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14
Selected Financial Data
Jarden Corporation Annual Report 2011
(b) The results of Pure Fishing, Inc., K2 Inc., Mapa Spontex, Aero and Quickie are included from their dates of acquisition of April 6, 2007, August 8,
2007, April 1, 2010, October 1, 2010 and December 17, 2010, respectively.
(c) Reorganization costs include costs associated with exit or disposal activities, including costs of employee and lease terminations and facility closings
or other exit activities. Additionally, these costs include expenses directly related to integrating and reorganizing acquired businesses and include
items such as employee retention, recruiting costs, certain moving costs, certain duplicative costs during integration and asset impairments (see
Note 16 to the consolidated financial statements).
(d) Segment Earnings represents earnings before interest, taxes and depreciation and amortization, excluding certain reorganization costs, acquisition-
related and other costs, net, impairment of goodwill and intangible assets, transaction costs, other items, non-cash Venezuela hyperinflationary
and devaluation charges, mark-to-market net impact on non-hedged Euro denominated debt, fair value inventory adjustments, and loss on early
extinguishment of debt. This non-GAAP financial measure is presented in this Annual Report because it is a basis upon which the Company’s
management has assessed its financial performance in the years presented. Additionally, the Company uses non-GAAP financial measures because
the Company’s credit agreement provides for certain adjustments in calculations used for determining whether the Company is in compliance
with certain credit agreement covenants, including, but not limited to, adjustments relating to non-cash purchase accounting adjustments, certain
reorganization and acquisition-related integration costs, impairment of goodwill and intangible assets, non-cash stock-based compensation
costs and loss on early extinguishment of debt. Segment Earnings should not be considered a primary measure of the Company’s performance
and should be reviewed in conjunction with, and not as substitute for, financial measurements prepared in accordance with generally accepted
accounting principles in the United States of America (“GAAP”) that are presented in this Annual Report. A reconciliation of the calculation of
Segment Earnings is presented below:
Reconciliation of non-GAAP Measure:
(1) For 2009, Segment Earnings includes reorganization costs of $3.8 million related to the Consumer Solutions segment.
(2) During 2008, the Company modified the composition of Segment Earnings to include stock-based compensation. All prior periods have been
restated to conform to the current presentation.
(3) Amount in 2010 comprised of $52.4 million of acquisition-related and other charges, net, which primarily relate to acquisitions (see Note 3 to
the consolidated financial statements) and a $10.1 million mark-to-market gain associated with the Company’s Euro-denominated debt and
intercompany loans.
(4) Amount in 2009 represents executive stock compensation resulting from a strategic review of executive long-term incentive compensation.
(e) In January 2012, the Company announced that the Board had decided to suspend the Company’s dividend program following the dividend paid on
January 31, 2012.
(f) Working capital is defined as current assets (including cash) less current liabilities. For 2011, 2010, 2009, 2008 and 2007, working capital excluding
cash was $1.2 billion, $998 million, $676 million, $982 million and $1.0 billion, respectively.
For the Years Ended December 31,
(In millions) 2011 2010 2009 2008 2007
Net income (loss) $ 204.7 $ 106.7 $ 128.7 $ (58.9) $ 28.1
Income tax provision 125.7 122.8 110.7 26.3 38.5
Interest expense, net 179.7 177.8 147.5 178.7 149.7
Loss on early extinguishment of debt 12.8 — — — 15.7
Operating earnings 522.9 407.3 386.9 146.1 232.0
Adjustments to reconcile to Segment Earnings:
Depreciation and amortization 163.7 142.8 130.3 120.3 96.4
Fair value adjustment to inventory 6.9 27.4 — — 118.9
Venezuela hyperinflationary and devaluation charges — 70.6 — — —
Reorganization costs 23.4 — 48.5 59.8 49.6
Acquisition-related and other costs, net (3) 21.4 42.3 — — 4.6
Impairment of goodwill, intangibles and other assets 52.5 19.7 22.9 283.2 —
Other adjustments (4) — — 17.1 — —
Segment Earnings (1)(2) $ 790.8 $ 710.1 $ 605.7 $ 609.4 $ 501.5