Spectrum Brands Acquires European Business of Iams and Eukanuba

A business transaction occurred between Spectrum Brands Holdings Inc. and Procter & Gamble. Spectrum has acquired the European business of Iams and Eukanuba from Procter & Gamble. European Iams and Eukanuba have annual sales of approximately $200 million USD.

Dave Lumly, CEO of Spectrum Brands Holdings, said, “The addition of these leading brands in an adjacent category better balances the product portfolio of our global pet business while significantly expanding its product offerings and geographic footprint. We see major cross-selling opportunities given the strength of our existing aquatics and companion animal supplies business in continental Europe and the particularly strong position of these dry pet food brands in the UK. Over the next few years, we also expect important synergies in overhead, SG&A, and manufacturing and distribution.”

The Chairman of the Board of Spectrum Brands Holdings, David Maura said, “I view the Iams and Eukanuba brands as iconic in the specialty pet food category. With this acquisition, we are strategically strengthening our companion animal product portfolio and investing behind our global pet supplies business. We expect this deal to be accretive in year one, but more meaningfully so in the second year, once fully integrated. We welcome the P&G employees to the Spectrum Brands family and look forward to driving this business to an even higher performance level and providing outstanding service to our customers.”

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Spectrum Brands Buys P&G’s Remaining Pet Care Business

Spectrum Brands Acquires European Pet Care Business

Dateline: CINCINNATI

The Procter & Gamble Company (NYSE:PG) today announced last week, that Spectrum Brands has agreed to buy IAMS® and EUKANUBA® brands in Europe for an undisclosed amount.

In April, P&G announced the sale to Mars, Inc. of 80% of its global Pet Care business, including North America and Latin America. Europe was not included in that deal with the exception of Russia and Turkey. Mars later agreed to buy an additional 10% of the business in additional markets including Japan, Australia and South Africa. With the Spectrum transaction, P&G now has closed deals or reached agreements to sell 100% of its Pet Care business. The deal will close in 2015, subject to regulatory approvals.

P&G’s Chairman, President and Chief Executive Officer, A.G. Lafley, said: “Exiting Pet Care is an important step in our strategy to focus P&G’s portfolio on the core businesses where we can create the most value for consumers and shareowners. The transaction creates value for P&G shareowners, and we are confident that the European business will thrive at Spectrum, a leading company in pet care.” Spectrum has a strong Pet Care business with brands representing $600 million in global sales, including Tetra®, Furminator®, 8 in 1®, and Dingo®.

The geographic regions included in the acquisition, which account for approximately 10% of P&G’s former pet care global sales, include 42 markets throughout Europe.

Procter & Gamble focuses on the big brands

Procter and Gamble announced last week it plans to sell or discontinue as many as 100 brands in the next two years to cut costs and focus on its most important products. 

The company hasn't shown any attachment to some of its larger brand names in the past. It has entirely exited the food business, where it once owned big brands like Jif peanut butter, Folgers coffee and Pringles potato chips. Earlier this year, P&G announced it would also be exiting the pet food business, releasing IAMS and Eukanuba from its portfolio.

READ MORE: Mars to buy most of P&G's pet food business for $2.9 billion

The 70-80 brands that remain will have accounted for 90 per cent of the company's sales and more than 95 per cent of its profit in the past three years, said CEO A.G. Lafley.   

READ MORE: P&G Delivers Fiscal Year Commitments; Organic Sales Increase 3%, Core Earnings Per Share up 5%

"In summary, we are going to create a faster growing, more profitable company that is far simpler to manage and operate," said Lafley conference call to discuss fourth-quarter earnings, which beat analysts’ estimates. "This will enable P&G people to be more agile and responsive, more flexible and faster. Less will be much more." 

READ MORE: Procter and Gamble’s CEO is dismantling the behemoth he spent a decade building

READ MORE: P&G Plans to Shed 100 Brands to Focus on Top Performers

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Time to say thanks to Procter and Gamble/IAMS

The pace of change has quickened. Changes in communities, in industries, in organizations and in relationships occur constantly and often without a backward glance. But today, PetLynx pronounced  gratitude and recognition of a fruitful era, which has drawn to a close. 

IAMS Canada (Procter & Gamble), concluded its longstanding partnership with PetLynx and the Urban Animal™ programs as the company refocuses its commitments and affiliations. IAMS sponsored the PetLynx recovery system since its inception in May of 2006, PetLynx grew the recovery system to be Canada's best and only automated recovery service for animals. Today, the service is active in 341 communities across Canada and has recovered more than 295,000 animals. 

In addition, IAMS has proven a staunch supporter of Urban Animal™ programs by providing sponsorship investments for multiple events over the years. As Presenting Sponsor of programs for seven years, IAMS established its brand as an industry leader and collaborator.  

