Avery Dennison Corporation (NYSE: AVY) is a major[weasel words] global manufacturer and distributor of pressure sensitive adhesive materials (such as self-adhesive labels), office products, and various paper products.
The company was originally founded in Los Angeles in 1935 as Kum Kleen Products, a partnership of Mr. and Mrs. R.S. Avery. The name was changed to Avery Adhesives in 1937. In 1946 the company was incorporated as Avery Adhesive Label Corp., and the name was subsequently changed to Avery Adhesive Products, Inc. in 1958, and to Avery Products Corporation in 1964.[3] The name was changed again to Avery International Corporation in 1976, and it became Avery Dennison after the company merged with Dennison Manufacturing in 1990.[4]
The company is currently headquartered in Pasadena, California. As of 2008, Avery ranked 376 in the Fortune 500 list with total sales of $6.7 billion. Avery Dennison's pivotal line of products are found in their Pressure-Sensitive Materials segment, responsible for 54% of sales. Avery currently employs 36,000 men and women all over the world, with manufacturing and distribution facilities in over 60 countries. Avery Dennison's first overseas subsidiary was established in Holland in 1955.
The Company operates through four segments:
The Pressure-sensitive Materials segment manufactures and sells pressure-sensitive roll label materials, films for graphic applications, reflective highway safety products, performance polymers, and extruded films.
The Office and Consumer Products segment manufactures and sells various office and consumer products, including labels, binders, dividers, sheet protectors, and writing instruments.
The Retail Information Services segment designs, manufactures, and sells various price marking and brand identification products, including tickets, graphic and barcode tags and labels, woven and printed labels, and related supplies and equipment.
Other Specialty Products segment provides automotive and industrial products, RFID tags and inserts, specialty tape, security printing and performance films
Avery merged in 1990 with the Dennison Manufacturing Company, located in Framingham, Massachusetts which was founded in 1844 as a jewelry and watch box manufacturing company by Aaron Lufkin Dennison, who later became the pioneer[peacock term] of the American System of Watch Manufacturing. Five years later Aaron turned the Dennison Manufacturing Company over to his younger brother, Eliphalet Whorf Dennison, who took over and developed the company into a sizable[weasel words] industrial enterprise.
Avery Dennison Corporation (Avery Dennison), incorporated in 1977, develops identification and decorative solutions for businesses and consumers globally. The Company is engaged in the production of pressure-sensitive materials, office and consumer products and a range of tickets, tags, labels and other converted products. The Company operates in three segments: Pressure-sensitive Materials, Retail Information Services, and Office and Consumer Products. Pressure-sensitive materials are sold to label printers and converters that convert the materials into labels and other products through embossing, printing, stamping and die-cutting. It also manufactures and sells a range of office and consumer products, other converted products and items not involving pressure-sensitive components, such as binders, organizing systems, markers, fasteners, business forms, as well as tickets, tags, radio-frequency identification (RFID) inlays and labels, and imprinting equipment and related services for retail and apparel manufacturers.
Retail Information Services designs, manufactures and sells a range of branding and information products and services, including brand and price tickets, tags and labels, and related services, supplies and equipment. Office and Consumer Products manufactures and sells a range of office and consumer products, including labels, binders, dividers, sheet protectors, and writing instruments. In addition to its reporting segments, it has other specialty converting businesses consisting of several businesses that produce specialty tapes and labels, including RFID inlays and labels, and other converted products. During the fiscal year ended January 1, 2011 (fiscal 2010), the Pressure-sensitive Materials segment contributed approximately 56% of its total sales, while the Retail Information Services and Office and Consumer products segments contributed approximately 23% and 13%, respectively, of its total sales. During fiscal 2010, international operations represented approximately 68% of its sales.
Pressure-sensitive Materials Segment
Pressure-sensitive Materials segment manufactures and sells Fasson-, JAC-, and Avery Dennison-brand pressure-sensitive roll materials, Avery-brand graphics and graphic films, Avery Dennison-brand reflective products, and performance polymers. Pressure-sensitive materials consist of papers, plastic films, metal foils and fabrics, which are coated with the Company-developed and purchased adhesives, and then laminated with specially coated backing papers and films. They are sold in roll or sheet form with either solid or patterned adhesive coatings, and are available in a range of face materials, sizes, thicknesses and adhesive properties. These materials are sold to label printers and converters for labeling, decorating, fastening, electronic data processing and special applications on a global basis.
