
win. In that context, we have taken steps to strengthen our portfolio by
initiating a process to sell our Hardware and Teach Platform businesses
which together represented 2012 net sales of slightly more than $300
million. These are good businesses run by talented people but they do
not fit with our strategy. The divestiture of these businesses will help
to create a faster growing, higher margin and more focused portfolio,
enabling us to drive accelerated performance.”
First Quarter Executive Summary
(Information presented for both current and prior year periods in this
release has been restated to reflect discontinued operations
classification for the company’s Hardware and Teach Platform businesses.)
-
First quarter 2013 net sales were $1.24 billion, a 0.8 percent decline
versus prior year results.
-
Core sales, which exclude the impact of changes in foreign currency
translation, grew 0.2 percent, or 2.5 percent when adjusted for the
2012 timing shift of approximately $28 million in sales from the
second quarter to the first quarter related to the company’s European
SAP conversion in 2012.
-
Normalized operating margin declined 40 basis points, compared with
prior year results that included an 80 basis point favorable impact
from the 2012 European SAP-related timing shift. Reported operating
margin declined 200 basis points, due largely to increased
restructuring costs and the mix impact of the European SAP-related
timing shift.
-
Normalized diluted earnings per share were $0.35, a year-over-year
increase of 9.4 percent due to a more favorable tax rate, lower
interest expense and improved operating performance, partially offset
by a comparison with prior year results that included a $0.03 benefit
from the European SAP-related sales timing shift.
-
Reported diluted earnings per share were $0.19 compared with $0.27 in
the year-ago period, due largely to increased restructuring costs, a
loss from discontinued operations, and a loss relating to the currency
devaluation in Venezuela.
-
Operating cash flow was a use of $123.1 million, as compared with a
use of $47.4 million in the prior year, largely due to an incremental
voluntary $75 million pension contribution.
-
The company returned $78.3 million to shareholders through a dividend
payout of $44.5 million and the repurchase of 1.4 million shares at a
cost of $33.8 million.
-
The company’s Hardware and Teach Platform businesses (comprising the
Bulldog®, Shurline®, Ashland® and Amerock® brands, the drapery
hardware business, and Mimio®) have been classified as discontinued
operations.
-
The company’s 2013 guidance is core sales growth in a range from 2 to
4 percent, normalized operating margin improvement of up to 20 basis
points, normalized earnings per share of $1.78 to $1.84 and operating
cash flow of $575 to $625 million.
First Quarter 2013 Operating Results
Net sales in the first quarter were $1.24 billion, a decline of 0.8
percent compared with the prior year. Core sales, which exclude 100
basis points of adverse foreign currency translation, grew 0.2 percent,
or 2.5 percent if adjusted for the 2012 timing shift of approximately
$28 million from the second quarter to the first quarter related to the
company’s European SAP conversion.
Gross margin of 38.2 percent improved 110 basis points sequentially from
the fourth quarter of 2012 and declined 80 basis points versus prior
year. First quarter 2012 results included a significant mix benefit
associated with the prior year European SAP pull forward while 2013
results included more robust programming in select categories.
Operating margin for the quarter was 7.9 percent, compared with 9.9
percent in the prior year, largely due to increased restructuring costs,
as well as the factors mentioned above. First quarter reported operating
income was $97.8 million versus $123.2 million in the prior year period.
Normalized operating margin was 11.2 percent, compared with 11.6 percent
in the prior year. The decline was primarily attributable to an 80 basis
point favorable impact of the SAP-related timing shift in the prior year
partially offset by cost savings reflecting the benefits of Project
Renewal initiatives.
Normalized operating income was $138.8 million compared with $145.3
million in the prior year period, with the decline reflective of a $13
million favorable impact of the SAP-related timing shift in the prior
year. First quarter normalized operating income excludes $41.0 million
of restructuring and restructuring-related costs incurred primarily in
connection with Project Renewal, while in 2012 normalized operating
income excluded $22.1 million of restructuring and restructuring-related
costs.
The reported tax rate for the quarter was 9.1 percent compared with 24.2
percent in the prior year. The normalized tax rate was 16.5 percent
compared with 23.7 percent in the prior year. The year-over-year change
in the normalized tax rate was primarily driven by a net favorable
discrete tax benefit of $8.3 million to record net international
deferred tax assets.
Reported net income was $54.2 million, or $0.19 per diluted share, for
the first quarter. This compares with $79.3 million, or $0.27 per
diluted share, in the prior year.
Normalized net income was $102.1 million, compared with prior year
normalized results of $95.7 million. Normalized diluted earnings per
share of $0.35 increased 9.4 percent versus the prior year’s $0.32,
attributable to improved operating performance, lower interest expense
and a more favorable tax rate, partially offset by a comparison with
first quarter 2012 results that included a benefit of approximately
$0.03 related to the European SAP-related timing shift.
For the first quarter 2013, normalized diluted earnings per share
exclude $0.12 per diluted share for restructuring and
restructuring-related costs associated with Project Renewal, $0.02 per
diluted share resulting from the currency devaluation in Venezuela,
$0.02 per diluted share attributable to the resolution of tax
contingencies, and a net loss (including impairments) from discontinued
operations of $0.03 per diluted share. For the first quarter 2012,
normalized diluted earnings per share exclude $0.06 per diluted share
for restructuring and restructuring-related costs associated with the
European Transformation Plan and Project Renewal. (A reconciliation of
the “as reported” results to “normalized” results is included below.)
The company used $123.1 million for operating activities during the
first quarter of 2013 compared with a use of $47.4 million in the
comparable period last year. 2013 results included a voluntary $100
million pension contribution ($75 million more than in the first quarter
of 2012). Capital expenditures were $33.6 million compared with $48.3
million in the prior year.
