Black & Decker 2015 Annual Report Download - page 36

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22
to the original tax gain were driven primarily by the determination of the final purchase price allocation and the finalization of
the U.S. tax basis calculation, both of which were finalized during 2013.
The net proceeds from this divestiture were used to repurchase $850 million of the Company's common stock and for debt
reduction, to ensure the Company's leverage ratios remain in its target range.
Refer to Note E, Acquisitions, and Note T, Discontinued Operations, for further discussion of the Company's acquisitions and
divestitures.
Driving Further Profitable Growth By Fully Leveraging Existing Businesses
While diversifying the business portfolio through expansion in the Company’s specified growth platforms remains important,
management recognizes that the branded tool and storage product offerings in the Tools & Storage segment are important
foundations that continue to provide strong cash flow and growth prospects. Management is committed to growing these
businesses through innovative product development, brand support, continued investment in emerging markets and a sharp
focus on global cost-competitiveness.
As discussed previously, in the first quarter of 2015, the Company made the decision to combine the complementary elements
of the CDIY and IAR businesses into one Tools & Storage business. The combination of these two businesses is consistent
with the Company's strategy to continue to gain market share and consolidate the tool industry. The decision was based on the
businesses' powerful family of brands, global scale and breadth of products across power and hand tools, storage and
accessories, in addition to diverse channel access across the spectrum of construction, DIY, industrial and automotive repair
markets. The Tools & Storage business represents an important foundation of the Company that will continue to provide strong
cash flow and future growth.
Continuing to Invest in the Stanley Black & Decker Brands
The Company has a strong portfolio of brands associated with high-quality products including STANLEY®, BLACK
+DECKER®, DEWALT®, Porter-Cable®, Bostitch®, Proto®, MAC®, FACOM®, AeroScout®, Powers®, LISTA®,
SIDCHROME®, Vidmar®, SONITROL®, and GQ®. The STANLEY®, BLACK+DECKER® and DEWALT® brands are
recognized as three of the world's great brands and are amongst the Company's most valuable assets. Sustained brand support
has yielded a steady improvement across the spectrum of brand awareness measures, most notably in unaided Stanley hand tool
brand awareness. During 2015, the STANLEY® and DEWALT® brands had prominent signage at nine major league baseball
stadiums and 30% of all Major League Baseball games. The Company has also maintained long-standing NASCAR and NHRA
racing sponsorships, which provided brand exposure during 42 events in 2015. The Company has continued its ten-year
alliance agreement with the Walt Disney World Resort® whereby STANLEY® logos are displayed on construction walls
throughout the theme parks and STANLEY®, MAC®, Proto®, and Vidmar® brand logos and/or products are featured in
various attractions where they are seen by approximately 45 million visitors each year. Additionally, Stanley is “The Official
Tool Provider of the Walt Disney World Resort®.” In 2009, the Company also began advertising in the English Premier
League, which is the number one soccer league in the world, watched weekly by 650 million people. Starting in 2014, the
Company became a sponsor of the world’s most popular football club, FC Barcelona, including player image rights, hospitality
assets and stadium signage. The Company advertises in televised Professional Bull Riders events, one of the fastest growing
sports with over 44 million fans, as well as the The Built Ford Tough Series, which is broadcast in 129 territories and to more
than 400 million households globally. Additionally, the Company sponsors Moto GP, the world's premiere motorcycle racing
series reaching 130 million fans per race and airing in over 200 countries, and the Monster Yamaha Tech3 team. The Company
has entered a partnership with the Chinese Basketball Association (CBA), the most popular sport in China with over 800
million fans. The Company will continue to allocate its brand and advertising spend wisely and it currently generates more than
200 billion brand impressions annually.