Jarden Releases Prelim Results for Q4
RYE, N.Y-Jarden said it expects revenue of $1.725 to $1.735 billion for the fourth quarter of 2011 and approximately $6.68 billion for the full year and segment earnings of $205 to $210 million and $785 to $790 million for the fourth quarter and the full year respectively.
"Based on preliminary results, our record fourth quarter performance capped off another record year for Jarden in terms of both revenue and segment earnings, despite the mild weather experienced in the fourth quarter," said Martin E. Franklin, executive chairman.
Franklin also said that the board has decided to accelerate its stock buy backs by launching a 'modified Dutch auction' tender offer. Based on the closing price yesterday of $30.71 per share and the average closing price of $30.69 over the last three months, the company intends to commence a tender offer for $500 million of Jarden's common stock with a price range of between $30 and $33 per share, which it will fund through a combination of cash on hand and new debt. The board has also decided to suspend its dividend program following the January 2012 dividend payment.
James E. Lillie, CEO of Jarden, said, "We were pleased that we continued to build on our solid performance in 2011 to deliver strong results during the fourth quarter, despite macro concerns and the unseasonably warm weather. As we have stated before, in any given year unusual weather patterns can negatively impact many of our 'seasonal staples' businesses. Despite the late start of winter weather this season, it is too early to predict the impact, if any, on 2012."