A reconciliation of the first quarter 2013 and 2012 results is
as follows:
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Q1 2013*
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Q1 2012*
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Diluted earnings per share (as reported)
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$
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0.19
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$
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0.27
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Restructuring and restructuring-related costs
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0.12
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0.06
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Currency devaluation – Venezuela
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0.02
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-
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Income tax contingencies
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(0.02
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)
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-
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Loss from discontinued operations
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0.03
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-
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Normalized EPS
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$
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0.35
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$
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0.32
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*Totals may not add due to rounding
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First Quarter 2013 Operating Segment Results
In connection with the reclassification of the Hardware and Teach
Platform businesses to discontinued operations, the remaining Specialty
segment businesses, comprising Dymo Office and Endicia, have been
consolidated within the Writing segment, reflecting the new leadership
responsibility for these businesses. Information presented for both
current and prior year periods in this release has been restated to
reflect this change.
Writing segment net sales for the first quarter were $340.6 million, a
decline of 9.3 percent compared with the prior year quarter. Core sales
declined 8.5 percent. If adjusted for the 2012 European SAP-related
timing shift, the core sales decline was 4.5 percent. The decline
reflects a comparison with the prior year pipeline build of Paper Mate®
InkJoy® and related launch support, overall softness in the office
superstore channel in the U.S. and a planned change to the company’s
distributor model for the Fine Writing business in China which resulted
in a reduction in sales, partially offset by solid double digit growth
from Endicia. Operating income in Writing was $63.2 million, or 18.6
percent of sales, compared with $66.4 million, or 17.7 percent of sales,
in the prior year. The improvement in operating margin was due to
stronger productivity and planned spending reductions compared with last
year’s Paper Mate InkJoy launch.
Home Solutions segment net sales for the first quarter were $338.9
million, a 3.7 percent increase compared with the prior year quarter.
Core sales in the segment increased 3.9 percent. The solid growth was
primarily driven by strong results from Rubbermaid®. Operating income in
the Home Solutions segment was $34.1 million, or 10.1 percent of sales,
as compared with $30.9 million, or 9.5 percent of sales, in the prior
year. The improvement was primarily driven by increased sales volume and
Project Renewal-related cost savings.
Tools segment net sales for the first quarter were $188.6 million, a 1.0
percent decline compared with the prior year quarter. Core sales growth
was 0.7 percent. If adjusted for the 2012 European SAP-related timing
shift, core sales increased 5.1 percent as a result of strong new
product driven growth in Latin America from Irwin® and despite the
absence of the 2012 early spring weather in the U.S. Operating income in
the Tools segment was $18.7 million, or 9.9 percent of sales, compared
with $28.7 million, or 15.1 percent of sales, in the prior year. The
decline in margin was largely driven by input cost inflation and
continued increased investments in strategic SG&A.
Commercial Products segment net sales for the first quarter were $183.1
million, a 4.4 percent increase compared with the prior year quarter.
Core sales growth was 4.9 percent. If adjusted for the 2012 European
SAP-related timing shift, core sales in the segment increased 6.1
percent. This strong result was delivered as a result of continued
strong growth from Commercial Products in the Americas, including
double-digit growth in Rubbermaid Healthcare. Operating income in the
Commercial Products segment was $21.6 million, or 11.8 percent of sales,
compared with $18.6 million, or 10.6 percent of sales, in the prior
year. Strong productivity delivery coupled with Project Renewal-related
reductions in structural SG&A expenses more than offset increased
investments in emerging market selling capability.
Baby & Parenting segment net sales for the first quarter were $189.6
million, a 4.1 percent increase compared with the prior year quarter.
Core sales growth was 6.4 percent. If adjusted for the 2012 European
SAP-related timing shift, core sales in the segment increased 7.9
percent, driven by strong share gains by Graco® in North America and
Aprica® in Japan. Operating income in the Baby & Parenting segment was
$23.9 million, or 12.6 percent of sales, compared with $22.4 million, or
12.3 percent of sales, in the prior year.
Strategic Changes
The company announced its decision to pursue the sale of its Hardware
and Teach Platform businesses. The divestiture of these businesses will
create a faster growing, higher margin and more focused portfolio,
enabling accelerated performance. The related results of operations of
these businesses (comprising the Bulldog®, Shurline®, Ashland® and
Amerock® brands, the drapery hardware business, and Mimio®) are reported
as discontinued operations in the company’s financial statements.
2013 Outlook
The company updated its guidance and key assumptions for the full year
2013 as follows:
-
Core sales increase of 2 to 4 percent;
-
Normalized operating margin improvement of up to 20 basis points;
-
Normalized EPS of $1.78 to $1.84, which now represents 6 to 10 percent
growth versus last year’s normalized EPS of $1.67 (restated for
discontinued operations); and
-
Operating cash flow of between $575 and $625 million.
The company’s 2013 normalized EPS guidance excludes between $90 and $110
million of restructuring and restructuring-related costs associated with
Project Renewal. (A reconciliation to normalized results is included
below.)
The company is on track to realize cumulative annualized cost savings of
approximately $270 to $325 million by the second quarter of 2015 related
to Project Renewal, with cumulative annualized savings of $90 to $100
million expected by the first half of 2013. The company intends to
reinvest the majority of Project Renewal savings in the business to
strengthen brand building and selling capabilities and accelerate growth.
The company’s operating cash flow guidance includes approximately $70 to
$90 million in restructuring and restructuring-related cash payments.
The company plans to fund capital expenditures of $175 to $200 million
during the year.
A reconciliation of the 2013 earnings outlook is as follows:
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FY 2013
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Diluted earnings per share
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$1.54 to $1.60
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Restructuring and restructuring-related costs
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$0.21 to $0.27
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Currency devaluation - Venezuela
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$0.02
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Income tax contingencies
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($0.02)
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Loss (income) from discontinued operations
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$0.01 to ($0.01)
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Normalized EPS
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$1.78 to $1.84
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Conference Call
The company’s first quarter 2013 earnings conference call is scheduled
for today, May 3, 2013, at 8:30 am ET. To listen to the webcast, use the
link provided under Events & Presentations in the Investor Relations
section of Newell Rubbermaid’s Web site at www.newellrubbermaid.com.
