UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
--------------------
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported): April 29, 2004
NEWELL RUBBERMAID INC.
(Exact Name of Registrant as Specified in Its Charter)
Delaware 1-9608 36-3514169
(State or Other (Commission (IRS Employer
Jurisdiction File Number) Identification No.)
of Incorporation)
10 B Glenlake Parkway
Suite 600
Atlanta, Georgia 30328
(Address of Principal Executive (Zip Code)
Offices)
Registrant's Telephone Number, Including Area Code:(770) 407-3800
Item 7. Financial Statements and Exhibits.
(c) Exhibits.
Exhibit
Number Description
------- -----------
99.1 Press Release, dated April 29, 2004, issued by
Newell Rubbermaid Inc., and Additional Financial
Information
Item 12. Results of Operations and Financial Condition.
The information in this Report, including the Exhibit attached hereto,
is furnished pursuant to Item 12 of Form 8-K. Consequently, it is not
deemed "filed" for the purposes of Section 18 of the Securities
Exchange Act of 1934, or otherwise subject to the liabilities of that
section. It may only be incorporated by reference in another filing
under the Exchange Act or Securities Act of 1933 if such subsequent
filing specifically references this Form 8-K.
On April 29, 2004, Newell Rubbermaid Inc. (the "Company") reported its
results for the fiscal quarter ended March 31, 2004. The Company's
press release, dated April 29, 2004, is attached as Exhibit 99.1.
The press release contains non-GAAP financial measures. For purposes
of Securities and Exchange Commission Regulation G, a "non-GAAP
financial measure" is a numerical measure of a registrant's historical
or future financial performance, financial position or cash flows that
excludes amounts, or is subject to adjustments that have the effect of
excluding amounts, that are included in the most directly comparable
measure calculated and presented in accordance with GAAP in the
statement of income, balance sheet or statement of cash flows of the
issuer; or includes amounts, or is subject to adjustments that have
the effect of including amounts, that are excluded from the most
directly comparable measure so calculated and presented. Operating
and statistical measures and certain ratios and other statistical
measures are not non-GAAP financial measures. For purposes of the
definition, GAAP refers to generally accepted accounting principles in
the United States. Pursuant to the requirements of Regulation G, the
Company has provided, as a part of the press release, a reconciliation
of each of the non-GAAP financial measures to the most directly
comparable GAAP financial measure.
The Company has used the financial measures that are included in the
press release for several years, both in presenting 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:
* enable investors and analysts to compare the current
non-GAAP measures with the corresponding non-GAAP measures
used in the past, and
* 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 to gauge the
Company's progress in achieving its stated goals.
The Company's management believes that operating income, net income
from continuing operations and gross margin, excluding restructuring
and other charges, as a percentage of sales are also useful to investors
because they provide information with respect to operating income, net
income from continuing operations and gross margin related to continuing
operations after the Company's restructuring plan is completed. The
Company's management believes that free cash flow, defined as cash
generated from operations, net of and capital expenditures and dividends,
is useful to investors because it is an indication of amounts of cash
flow that may be available for further investment in future growth
initiatives. The Company's management believes that diluted earnings
per share from continuing operations, excluding restructuring and other
charges, is also helpful to investors because it provides information
with respect to earnings per share, both historical and expected,
related to continuing operations after the Company's restructuring plan
is completed. Another purpose for which the Company uses free cash flow
and diluted earnings per share from continuing operations, excluding
restructuring and other charges, are as two of the performance goals
that help determine the amount, if any, of cash bonuses for corporate
management employees under the Company's management cash bonus plan.
While the Company believes that these non-GAAP financial measures are
useful in evaluating the Company, 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.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned hereunto duly authorized.
NEWELL RUBBERMAID INC.
