Black & Decker 2013 Annual Report Download - page 21
Download and view the complete annual report
Please find page 21 of the 2013 Black & Decker annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.
(PSOR\HHV
$W'HFHPEHUWKH&RPSDQ\KDGDSSUR[LPDWHO\HPSOR\HHVRIZKRPDUHHPSOR\HGLQWKH86
$SSUR[LPDWHO\86HPSOR\HHVDUHFRYHUHGE\FROOHFWLYHEDUJDLQLQJDJUHHPHQWVQHJRWLDWHGZLWKGLIIHUHQWORFDOODERU
XQLRQVZKRDUHLQWXUQDIILOLDWHGZLWKDSSUR[LPDWHO\GLIIHUHQWLQWHUQDWLRQDOODERUXQLRQV7KHPDMRULW\RIWKH&RPSDQ\¶V
KRXUO\SDLGDQGZHHNO\SDLGHPSOR\HHVRXWVLGHWKH86DUHQRWFRYHUHGE\FROOHFWLYHEDUJDLQLQJDJUHHPHQWV7KH&RPSDQ\¶V
ODERUDJUHHPHQWVLQWKH86H[SLUHLQ7KHUHKDYHEHHQQRVLJQLILFDQWLQWHUUXSWLRQVRIWKH&RPSDQ\¶VRSHUDWLRQVLQUHFHQW
\HDUVGXHWRODERUGLVSXWHV7KH&RPSDQ\EHOLHYHVWKDWLWVUHODWLRQVKLSZLWKLWVHPSOR\HHVLVJRRG
5HVHDUFKDQG'HYHORSPHQW&RVWV
5HVHDUFKDQGGHYHORSPHQWFRVWVZKLFKDUHFODVVLILHGLQ6*$ZHUHPLOOLRQPLOOLRQDQGPLOOLRQIRU
ILVFDO\HDUVDQGUHVSHFWLYHO\
$YDLODEOH,QIRUPDWLRQ
7KH&RPSDQ\¶VZHEVLWHLVORFDWHGDWKWWSZZZVWDQOH\EODFNDQGGHFNHUFRP7KLV85/LVLQWHQGHGWREHDQLQDFWLYHWH[WXDO
UHIHUHQFHRQO\,WLVQRWLQWHQGHGWREHDQDFWLYHK\SHUOLQNWRWKH&RPSDQ\VZHEVLWH7KHLQIRUPDWLRQRQWKH&RPSDQ\V
ZHEVLWHLVQRWDQGLVQRWLQWHQGHGWREHSDUWRIWKLV)RUP.DQGLVQRWLQFRUSRUDWHGLQWRWKLVUHSRUWE\UHIHUHQFH7KH
&RPSDQ\PDNHVLWV)RUPV.4.DQGDPHQGPHQWVWRHDFKDYDLODEOHIUHHRIFKDUJHRQLWVZHEVLWHDVVRRQDV
UHDVRQDEO\SUDFWLFDEOHDIWHUILOLQJWKHPZLWKRUIXUQLVKLQJWKHPWRWKH866HFXULWLHVDQG([FKDQJH&RPPLVVLRQ
,7(0$5,6.)$&7256
7KH&RPSDQ\¶VEXVLQHVVRSHUDWLRQVDQGILQDQFLDOFRQGLWLRQDUHVXEMHFWWRYDULRXVULVNVDQGXQFHUWDLQWLHV<RXVKRXOGFDUHIXOO\
FRQVLGHUWKHULVNVDQGXQFHUWDLQWLHVGHVFULEHGEHORZWRJHWKHUZLWKDOORIWKHRWKHULQIRUPDWLRQLQWKLV$QQXDO5HSRUWRQ
)RUP.LQFOXGLQJWKRVHULVNVVHWIRUWKXQGHUWKHKHDGLQJHQWLWOHG&DXWLRQDU\6WDWHPHQWV8QGHUWKH3ULYDWH6HFXULWLHV
/LWLJDWLRQ5HIRUP$FWRIDQGLQRWKHUGRFXPHQWVWKDWWKH&RPSDQ\ILOHVZLWKWKH866HFXULWLHVDQG([FKDQJH
&RPPLVVLRQEHIRUHPDNLQJDQ\LQYHVWPHQWGHFLVLRQZLWKUHVSHFWWRLWVVHFXULWLHV,IDQ\RIWKHULVNVRUXQFHUWDLQWLHVDFWXDOO\
RFFXURUGHYHORSWKH&RPSDQ\¶VEXVLQHVVILQDQFLDOFRQGLWLRQUHVXOWVRIRSHUDWLRQVDQGIXWXUHJURZWKSURVSHFWVFRXOGFKDQJH