The webcast will be recorded and made available for replay. A supporting
slide presentation will be available under Quarterly Earnings in the
Investor Relations section on the company’s Web site.
Non-GAAP Financial Measures
This release contains non-GAAP financial measures within the meaning of
Regulation G promulgated by the Securities and Exchange Commission.
Included in this release is a reconciliation of these non-GAAP financial
measures to the most directly comparable financial measures calculated
in accordance with GAAP.
The company uses certain financial measures that are included in this
press release and the additional financial information both in
explaining its results to stockholders and the investment community and
in its internal evaluation and management of its businesses. The
company’s management believes that these measures - including those that
are “non-GAAP financial measures” - and the information they provide are
useful to investors since these measures (a) permit investors to view
the company’s performance using the same tools that company management
uses to evaluate the company’s past performance, reportable business
segments and prospects for future performance and (b) determine certain
elements of management’s incentive compensation.
The company’s management believes that core sales, as reflected in the
Currency Analysis, is useful to investors because it demonstrates the
effect of foreign currency translation on reported sales. The effect of
foreign currency translation on reported sales is determined by applying
a fixed exchange rate, calculated as the 12-month average in 2012, to
the current and prior year local currency sales amounts, with the
difference in these two amounts being the change in core sales and the
difference between the change in as reported sales and the change in
core sales reported as the currency impact. The company believes that
providing adjusted core sales excluding the impact of a timing shift
related to the 2012 implementation of SAP in Europe is useful in that it
helps investors understand underlying business trends. The company’s
management believes that “normalized” gross margin, “normalized” SG&A
expense, “normalized” operating income and “normalized” tax rates are
useful because they provide investors with a meaningful perspective on
the current underlying performance of the company’s core ongoing
operations. The company’s management believes that “normalized” earnings
per share, which excludes restructuring and restructuring-related
charges and one-time events such as losses related to the
extinguishments of debt, tax benefits and charges, impairment charges,
discontinued operations and certain other items, is useful to investors
because it permits investors to better understand year-over-year changes
in underlying operating performance. The company uses both core sales
and normalized earnings per share as two of the three performance
criteria in its management cash bonus plan.
The company determined the tax effect of the items excluded from
normalized diluted earnings per share by applying the estimated
effective rate for the applicable jurisdiction in which the pre-tax
items were incurred, and for which realization of the resulting tax
benefit, if any, is expected.
While the company believes that these non-GAAP financial measures are
useful in evaluating the company’s performance, this information should
be considered as supplemental in nature and not as a substitute for or
superior to the related financial information prepared in accordance
with GAAP. Additionally, these non-GAAP financial measures may differ
from similar measures presented by other companies.
About Newell Rubbermaid
Newell Rubbermaid Inc., an S&P 500 company, is a global marketer of
consumer and commercial products with 2012 sales of approximately $5.6
billion and a strong portfolio of leading brands, including Sharpie®,
Paper Mate®, Rubbermaid Commercial Products®, Irwin®, Lenox®, Parker®,
Waterman®, Rubbermaid®, Levolor®, Calphalon®, Goody®, Graco®, Aprica®
and Dymo®. As part of the company’s Growth Game Plan, Newell Rubbermaid
is making sharper portfolio choices and investing in new marketing and
innovation to accelerate performance.
This press release and additional information about Newell Rubbermaid
are available on the company’s Web site, www.newellrubbermaid.com.
Caution Concerning Forward-Looking Statements
Statements in this press release that are not historical in nature
constitute forward-looking statements. These forward-looking statements
relate to information or assumptions about the effects of sales,
income/(loss), earnings per share, operating income, operating margin or
gross margin improvements or declines, Project Renewal, capital and
other expenditures, cash flow, dividends, restructuring and
restructuring-related costs, costs and cost savings, inflation or
deflation, particularly with respect to commodities such as oil and
resin, debt ratings, and management's plans, projections and objectives
for future operations and performance. These statements are accompanied
by words such as "anticipate," "expect," "project," "will," "believe,"
"estimate" and similar expressions. Actual results could differ
materially from those expressed or implied in the forward-looking
statements. Important factors that could cause actual results to differ
materially from those suggested by the forward-looking statements
include, but are not limited to, our dependence on the strength of
retail, commercial and industrial sectors of the economy in light of the
continuation or escalation of the global economic slowdown or regional
sovereign debt issues; currency fluctuations; competition with other
manufacturers and distributors of consumer products; major retailers'
strong bargaining power; changes in the prices of raw materials and
sourced products and our ability to obtain raw materials and sourced
products in a timely manner from suppliers; our ability to develop
innovative new products and to develop, maintain and strengthen our
end-user brands; our ability to expeditiously close facilities and move
operations while managing foreign regulations and other impediments; our
ability to successfully implement information technology solutions
throughout our organization; our ability to improve productivity and
streamline operations; changes to our credit ratings; significant
increases in the funding obligations related to our pension plans due to
declining asset values, declining interest rates or otherwise; the
imposition of tax liabilities greater than our provisions for such
matters; the risks inherent in our foreign operations and those factors
listed in the company’s most recently filed Annual Report on Form 10-K
and Item 1A therein, filed with the Securities and Exchange Commission.
Newell Rubbermaid Inc.