Date: April 29, 2004 By: /s/ Dale L. Matschullat
----------------------------
Dale L. Matschullat
Vice President - General
Counsel & Corporate Secretary
EXHIBIT INDEX
Exhibit No. Description
----------- -----------
99.1 Press Release, dated April 29, 2004, issued by
Newell Rubbermaid Inc., and Additional Financial
Information
EXHIBIT 99.1
------------
NEWELL RUBBERMAID NEWS RELEASE
----------------------------------------------------------------------
NEWELL RUBBERMAID REPORTS FIRST QUARTER 2004 RESULTS
Newell Rubbermaid Inc.
Atlanta, GA
Securities Listed NYSE
Common Stock (Symbol: NWL)
www.newellrubbermaid.com
JESSE HERRON SUSAN MASTEN
Vice President, Director,
Investor Relations Public Relations
10B Glenlake Parkway, 10B Glenlake Parkway,
Suite 600 Suite 600
Atlanta, GA 30328 Atlanta, GA 30328
Phone: 770-407-3994 Phone: 770-407-3817
Fax: 770-407-3983 Fax: 770-407-3983
* EARNINGS IN-LINE WITH EXPECTATIONS
* DIVESTITURES REINFORCE FOCUS ON CORE PORTFOLIO
ATLANTA, APRIL 29, 2004 - Newell Rubbermaid Inc. (NYSE: NWL) today
announced its first quarter 2004 results in-line with expectations and
previous guidance. The company has now substantially completed its
previously announced plan to divest certain under-performing, non-
strategic businesses in order to concentrate on leveraging brand
strength and product innovation in its core portfolio of businesses.
In the consolidated statements of operations, the results of these
divested businesses are presented as discontinued operations for the
quarters ended March 31, 2004 and 2003.
FIRST QUARTER RESULTS
---------------------
Net income from continuing operations in the quarter was $33.1 million
or $0.12 per share in 2004, compared to net income from continuing
operations of $39.9 million, or $0.15 per share in the first quarter
of 2003. Net income from continuing operations, excluding charges in
the first quarter 2004, was $51.5 million versus $73.6 million in the
first quarter of 2003. Diluted earnings per share from continuing
operations, calculated on the same basis, was $0.19 per share compared
to $0.27 per share in the first quarter 2003. A reconciliation of the
results "as reported" to results "excluding charges" is attached to
this press release.
"We are pleased to report we made significant progress this past quarter.
Our 2004 priorities remain unchanged as we continue to work to recon-
figure our portfolio, through divestitures and the exit of low-margin
product lines and to complete our restructuring plan," said Joseph Galli,
Newell Rubbermaid CEO. "During the quarter we completed the bulk of our
divestiture plan and also exited approximately $60 million in sales of
low-margin product lines. We are also on track to record the remaining
charges related to our restructuring plan in the second quarter."
While portfolio reconfiguration and restructuring will provide the
foundation for the company's 2004 efforts, the company's focus on cost
reductions through its implementation of Newell Operational Excellence
(NWL OPEX) will provide a source for future profitability. Galli added,
"NWL OPEX, our program for driving productivity throughout our manu-
facturing network, is gaining traction. We are still in the early stages
of harvesting the benefits of lean manufacturing, but our teams remain
focused on consistent metrics while driving steady improvements. We
delivered approximately 2.5% productivity savings during the quarter and
we believe we are capable of much more going forward."
Free cash flow was a use of $101.0 million in the first quarter,
compared to a use of $110.4 million in the first quarter of 2003.
The company defines free cash flow as cash generated from operations,
net of capital expenditures and dividends. A reconciliation of free
cash flow to net cash from operating activities is attached to this
release.
Net sales in the first quarter of 2004 were $1.5 billion, compared to
$1.6 billion in the first quarter of 2003, a decrease of 1.1%.
Foreign currency translation was a benefit to sales of 3.6% during the
quarter, primarily offset by pricing declines of 0.8% and the planned
exit of certain low-margin product lines of 3.8%.
Internal sales, which exclude the impact of material acquisitions and
divestitures, declined 0.4% in the first quarter 2004. This was driven
primarily by the planned exit of certain low-margin product lines,
particularly at Rubbermaid Home Products, and sales softness at Graco
which were partially offset by strong performance in IRWIN Industrial
Tools North America.
