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% Sales
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Business description
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Market position
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2002 financial results
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Markets spices, herbs,
extracts, seasoning
blends, sauces and
marinades to retail
outlets such as
grocery, drug and mass
merchandise stores. |
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Leading market
share, exceeding
40% in U.S.,
45% in U.K., 50% in
France, 50% in
Canada. And,
leading share in
many smaller
markets. |
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Sales increased 5%. |
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Operating income
increased 2%;
excluding U.K.
brokerage operation
impact, increased in
line with sales. (1) |
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Markets spices, blended
seasonings, condiments,
coatings, and compound
flavors to food processors,
restaurant chains,
distributors and warehouse
clubs. |
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Leading supplier to
distributors and
warehouse clubs. One
of the leading suppliers
of blended seasonings
to U.S. food
processors. |
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Sales increased 6%. |
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Operating income increased 19%.(1) |
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Markets plastic bottles and
tubes to the food, personal
care and other industries. |
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One of the leading
suppliers of highly
specialized packaging
in the U.S. |
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Sales decreased 5%. |
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Operating income
increased 4%. (1) |
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2002 highlights
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Strategy and outlook
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New products launched in the last 3 years
accounted for 6% of 2002 sales. |
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Installed new promotion system in U.S. to
measure effectiveness and optimize spending
beginning in 2003. |
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Introduced improved packaging in Europe to
make products more visible, contemporary and
relevant. |
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Increase sales by leveraging our brands through
effective marketing, accelerated innovation, brand
acquisition, geographic expansion. |
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Interest in bold and exotic flavors is growing, but food
preparation must be quick and easy. McCormick is
satisfying this appetite for flavor with leading brands in
key markets around the world. |
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New products launched in the last 3
years accounted for 15% of 2002 sales. |
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Increased global sales of value-added,
higher-margin products with an
8% growth in seasonings. |
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Through a better product mix and cost
efficiencies, achieved 10.8% in operating
margin, up from 9.7% in 2001. (1) |
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Increase sales by expanding global flavor and
food service business, building our leadership
position in flavors, seasonings and condiments. |
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The desire for flavors continues to grow and
customers turn to McCormick to deliver a
broad range of consumer-preferred flavors
that become marketplace winners. |
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New products launched in the last 3
years accounted for 19% of 2002 sales. |
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Through a number of initiatives,
achieved an operating margin of 9.5%
despite reduced market demand for
tubes. (1) |
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Increase sales through new products and
distribution. Stabilize profit growth stream. |
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McCormick is developing innovative features
and using new materials to continue
market leadership. |
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(1) Excluding special charges and goodwill amortization.
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WITH INGREDIENTS FROM AROUND THE WORLD...
McCormick works with growers all over
the world, to develop reliable sources of the
best ingredients. |
McCORMICK APPLIES CREATIVITY AND SKILL TO...
Products are developed that consumers prefer
beginning with the latest eating trends and following
through with expert sensory testing. |
PROVIDE ITS
MANY CUSTOMERS WITH...
McCormick's reputation for service, innovation and
quality builds a partnership with customers to
increase sales and profit. |
THE FLAVORS THAT WE ENJOY
EACH DAY
Every day, no matter what or where you
eat, it's likely that you enjoy one or more products flavored
by McCormick. |
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