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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
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(in millions, except per share data)
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Three Months Ended March 31,
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YOY
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2013
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2012
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% Change
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Net sales
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$
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1,240.8
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$
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1,250.5
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(0.8
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)%
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Cost of products sold
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767.2
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762.5
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GROSS MARGIN
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473.6
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488.0
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(3.0
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)%
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% of sales
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38.2
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%
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39.0
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%
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Selling, general &
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administrative expenses
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341.4
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352.7
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(3.2
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)%
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% of sales
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|
27.5
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%
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28.2
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%
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Restructuring costs
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34.4
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12.1
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OPERATING INCOME
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|
97.8
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123.2
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(20.6
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)%
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% of sales
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7.9
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%
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9.9
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%
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Nonoperating expenses:
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Interest expense, net
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14.6
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20.2
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Other expense (income), net
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13.0
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(0.3
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)
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27.6
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19.9
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38.7
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%
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INCOME BEFORE INCOME TAXES
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70.2
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103.3
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(32.0
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)%
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% of sales
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5.7
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%
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8.3
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%
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Income taxes
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|
6.4
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25.0
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(74.4
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)%
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Effective rate
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9.1
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%
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24.2
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%
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NET INCOME FROM CONTINUING OPERATIONS
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63.8
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78.3
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(18.5
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)%
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% of sales
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5.1
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%
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6.3
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%
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(Loss) income from discontinued operations, net of tax
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(9.6
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)
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1.0
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NET INCOME
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|
$
|
54.2
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|
|
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|
$
|
79.3
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|
|
|
(31.7
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)%
|
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4.4
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%
|
|
|
|
|
6.3
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%
|
|
|
|
|
|
|
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|
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EARNINGS PER SHARE:
|
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Basic
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from continuing operations
|
|
|
$
|
0.22
|
|
|
|
|
$
|
0.27
|
|
|
|
|
|
|
(Loss) income from discontinued operations
|
|
|
|
(0.03
|
)
|
|
|
|
|
-
|
|
|
|
|
|
|
Net income
|
|
|
$
|
0.19
|
|
|
|
|
$
|
0.27
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from continuing operations
|
|
|
$
|
0.22
|
|
|
|
|
$
|
0.27
|
|
|
|
|
|
|
(Loss) income from discontinued operations
|
|
|
|
(0.03
|
)
|
|
|
|
|
-
|
|
|
|
|
|
|
Net income
|
|
|
$
|
0.19
|
|
|
|
|
$
|
0.27
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE SHARES OUTSTANDING:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
|
290.0
|
|
|
|
|
|
292.1
|
|
|
|
|
|
|
Diluted
|
|
|
|
293.1
|
|
|
|
|
|
294.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Newell Rubbermaid Inc.
|
RECONCILIATION OF GAAP AND NON-GAAP INFORMATION
|
CERTAIN LINE ITEMS
|
(in millions, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended March 31, 2013
|
|
|
GAAP Measure
|
|
Restructuring and
|
|
Charge resulting from
|
|
|
|
|
|
Non-GAAP Measure
|
|
|
|
|
restructuring-related
|
|
the devaluation of the
|
|
Non-recurring
|
|
Discontinued
|
|
|
Percentage
|
|
|
Reported
|
|
costs (1)
|
|
Venezuelan Bolivar (2)
|
|
tax items (3)
|
|
operations (4)
|
|
Normalized*
|
|
of Sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general & administrative expenses
|
$
|
341.4
|
|
$
|
(6.6
|
)
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
334.8
|
|
27.0
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
|
|
$
|
97.8
|
|
$
|
41.0
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
138.8
|
|
11.2
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonoperating expenses
|
|
$
|
27.6
|
|
$
|
-
|
|
|
$
|
(11.1
|
)
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
16.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income taxes
|
|
$
|
70.2
|
|
$
|
41.0
|
|
|
$
|
11.1
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
122.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income taxes (5)
|
|
$
|
6.4
|
|
$
|
4.9
|
|
|
$
|
4.1
|
|
|
$
|
4.8
|
|
|
$
|
-
|
|
|
$
|
20.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income from continuing operations
|
$
|
63.8
|
|
$
|
36.1
|
|
|
$
|
7.0
|
|
|
$
|
(4.8
|
)
|
|
$
|
-
|
|
|
$
|
102.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
54.2
|
|
$
|
36.1
|
|
|
$
|
7.0
|
|
|
$
|
(4.8
|
)
|
|
$
|
9.6
|
|
|
$
|
102.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share**
|
|
$
|
0.19
|
|
$
|
0.12
|
|
|
$
|
0.02
|
|
|
$
|
(0.02
|
)
|
|
$
|
0.03
|
|
|
$
|
0.35
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended March 31, 2012
|
|
|
|
|
|
|
GAAP Measure
|
|
Restructuring and
|
|
|
Non-GAAP Measure
|
|
|
|
|
|
|
|
|
restructuring-related
|
|
Discontinued
|
|
|
|
Percentage
|
|
|
|
|
|
|
Reported
|
|
costs (1)
|
|
operations (4)
|
|
Normalized*
|
|
of Sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general & administrative expenses
|
$
|
352.7
|
|
$
|
(10.0
|
)
|
|
$
|
-
|
|
|
$
|
342.7
|
|
|
|
27.4
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
|
|
$
|
123.2
|
|
$
|
22.1
|
|
|
$
|
-
|
|
|
$
|
145.3
|
|
|
|
11.6
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income taxes
|
|
$
|
103.3
|
|
$
|
22.1
|
|
|
$
|
-
|
|
|
$
|
125.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income taxes (5)
|
|
$
|
25.0
|
|
$
|
4.7
|
|
|
$
|
-
|
|
|
$
|
29.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income from continuing operations
|
$
|
78.3
|
|
$
|
17.4
|
|
|
$
|
-
|
|
|
$
|
95.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
79.3
|
|
$
|
17.4
|
|
|
$
|
(1.0
|
)
|
|
$
|
95.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share**
|
|
$
|
0.27
|
|
$
|
0.06
|
|
|
$
|
-
|
|
|
$
|
0.32
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Normalized results are financial measures that are not in
accordance with GAAP and exclude the above normalized adjustments.