Gross margins decreased to 26.7% from 27.8% in the first quarter of
2004, due primarily to unfavorable pricing and higher raw materials cost,
offset partially by productivity. Excluding charges, gross margins
declined to 27.0% from 28.0%.
As part of its previously announced restructuring plan, the company
recorded a first quarter pre-tax restructuring charge of $22.8 million
primarily related to severance and facility exit costs in connection
with the company's streamlining and productivity initiatives and other
pre-tax charges of $4.1 million primarily related to product line
exits. The company also recorded a net loss of $108.0 million related
to the divestitures of non-core businesses, shown as discontinued
operations.
OUTLOOK
-------
For 2004, the company continues to expect internal sales to decline
1% - 3% and diluted earnings per share from continuing operations to
be in the range of $1.36 to $1.46. This range excludes restructuring
charges of $43 - $63 million ($0.11 - $0.16 per share) and other
charges of $10 - $20 million ($0.03 - $0.05 per share) primarily
related to product line exits. Diluted earnings per share from
discontinued operations is expected to be a net loss $108 - $113
million ($0.39 - $0.40 per share) related to divestitures of non-core
businesses.
For the second quarter 2004, the company expects internal sales to
decline 1% - 3% and diluted earnings per share from continuing opera-
tions to be $0.34 - $0.38. This range excludes restructuring charges
of $20 - $40 million ($0.05 - $0.10 per share) and other charges of
$6 - $11 million ($0.02 - $0.03 per share) primarily related to product
line exits and charges of $0 - 5 million ($0.00 - $0.01 per share) for
potential losses related to divestitures of non-core businesses.
A RECONCILIATION OF THE 2004 EARNINGS OUTLOOK IS AS FOLLOWS:
2nd QUARTER FULL YEAR
------------- -------------
Diluted earnings per share
(as reported): $0.23 - $0.27 $ .79 - $ .89
Reconciling items:
Discontinued operations $0.00 - $0.01 $0.39 - $0.40
Restucturing charges $0.05 - $0.10 $0.11 - $0.16
Other charges--product line exits $0.02 - $0.03 $0.03 - $0.05
------------- -------------
Diluted earnings per share
(excluding charges): $0.34 - $0.38 $1.36 - $1.46
============= =============
The company continues to expect free cash flow for the full year to be
$225 to $275 million, calculated as follows: cash flow from operations
(estimated to be $695-$745 million), less capital expenditures
(estimated to be approximately $240 million), less expected dividends
of approximately $230 million.
CONFERENCE CALL
---------------
The company's first quarter 2004 earnings conference call is scheduled
for today, April 29 at 9:30 a.m. ET. To participate on the call, please
RSVP domestically at (800) 240-1339 or internationally at (706) 645-
6914. A dial-in number will be provided at that time. To listen to
the web cast, use the link provided under Investor Relations on Newell
Rubbermaid's corporate home page at www.newellrubbermaid.com.
A replay will be available approximately two hours after the call
concludes through May 29, 2004, and may be accessed domestically at
(800) 642-1687 or internationally at (706) 645-9291. Conference call
identification number 6424122 is required to access the replay.
ANALYST DAY
-----------
The company will host its Analyst Day May 6, 2004, at the Equitable
Center, located at 787 Seventh Ave., New York, N.Y. Those interested
in attending should contact Newell Rubbermaid's Investor Relations
Department at (770) 407-3994 or via email at
investor.relations@newellco.com to obtain registration instructions.
The event will also be web cast and the link will be located on the
investor relations portion of the company's website at
www.newellrubbermaid.com.
