Graco 2011 Annual Report Download - page 17

NEWELL RUBBERMAID 2011 Annual Report 15
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What are some of the emerging global trends
you’re seeing that align with the Company’s
product portfolio?
Penny McIntyre: The rapid growth of the middle class in
emerging markets offers great opportunity. With economic
and social development comes access to education. Our
writing portfolio, from Paper Mate® to Sharpie®, can draft
on the back of this mega trend as an education tool. Our
Fine Writing business can also benefit, as Parker® and
Waterman® are badges of success and achievement in life.
Irwin and Rubbermaid Commercial Products
have achieved rapid growth in Brazil. Is there
more opportunity ahead?
Bill Burke: We have tremendous momentum in Brazil.
We have two factories there, one for Irwin® and one for
Rubbermaid Commercial Products®, both of which are
very successful. We’re investing more in manufacturing,
in people and in marketing as well. If you think about the
growth associated with future events coming to Brazil –
the Olympics, the World Cup – we’re well-positioned to
be a part of that, from the building of infrastructure with
our tools business to a visible presence at the events
themselves with Rubbermaid Commercial Products.
Looking at 2012 and beyond, what are the
most compelling growth opportunities?
Bill Burke: For Newell Professional, we’re very excited about
the opportunities in our healthcare business, and how our
solutions are providing real value by helping increase nurses’
capacity to care for patients. Geographically, Latin America
and China are key targets where we look to build on our
recent strong growth by Lenox, Irwin and Rubbermaid
Commercial Products. Our commercial cleaning portfolio,
for example, is being very well received in these markets.
Penny McIntyre: At Newell Consumer, we’ve invested in
the global expansion for Writing & Creative Expression
with great results, and we’ll be even more aggressive
going forward. In Fine Writing & Luxury Accessories,
Parker has been moving from strength to strength. The
launch of the Parker Ingenuity line will contribute even
more to that growth, especially in China, Japan, Russia
and Southeast Asia. Brazil and Mexico will be key areas of
emphasis for several of our consumer brands, including
Paper Mate® and Sharpie®. In North America, where
we enjoy considerable market strength already, we are
doubling down support for our Rubbermaid Consumer
cleaning platform and for our culinary business, Calphalon®,
which had a phenomenal year in 2011.
How does Newell Rubbermaid’s financial
performance and structure support this next
chapter in the Company’s transformation?
Juan Figuereo: Newell Rubbermaid is a very cash-
generative business. Our initiatives to boost productivity
have contributed to that performance. We have already
reaped benefits from the implementation of our
European Transformation Plan, which significantly
increased our margins in that region. Our robust
operating cash flow, coupled with a stronger balance
sheet and reduced debt, provides the flexibility to invest
in organic growth and, where warranted, in bolt-on
acquisitions that complement our existing businesses.
In addition, even as we invest in growth, we continue
to remain committed to returning value to shareholders
through dividends and share repurchase.
Today, with products manufactured in the U.S. and
shipped to China, Lenox® has nearly 100 people on
the ground there selling our band saw blades, and
we have established a very strong business that’s
growing 50 percent a year in that region.
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