See below for a discussion of each of these adjustments.
|
**Totals may not add due to rounding.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Restructuring and restructuring-related charges during the three
months ended March 31, 2013 include $6.6 million of organizational
change implementation and restructuring-related costs and $34.4
million of restructuring costs incurred in connection with Project
Renewal. Restructuring and restructuring-related charges during the
three months ended March 31, 2012 include $10.0 million of
restructuring-related costs and $12.1 million of restructuring costs
incurred in connection with the European Transformation Plan and
Project Renewal.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) During the three months ended March 31, 2013, the Company
recognized a foreign exchange loss of $11.1 million resulting from
the devaluation of the Venezuelan Bolivar, which under
hyperinflationary accounting is recorded in the Statement of
Operations.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3) During the three months ended March 31, 2013, the Company
recognized a non-recurring income tax benefit of $4.8 million
resulting from the resolution of various income tax contingencies.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(4) During the three months ended March 31, 2013, the Company
recognized a net loss, including impairments, of $9.6 million in
discontinued operations relating to the operations of the Hardware
and Teach businesses. During the three months ended March 31, 2012,
the Company recognized net income of $1.0 million in discontinued
operations relating to the operations of the Hardware and Teach
businesses.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(5) The Company determined the tax effect of the items excluded from
normalized results by applying the estimated effective rate for the
applicable jurisdiction in which the pre-tax items were incurred,
and for which realization of the resulting tax benefit, if any, is
expected.
|
|
|
Newell Rubbermaid Inc.
|
RECONCILIATION OF GAAP AND NON-GAAP INFORMATION, EXCLUDING EMEA SAP
|
CERTAIN LINE ITEMS
|
(in millions, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended March 31, 2012
|
|
|
Non-GAAP Measure
|
|
|
|
|
Percentage
|
|
EMEA SAP
|
|
Normalized
|
|
Percentage
|
|
Change Attributable
|
|
|
Normalized* (1)
|
|
of Sales
|
|
Impact (2)
|
|
Adjusted
|
|
of Sales
|
|
to EMEA SAP Impact
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
$
|
1,250.5
|
|
|
|
$
|
(28.2
|
)
|
|
$
|
1,222.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of products sold
|
|
$
|
762.5
|
|
|
|
$
|
(15.0
|
)
|
|
$
|
747.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross margin
|
|
$
|
488.0
|
|
39.0
|
%
|
|
$
|
(13.2
|
)
|
|
$
|
474.8
|
|
38.8
|
%
|
|
0.2
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general & administrative expenses
|
$
|
342.7
|
|
27.4
|
%
|
|
$
|
-
|
|
|
$
|
342.7
|
|
28.0
|
%
|
|
-0.6
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
|
|
$
|
145.3
|
|
11.6
|
%
|
|
$
|
(13.2
|
)
|
|
$
|
132.1
|
|
10.8
|
%
|
|
0.8
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income taxes
|
$
|
125.4
|
|
|
|
$
|
(13.2
|
)
|
|
$
|
112.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income taxes
|
|
$
|
29.7
|
|
|
|
$
|
(3.2
|
)
|
|
$
|
26.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income from continuing operations
|
$
|
95.7
|
|
|
|
$
|
(10.0
|
)
|
|
$
|
85.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
95.7
|
|
|
|
$
|
(10.0
|
)
|
|
$
|
85.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share**
|
$
|
0.32
|
|
|
|
$
|
(0.03
|
)
|
|
$
|
0.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Normalized results are financial measures that are not in
accordance with GAAP and exclude the above normalized adjustments.
See below for a discussion of each of these adjustments.
|
**Totals may not add due to rounding.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See the reconciliation of reported results to normalized results
for the three months ended March 31, 2012 for additional information
regarding normalized results.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) In contemplation of the EMEA SAP conversion on April 1, 2012,
the Company communicated with key customers in Europe about their
interest in accelerating orders to mitigate the risk of potential
business disruption. The Company determined the impact of the timing
shift related to its EMEA SAP conversion by tracking orders from
customers that accelerated their normal order patterns as a result
of the Company’s communications.
|
|
|
Newell Rubbermaid Inc.
|
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
|
(in millions)
|
|
|
|
|
|
|
|
|
March 31,
|
|
|
March 31,
|
Assets:
|
|
|
2013
|
|
|
|
2012
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
174.2
|
|
|
$
|
190.1
|
Accounts receivable, net
|
|
|
1,021.3
|
|
|
|
942.2
|
Inventories, net
|
|
|
815.0
|
|
|
|
858.9
|
Deferred income taxes
|
|
|
155.4
|
|
|
|
156.4
|
Prepaid expenses and other
|
|
|
190.7
|
|
|
|
144.4
|
|
|
|
|
|
|
Total Current Assets
|
|
|
2,356.6
|
|
|
|
2,292.0
|
|
|
|
|
|
|
Property, plant and equipment, net
|
|
|
549.5
|
|
|
|
561.6
|
Goodwill
|
|
|
2,340.4
|
|
|
|
2,386.8
|
Other intangible assets, net
|
|
|
642.6
|
|
|
|
673.1
|
Other assets
|
|
|
308.1
|
|
|
|
375.3
|
|
|
|
|
|
|
Total Assets
|
|
$
|
6,197.2
|
|
|
$
|
6,288.8
|
|
|
|
|
|
|
Liabilities and Stockholders' Equity:
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable
|
|
$
|
570.1
|
|
|
$
|
527.4
|
Accrued compensation
|
|
|
103.0
|
|
|
|
98.1
|
Other accrued liabilities
|
|
|
588.5
|
|
|
|
592.7
|
Short-term debt
|
|
|
411.8
|
|
|
|
496.9
|
Current portion of long-term debt
|
|
|
1.2
|
|
|
|
12.8
|
|
|
|
|
|
|
Total Current Liabilities
|
|
|
1,674.6
|
|
|
|
1,727.9
|
|
|
|
|
|
|
Long-term debt
|
|
|
1,699.6
|
|
|
|
1,803.4
|
Other noncurrent liabilities
|
|
|
834.4
|
|
|
|
806.7
|
|
|
|
|
|
|
Stockholders' Equity - Parent
|
|
|
1,985.1
|
|
|
|
1,947.3
|
Stockholders' Equity - Noncontrolling Interests
|
|
|
3.5
|
|
|
|
3.5
|
|
|
|
|
|
|
Total Stockholders' Equity
|
|
|
1,988.6
|
|
|
|
1,950.8
|
|
|
|
|
|
|
Total Liabilities and Stockholders' Equity
|
|
$
|
6,197.2
|
|
|
$
|
6,288.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Newell Rubbermaid Inc.
