Energizer 2014 Annual Report Download - page 33

ENERGIZER HOLDINGS, INC.
(Dollars in millions, except per share data)
Management’s Discussion and Analysis of Results of Operations and Financial Condition
The following discussion is a summary of the key factors management considers necessary in reviewing Energizer Holdings,
Inc.'s (the Company or Energizer) historical basis results of operations, operating segment results, and liquidity and capital
resources. Statements in this Management’s Discussion and Analysis of Financial Condition and Results of Operations that are
not historical may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act
of 1995. See “Forward-Looking Statements” presented below. The Company reports results in two segments: Personal Care,
which includes wet shave, skin care, feminine care and infant care products and Household Products, which includes batteries
and portable lighting products. This discussion should be read in conjunction with the Consolidated Financial Statements and
related notes.
Forward-Looking Statements
This document contains both historical and forward-looking statements. Forward-looking statements are not based on historical
facts but instead reflect our expectations, estimates or projections concerning future results or events, including, without
limitation, statements regarding the planned spin-off of the Household Products business, the timing of any such spin-off, future
company-wide or segment sales, earnings and earnings per share, investments, initiatives, capital expenditures, product
launches, consumer trends, cost savings related to restructuring projects and the timing of such savings, improvements to
working capital levels and the timing and savings associated with such improvements, the impact of price increases, advertising
and promotional spending, the impact of foreign currency movements, category value and future growth in our businesses, and
the successful integration of acquisitions. These statements generally can be identified by the use of forward-looking words or
phrases such as “believe,” “expect,” “anticipate,” “may,” “could,” “intend,” “belief,” “estimate,” “plan,” "predict," “likely,”
“will,” “should” or other similar words or phrases. These statements are not guarantees of performance and are inherently
subject to known and unknown risks, uncertainties and assumptions that are difficult to predict and could cause our actual
results, performance or achievements to differ materially from those expressed in or indicated by those statements. We cannot
assure you that any of our expectations, estimates or projections will be achieved. The forward-looking statements included in
this document are only made as of the date of this document and we disclaim any obligation to publicly update any forward-
looking statement to reflect subsequent events or circumstances. Numerous factors could cause our actual results and events to
differ materially from those expressed or implied by forward-looking statements, including, without limitation:
• Whether the spin-off of the Household Products business is completed, as expected or at all, and the timing of any
such spin-off;
• Whether the legal and regulatory conditions to the spin-off can be satisfied;
• Whether the operational, marketing and strategic benefits of the spin-off can be achieved;
• Whether the costs and expenses of the spin-off can be controlled within expectations;
• General market and economic conditions;
• Market trends in the categories in which we operate;
• The success of new products and the ability to continually develop and market new products;
• Our ability to attract, retain and improve distribution with key customers;
• Our ability to continue planned advertising and other promotional spending;
• Our ability to timely execute strategic initiatives, including the planned spin-off of the Household Products business as
well as restructurings, in a manner that will positively impact our financial condition and results of operations and does
not disrupt our business operations;
• The impact of strategic initiatives, including the planned spin-off of the Household Products business as well as
restructurings, on our relationships with employees, customers and vendors;
• Our ability to maintain and improve market share in the categories in which we operate despite heightened competitive
pressure;
• Our ability to improve operations and realize cost savings;
• The impact of raw material and other commodity costs;
• The impact of foreign currency exchange rates and currency controls, particularly in Venezuela and Argentina, as well
as offsetting hedges;
• The impact of change in accounting position as it relates to the selection of the applicable Venezuela translation rate;
• Goodwill impairment charges resulting from declines in profitability or estimated cash flows related to intangible
assets or market valuations for similar assets;
• Our ability to acquire and integrate businesses, and to realize the projected results of acquisitions;
• The impact of advertising and product liability claims and other litigation;
• Compliance with debt covenants and maintenance of credit ratings as well as the impact of interest and principal
repayment of our existing and any future debt; or
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