Hamilton Beach 2014 Annual Report Download - page 15

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Conclusion and NACCO Outlook
NACCO is a strong, multi-industry company
with leading businesses in the mining and small
appliances industries. The Company continues to
believe HBB’s growth opportunities are significant.
While growth opportunities also are significant
at NACoal, they are largely based on growth at
existing mines and those in development. Both
HBB and NACoal will be prudent in pursuing
any new opportunities. NACCO is confident that
NACoal and HBB have the right strategic initiatives
in place to move them closer to achieving their
long-term growth and financial objectives. Kitchen
Collection’s long-term prospects at this time are
uncertain, but its near-term prospects are positive
and should improve significantly. NACCO is well
positioned to support its individual businesses
in the years ahead. Each subsidiary is benefitting
from programs previously put in place which,
when combined with the initiatives now being
implemented, should improve income and return
on total capital employed at each business over
the next few years. In addition, the Company
expects each business to generate significant
cash flow before financing over time, which it
expects to use mainly to pay dividends, repurchase
stock when that is an attractive investment for
its stockholders, and reduce debt.
As of December 31, 2014, NACCO had
repurchased 680,013 shares of its Class A common
stock for an aggregate purchase price of $36.0
million, including $35.1 million of stock purchased
during 2014. These purchases were made under
the stock repurchase program the Company
announced in November 2013, which permits the
repurchase of up to $60 million of the Company’s
outstanding Class A common stock. Under a
previous stock repurchase program which ran
from November 2011 to November 2013, the
Company repurchased approximately 624,000
shares of Class A common stock for an aggregate
purchase price of $35.6 million.
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We would like to recognize Jack Turben, who
chose to retire from the NACCO and subsidiary
Boards this past May, after serving for 17 years.
He also served as chair of our Finance Committee.
Jack brought unique and valuable perspectives
to the Board from his experiences as a real
pioneer and leader in the private equity arena.
We appreciate his many contributions and wish
him well in retirement.
In closing, we would like to thank all of our
subsidiaries’ customers, retailers and suppliers,
and all of NACCO’s stockholders, for their
continued support. Most importantly, we would
also like to thank all employees of NACCO and its
subsidiary companies for their continued hard
work. We continue to have great confidence
in the management teams leading each of our
subsidiaries and the parent company, and we
are confident these teams can successfully
implement their respective strategic initiatives
to enhance the Company’s sales and profits over
the next few years.
Gregory H. Trepp
President and Chief Executive Officer
Hamilton Beach Brands, Inc.
Chief Executive Officer
The Kitchen Collection, LLC
Robert L. Benson
President and Chief Executive Officer
The North American Coal Corporation
Alfred M. Rankin, Jr.
Chairman, President and Chief Executive Officer
NACCO Industries, Inc.