|
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW (UNAUDITED)
|
(in millions)
|
|
|
|
|
|
|
|
|
Three Months Ended March 31,
|
|
|
|
2013
|
|
|
|
|
2012
|
|
Operating Activities:
|
|
|
|
|
|
Net income
|
|
$
|
54.2
|
|
|
|
$
|
79.3
|
|
Adjustments to reconcile net income to net cash used in
|
|
|
|
|
|
operating activities:
|
|
|
|
|
|
Depreciation and amortization
|
|
|
39.8
|
|
|
|
|
39.4
|
|
Impairments related to discontinued operations
|
|
|
12.4
|
|
|
|
|
-
|
|
Deferred income taxes
|
|
|
38.9
|
|
|
|
|
19.6
|
|
Stock-based compensation expense
|
|
|
9.4
|
|
|
|
|
9.4
|
|
Other, net
|
|
|
8.9
|
|
|
|
|
0.9
|
|
Changes in operating assets and liabilities, excluding the effects
of acquisitions and divestitures:
|
|
|
|
|
Accounts receivable
|
|
|
80.3
|
|
|
|
|
71.8
|
|
Inventories
|
|
|
(123.4
|
)
|
|
|
|
(148.5
|
)
|
Accounts payable
|
|
|
45.1
|
|
|
|
|
54.0
|
|
Accrued liabilities and other
|
|
|
(288.7
|
)
|
|
|
|
(173.3
|
)
|
Net cash used in operating activities
|
|
$
|
(123.1
|
)
|
|
|
$
|
(47.4
|
)
|
|
|
|
|
|
|
Investing Activities:
|
|
|
|
|
|
Acquisitions and acquisition-related activity
|
|
$
|
-
|
|
|
|
$
|
(3.7
|
)
|
Capital expenditures
|
|
|
(33.6
|
)
|
|
|
|
(48.3
|
)
|
Proceeds from sales of noncurrent assets
|
|
|
-
|
|
|
|
|
10.0
|
|
Other
|
|
|
(0.3
|
)
|
|
|
|
-
|
|
Net cash used in investing activities
|
|
$
|
(33.9
|
)
|
|
|
$
|
(42.0
|
)
|
|
|
|
|
|
|
Financing Activities:
|
|
|
|
|
|
Net short-term borrowings
|
|
$
|
200.7
|
|
|
|
$
|
392.7
|
|
Payments on debt
|
|
|
-
|
|
|
|
|
(250.3
|
)
|
Repurchase and retirement of shares of common stock
|
|
|
(33.8
|
)
|
|
|
|
(16.4
|
)
|
Cash dividends
|
|
|
(44.5
|
)
|
|
|
|
(24.2
|
)
|
Excess tax benefits related to stock-based compensation
|
|
|
9.1
|
|
|
|
|
10.6
|
|
Other stock-based compensation activity, net
|
|
|
16.6
|
|
|
|
|
(6.5
|
)
|
Net cash provided by financing activities
|
|
$
|
148.1
|
|
|
|
$
|
105.9
|
|
|
|
|
|
|
|
Currency rate effect on cash and cash equivalents
|
|
$
|
(0.7
|
)
|
|
|
$
|
3.4
|
|
|
|
|
|
|
|
(Decrease) Increase in cash and cash equivalents
|
|
$
|
(9.6
|
)
|
|
|
$
|
19.9
|
|
Cash and cash equivalents at beginning of period
|
|
|
183.8
|
|
|
|
|
170.2
|
|
Cash and cash equivalents at end of period
|
|
$
|
174.2
|
|
|
|
$
|
190.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Newell Rubbermaid Inc.
|
Financial Worksheet- Segment Reporting
|
(In Millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2013
|
|
|
2012
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation (1)
|
|
|
|
|
|
Reconciliation (1)
|
|
|
|
Year-over-year changes
|
|
|
|
|
Reported
|
|
Excluded
|
|
Normalized
|
|
Operating
|
|
|
Reported
|
|
Excluded
|
|
Normalized
|
|
Operating
|
Net Sales
|
Normalized OI
|
|
|
Net Sales
|
|
OI
|
|
Items
|
|
OI
|
|
Margin
|
|
Net Sales
|
|
OI
|
|
Items
|
|
OI
|
|
Margin
|
|
|
$
|
|
|
%
|
|
|
|
$
|
|
|
%
|
|
Q1:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Writing
|
|
$
|
340.6
|
|
$
|
63.2
|
|
|
$
|
-
|
|
$
|
63.2
|
|
|
18.6
|
%
|
|
$
|
375.6
|
|
$
|
66.4
|
|
|
$
|
-
|
|
$
|
66.4
|
|
|
17.7
|
%
|
|
$
|
(35.0
|
)
|
|
(9.3
|
)%
|
|
$
|
(3.2
|
)
|
|
(4.8
|
)%
|
Home Solutions
|
|
338.9
|
|
|
34.1
|
|
|
|
-
|
|
|
34.1
|
|
|
10.1
|
%
|
|
|
326.7
|
|
|
30.9
|
|
|
|
-
|
|
|
30.9
|
|
|
9.5
|
%
|
|
|
12.2
|
|
|
3.7
|
%
|
|
|
3.2
|
|
|
10.4
|
%
|
Tools
|
|
|
188.6
|
|
|
18.7
|
|
|
|
-
|
|
|
18.7
|
|
|
9.9
|
%
|
|
|
190.6
|
|
|
28.7
|
|
|
|
-
|
|
|
28.7
|
|
|
15.1
|
%
|
|
|
(2.0
|
)
|
|
(1.0
|
)%
|
|
|
(10.0
|
)
|
|
(34.8
|
)%
|
Commercial Products
|
|
183.1
|
|
|
21.6
|
|
|
|
-
|
|
|
21.6
|
|
|
11.8
|
%
|
|
|
175.4
|
|
|
18.6
|
|
|
|
-
|
|
|
18.6
|
|
|
10.6
|
%
|
|
|
7.7
|
|
|
4.4
|
%
|
|
|
3.0
|
|
|
16.1
|
%
|
Baby & Parenting
|
|
189.6
|
|
|
23.9
|
|
|
|
-
|
|
|
