BEAM INC. BEGINS LIFE AS A PURE-PLAY SPIRITS INDUSTRY LEADER
BEAM INC. BEGINS LIFE AS A PURE-PLAY SPIRITS INDUSTRY LEADER
Formerly Fortune Brands, Company Begins Trading on New York Stock Exchange as BEAM
Beam Primed to Accelerate Profitable Long-Term Growth
Company to Ring Closing Bell at NYSE on October 7th
Deerfield, Illinois, October 4, 2011 - Beam Inc. (NYSE: BEAM), a leading global premium spirits company, today begins trading as an independent company on the New York Stock Exchange. Formerly known as Fortune Brands, Beam is the remaining company following the separation of Fortune Brands' businesses completed on October 3rd.
Beam is the world's fourth largest premium spirits company and the largest US-based spirits company. Its leading brands include Jim Beam bourbon, Maker's Mark bourbon, Sauza tequila, Courvoisier cognac, Canadian Club whisky, Teacher's Scotch, Laphroaig single-malt Scotch, Cruzan rum, Hornitos tequila, Knob Creek bourbon, Pucker flavored vodka, and Skinnygirl cocktails. The company's annual sales were $2.7 billion in 2010 on volume of approximately 33 million 9-liter cases. The company is targeting to deliver growth in adjusted pro forma diluted earnings per share at a high-single-digit rate in 2011.
"This is an incredibly proud day for the 3,200 people of Beam worldwide," said Matt Shattock, president and chief executive officer of Beam. "Our people are passionate about winning and are focused squarely on outperforming our markets and creating long-term value for our shareholders. With the benefit of our portfolio transformation from 2005 to 2007, the enhanced routes to market we built in 2008 and 2009, and the turbocharged brand investments behind sustainable growth initiatives we've made over the past two years, Beam is ready to accelerate profitable growth as a pure-play spirits business. We look forward to building on our current momentum in the dynamic global spirits marketplace, and continuing our strong, disciplined stewardship of capital to further drive shareholder value."
Following the final day of trading in Fortune Brands shares on October 3rd, the people of Beam marked the company's emergence as a standalone spirits business with a celebration at its Clermont, Kentucky distillery that was webcast company-wide to local celebrations at Beam's facilities around the world. The event, which included appearances by Kentucky Governor Steve Beshear and Master Distiller Fred Noe, the great grandson of Jim Beam, underscored Beam's centuries of heritage, handcraftsmanship and importance to the American and global economy. The company is headquartered in Deerfield, Illinois with operating and commercial locations around the world.
In recognition of BEAM's listing on the New York Stock Exchange, representatives of the company will ring the Closing Bell at the NYSE on Friday, October 7th.
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About Beam Inc.
As one of the world's leading premium spirits companies, Beam is Crafting the Spirits that Stir the World. Consumers from all corners of the globe call for the company's brands, including Jim Beam® Bourbon, Maker's Mark® Bourbon, Sauza® Tequila, Canadian Club® Whisky, Courvoisier® Cognac, Teacher's® Scotch Whisky, Laphroaig® Scotch Whisky, Cruzan® Rum, Hornitos ™ Tequila, Knob Creek® Bourbon, EFFEN® Vodka, Pucker™ Flavored Vodka, Larios® Gin, Whisky DYC®, DeKuyper® Cordials, and Skinnygirl® Cocktails. The Beam portfolio includes 10 of the world's top 100 premium spirits brands and some of the industry's fastest growing innovations. Beam is focused on delivering superior performance with its unique combination of scale with agility and a strategy of Creating Famous Brands, Building Winning Markets and Fueling Our Growth. Beam and its 3,200 passionate associates worldwide generated 2010 sales of $2.7 billion on volume of 33 million 9-liter cases.
Headquartered in Deerfield, Illinois, Beam is traded on the New York Stock Exchange under the ticker symbol BEAM and is included in the S&P 500 Index and the MSCI World Index. For more information on Beam, its brands, and its commitment to social responsibility, please visit www.beamglobal.com and www.drinksmart.com.
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This press release contains statements relating to future results, which are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Readers are cautioned that these forward-looking statements speak only as of the date hereof, and the company does not assume any obligation to update, amend or clarify them to reflect events, new information or circumstances occurring after the date of this release. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to: general economic conditions; competitive market pressures (including pricing pressures); successful development of new products and processes; consolidation of customers; customer defaults and related bad debt expense; disruption to operations as a result of Fortune Brands' separation; inability of one or more of the businesses to operate independently following the completion of the proposed separation; risks pertaining to strategic acquisitions and joint ventures, including the potential financial effects and performance of such acquisitions or joint ventures, and integration of acquisitions and the related confirmation or remediation of internal controls over financial reporting; any possible downgrades of the company's credit ratings; volatility of financial and credit markets, which could affect access to capital for the company, its customers and consumers; interest rate fluctuations; commodity and energy price volatility; risks associated with doing business outside the United States, including currency exchange rate risks; ability to secure and maintain rights to intellectual property; inability to attract and retain qualified personnel; the status of the U.S. rum excise tax cover-over program; the impact of excise tax increases on distilled spirits; dependence on performance of distributors and other marketing arrangements; costs of certain employee and retiree benefits and returns on pension assets; tax law changes and/or interpretation of existing tax laws; potential liabilities, costs and uncertainties of litigation; historical consolidated financial statements that may not be indicative of future conditions and results; impairment in the carrying value of goodwill or other acquired intangible assets; weather and natural disasters; as well as other risks and uncertainties detailed from time to time in the Company's Securities and Exchange Commission filings.
Use of Non-GAAP Financial Information
This press release includes the measure of adjusted pro forma diluted earnings per share, which is not derived in accordance with generally accepted accounting principles ("GAAP"). This measure should not be considered in isolation or as a substitute for any measure derived in accordance with GAAP, and may also be inconsistent with similar measures presented by other companies. Reconciliation of this measure to the most closely comparable GAAP measure, and reasons for the company's use of this measure, are available in the Investors section of the company's website, www.beamglobal.com.
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