CAUTION CONCERNING FORWARD-LOOKING STATEMENTS
---------------------------------------------
The statements in this press release that are not historical in nature
constitute forward-looking statements. These forward-looking state-
ments relate to information or assumptions about internal sales,
income/(loss), earnings per share, capital expenditures, cash flow,
dividends, restructuring and other charges, potential losses on
divestiture, costs and cost savings, and management's plans, projec-
tions and objectives for future operations and performance. 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 economies in various parts of
the world; competition with numerous other manufacturers and distri-
butors of consumer products; major retailers' strong bargaining
power; our ability to develop innovative new products and to develop,
maintain and strengthen our end-user brands; our ability to improve
productivity and streamline operations our ability to integrate
previously acquired businesses; the risks inherent in our foreign
operations; and those factors listed in the company's 2003 Form 10-K,
including Exhibit 99.1 thereto, filed with the Securities and
Exchange Commission.
NON-GAAP FINANCIAL
------------------
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.
ABOUT THE COMPANY
-----------------
Newell Rubbermaid Inc. is a global marketer of consumer and commercial
products with 2003 sales of over $7 billion and a powerful brand
family including Sharpie{R}, Paper Mate{R}, Parker{R}, Waterman{R},
Rubbermaid{R}, Calphalon{R}, Little Tikes{R}, Graco{R}, Levolor{R},
BernzOmatic{R}, VISE-GRIP{R}, IRWIN{R} and LENOX{R}. The company is
headquartered in Atlanta, Ga., and employs approximately 40,000
employees worldwide.
This press release and additional financial information about the
company's 2004 first quarter results are available on the company's
web site at www.newellrubbermaid.com.
Newell Rubbermaid Inc.
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
(in millions, except per share data)
RECONCILIATION OF RESULTS "AS REPORTED" TO RESULTS "EXCLUDING CHARGES"
Three Months Ended March 31,
-------------------------------------------------------------------------------------
2004 2003
---------------------------------- ----------------------------------
Excl. Excl.
As Reported Charges(1) Charges As Reported Charges(2) Charges % Change
----------- ---------- ------- ----------- ---------- ------- --------
Net sales $1,541.0 $1,541.0 $1,557.9 $1,557.9 (1.1)%
Cost of products sold 1,129.5 (3.9) 1,125.6 1,125.2 (4.1) 1,121.1
-------- ----- -------- -------- ----- --------
GROSS MARGIN 411.5 3.9 415.4 432.7 4.1 436.8 (4.9)%
% of sales 26.7% 27.0% 27.8% 28.0%
Selling, general &
administrative expense 313.8 (0.2) 313.6 292.0 (0.3) 291.7 7.5%
% of sales 20.4% 20.4% 18.7% 18.7%
Restructuring costs 22.8 (22.8) - 24.4 (24.4) -
-------- ------ -------- -------- ----- --------
OPERATING INCOME 74.9 26.9 101.8 116.3 28.8 145.1 (29.8)%
% of sales 4.9% 6.6% 7.5% 9.3%
Nonoperating expenses:
Interest expense 32.5 - 32.5 38.6 38.6
Interest income (1.6) - (1.6) (1.6) (1.6)
Other (4.3) - (4.3) 20.3 (21.1) (0.8)
-------- ----- -------- -------- ----- --------
26.6 - 26.6 57.3 (21.1) 36.2 (26.5)%
-------- ------ -------- -------- ----- --------
INCOME BEFORE INCOME TAXES 48.3 26.9 75.2 59.0 49.9 108.9 30.9)%
% of sales 3.1% 4.9% 3.8% 7.0%
Income taxes 15.2 8.5 23.7 19.1 16.2 35.3 (32.9)%
Effective rate 31.5% 31.5% 32.4% 32.4%
-------- ----- -------- -------- ----- --------