23.9
|
|
|
12.6
|
%
|
|
|
182.2
|
|
|
22.4
|
|
|
|
-
|
|
|
22.4
|
|
|
12.3
|
%
|
|
|
7.4
|
|
|
4.1
|
%
|
|
|
1.5
|
|
|
6.7
|
%
|
Restructuring Costs
|
|
-
|
|
|
(34.4
|
)
|
|
|
34.4
|
|
|
-
|
|
|
|
|
|
-
|
|
|
(12.1
|
)
|
|
|
12.1
|
|
|
-
|
|
|
|
|
|
-
|
|
|
|
|
|
-
|
|
|
|
Corporate
|
|
|
-
|
|
|
(29.3
|
)
|
|
|
6.6
|
|
|
(22.7
|
)
|
|
|
|
|
-
|
|
|
(31.7
|
)
|
|
|
10.0
|
|
|
(21.7
|
)
|
|
|
|
|
-
|
|
|
|
|
|
(1.0
|
)
|
|
(4.6
|
)%
|
Total
|
|
$
|
1,240.8
|
|
$
|
97.8
|
|
|
$
|
41.0
|
|
$
|
138.8
|
|
|
11.2
|
%
|
|
$
|
1,250.5
|
|
$
|
123.2
|
|
|
$
|
22.1
|
|
$
|
145.3
|
|
|
11.6
|
%
|
|
$
|
(9.7
|
)
|
|
(0.8
|
)%
|
|
$
|
(6.5
|
)
|
|
(4.5
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Excluded items consist of organizational change implementation,
restructuring-related and restructuring costs. Organizational change
implementation and restructuring-related costs of $6.6 million and
restructuring costs of $34.4 million incurred during the three
months ended March 31, 2013 relate to Project Renewal.
Restructuring-related costs of $10.0 million and restructuring costs
of $12.1 million during the three months ended March 31, 2012 relate
to the European Transformation Plan and Project Renewal.
|
|
|
Newell Rubbermaid Inc.
|
Three Months Ended March 31, 2013
|
In Millions
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Currency Analysis
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
By Segment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As Reported
|
|
Core Sales (1)
|
|
|
|
Year-Over-Year (Decrease) Increase
|
|
|
|
|
|
|
|
(Decrease)
|
|
|
|
|
|
(Decrease)
|
|
Currency
|
|
Excluding
|
|
Including
|
|
Currency
|
|
|
|
2013
|
|
|
2012
|
|
Increase
|
|
|
2013
|
|
|
2012
|
|
Increase
|
|
Impact
|
|
Currency
|
|
Currency
|
|
Impact
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Writing
|
|
$
|
340.6
|
|
$
|
375.6
|
|
$
|
(35.0
|
)
|
|
$
|
341.0
|
|
$
|
372.8
|
|
$
|
(31.8
|
)
|
|
$
|
(3.2
|
)
|
|
(8.5
|
)%
|
|
(9.3
|
)%
|
|
(0.8
|
)%
|
Home Solutions
|
|
|
338.9
|
|
|
326.7
|
|
|
12.2
|
|
|
|
339.3
|
|
|
326.7
|
|
|
12.6
|
|
|
|
(0.4
|
)
|
|
3.9
|
%
|
|
3.7
|
%
|
|
(0.2
|
)%
|
Tools
|
|
|
188.6
|
|
|
190.6
|
|
|
(2.0
|
)
|
|
|
189.1
|
|
|
187.7
|
|
|
1.4
|
|
|
|
(3.4
|
)
|
|
0.7
|
%
|
|
(1.0
|
)%
|
|
(1.7
|
)%
|
Commercial Products
|
|
|
183.1
|
|
|
175.4
|
|
|
7.7
|
|
|
|
183.4
|
|
|
174.8
|
|
|
8.6
|
|
|
|
(0.9
|
)
|
|
4.9
|
%
|
|
4.4
|
%
|
|
(0.5
|
)%
|
Baby & Parenting
|
|
|
189.6
|
|
|
182.2
|
|
|
7.4
|
|
|
|
193.1
|
|
|
181.5
|
|
|
11.6
|
|
|
|
(4.2
|
)
|
|
6.4
|
%
|
|
4.1
|
%
|
|
(2.3
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Company
|
|
$
|
1,240.8
|
|
$
|
1,250.5
|
|
$
|
(9.7
|
)
|
|
$
|
1,245.9
|
|
$
|
1,243.5
|
|
$
|
2.4
|
|
|
$
|
(12.1
|
)
|
|
0.2
|
%
|
|
(0.8
|
)%
|
|
(1.0
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
By Geography
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
$
|
818.9
|
|
$
|
794.9
|
|
$
|
24.0
|
|
|
$
|
818.9
|
|
$
|
794.9
|
|
$
|
24.0
|
|
|
$
|
-
|
|
|
3.0
|
%
|
|
3.0
|
%
|
|
0.0
|
%
|
Canada
|
|
|
61.8
|
|
|
64.9
|
|
|
(3.1
|
)
|
|
|
62.5
|
|
|
65.2
|
|
|
(2.7
|
)
|
|
|
(0.4
|
)
|
|
(4.1
|
)%
|
|
(4.8
|
)%
|
|
(0.7
|
)%
|
Total North America
|
|
|
880.7
|
|
|
859.8
|
|
|
20.9
|
|
|
|
881.4
|
|
|
860.1
|
|
|
21.3
|
|
|
|
(0.4
|
)
|
|
2.5
|
%
|
|
2.4
|
%
|
|
(0.1
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Europe, Middle East and Africa
|
|
167.1
|
|
|
202.7
|
|
|
(35.6
|
)
|
|
|
164.7
|
|
|
198.8
|
|
|
(34.1
|
)
|
|
|
(1.5
|
)
|
|
(17.2
|
)%
|
|
(17.6
|
)%
|
|
(0.4
|
)%
|
Latin America
|
|
|
93.2
|
|
|
76.5
|
|
|
16.7
|
|
|
|
94.8
|
|
|
73.7
|
|
|
21.1
|
|
|
|
(4.4
|
)
|
|
28.6
|
%
|
|
21.8
|
%
|
|
(6.8
|
)%
|
Asia Pacific
|
|
|
99.8
|
|
|
111.5
|
|
|
(11.7
|
)
|
|
|
105.0
|
|
|
110.9
|
|
|
(5.9
|
)
|
