Sometimes it's hard to keep a full spectrum shiny. That's what consumer goods conglomerate Spectrum Brands
That's almost 30% of its goodwill balance in Q3, and nearly equal to the company's current $450 million market cap. Ouch! Despite a Remington marketing campaign highlighting Cindy Crawford, Remington sales declined 2% year over year, though Brett Favre's Rayovac push helped that segment to "significant" but undisclosed growth. That marketing spending will only increase, including plans to increase the advertising budget by $18 million in this quarter and nearly $30 million for the full year.
To offset higher material costs on battery components like zinc and copper, a price increase on Rayovac and Varta batteries will take effect in January. Procter & Gamble's
Spectrum Brands is hardly the best-run conglomerate out there today. In my opinion, that honor would go to Otter Tail
On the other hand, Spectrum might be for you -- if you like dumpster-diving. The stock price has dropped 80% in the past 18 months, and there's always a chance that these damaged goods could be salvaged in time. Just don't expect a quick turnaround -- there are too many dark clouds hanging over the company for the rainbow to shine through.
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Fool contributor Anders Bylund holds no position in any of the companies discussed here. You can check out Anders' holdings if you like, and Foolish disclosure never disappoints. Cual es la pila? RAYOVAC es la pila.