This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Brown-Forman Reports Strong Start To Fiscal 2013 And Confirms Full Year Outlook

Stocks in this article: BFB

Hopland-based wine business sale – Refers to the company’s April 2011 sale of its Hopland, California-based wine business to Viña Concha y Toro S.A., and remained as agency brands through December 31, 2011. This agency relationships resulted in fiscal 2012 reported net sales of $79 million and $0.03 per diluted share. Included in this sale were the Fetzer winery, bottling facility, and vineyards, as well as the Fetzer brand and other Hopland, California-based wines, including Bonterra, Little Black Dress, Jekel, Five Rivers, Bel Arbor, Coldwater Creek, and Sanctuary. Also included in the sale was a facility in Paso Robles, California.

Estimated net change in distributor inventories – Refers to the estimated financial impact of changes in distributor inventories for the Company’s brands. Brown-Forman computes this effect using estimated depletion trends and separately identifying trade inventory changes in the variance analysis for key measures. Based on the estimated depletions and the fluctuations in distributor inventory levels, the Company then adjusts the percentage variances from prior to current periods for our key measures. Brown-Forman believes it is important to make this adjustment in order for management and investors to understand the results of the business without distortions that can arise from varying levels of distributor inventories.

Dispute settlement – Refers to the favorable resolution of a dispute in an international market relating to the importation of our products. Management believes that excluding this benefit provides helpful information in forecasting and planning the growth expectations of the Company.

The Company cautions that non-GAAP measures should be considered in addition to, but not as a substitute for, the Company’s reported GAAP results.

 

Schedule B

Brown-Forman Corporation
Supplemental Information (Unaudited)
Three Months Ended July 31, 2012
% Change vs. YTD FY12

Depletions 1

 

Net Sales 2

Brand

 

9-Liter

 

Equivalent Conversion

 

Reported

 

Constant Currency

Jack Daniel’s Family   9%   12%   8%   15%

Jack Daniel’s Family of Whiskey Brands 3

  12%   12%   11%   18%

Jack Daniel’s RTD/RTP 4

  5%   5%   (6%)   1%
el Jimador Family   (4%)   (1%)   1%   11%
el Jimador   1%   1%   16%   24%

New Mix RTD 5

  (5%)   (5%)   (5%)   (19%)
Finlandia Family   10%   9%   4%   20%
Finlandia   8%   8%   3%   18%
Finlandia RTD   50%   50%   43%   72%
Southern Comfort Family   (3%)   0%   (5%)   (1%)

Southern Comfort 6

  0%   (4%)   (4%)   0%
Southern Comfort RTD/RTP   (16%)   (16%)   (18%)   (14%)
Canadian Mist   (3%)   (3%)   (2%)   (1%)
Korbel Champagne   7%   7%   14%   14%

Super-Premium Other 7

  12%   12%   17%   20%
Rest of Brand Portfolio

(excl. Discontinued Brands)

  31%   31%   21%   33%

Total Portfolio 8

  9%   5%   8%   14%

Note: Totals may differ due to rounding

     
 

______________________

1 Depletions are shipments direct to retail or from distributors to wholesale and retail customers, and are commonly regarded in the industry as an approximate measure of consumer demand.

2 Net sales is a shipment based metric; shipments and depletions can be different due to timing

3 Jack Daniel’s brand family excluding RTD/RTP line extensions

4 Refers to all RTD and ready-to-pour (RTP) line extensions of Jack Daniel’s

5 RTD brand produced with el Jimador tequila

6 Includes Southern Comfort, Southern Comfort Reserve, and Southern Comfort flavors

7 Includes Herradura, Woodford Reserve, Tuaca and Chambord liqueur and flavored vodka

8 Total Portfolio includes all existing active brands





5 of 6

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs