Graco 2012 Annual Report Download - page 30

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• Supported the Express Yourself with Sharpie® music campaigns, including the partnership with the musical
group One Direction, to inspire Sharpie users to boldly express themselves in creative and innovative ways;
• Continued expansion of dedicated Parker® “shop-in-shop” retail outlets in China and other regions to enhance
in-store merchandising;
• Expanded the launch of the Parker® Ingenuity Collection featuring Parker 5th™ Technology into Japan and
China in the first half of 2012;
• Continued support for “Irwinization” marketing and merchandising initiatives, including the Irwin National
Tradesmen Day, “Blue wall” and other merchandising vehicles that get the Irwin® brand and new innovations
in front of contractors in a more effective way;
• Launched Irwin® 2500 Series Level featuring a robust new frame design that enables guaranteed vial accuracy
for the life of the product;
• Expanded the sales forces in the Tools, Writing and Commercial Products segments to drive greater sales
penetration, enhance the availability of products and to support geographic expansion;
• Supported new innovations in the Baby & Parenting segment, including the Graco® Fast-Action and
Ready2Grow™ travel systems, which are driving significant market share gains; and
• Supported the launch of the Rubbermaid® Clean & Dry Plunger with NeverWet™ nanotech coating, which
forms a shield that repels water, Rubbermaid® Bathroom Scrubbers with four tools to choose from, and
Rubbermaid® LunchBlox™ – a collection of customizable, modular food storage containers that snap together
to save space and stay organized in lunch bags.
• Continued the execution of Project Renewal to simplify the business, reduce structural costs and increase investment in
the most significant growth platforms within the business.
• Completed the implementation of the European Transformation Plan, which includes projects designed to improve the
financial performance of the European business and centralize decision-making in the Geneva headquarters, and
successfully went live with SAP in Europe in April 2012.
• Improved the Company’s capital structure by completing the offering and sale of $500.0 million unsecured senior notes,
consisting of $250.0 million principal amount of 2.0% notes due 2015 and $250.0 million principal amount of 4.0% notes
due 2022, the aggregate proceeds of which were used in July 2012 to redeem the $436.7 million of outstanding 5.25%
junior convertible subordinated debentures due December 2027, underlying the Company’s 5.25% convertible preferred
securities.
• Completed the offering and sale of $350.0 million 2.05% unsecured senior notes due 2017 and used the proceeds together
with cash on hand and short-term borrowings to repay the $500.0 million principal amount of the 5.50% senior notes due
April 2013 (the “2013 Notes”), for which interest expense was previously recorded at a rate of approximately 3.5% after
contemplating the effects of the interest rate swaps related to the 2013 Notes.
• Retired $250.0 million principal amount of the 6.75% medium-term notes due 2012 (the “2012 Notes”) upon maturity,
for which interest expense was previously recorded at a rate of approximately 2.3% after contemplating the effect of the
terminated interest rate swaps related to the 2012 Notes.
• Continued the $300.0 million three-year share repurchase plan that expires in August 2014, pursuant to which the Company
repurchased and retired an additional 4.9 million shares of common stock for $91.5 million during 2012.
• Increased the Company’s quarterly dividend by 88% during 2012, from $0.08 per share in the first quarter to $0.15 per
share in the fourth quarter.