Graco 2005 Annual Report Download - page 20

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Tools & Hardware
Net sales for 2005 were $1,260.3 million, an increase of $41.6 million, or 3.4%, from $1,218.7 million
in 2004, driven by increases in the LENOX, and IRWIN-branded businesses, partially oÅset by sales
declines in the Amerock business and consumer electronic tools.
Operating income for 2005 was $171.1 million, a decrease of $10.7 million, or 5.9%, from
$181.8 million in 2004, driven by raw material inÖation, restructuring related costs at the Amerock
business and investments in SG&A in the tools business, partially oÅset by productivity and the sales
increase noted above.
Home Fashions
Net sales for 2005 were $824.0 million, a decrease of $82.8 million, or 9.1%, from $906.8 million in
2004, driven by product line exits and core sales declines in the European Home Fashions business,
partially oÅset by favorable foreign currency translation and increased sales in the North American Home
Fashions business.
Operating income for 2005 was $22.7 million, a decrease of $10.3 million, or 31.2%, from
$33.0 million in 2004. The decrease in operating income was due primarily to lower sales, partially oÅset
by productivity.
Other
Net sales for 2005 were $930.3 million, a decrease of $35.1 million, or 3.6%, from $965.4 million in
2004. The decline is primarily the result of core sales declines in the Little Tikes battery operated products
business.
Operating income for 2005 was $98.1 million, an increase of $6.1 million, or 6.6%, from $92.0 million
in the comparable period of 2004, driven by productivity, favorable pricing and reduced SG&A in the
juvenile products businesses, partially oÅset by raw material inÖation.
2004 vs. 2003 Business Segment Operating Results
Net sales by segment were as follows for the year ended December 31, (in millions, except
percentages):
2004 2003 % Change
Cleaning & OrganizationÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $1,702.7 $1,848.6 (7.9)%
OÇce Products ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 1,686.2 1,681.2 0.3
Tools & Hardware ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 1,218.7 1,199.7 1.6
Home FashionsÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 906.8 901.0 0.6
Other ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 965.4 984.3 (1.9)
Total Net Sales ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $6,479.8 $6,614.8 (2.0)%
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