Brown-Forman Exploring Strategic Alternatives For Lenox
March 14, 2005
Brown-Forman Corp. recently announced that it is exploring strategic alternatives for its wholly owned subsidiary, Lenox, Inc., including a possible sale. "Lenox, Inc. has some of the strongest and most recognizable brands in its industry and a large number of highly talented employees," said Owsley Brown II, Brown-Forman's chairman and chief executive officer. "It is consistently profitable and generates significant cash flow from a portfolio of extraordinary products, many of which have been long-time leaders in their respective categories. After careful thought, however, we have determined that the best path to creating value for our shareholders is to focus even more sharply on growing our core beverage business." Founded in 1889, Lenox has been part of Brown-Forman since 1983. "Under its new management team, Lenox is poised to significantly improve its performance. Given this potential, we believe now is an ideal time to explore alternatives, with the goal of allowing Lenox to thrive and grow in its own right," Brown said.