Sunbeam 2011 Annual Report Download - page 17

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15
Management’s Discussion and Analysis of Financial Condition and Results of Operations
The following discussion of financial condition and results of operations of Jarden Corporation and its subsidiaries (hereinafter
referred to as the “Company” or “Jarden”) should be read together with the consolidated financial statements and notes to those
statements included in this Annual Report. Unless otherwise indicated, references in the following discussion to 2011, 2010 and 2009
are to Jarden’s fiscal years ended December 31, 2011, 2010 and 2009, respectively.
Overview
The Company is a leading provider of a broad range of consumer products. The Company reports four business segments: Outdoor
Solutions, Consumer Solutions, Branded Consumables and Process Solutions. The Company’s sales are principally within the United
States. The Company’s international operations are mainly based in Asia, Canada, Europe and Latin America.
The Company distributes its products globally, primarily through club stores; craft stores; direct-to-consumer channels, primarily
consisting of infomercials; department stores; drugstores; grocery retailers; home improvement stores; mass merchandisers; on-
line; specialty retailers and wholesalers. The markets in which the Company’s businesses operate are generally highly competitive,
based primarily on product quality, product innovation, price and customer service and support, although the degree and nature of
such competition vary by location and product line. Since the Company operates primarily in the consumer products markets, it is
generally affected, by among other factors, overall economic conditions and the related impact on consumer confidence.
The Outdoor Solutions segment manufactures or sources, markets and distributes global consumer active lifestyle products for
outdoor and outdoor-related activities. For general outdoor activities, Coleman® is a leading brand for active lifestyle products,
offering an array of products that include camping and outdoor equipment such as air beds, camping stoves, coolers, foldable
furniture, gas grills, lanterns and flashlights, propane fuel, sleeping bags, tents and water recreation products such as inflatable
boats, kayaks and tow-behinds. The Outdoor Solutions segment is also a leading provider of fishing equipment under brand
names such as Abu Garcia®, All Star®, Berkley®, Fenwick®, Gulp!®, JRC™, Mitchell®, Penn®, Pflueger®, Sebile®, Sevenstrand®,
Shakespeare®, Spiderwire®, Stren®, Trilene®, Ugly Stik® and Xtools®. Team sports equipment for baseball, softball, football,
basketball, field hockey and lacrosse products are sold under brand names such as deBeer®, Gait®, Miken®, Rawlings® and
Worth®. Alpine and nordic skiing, snowboarding, snowshoeing and in-line skating products are sold under brand names such as
Atlas®, Full Tilt®, K2®, Line®, Little Bear®, Madshus®, Marker®, Morrow®, Ride®, Tubbs®, Völkl® and 5150 Snowboards®. Water
sports equipment, personal flotation devices and all-terrain vehicle gear are sold under brand names such as Helium®, Hodgman®,
Mad Dog Gear®, Sevylor®, Sospenders® and Stearns®. The Company also sells high performance technical and outdoor apparel
and equipment under brand names such as CAPP3L®, Ex Officio®, K2®, Marker®, Marmot®, Planet Earth®, Ride®, Völkl® and
Zoot®, and premium air beds under brand names, including Aero®, Aerobed® and Aero Sport®.
Selected Quarterly Financial Data (Unaudited)
(1) Earnings per share calculations for each quarter are based on the weighted average number of shares outstanding for each period, and the sum of
the quarterly amounts may not necessarily equal the annual earnings per share amounts.
(2) The results of operations for the fourth quarter of 2011 include impairment charges of $52.5, primarily comprised of an impairment charge of $43.4
related to the impairment of goodwill and intangibles (see Note 6 to the consolidated financial statements); $17.2 of reorganization costs and $15.0
of acquisition-related and other costs, net.
The results of operations for the fourth quarter of 2010 include $27.8 of acquisition-related and other costs and a foreign currency gain of $7.5
related to the Venezuela devaluation (see Note 1 to the consolidated financial statements).
(In millions, except per share amounts)
First
Quarter
Second
Quarter
Third
Quarter
Fourth
Quarter(2) Total
2011
Net sales $ 1,483.4 $ 1,673.8 $ 1,784.7 $ 1,738.0 $ 6,679.9
Gross profit 401.8 477.5 517.0 461.7 1,858.0
Net income as reported 19.0 73.9 90.7 21.1 204.7
Basic earnings per share (1) 0.21 0.83 1.03 0.24 2.33
Diluted earnings per share (1) 0.21 0.83 1.03 0.24 2.31
2010
Net sales $ 1,189.1 $ 1,547.5 $ 1,601.9 $ 1,684.2 $ 6,022.7
Gross profit 309.1 411.6 457.9 460.2 1,638.8
Net income (loss) as reported (59.0) 38.4 80.6 46.7 106.7
Basic earnings (loss) per share (1) (0.66) 0.43 0.91 0.53 1.20
Diluted earnings (loss) per share (1) (0.66) 0.43 0.90 0.52 1.19
Selected Financial Data/Management’s Discussion and Analysis
Jarden Corporation Annual Report 2011