During the coming weeks, both programs will be re-factored and moved to other sponsors. However, both PetLynx and IAMS will have these accomplishments as elements of their service heritage. 

On behalf of hundreds of thousands of pet owners who were served across Canada, it is time to say Thank You! Thank you to Procter & Gamble's management team for supporting a new vision and thank you to the IAMS team who collaborated in the field to create successful recovery service. 

Mars to buy most of P&G's pet food business for $2.9 billion

Mars, Incorporated and the Procter & Gamble Company announced today that Mars has agreed to buy the IAMS®, EUKANUBA® and NATURA® brands in major markets for $2.9 billion U.S. This is a strategic move for Mars Petcare to complement its large and growing global Petcare business. 

"We view the addition of the IAMS®, EUKANUBA® and NATURA® brands as exceptionally strategic," said Mars Petcare Global President, Todd Lachman. "This acquisition is a perfect fit with our Mars Petcare vision of making A BETTER WORLD FOR PETS™. The deal reinforces our leadership in pet nutrition and veterinary science, attracts world class talent and grows our world leading portfolio."

The geographic regions included in the acquisition, which account for approximately 80% of P&G Pet Care's global sales, include North America, Latin America and other selected countries excluding most European markets. P&G said it is working on alternate plans to sell its Pet Care business in European Union countries. 

"Exiting Pet Care is an important step in our strategy to focus P&G's portfolio on the core businesses where we can create the most value for consumers and shareowners," said P&G Chairman, President and CEO, A.G. Lafley. "The transaction creates value for P&G share owners, and we are confident that the business will thrive at Mars, a leading company in pet care." 

The company is expected to complete the transaction in the second half of 2014, subject to regulatory approvals. 

Mars Petcare is one of the world's leading pet food and veterinary care providers and employs more than 35,000 associates across 50 countries. Upon completion of the transaction, IAMS®, EUKANUBA® and NATURA® brands will join Mars Petcare's billion dollar stable mates PEDIGREE®, WHISKAS®, BANFIELD® and ROYAL CANIN®. 

For further company and financial impact related information, READ THE NEW RELEASE.

Procter and Gamble announces organizational changes

Three long-standing P&G staffers have announced their retirement from the company effective in the New Year. 

Vice Chairman and Advisor to the Chairman and CEO, Dimitri Panayotopoulos, will retire effective January 2, 2014, after 37 years of service. Robert L. Fregolle, Jr. Global Business Development Officer, will retire on June 30, 2014 after more than 36 years with P&G and Chief Technology Officer, Bruce Brown, will retire effective August 31, 2014 after more than 34 years of service.

"These changes demonstrate the depth and strength of P&G's leadership bench," said A.G. Lafley, P&G Chairman of the Board, President and CEO. "Dimitri, Bruce and Bob have each served P&G for more than 34 years and have made a lasting, positive impact on the company." 

Carolyn M. Tastad has been elected Global Customer Business Development Officer in place of Fregolle and Kathleen B. Fish will succeed Brown as Chief Technology Officer. 

In addition, P&G announced that Kirk Perry, currently President-Global Family Care, will leave the company effective Dec. 2 to pursue other interests. Steven D. Bishop, currently Group President - Global Feminine Care, will be named Group President - Global Feminine and Family Care. 

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P&G Expands Partnership with the American Red Cross Through the Disaster Responder Program

Procter & Gamble is expanding its partnership with the American Red Cross by joining the Disaster Responder Program to support Red Cross disaster response work nationwide. 

Joining the American Red Cross as an official Disaster Responder represents a milestone in P&G's commitment to bring the comforts of home to families impacted by natural disasters. For decades, P&G has responded to disasters all over the world through product and cash donations. Recently, the company has scaled its efforts to provide kits of a dozen P&G brands including Secret®, Gillette®, Ivory® and Iams®. Kits are packed by P&G employees then shared with families in the days after disasters through mobile relief units. 

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P&G kicks off Sochi 2014 Olympic Winter Games 'Thank You Mom' Campaign

Procter & Gamble, a world-wide Olympic partner, kicked off the company's Thank You Mom campaign today with the Raising an Olympian series featuring global Olympians. 

The launch of the campaign marks 100 days until the start of the Sochi 2014 Olympic Winter games and is supported by more than 15 P&G brands around the globe. The Raising of an Olympian series pays tribute to moms by showcasing the journey of world-class athletes as seen through the eyes of their moms. 

As part of P&G's dedication to bringing the best to moms around the world, the Thank You Mom campaign will come to life through a variety of media channels and in store. Two million retailers throughout the world will feature P&G Olympic Games themed athlete packaging, end caps and displays. 

