Rayovac 2002 Annual Report Download - page 13

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to our SHAREHOLDERS [continued]
Another major technology achievement for Rayovac in 2002 was our launch of
the new Maximum Plus娃alkaline battery. Maximum Plus incorporates our latest
advances in battery chemistry and internal cell construction, and is the longest lasting
Rayovac alkaline product yet. Maximum Plus lasts an average of 11 percent longer than our
prior generation of alkaline products across all sizes, and 33 percent longer than the alkaline
batteries we produced in 1998. The introduction of Maximum Plus, withits improved per-
formance, brings Rayovac’s value proposition to a new level.
Rayovac has long been known for the excellence of our advertising, branding, package design and point-of-purchase presentation. We continued this
tradition in 2002 by launching a bold new Rayovac logo that communicates the power and performance of our brand. We have incorporated this new
high-tech neon blue, black and silver logo into the Company’s packaging, displays and battery cells, thereby sharpening our profile at the point of purchase.
Our new “look” was developed by a leading design firm after extensive consumer research, and it was preferred by battery consumers three to one over our
previous graphic design. More importantly, nine of 10 consumers said they would consider purchasing the new product, a key success indicator in a high-
impulse category like batteries.
Spurring New Growth
Distribution expansion is a key priority for Rayovac, and during 2002 we continued our efforts in this arena. As a result, we scored a number of
important new U.S. distribution gains with such quality retailers as Best Buy, Speedway, Stop & Shop, Snyder Drug/Drug Emporium and Giant Food Stores.
We also obtained a new $625 million bank credit facility in October 2002, the proceeds of which were used to replace existing debt, finance the VARTA
transaction and provide for the increased working capital needs of our new, larger company. The additional funding will enable our Company to continue to
grow in the future.
Finally, we undertook measures to ensure that our Company has the right leadership in place to direct our future growth. We added two outstanding
senior executives to our Board as independent Directors: Barbara S. Thomas and William P. Carmichael, each of whom has extensive senior management
experience with leading consumer products companies. We also welcomed the return of Rayovac Executive Vice President and Chief Financial Officer
Randall J. Steward, who rejoined the Company after a brief absence to attend to important family matters.
Maximum Plus娃incorporates our latest advances in battery chemistry
and internal cell construction to deliver Rayovac’s highest performance,
longest lasting alkaline battery.
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