INCOME FROM CONTINUING OPERATIONS 33.1 18.4 51.5 39.9 33.7 73.6 (30.0)%
% of sales 2.1% 3.3% 2.6% 4.7%
-------- ----- -------- -------- ----- --------
Discontinued operations, net of tax
Net loss (108.0) 108.0 - (23.9) 23.9 -
-------- ----- -------- -------- ----- --------
NET (LOSS)/INCOME $ (74.9) $126.4 $ 51.5 $ 16.0 $ 57.6 $ 73.6 (30.0)%
======== ====== ======== ======== ===== ======== ======
% of sales (4.9)% 3.3% 1.0% 4.7%
EARNINGS PER SHARE FROM
CONTINUING OPERATIONS:
Basic $ 0.12 $ 0.07 $ 0.19 $ 0.15 $ 0.12 $ 0.27
Diluted $ 0.12 $ 0.07 $ 0.19 $ 0.15 $ 0.12 $ 0.27
EARNINGS (LOSS) PER SHARE FROM
DISCONTINUED OPERATIONS:
Basic $ (0.39) $ 0.39 $ - $ (0.09) $ 0.09 $ -
Diluted $ (0.39) $ 0.39 $ - $ (0.09) $ 0.09 $ -
EARNINGS (LOSS) PER SHARE:
Basic $ (0.27) $ 0.46 $ 0.19 $ 0.06 $ 0.21 $ 0.27
Diluted $ (0.27) $ 0.46 $ 0.19 $ 0.06 $ 0.21 $ 0.27
Average shares outstanding:
Basic 274.4 274.4 274.4 273.6 273.6 273.6
Diluted 274.5 274.5 274.5 274.0 274.0 274.0
(1) Charges excluded from "as reported" results for 2004 are restructuring or divestiture related charges.
These charges consist of $3.9 million in restructuring related costs associated with product line exits
(shown in costs of products sold), $0.2 million of restructuring costs related to relocation of property
and equipment (shown in selling, general and administrative expenses), $22.8 million of restructuring costs
related to exiting certain facilities (shown in restructuring costs) and a $108.0 million net loss related to
discontinued operations.
(2) Charges excluded from "as reported" results for 2003 are restructuring or divestiture related charges. These
charges consist of $4.1 million in restructuring costs related to product line exits (shown in costs of products
sold), $0.3 million of restructuring costs related to relocation of property and equipment (shown in selling,
general and adminstrative expenses), $24.4 million of restructuring costs related to exiting certain facilities
(shown in restructuring costs), $21.1 million loss on the sale of the Cosmolab division (shown in other nonoperating
expense) and a $23.9 million net loss related to discontinued operations.
Newell Rubbermaid Inc.
CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(in millions)
Assets: March 31, December 31,
2004 2003
--------- ------------
Cash and cash equivalents $ 51.9 $ 144.4
Accounts receivable, net 1,253.2 1,410.1
Inventories, net 991.7 886.8
Deferred income taxes 153.7 152.7
Prepaid expenses and other 191.4 183.4
Current assets of discontinued operations 175.2 222.8
------- --------
Total Current Assets 2,817.1 3,000.2
Other assets 219.3 196.3
Property, Plant and Equipment, net 1,558.3 1,625.7
Goodwill, net 1,991.1 1,989.0
Deferred income taxes 56.7 68.1
Other intangibles, net 445.8 450.6
Other assets of discontinued operations 121.1 150.8
-------- --------
Total Assets $7,209.4 $7,480.7
======== ========
Liabilities and Stockholders' Equity:
Notes payable $ 12.7 $ 21.9
Accounts payable 663.5 701.6
Accrued compensation 84.8 123.5
Other accrued liabilities 891.8 961.5
Income taxes 85.1 80.8
Current portion of long-term debt 14.1 13.5
Current liabilities of discontinued operations 97.5 119.2
------- --------
Total Current Liabilities 1,849.5 2,022.0
Long-term debt 2,871.3 2,868.6
Other noncurrent liabilities 574.9 570.6
Other noncurrent liabilities of discontinued operations - 1.5
Minority interest 1.9 1.7
Stockholders' Equity 1,911.8 2,016.3
------- --------
Total Liabilities and Stockholders' Equity $7,209.4 $7,480.7
======= ========
Newell Rubbermaid Inc.
