Fortune Brands Inc. announced that its Board
of Directors has unanimously approved in principle a separation of the
company’s three strong consumer businesses - distilled spirits, home and
security (which includes Moen), and golf products.
Fortune Brands Inc. announced that its
Board of Directors has unanimously approved in principle a separation of the
company’s three strong consumer businesses - distilled spirits, home and
security (which includes Moen), and golf products. The plan that the company
intends to pursue includes:
- the continuation of Fortune
Brands as an independent, publicly traded company focused solely on its
distilled spirits business;
- the tax-free spin-off to shareholders
of the home and security business into an independent, publicly traded company;
- and the sale or tax-free spin-off of
the golf business.
The Board has directed management to develop
detailed separation plans for consideration and final approval by the Board.
The company expects to complete development of these plans - including the
structure, timing and other related matters for each business - within the next
several months.
As part of Fortune Brands Home &
Security LLC,
Moen is
its largest single brand, contributing to the category’s annual sales of $3
billion. Other brands in the category include MasterBrand Cabinets, Therma-Tru,
Simonton and Master Lock. The company has created lean and flexible supply
chains by both reducing costs and accelerating productivity initiatives.
Significant new business wins, excellent customer service and successful
new-product innovations have contributed to its market share gains. With this
momentum, combined with the company’s supply-chain flexibility and efficient
cost structures, Home & Security is said to have substantial leverage and
upside growth and returns potential as the U.S. housing market recovers.
For the full press release,
read
here or
click on the pdf below.
Source: Fortune
BrandsLinks
