Rayovac 2014 Annual Report Download - page 55

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Consolidated product line net sales by segment for Fiscal 2014 and Fiscal 2013 were as follows (in
millions):
Fiscal Year
2014 2013
Product line net sales by segment
Global batteries and appliances
Consumer batteries .............................................. $ 958 $ 932
Small appliances ................................................ 731 740
Electric shaving and grooming products .............................. 278 277
Electric personal care products ..................................... 264 255
Total Global batteries and appliances .................................... $2,231 $2,204
Hardware and home improvement ...................................... 1,166 870
Global pet supplies .................................................. 600 622
Home and garden ................................................... 432 390
Total net sales to external customers .................................... $4,429 $4,086
Global consumer battery sales increased $26 million, or 3%, during Fiscal 2014 compared to Fiscal 2013.
Excluding the impact of negative foreign exchange of $2 million, global consumer battery sales increased $28
million. The constant currency increase in global consumer battery sales was attributable to increases in
European and Latin American consumer battery sales of $24 million and $10 million, respectively, partially
offset by a decrease in North American consumer battery sales of $6 million. The increase in European and Latin
American sales were a result of retailer distribution gains, new customers and products, successful promotion
activities and geographic expansion. The decrease in North America was primarily driven by the non-recurrence
of approximately $10 million of flashlight sales in North America related to storm activity in the first quarter of
Fiscal 2013.
Small appliance sales decreased $9 million, or 1%, during Fiscal 2014 versus Fiscal 2013. Excluding the
negative foreign exchange impact of $5 million, small appliances decreased $4 million. Excluding foreign
exchange impacts, North American sales declined $20 million, which was tempered by gains in Europe and Latin
America of $13 million and $2 million, respectively. The North American sales declines were due to our exit of
low-margin promotions in Fiscal 2014. The European and Latin American sales gains were attributable to
promotions with existing retailers during Fiscal 2014, coupled with innovative new product launches.
Electric shaving and grooming product sales increased $1 million, or 1%, during Fiscal 2014 compared to
Fiscal 2013. Excluding the impact of negative foreign exchange of $1 million, electric shaving and grooming
product sales increased $2 million. The constant currency increase was attributable to European and Latin
American sales gains of $5 million and $1 million, respectively, offset by a $4 million decline in North American
sales. The gains in Europe and Latin America were due to innovative new product launches, promotional
activities and expansion into new channels. The decrease in North America was due to the non-recurrence of
promotions during the first quarter of Fiscal 2013 and customer inventory management.
Electric personal care sales increased $9 million, or 4%, in Fiscal 2014 versus Fiscal 2013. Geographically,
excluding the impact of negative foreign exchange of $1 million, sales increased $5 million in Latin America, $3
million in Europe and $2 million in North America. Latin American sales gains were attributable to volume
expansion in Colombia, successful hair care accessories product launches throughout Central America,
distribution gains in Brazil and increased promotional activities. The increase in both European and North
American sales was driven by innovative new products and successful promotions.
Hardware and home improvement sales increased $296 million, or 34%, during Fiscal 2014 compared to
Fiscal 2013. On a proforma basis, as if the acquisition of the HHI Business had occurred at the beginning of the
Fiscal 2013, hardware and home improvement sales increased $104 million, or 10%, to $1,166 million in Fiscal
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