|
|
(5.8
|
)
|
|
(5.3
|
)%
|
|
(10.5
|
)%
|
|
(5.2
|
)%
|
Total International
|
|
|
360.1
|
|
|
390.7
|
|
|
(30.6
|
)
|
|
|
364.5
|
|
|
383.4
|
|
|
(18.9
|
)
|
|
|
(11.7
|
)
|
|
(4.9
|
)%
|
|
(7.8
|
)%
|
|
(2.9
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Company
|
|
$
|
1,240.8
|
|
$
|
1,250.5
|
|
$
|
(9.7
|
)
|
|
$
|
1,245.9
|
|
$
|
1,243.5
|
|
$
|
2.4
|
|
|
$
|
(12.1
|
)
|
|
0.2
|
%
|
|
(0.8
|
)%
|
|
(1.0
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) "Core Sales" is determined by applying a fixed exchange rate,
calculated as the 12-month average in 2012, to the current and prior
year local currency sales amounts, with the difference between the
change in "As Reported" sales and the change in "Core Sales"
reported in the table as "Currency Impact".
|
|
|
|
|
Newell Rubbermaid Inc.
|
Three Months Ended March 31, 2013
|
In Millions
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Core Sales Excluding EMEA SAP
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
By Segment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Core Sales (1)
|
|
|
|
|
|
|
|
|
|
EMEA SAP
|
|
2012 excl.
|
|
(Decrease)
|
|
|
Core Sales
|
|
|
|
2013 (1)
|
|
|
2012 (1)
|
|
Impact (2)
|
|
EMEA SAP
|
|
Increase
|
|
|
excl. EMEA SAP
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Writing
|
|
$
|
341.0
|
|
|
$
|
372.8
|
|
|
$
|
(15.9
|
)
|
|
$
|
356.9
|
|
$
|
(15.9
|
)
|
|
|
(4.5
|
)%
|
Home Solutions
|
|
|
339.3
|
|
|
|
326.7
|
|
|
|
-
|
|
|
|
326.7
|
|
|
12.6
|
|
|
|
3.9
|
%
|
Tools
|
|
|
189.1
|
|
|
|
187.7
|
|
|
|
(7.8
|
)
|
|
|
179.9
|
|
|
9.2
|
|
|
|
5.1
|
%
|
Commercial Products
|
|
|
183.4
|
|
|
|
174.8
|
|
|
|
(2.0
|
)
|
|
|
172.8
|
|
|
10.6
|
|
|
|
6.1
|
%
|
Baby & Parenting
|
|
|
193.1
|
|
|
|
181.5
|
|
|
|
(2.5
|
)
|
|
|
179.0
|
|
|
14.1
|
|
|
|
7.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Company
|
|
$
|
1,245.9
|
|
|
$
|
1,243.5
|
|
|
$
|
(28.2
|
)
|
|
$
|
1,215.3
|
|
$
|
30.6
|
|
|
|
2.5
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
By Geography
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
$
|
818.9
|
|
|
$
|
794.9
|
|
|
$
|
-
|
|
|
$
|
794.9
|
|
$
|
24.0
|
|
|
|
3.0
|
%
|
Canada
|
|
|
62.5
|
|
|
|
65.2
|
|
|
|
-
|
|
|
|
65.2
|
|
|
(2.7
|
)
|
|
|
(4.1
|
)%
|
Total North America
|
|
|
881.4
|
|
|
|
860.1
|
|
|
|
-
|
|
|
|
860.1
|
|
|
21.3
|
|
|
|
2.5
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Europe, Middle East and Africa
|
|
|
164.7
|
|
|
|
198.8
|
|
|
|
(28.2
|
)
|
|
|
170.6
|
|
|
(5.9
|
)
|
|
|
(3.5
|
)%
|
Latin America
|
|
|
94.8
|
|
|
|
73.7
|
|
|
|
-
|
|
|
|
73.7
|
|
|
21.1
|
|
|
|
28.6
|
%
|
Asia Pacific
|
|
|
105.0
|
|
|
|
110.9
|
|
|
|
-
|
|
|
|
110.9
|
|
|
(5.9
|
)
|
|
|
(5.3
|
)%
|
Total International
|
|
|
364.5
|
|
|
|
383.4
|
|
|
|
(28.2
|
)
|
|
|
355.2
|
|
|
9.3
|
|
|
|
2.6
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Company
|
|
$
|
1,245.9
|
|
|
$
|
1,243.5
|
|
|
$
|
(28.2
|
)
|
|
$
|
1,215.3
|
|
$
|
30.6
|
|
|
|
2.5
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) "Core Sales" is determined by applying a fixed exchange
rate, calculated as the 12-month average in 2012, to the current and
prior year local currency sales amounts, with the change reported as
"Core Sales." See separate reconciliation of "Core Sales" for
additional information.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) In contemplation of the EMEA SAP conversion on April 1, 2012,
the Company communicated with key customers in Europe about their
interest in accelerating orders to mitigate the risk of potential
business disruption. The Company determined the impact of the timing
shift related to its EMEA SAP conversion by tracking orders from
customers that accelerated their normal order patterns as a result
of the Company’s communications.
|