8QGHUWKHVHFLUFXPVWDQFHVWKHWUDGLQJSULFHVRIWKH&RPSDQ\¶VVHFXULWLHVFRXOGGHFOLQHDQG\RXFRXOGORVHDOORUSDUWRI\RXU
LQYHVWPHQWLQWKH&RPSDQ\¶VVHFXULWLHV
&KDQJHVLQFXVWRPHUSUHIHUHQFHVWKHLQDELOLW\WRPDLQWDLQPXWXDOO\EHQHILFLDOUHODWLRQVKLSVZLWKODUJHFXVWRPHUVLQYHQWRU\
UHGXFWLRQVE\FXVWRPHUVDQGWKHLQDELOLW\WRSHQHWUDWHQHZFKDQQHOVRIGLVWULEXWLRQFRXOGDGYHUVHO\DIIHFWWKH&RPSDQ\¶V
EXVLQHVV
7KH&RPSDQ\KDVFHUWDLQVLJQLILFDQWFXVWRPHUVSDUWLFXODUO\KRPHFHQWHUVDQGPDMRUUHWDLOHUVDOWKRXJKQRRQHFXVWRPHU
UHSUHVHQWHGPRUHWKDQRIFRQVROLGDWHGQHWVDOHVLQ+RZHYHUWKHWZRODUJHVWFXVWRPHUVFRPSULVHGQHDUO\RIQHW
VDOHVZLWK86DQGLQWHUQDWLRQDOPDVVPHUFKDQWVDQGKRPHFHQWHUVFROOHFWLYHO\FRPSULVLQJDSSUR[LPDWHO\RIQHWVDOHV
7KHORVVRUPDWHULDOUHGXFWLRQRIEXVLQHVVWKHODFNRIVXFFHVVRIVDOHVLQLWLDWLYHVRUFKDQJHVLQFXVWRPHUSUHIHUHQFHVRU
OR\DOWLHVIRUWKH&RPSDQ\¶VSURGXFWVUHODWHGWRDQ\VXFKVLJQLILFDQWFXVWRPHUFRXOGKDYHDPDWHULDODGYHUVHLPSDFWRQWKH
&RPSDQ\¶VUHVXOWVRIRSHUDWLRQVDQGFDVKIORZV,QDGGLWLRQWKH&RPSDQ\¶VPDMRUFXVWRPHUVDUHYROXPHSXUFKDVHUVDIHZRI
ZKLFKDUHPXFKODUJHUWKDQWKH&RPSDQ\DQGKDYHVWURQJEDUJDLQLQJSRZHUZLWKVXSSOLHUV7KLVOLPLWVWKHDELOLW\WRUHFRYHU
FRVWLQFUHDVHVWKURXJKKLJKHUVHOOLQJSULFHV)XUWKHUPRUHXQDQWLFLSDWHGLQYHQWRU\DGMXVWPHQWVE\WKHVHFXVWRPHUVFDQKDYHD
QHJDWLYHLPSDFWRQVDOHV
,IFXVWRPHUVLQWKH&RQYHUJHQW6HFXULW\6ROXWLRQV&66EXVLQHVVDUHGLVVDWLVILHGZLWKVHUYLFHVDQGVZLWFKWRFRPSHWLWLYH
VHUYLFHVRUGLVFRQQHFWIRURWKHUUHDVRQVWKH&RPSDQ\VDWWULWLRQUDWHVPD\LQFUHDVH,QSHULRGVRILQFUHDVLQJDWWULWLRQUDWHV
UHFXUULQJUHYHQXHDQGUHVXOWVRIRSHUDWLRQVPD\EHPDWHULDOO\DGYHUVHO\DIIHFWHG7KHULVNLVPRUHSURQRXQFHGLQWLPHVRI
HFRQRPLFXQFHUWDLQW\DVFXVWRPHUVPD\UHGXFHDPRXQWVVSHQWRQWKHSURGXFWVDQGVHUYLFHVWKH&RPSDQ\SURYLGHV
,QWLPHVRIWRXJKHFRQRPLFFRQGLWLRQWKH&RPSDQ\KDVH[SHULHQFHGVLJQLILFDQWGLVWULEXWRULQYHQWRU\FRUUHFWLRQVUHIOHFWLQJGH
VWRFNLQJRIWKHVXSSO\FKDLQDVVRFLDWHGZLWKGLIILFXOWFUHGLWPDUNHWV6XFKGLVWULEXWRUGHVWRFNLQJH[DFHUEDWHGVDOHVYROXPH
GHFOLQHVSHUWDLQLQJWRZHDNHQGXVHUGHPDQGDQGWKHEURDGHUHFRQRPLFUHFHVVLRQ7KH&RPSDQ\¶VUHVXOWVPD\EHDGYHUVHO\
LPSDFWHGLQIXWXUHSHULRGVE\VXFKFXVWRPHULQYHQWRU\DGMXVWPHQWV)XUWKHUWKHLQDELOLW\WRFRQWLQXHWRSHQHWUDWHQHZFKDQQHOV
RIGLVWULEXWLRQPD\KDYHDQHJDWLYHLPSDFWRQWKH&RPSDQ\¶VIXWXUHUHVXOWV