CONSOLIDATED STATEMENTS OF CASH FLOW (UNAUDITED)
(in millions)
For the Three Months Ended March 31,
2004 2003
--------- ---------
Operating Activities:
Net (loss)/income $ (74.9) $ 16.0
Adjustments to reconcile net (loss)/income to net cash
provided by operating activities:
Depreciation and amortization 64.5 59.5
Non-cash restructuring charges 8.9 44.6
Deferred taxes 7.3 (10.6)
(Gain)/loss on sale of assets/business (4.1) 21.2
Loss on discontinued businesses 104.6 -
Other 2.2 17.0
Changes in current accounts, excluding
the effects of acquisitions:
Accounts receivable 152.9 123.4
Inventories (107.9) (45.1)
Other current assets (4.8) 5.3
Accounts payable (36.1) 44.3
Discontinued operations (8.6) (54.7)
Accrued liabilities and other (110.7) (180.4)
-------- --------
Net cash (used in)/provided by operating activities $ (6.7) $ 40.5
Investing Activities:
Acquisitions, net $ - $ (452.3)
Expenditures for property, plant and equipment (36.6) (93.2)
Sales of business/ non-current assets and other 16.5 7.5
-------- --------
Net cash used in investing activities $ (20.1) $ (538.0)
Financing Activities:
Proceeds from issuance of debt $ 9.7 $ 619.3
Proceeds from issuance of stock - 200.1
Payments on notes payable and long-term debt (17.7) (312.0)
Cash dividends (57.7) (57.7)
Proceeds from exercised stock options and other 0.9 2.0
-------- --------
Net cash (used in)/provided by financing activities $ (64.8) $ 451.7
Exchange rate effect on cash $ (0.9) $ 0.9
Decrease in cash and cash equivalents (92.5) (44.9)
Cash and cash equivalents at beginning of year 144.4 55.1
-------- --------
Cash and cash equivalents at end of period $ 51.9 $ 10.2
======== ========
Newell Rubbermaid Inc.
CALCULATION OF FREE CASH FLOW (1)
For the Three Months Ended March 31,
Free Cash Flow (in millions): 2004 2003
--------- ---------
Net cash (used in)/provided by Operating Activities $ (6.7) $ 40.5
Expenditures for Property, Plant & Equipment (36.6) (93.2)
Cash Dividends (57.7) (57.7)
-------- --------
Free Cash Flow $ (101.0) $ (110.4)
(1) Free cash flow is defined as cash flows provided by operating activities less cash
expenditures for property, plant and equipment and cash dividends.
NEWELL RUBBMAID INC. FINANCIAL WORKSHEET
2004
---------------------------------------------------------------------------
Excluding Charges Reconciliation (1)
------------------------------------------
Reported Excluded Ex Charges Operating
Net Sales OI Charges OI Margin
--------- -------- -------- ---------- ---------
Q1:
Cleaning & Organization $ 447.4 $ 12.2 $ 3.5 $ 15.7 3.5%
Office Products 332.8 31.8 - 31.8 9.6%
Tools & Hardware 274.3 43.0 - 43.0 15.7%
Home Fashions 226.8 3.9 0.6 4.5 2.0%
Other 259.7 14.2 - 14.2 5.5%
Restructuring Costs (22.8) 22.8 -
Corporate (7.4) - (7.4)
--------- ------- ------ -------
Total $ 1,541.0 $ 74.9 $ 26.9 $ 101.8 6.6%
========= ======= ====== =======
Core businesses 1,541.0 74.9 26.9 101.8 6.6%
Acquisitions / Divestitures - - - -
--------- ------- ------ -------
Total $ 1,541.0 $74.9 $ 26.9 $ 101.8 6.6%
========= ======= ====== =======
