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PartyLite To Create Global Manufacturing Center Of Excellence


News provided by

Blyth, Inc.

Jan 20, 2015, 09:15 ET

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GREENWICH, Conn., Jan. 20, 2015 /PRNewswire/ -- Blyth, Inc. (NYSE: BTH), a direct to consumer company and leading designer and marketer of candles and accessories for the home and health, wellness and beauty products, household convenience items and personalized gifts sold through the direct selling and direct marketing channels, announced that its PartyLite division, the world's largest direct-seller of candles, candle accessories and premium home fragrance products, will create a Global Center of Excellence in Batavia, Illinois for all candle manufacturing and development worldwide and will shut down its manufacturing facility in Cumbria, U.K.

The decision was reached after a comprehensive evaluation of PartyLite's two manufacturing facilities in Batavia and in Cumbria, U.K.  Robert B. Goergen, Jr., Chief Executive Officer of Blyth and President, PartyLite Worldwide said, "The Global Center of Excellence in Batavia will represent a significant investment in a state-of-the-art, global manufacturing complex with advanced process control systems and unrivaled quality and service levels.  Having one facility worldwide will allow for a concentration of the Company's candle-making expertise and the establishment of a single center for global innovation, research and development."

The project will commence in early 2015 and management anticipates total annualized savings of $8.0 million, or $40.0 million over the next five years, and one-time and transitional costs of approximately $6.0 million and a $2.0 million asset write-down in Cumbria.

About Blyth

Blyth, Inc., headquartered in Greenwich, CT, USA, is a direct to consumer business focused on the direct selling and direct marketing channels.  It designs and markets candles and accessories for the home and also designs and markets health, wellness and beauty products, household convenience items and personalized gifts.  Its products are sold direct to the consumer under the PartyLite® brand and to consumers in the catalog/Internet channel under the Miles Kimball®, Walter Drake®, Easy Comforts®, As We Change® and Exposures® brands.

Blyth, Inc. may be found on the Internet at www.blyth.com.

About PartyLite

PartyLite is the world's #1 party plan company selling candles, candle holders, flameless fragrance and wax warmers as well as holiday and home décor available in 23 countries predominately through independent PartyLite business entrepreneurs. Since 1997, the PartyLite family of consultants, customers and employees has raised more than $14 million for the American Cancer Society and nearly $4 million for Children's Miracle Network. In 2015, PartyLite celebrates 42 years as the global leader in its category and 25 years as a member of the distinguished Blyth family of direct selling companies (NYSE:BTH). PartyLite is one of 53 Direct Selling Association member companies recognized during the 2014 annual meeting for participating in DSA's Code Communication Initiative, focusing on observing and  communicating the DSA Code of Ethics as widely as possible. Based in Plymouth, Massachusetts, PartyLite is a member of the Direct Selling Association and the Better Business Bureau. For more information, please visit www.partylite.com.

This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.  Forward-looking statements are not assurances of future performance and can be identified by the fact that they do not relate to statements of historical or current facts.  Forward-looking statements include statements concerning our plans, objectives, goals, strategies, future events or performance and underlying assumptions.  Forward-looking statements often include words such as "anticipates," "estimates," "expects," "projects," "intends," "plans," "believes," "will" and words of similar substance in connection with discussions of future operating or financial performance. Examples of forward-looking statements in this press release include, among others, PartyLite's anticipated savings and one-time and transitional costs and asset write-down related to the shutdown of PartyLite's Cumbria, U.K. manufacturing facility.

The Company's forward-looking statements are based on management's current beliefs, expectations and assumptions regarding the future of the Company's business, strategies, plans and performance, the economy and other future conditions and future events, circumstances and results.  Because forward-looking statements relate to the future, they are inherently susceptible to uncertainty, risks and changes in circumstances that are difficult to predict and many of which are outside our control.  Our actual savings, results and financial condition could differ materially from those expressed or implied in our forward-looking statements.  Important factors that could cause our actual results to differ materially from the forward-looking statements include, (1) our ability to achieve the savings discussed in this press release over the next five years, (2) our ability to improve our financial and operational performance; (3) our ability to respond appropriately to changing consumer preferences and demand for our current and new products or product enhancements; (4) our dependence on sales by independent consultants and our ability to recruit, retain and motivate them; (5) the loss by PartyLite of a significant number of its consultants; (6) the attractiveness of PartyLite's compensation plans to current and prospective independent consultants; (7) our ability to influence or control our consultants; (8) federal, state and foreign regulations applicable to our products (including advertising and labeling), promotional programs and compensation plans; (9) susceptibility to excess and obsolete inventory due to changing consumer preferences; (10) adverse publicity directed at our products or business models, or those of similar companies; (11) product liability claims; (12) competition; (13) an economic downturn; (14) our ability to grow our business in existing and new markets, including risks associated with international operations; (15) legal actions by or against current or former independent consultants; (16) our ability to manufacture candles at required quantity and quality levels; (17) disruptions to transportation channels; and (18) shortages or increases in the cost of raw materials, as well as other factors described in the Company's most recently filed Quarterly Report on Form 10-Q and other filings with the Securities and Exchange Commission.

For the reasons set forth above, investors should not place undue reliance on forward-looking statements.  Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made, even if subsequently made available by us on our website or otherwise.  We do not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances or new information that exists after the day on which they are made, except as provided by law.

SOURCE Blyth, Inc.

Related Links

http://www.blyth.com

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