Tool manufacturer The Stanley Works (NYSE: SWK), New Britain, CT, reported sales for 2009 from continuing operations were $3.74 billion, down 16% from the prior year. Acquisitions (+4%) and price (+2%) partially offset a 20% unit volume decline and currency pressure.
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Security sales were up 4% for the year to $1.56 billion. Industrial sales fell 31% to $882 million, and CDIY sales were down 22%. Profit fell in Industrial and CDIY and improved in Security.
COO James M. Loree said: "We were successful in advancing key strategic initiatives throughout 2009, including fully integrating hand tools with Bostitch, establishing a Global Industrial and Automotive Repair platform and announcing the merger of Stanley and Black & Decker. … For 2010, our focus has now shifted to integrating Black & Decker effectively and achieving the significant cost synergies and revenue growth opportunities inherent in our pending combination."
The closing of the Stanley-Black & Decker deal is expected at the end of first quarter 2010 or start of second quarter 2010. Until then, both companies will continue to operate independently.
Fourth-quarter sales for Stanley were $969 million, down 11% from the prior-year period. The manufacturer saw a 16% decline in unit volume for the period. Security segment saw a 20% improvement in profit with a 4% revenue decline. CDIY segment profit improved by 71%. Industrial segment sales were down 23%, with profit down 14%. Industrial revenues fell due to sustained weakness in U.S. and Europe.