The first half of the Raising an Olympian films can be viewed at: P&G Raising an Olympian

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About P&G

P&G servies approximately 4.8 billion people around the world with its brands. The company has one of the strongest portfolios of trusted, quality, leadership brands in cluding Ace®, Bounty®, Crest®, Duracell®, Gillette®, Head & Shoulders®, Iams®, Olay®, Pampers®, Tide®, Vicks® and Whisper®. The P&G community includes operations in approximately 70 countries worldwide. 

Consumer and Shareowner Value Creation is Top Priority, P&G CEO Tells Shareowners

Procter & Gamble has established consumer and shareowner value creation as its top priority, chairman, president and CEO A.G. Lafley told the company's shareowners at its annual general meeting earlier this week. 

In a review of the business over the past year, Mr. Lafley said P&G had met or exceeded its key financial commitments, including organic sales growth, core earnings per share and free cash flow productivity. The company returned $12.5 billion in cash to share owners. However, he emphasized the company can do better. 

Lafley stressed that the company will focus on its core businesses, which include the leading most profitable brands, categories and countries. P&G must ensure its U.S. business is strong and growing while investing in developing markets that have the largest size of prize and where P&G has the highest likelihood of winning. Resources will be allocated to businesses where value can be created and the company will exit those that cannot deliver acceptable shareowner returns. 

"We have taken a hard look at what we need to do and how we need to change to perform better," said Lafley. "We're committed to do what it takes to get P&G back to balanced, consistent, reliable and sustainable growth and value creation for consumers, customers, and you, our shareholders."

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2013 PetLynx Activity - 273 Days Ending 30 September

The PetLynx utility had the following activity for the first 273 days of 2013:  

• 16,942 animals registered increasing total to 984,307
• 17,390 associates (owners/service providers) registered increasing total to 878,968
• 22,606 recovery episodes by the IAMS sponsored Automated HomeSafe Program increasing total to 285,588
• 13,978,361 webhits
• 258,015 logins

2013 PetLynx Activity - 243 Days Ending 31 August

The PetLynx utility had the following activity for the first 243 days of 2013: 

• 14,899 animals registered increasing total to 982,264
• 15,322 associates (owners/service providers) registered increasing total to 876,900
• 19,799 recovery episodes by the IAMS sponsored Automated HomeSafe Program increasing total to 282,781
• 12,058,988 webhits
• 226,398 logins

2013 Emerging Leader Scholarship recipients announced!

Urban Animal alumni have awarded two scholarships to Emerging Leaders in the companion animal industry to attend the 2013 Summit for Urban Animal Strategies.  

Dr. Heather MacQuarrie for 2013 Emerging Leader Scholarship

Dr. MacQuarrie has an exceptional intellect, as the top entry into the first ever class at UCVM, and in the top of her class upon graduation, she demonstrates a deep understanding of people, pets and community. Heather has extensive volunteer time in community non-profit activity in the animal industry. She has clearly demonstrated a desire to take her involvement far beyond the boundaries of her veterinary career, to contribute on a grander scale to urban animals locally, nationally and worldwide.

Dr. Adam Little for 2013 Emerging Leader Scholarship

Dr. Little is a veterinarian and entrepreneur with a passion for applying his diverse experience towards tackling big problems. He has worked with a number of organizations to promote the relationship between human and animal health and has a particular interest in using his background in veterinary medicine to address food, education and global health issues. Adam has been the recipient of numerous awards for his commitment to the urban animal industry including the Veterinary Business Award 2013, P.K. Basrur Award in Veterinary Medical Genetics 2010 and the University of Guelph Dean's List 2006-2009. 

The Emerging Leader Scholarship program was established to provide future leaders with a hand-up and mentoring experience for their careers. The scholarship is valued at $2,000 to offset the costs of travel and Summit registration.

2013 Emerging Leader Scholarship's are sponsored by Pets Plus Us and IAMS Canada. Congratulations to this year's recipients and to all nominees! 

2013 PetLynx Activity - 212 Days ending 31 July

The PetLynx utility had the following activity for the first 212 days of 2013: 

• 12,587 animals registered increasing total to 979,954
• 13,073 associates (owners/service providers) registered increasing total to 874,568
• 16,680 recovery episodes by the IAMS sponsored Automated HomeSafe Program increasing total to 279,663
• 10,021,647 webhits
• 193,575 logins 

Free Recovery Services for Pets Affected by Alberta Floods

A complimentary identification and recovery service including a lifetime animal registration, lost and found searches and picture posters are available to all those owning or finding pets in the areas affected by the Alberta floods. Recovery experience shows that disruption to environment and transportation events are the two most common causes associated with lost pets. 

