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$SLGN will acquire $WRK’s specialty closures and dispensing systems business for $1.025Bil. The transaction is expected to close late 1Q17. The deal is expected to be accretive to earnings and $SLGN expects to realize operational cost synergies of $15MM within 24 months following the deal. $SLGN expects to fund this through cash and borrowings.
$KMB plans to cut costs by $1.5Bil over the next four years, including slashing 5,000 to 5,500 jobs (about 12% of its workforce) and closing 10 facilities. This comes as the company reported a 22% YoY increase in profit for 4Q17, but only a slight uptick in sales. Excluding certain items, earnings were $1.57 per share, up 8% from a year ago.
$WRK has named James Armstrong as Vice President, Investor Relations. Most recently, Armstrong covered the paper, packaging and building materials industry through his own investment research firm. Prior to this, he was Vice President and Chief Technology Officer of Vertical Research Partners.
Office furniture, equipment and home furnishings manufacturer $MLHR reported higher 2Q18 earnings, helped by higher revenue and new orders. Net income grew 5.7% to $33.5MM or $0.55 per share from $31.7MM or $0.53 per share a year ago. Revenue for the quarter grew 4.7% to $604.6MM. Excluding items, $MLHR earned $0.57 per share.
$WRK agreed to acquire substantially all the assets of corrugated packaging company Plymouth Packaging, Inc. The transaction includes Plymouth’s fanfold corrugated facilities in, Michigan, Texas and Pennsylvania, and all the company-owned Box on Demand machines located in customers’ facilities. The deal is subject to customary closing conditions.
European Group B.V., a subsidiary of $OI, launches private offering of $310MM of Senior Notes due 2023. The company expects to use the net proceeds from the private offering and the cash from the balance sheet, to repay the Euro-denominated term loan A facility under the credit agreement.
$CLX announced the official opening of a new manufacturing facility for the company's Home Care products. Named Atlanta West, the 258,000-sq.ft. facility is adjacent to the company's existing manufacturing facility, called Atlanta Main. The opening of Atlanta West has created about 100 jobs in Clayton County.
$ASH is combining its nutrition business with the ingredients processing expertise of the recently-acquired Pharmachem with the goal of expanding into the fast-growing global nutraceuticals market. The combined unit, which will be called Health and Wellness, will continue to report up through $ASH’s Specialty Ingredients segment.
$ASH plans to nominate Jerome Peribere as a new independent director for election at its upcoming 2018 Annual Meeting. If elected, it is also intended that Peribere will serve as a member of the compensation committee. George Schaefer Jr. will not be nominated for re-election to the board.