2003
---------------------------------------------------------------------------
Excluding Charges Reconciliation (1)
------------------------------------------
Reported Excluded Ex Charges Operating
Net Sales OI Charges OI Margin
--------- -------- -------- ---------- ---------
Q1:
Cleaning & Organization $ 477.5 $ 40.0 $ 0.3 $ 40.3 8.4%
Office Products 322.3 47.1 0.9 48.0 14.9%
Tools & Hardware 265.6 35.4 1.5 36.9 13.9%
Home Fashions 219.6 4.7 1.3 6.0 2.7%
Other 272.9 20.7 0.4 21.1 7.7%
Restructuring Costs (24.4) 24.4 -
Corporate (7.2) - (7.2)
--------- ------- ------ -------
Total $ 1,557.9 $ 116.3 $ 28.8 $ 145.1 9.3%
========= ======= ====== =======
Core businesses 1,547.9 117.9 $ 28.8 $ 146.7 9.5%
Acquisitions / Divestitures 10.0 (1.6) - (1.6)
--------- ------- ------ -------
Total $ 1,557.9 $ 116.3 $ 28.8 $ 145.1 9.3%
========= ======= ====== =======
Year-over-Year Changes
-----------------------------------------------------------
Net Sales Operating Income
------------------------- ---------------------------
$ % $ OI
--------- -------- -------- ----------
Q1:
Cleaning & Organization $ (30.1) (6.3)% $(24.6) (61.0)%
Office Products 10.5 3.3% $(16.2) (33.8)%
Tools & Hardware 8.7 3.3% $ 6.1 16.5%
Home Fashions 7.2 3.3% $ (1.5) (25.0)%
Other (13.2) (4.8)% $ (6.9) (32.7)%
Restructuring Costs $ -
Corporate $ (0.2) 2.8%
--------- ------- ------ -------
Total $ (16.9) (1.1)% $(43.3) (29.8)%
========= ======= ====== =======
Core businesses (6.9) (0.4)% (44.9) (30.6)%
Acquisitions / Divestitures (10.0) (100.0)% 1.6 (100.0)%
--------- ------- ------ -------
Total $ (16.9) (1.1)% $ (43.3) (29.8)%
========= ======= ====== =======
NEWELL RUBBERMAID
SALES AND OPERATING INCOME
THREE MONTHS ENDED MARCH 31, 2004
CURRENCY ANALYSIS
YEAR-OVER-YEAR INCREASE
BY SEGMEMT 2004 2003 (DECREASE)
---------- -------------------------------------- --------- -----------------------
SALES AS CURRENCY ADJUSTED SALES AS EXCLUDING INCLUDING CURRENCY
REPORTED IMPACT SALES REPORTED CURRENCY CURRENCY IMPACT
-------- -------- -------- -------- --------- ---------
Cleaning & Organization $ 447.4 $ (15.6) $ 431.8 $ 477.5 (9.6)% (6.3)% 3.3%
Office Products 332.8 (12.6) 320.2 322.3 (0.7)% 3.3% 3.9%
Tools & Hardware 274.3 (8.5) 265.8 265.6 0.1% 3.3% 3.2%
Home Fashions 226.8 (15.2) 211.6 219.6 (3.6)% 3.3% 6.9%
Other 259.7 (4.8) 254.9 272.9 (6.6)% (4.8)% 1.8%
--------- ------- --------- ---------
Total Company $ 1,541.0 $ (56.7) $ 1,484.3 $ 1,557.9 (4.7)% (1.1)% 3.6%
========= ======= ========= =========
BY GEOGRAPHY
United States $ 1,040.0 $ - $ 1,040.0 $ 1,083.6 (4.0)% (4.0)% 0.0%
Canada 74.0 (9.0) 65.0 69.8 (6.9)% 6.0% 12.9%
--------- ------- --------- ---------
North America 1,114.0 (9.0) 1,105.0 1,153.4 (4.2)% (3.4)% 0.8%
Europe 348.0 (42.4) 305.6 330.9 (7.6)% 5.2% 12.8%
Central & South America 42.2 (0.8) 41.4 41.5 (0.2)% 1.7% 1.9%
All Other 36.8 (4.5) 32.3 32.1 0.6% 14.6% 14.0%
--------- ------- --------- ---------
Total Company $ 1,541.0 $ (56.7) $ 1,484.3 $ 1,557.9 (4.7)% (1.1)% 3.6%
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