Whirlpool 2011 Annual Report Download - page 5

2011 RESULTS
Our actions in 2011 created increased efficiencies and
positioned the business for sustained growth and value
creation. These steps were important in the face of high
material costs and soft demand that continued globally
throughout 2011. The North America market remained
at recessionary lows, and we saw high inflation and low
consumer confidence slow the rapid growth rates that
we have seen the last two years in emerging markets.
Europe remained the most challenging region from an
international perspective as the European financial crisis
drove particularly weak consumer demand across the
euro zone.
Our revenues grew 2 percent to $18.7 billion in 2011, and
diluted net earnings per share were $4.99 compared to
$7.97 in 2010. This was largely due to higher material and
oil-related costs of approximately $450 million.
We continued to drive strong cash flow from ongoing
business operations, allowing us to fund approximately
$650 million of legacy liabilities in 2011. We maintained
a strong financial position, solidified with a $1.1 billion
cash balance at the end of the year. For the year, we paid
$148 million in dividends. This includes the 16 percent
dividend increase announced in April, demonstrating our
commitment to provide consistent returns to shareholders.
We took important steps during 2011 to promote a fair
and open global trading system, to protect American
jobs and ensure our ongoing ability to innovate and invest
in the United States, our largest market. We will continue
to take every action to protect our consumers, employees,
shareholders and the integrity of the U.S. appliance
manufacturing industry.
2011 HIGHLIGHTS
Our investments in 2011 — our 100th Anniversary year —
are yielding positive results as we continue to see strong
consumer preference for our innovative new product
offerings driving improvement in product mix around
the globe. Our efforts were recognized externally with
awards for design, sustainability and innovation, including
recognition on
Fast Company magazine’s 10 Most Innovative
Consumer Products Companies list. Following are just a
few other recognitions that we received during the year:
• Whirlpool Corporation was named one of
Fortune
magazine’s World’s Most Admired Companies, ranking
No. 1 in the Home Equipment, Furnishings industry
sector.
• Whirlpool Corporation was named on the 2011 list of
Top Companies for Leaders, ranking ninth globally and
sixth in North America.
• Whirlpool Corporation was named one of the Most
Respected U.S. Companies by
Forbes magazine and the
Reputation Institute. This is the fourth consecutive year
Whirlpool Corporation has been included in the Most
Respected U.S. Companies list. Whirlpool Corporation
was ranked 14th on the list.
• Whirlpool Corporation was named one of
Corporate
Responsibility
magazine’s 100 Best Corporate Citizens.
This marks the ninth time the company has been
named to the list.
• Whirlpool Corporation was named one of
DiversityInc
magazine’s Top 50 Companies for Diversity.
• For the third year in a row, Whirlpool Corporation
was recognized as one of the top 500 U.S. companies
in
Newsweek magazine’s Green Rankings.
• Whirlpool Corporation was awarded a 2011 ENERGY
STAR® Sustained Excellence award — the highest
ENERGY STAR award — by the U.S. Environmental
Protection Agency. This is the company’s 12th
ENERGY STAR award and sixth consecutive top
Sustained Excellence win.
We improved our industry-leading quality position around
the globe during 2011. Our efforts gained recognition by
a leading U.S. consumer magazine, which found that many
of our appliances last longer and are more reliable than
competitors’ appliances in the refrigeration, cooking,
laundry and dishwasher categories for
Whirlpool, Maytag,
KitchenAid, Jenn-Air
and Amana brands. As just one
category example, Whirlpool Corporation brands took 11
of the top spots in front and top-load washer rankings.
INNOVATION THAT CONSUMERS DESIRE
We know our long-term growth opportunities are abundant,
and we will continue to invest in consumer-relevant
innovation, appliance growth in new and emerging
markets, expansion into higher-margin, faster-growing
adjacent businesses, and advancement of our global
brand portfolios.
Keeping our core appliance business healthy and growing
is critical to our success. Innovation is the fundamental
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