The partners of the Urban Animal Initiative believe that every pet family deserves a positive pet experience including peace of mind and lifetime protection regardless of the challenges that come their way. For the next 30 days pet families can access the AnimalTRACS(tm) system without charge.

Go to www.petlynx.net

Follow instructions to register a pet

Use coupon number IAMS-2013-YYC

IAMS, Pets Plus Us, PIJAC Canada, CDMV, OSPCA, PetLynx and the other brand affiliates of the Urban Animal program have contributed these free subscriptions in addition to the many other ways they are responding to those displaced or impacted by this disaster.

PetLynx is a well known, proven Automated Recovery Service that has assisted more than 274,000 recovery episodes across Canada prior to the Alberta floods. The PetLynx recovery service provides records and searches that can be accessed by all clinics, hospitals, pounds and other service providers in each community. The PetLynx AnimalTRACS(tm) system is the only recovery service in the world with the ability to match pets based upon a physical description.

Please contact a local veterinarian, pet store, humane society, breeder, kennel or rescue organization if you require assistance.

New campaign celebrates daily needs of P&G consumers

Procter and Gamble took to New York City streets Wednesday to promote its latest campaign: The Everyday Effect. 

Through the largest consumer event in the company's 175 year history, P&G served the daily needs of New Yorkers and demonstrated how P&G products make everyday life better. More than 40,000 products representing 25 P&G brands were distributed throughout Manhattan at the moments people needed them most, including Scope mouthwash for coffee drinkers, Febreze car vent clips for taxis and IAMS dog treats for pet lovers. 

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P&G organizes Global Business Units into Industry-Based Sectors

The Procter & Gamble Company announced yesterday it is grouping its Global Business Units into four industry-based sectors as part of the company's ongoing plan to improve business performance. 

The IAMS pet food brand now falls under the sector group - Global Health and Grooming. David S. Taylor has been elected Group President of this sector and will assume responsibility for the Pet Care business. 

The businesses in each sector are focused on common consumer benefits, share common technologies and face common competitors. 

A news release announcing the changes states these changes support the company's growth strategies of strengthening developed market businesses, maintaining developing market momentum, building a strong innovation pipeline and driving productivity improvements. 

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P&G Declares a 7% Dividend Increase

The Procter and Gamble Company announced last week that its Board of Directors declared an increase of 7% over the prior quarterly dividend from $0.562 to $0.6015 per share on its Common Stock and on the Series A and Series B ESOP Convertible Class A Preferred Stock of the Company. 

P&G has been paying a dividend for 123 consecutive years since the incorporation in 1890. This marks the 57th consecutive year that the Company has increased the dividend. 

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IAMS presents Friends for Life OSPCA Fundraiser

The IAMS brand is the presenting sponsor of the OSPCA Friends for Life! Walk-a-thon. IAMS is well known for the investment it brings to industry activities. 

The Honorary Chair of the 2013 Friends for Life! Walk-a-thon is ETALK Anchor, Tanya Kim.

Tanya Kim, Daisy and Miss Louise

IAMS Casting Call

IAMS recognizes importance of human animal bond in advertising 

Procter and Gamble Pet Care (IAMS) is looking for companion animals to star in its next advertisement. The Love Tails Contest launched 14 February 2013 and will run until 03 March 2013. IAMS is searching for unique stories (or 'tails') to feature through online and print advertisements. 

Building off the recently launched Keep Love Strong advertising campaign that was inspired by stories of the unique emotional bond people have with their pets, this contest also seeks to feature the special connections real people share with their animals. 

"The response we've received from our Keep Love Strong campaign has been wonderful," said Kristine Decker, director of marketing for IAMS. "This contest is the next chapter in the journey we're on about celebrating the strong emotional bond between people and their cats and dogs, and the important role IAMS plays in those relationships." 

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Iams DNA and Big Vision Serves Entire Industry

In May 2006, PetLynx Corporation and Iams launched Canada's first automated recovery service in the City of Edmonton, Alberta, Canada. Since that time, PetLynx has become the most recognized pet services brand in Canada and the AnimalTRACS (tm) Recovery System has assisted pet families to recover more than 250,000 dogs and cats in more than 240 communities across Canada.

Some have wondered why North America's nutritional leader would seed and pay for a public recovery service that is available to every pet family, every pet organization, every veterinarian, every identification provider, every municipal pound, humane society, rescue agency and SPCA in Canada regardless of their affiliation with a nutritional provider. This unique DNA was invested in the Iams brand more than 60 years ago.

In 1946, Paul Iams, the driving force behind the Iams brand not only had a vision to make a better pet food, he was driven to think about how pets could live better, longer and how pet families could have an awesome pet experience.

InfoStream invites you to watch the story of one man's dream