|ScottsMiracle-Gro Completes Acquisition of Rod McLellan Company|
|Deal strengthens growing media product portfolio|
MARYSVILLE, Ohio, Oct 04, 2005 /PRNewswire-FirstCall via COMTEX News Network/ -- The Scotts Miracle-Gro Company (NYSE: SMG), the world's leading marketer of branded products for consumer lawn and garden care, has completed the previously announced acquisition of the Rod McLellan Company, a provider of soil and landscape products in the western U.S.
"We're pleased to add the Rod McLellan Company's Supersoil(R), Whitney Farms(TM) and Black Magic(R) brands to The Scotts Miracle-Gro Company family," said Jim Hagedorn, chairman and chief executive officer of ScottsMiracle-Gro. "The business adds important regional brands to our growing media portfolio and allows us to improve our supply chain infrastructure to better serve our retail customers."
The purchase price of Rod McLellan Company is approximately $20 million. The transaction is expected to be accretive to earnings in fiscal 2006.
With more than $2 billion in worldwide sales and more than 6,000 associates, The Scotts Miracle-Gro Company, through its wholly-owned subsidiary, The Scotts Company LLC, is the world's largest marketer of branded consumer products for lawn and garden care, with products for professional horticulture as well. The Company's brands are the most recognized in the industry. In the U.S., the Company's Scotts(R), Miracle-Gro(R) and Ortho(R) brands are market-leading in their categories, as is the consumer Roundup(R) brand, which is marketed in North America and most of Europe exclusively by Scotts and owned by Monsanto. The Company also owns Smith & Hawken, a leading brand of garden-inspired products that includes pottery, watering equipment, gardening tools, outdoor furniture and live goods. In Europe, Scotts' brands include Weedol(R), Pathclear(R), Evergreen(R), Levington(R), Miracle-Gro(R), KB(R), Fertiligene(R) and Substral(R). For additional information, visit us at http://www.scotts.com.
Statement under the Private Securities Litigation Act of 1995: Certain of the statements contained in this press release, including, but not limited to, information regarding the future economic performance and financial condition of the company, the plans and objectives of the company's management, and the company's assumptions regarding such performance and plans are forward looking in nature. Actual results could differ materially from the forward-looking information in this release, due to a variety of factors, including, but not limited to:
- Adverse weather conditions could adversely affect our sales and financial results; - Our historical seasonality could impair our ability to pay obligations as they come due and operating expenses; - Our substantial indebtedness could adversely affect our financial health; - Public perceptions regarding the safety of our products could adversely affect us; - The loss of one or more of our top customers could adversely affect our financial results because of the concentration of our sales to a small number of retail customers; - The expiration of certain patents could substantially increase our competition in the United States; - Compliance with environmental and other public health regulations could increase our cost of doing business; and - Our significant international operations make us more susceptible to fluctuations in currency exchange rates and to the costs of international regulation.
Additional detailed information concerning a number of the important factors that could cause actual results to differ materially from the forward- looking information contained in this release is readily available in the company's publicly filed quarterly, annual and other reports.
SOURCE Scotts Miracle-Gro Company
Jim King, Senior Director, Investor Relations & Corporate Communications of