Jarden gives sales outlook, will buy back shares

Consumer products maker Jarden gives upbeat sales forecast, announces $500M plan to buy shares

Associated Press

RYE, N.Y. (AP) -- Jarden Corp., which makes consumer products ranging from coffee makers to snow skis, forecast fourth-quarter revenue slightly above analysts' expectations and said it would make a tender offer to buy back $500 million in shares.

Its shares rose $2.77, or 9 percent, to $33.48 in afternoon trading. They've ranged from $25.60 to $37.50 in the past 52 weeks.

Jarden said quarterly revenue would be between $1.725 billion and $1.735 billion. Analysts surveyed by FactSet were expecting revenue of $1.726 billion.

The company expects to take fourth-quarter, non-cash charges against earnings of $50 million to $55 million to write down the value of intangible assets in its branded-consumables segment and $25 million to $30 million to cover reorganization and other items.

The company expects to release fourth-quarter results in mid-February.

Jarden said it would use cash on hand and new borrowing to buy back shares at $30 to $33 each. It said it will also suspend its quarterly dividend after a payment this month.

Jarden makes Coleman lanterns, K2 skis, Rawlings baseball gloves and Mr. Coffee and Crock-Pot appliances, among other things. It supplies retailers such as Wal-Mart Stores Inc. and Target Corp.

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