'The sale of the Sperry brand is the next step in our turnaround and strategic transformation,' said
Today's announcement builds on the Company's previously-announced asset monetization transactions that collectively generated nearly
'In a very short time, we have meaningfully reshaped Wolverine Worldwide - simplifying the portfolio, reducing our debt, and redesigning the organization to drive improved performance and profitability,' Hufnagel added. 'These efforts have enhanced the Company's capacity to invest in our brands and platforms, and I am excited about the next chapter in our turnaround - focused squarely on building consumer-obsessed global brands and delivering greater value for our shareholders.'
ABOUT WOLVERINE WORLDWIDE
Founded in 1883,
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements, including statements regarding the Company's expectations with respect to: use of Sperry transaction proceeds to pay down debt, the ability to focus on its growth brands, the ability to drive improved performance and profitability, the capacity to invest in sustainable growth, and the delivery of greater shareholder value. In addition, words such as 'estimates,' 'anticipates,' 'believes,' 'forecasts,' 'step,' 'plans,' 'predicts,' 'focused,' 'projects,' 'outlook,' 'is likely,' 'expects,' 'intends,' 'should,' 'will,' 'confident,' variations of such words, and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and involve certain risks, uncertainties, and assumptions ('Risk Factors') that are difficult to predict with regard to timing, extent, likelihood, and degree of occurrence. Risk Factors include, among others: the risk that the Company will be able to successfully implement its growth and profit improvement strategies; changes in general economic conditions, employment rates, business conditions, interest rates, tax policies, inflationary pressures and other factors affecting consumer spending in the markets and regions in which the Company's products are sold; the inability for any reason to effectively compete in global footwear, apparel and consumer-direct markets; the inability to maintain positive brand images and anticipate, understand and respond to changing footwear and apparel trends and consumer preferences; the inability to effectively manage inventory levels; increases or changes in duties, tariffs, quotas or applicable assessments in countries of import and export; foreign currency exchange rate fluctuations; currency restrictions; supply chain or other capacity constraints, production disruptions, quality issues, price increases or other risks associated with foreign sourcing; the cost and availability of raw materials, inventories, services and labor for contract manufacturers; the effects of the COVID-19 pandemic and other health crises and containment efforts on the Company's business, operations, financial results and liquidity, including the duration and magnitude of such effects; labor disruptions; changes in relationships with, including the loss of, significant wholesale customers; risks related to the significant investment in, and performance of, the Company's consumer-direct operations; risks related to expansion into new markets and complementary product categories; the impact of seasonality and unpredictable weather conditions; effects of changes in general economic conditions and/or the credit markets on the Company's manufacturers, distributors, suppliers and retailers; changes in the Company's effective tax rates; failure of licensees or distributors to meet planned annual sales goals or to make timely payments to the Company; the risks of doing business in developing countries, and politically or economically volatile areas; the ability to secure and protect owned intellectual property or use licensed intellectual property; the impact of regulation, regulatory and legal proceedings and legal compliance risks, including compliance with federal, state and local laws and regulations relating to the protection of the environment, environmental remediation and other related costs, and litigation or other legal proceedings relating to the protection of the environment or environmental effects on human health; the potential breach of the Company's databases or other systems, or those of its vendors, which contain certain personal information, payment card data or proprietary information, due to cyberattack or other similar events; problems affecting the Company's supply chain or distribution system, including service interruptions at shipping and receiving ports; strategic actions, including new initiatives and ventures, acquisitions and dispositions, including the sale of the Sperry brand, and the Company's success in integrating acquired businesses, and implementing new initiatives and ventures; risks related to stockholder activism, the risk of impairment to goodwill and other intangibles; changes in future pension funding requirements and pension expenses; and additional factors discussed in the Company's reports filed with the
SPERRY DIVESTITURE
FINANCIAL SUMMARY: See full release at:
https://wolverineworldwide.gcs-web.com/news-releases/news-release-details/wolverine-worldwide-sells-sperry
In order to provide visibility regarding the financial impact of the Sperry business divestiture, the Company has provided additional information within the supplemental table below. The items included in the table represent amounts related to the Sperry business that are reflected in the Company's reported Q1, Q2 and Q3 2023 results and that will be reflected in the Company's reported Q4 2023 and full year fiscal 2023 results.
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