Fortune Brands 'Ready to Set Out on Our Own'
Fortune Brands Home & Security, parent company of Simonton Windows and Therma Tru Doors, began its first full day as an independent home and security products company yesterday following its spin-off from Fortune Brands on Monday, October 3. The new company’s stock started trading yesterday on the New York Stock Exchange under the symbol “FBHS.”
“This is an exciting day for everyone at Fortune Brands Home & Security," says Christopher J. Klein, CEO. "We have spent years working hard to build legendary brands that enhance and make a difference in peoples’ lives, and now we’re ready to set out on our own.”
In addition to Simonton and Therma Tru, the new business includes Master Lock, MasterBrand cabinets and Moen faucets. With approximately 16,000 employees, the company posted net sales of $3.2 billion in 2010 and continues to be profitable and outperform the market, despite challenging times for its industry, officials state.
“Our brands, and of course our customers and consumers, will benefit from the focus we can bring to our business as an independent company. We are committed to continued consumer-driven product innovation, providing the best customer service and running the leanest and most efficient supply chains in the business. We are successful today, even in this challenging market, and we are well positioned to accelerate growth when our market eventually recovers.”
Before the new company's stock began trading on Wall Street, Klein told Reuters that the new company will be able to invest in more projects, especially "second-tier" priorities that may not have been met when it was competing for resources as part of a conglomerate that also makes Jim Beam bourbon and Titleist golf equipment. "Historically we would've had all of our top priorities funded," Klein said. "It's that next tier, where there's some very attractive organic growth opportunities .... This will allow us to increase investment there."
Fortune Brands Home & Security had been part of Fortune Brands Inc. In December 2010, the company announced it would break up its business into three separate units. It sold its golf business, which included Footjoy, Titleist and several other brand products, in May. Late Monday evening, October 3, the break-up was completed with the formation of Fortune Brands Home & Security and Beam Inc., devoted to the spirits business.
The new company will continue to have its headquarters in Deerfield, Ill. It also has a new website at www.fbhs.com.
To commemorate the company’s spin-off and its new stock listing, Klein and other members of the FBHS management team will ring the NYSE’s opening bell on Friday, October 7, at 9:30 a.m. Eastern Time. A live webcast of the event is available at www.nyse.com.