Graphic products consist of a range of films and other products sold to the architectural, commercial sign, digital printing, and other related market segments. The Company sells cast and reflective films to the construction, automotive, and fleet transportation market segments, scrim-reinforced vinyl material for banner sign applications, and reflective films for traffic and safety applications. Its graphics and reflective businesses are organized on a global basis to serve the expanding commercial graphic arts market segment, including wide-format digital printing applications. It also manufactures and sells films that are used for outdoor, weather-resistant applications. Performance polymer products include a range of solvent- and emulsion-based acrylic polymer adhesives, protective coatings and other polymer additives for internal use, as well as for sale to other companies.
The Company competes with UPM-Kymmene, Bemis Company, Inc. and 3M Company.
Retail Information Services Segment
Retail Information Services segment designs, manufactures and sells a range of identification and information management products for retailers, apparel manufacturers, distributors and industrial customers on a global basis. Its brand identification products include woven and printed labels, graphic tags and barcode tags. Its information management products include price tickets, carton labels, RFID tags and printing applications. Services include supply chain and security management, and retail store efficiency. Its solution-enabling products include printers, fastening and application devices, and security management products.
The Company competes with SML Group, Checkpoint Systems, Inc. and Shore to Shore, Inc.
Office and Consumer Products Segment
The Office and Consumer Products segment manufactures and sells a range of Avery-brand printable media and other products. This segment’s products are concentrated in a few major customers, such as office products superstores, mass market distributors and wholesalers. It manufactures and sells a range of Avery-brand products for office, school and home uses, including printable media, such as copier, ink-jet and laser printer labels, related computer software, ink-jet and laser printer card and index products, and organization, filing and presentation products, such as binders, dividers and sheet protectors. It also offers a range of other stationery products, including writing instruments, markers, adhesives and specialty products under brand names, such as Avery, Marks-A-Lot and HI-LITER.
The Company competes with 3M Company, Acco Brands Corporation and Esselte Corporation.
Other Specialty Converting Businesses
Other specialty converting businesses include the Company’s specialty tape, industrial, performance films and automotive products, business media, RFID and security printing businesses. These businesses manufacture and sell specialty tapes, films, RFID inlays and labels, pressure-sensitive postage stamps and other converted products. The specialty tape business manufactures and sells single- and double-coated tapes and adhesive transfer tapes for use in non-mechanical fastening, bonding and sealing systems in a range of industries, which are sold to industrial and medical original equipment manufacturers, converters, and disposable diaper producers globally. These products are sold in roll form and are available in a range of face materials, sizes, thicknesses and adhesive properties. Its automotive businesses consist of custom pressure-sensitive and heat-seal labels, pressure-sensitive films and engineered fasteners for the automotive market segment. These products are sold primarily to original equipment manufacturers (OEMs) and their suppliers.
The Company’s industrial businesses consist of custom pressure-sensitive labels and multi-layer film constructions for durable goods, electronics and consumer packaged goods. These products are sold to OEMs, tier suppliers and packaging converters. Its performance films business produces a range of decorative and functional films, for the automotive industry, which is designed for injection mold applications. Its business media business designs and markets customized products for printing and information workflow applications. Its RFID business manufactures RFID inlays and labels and makes use of its existing distribution by marketing to its label converting customers. Its security printing business manufactures and sells self-adhesive battery labels to a battery manufacturer, and self-adhesive stamps to the United States Postal Service. In addition, it sells specialty print-receptive films to the industrial label market segment, metallic pigments to the packaging industry, and wood grain and other patterns of film laminates for housing exteriors.
Principal Subsidiaries: A.V. Chemie AG (Switzerland); ADC Philippines, Inc. (Philippines); ADESPAN S.R.L. (Italy); ADESPAN U.K. Limited; AEAC, Inc.; Avery (China) Company Limited; Avery Automotive Limited (U.K.); Avery Corp.; Avery de Mexico S.A. de C.V.; Avery Dennison (Fiji) Limited; Avery Dennison (Guangzhou) Co. Ltd. (China); Avery Dennison (Guangzhou) Converted Products Limited (China); Avery Dennison (Hong Kong) Limited; Avery Dennison (India) Private Limited; Avery Dennison (Ireland) Limited; Avery Dennison (Kunshan) Limited (China); Avery Dennison (Malaysia) SDN. BHD.; Avery Dennison (Shanghai) International Trading Limited (China); Avery Dennison (Thailand) Ltd.; Avery Dennison Australia Group Holdings Pty Limited; Avery Dennison Belgie B.V. B.A. (Belgium); Avery Dennison C.A. (Venezuela); Avery Dennison Canada Inc.; Avery Dennison Chile S.A.; Avery Dennison Colombia S.A,; Avery Dennison Converted Products de Mexico, S.A. de C.V.; Avery Dennison Coordination Center B.V.B.A. (Belgium); Avery Dennison Danmark Holding ApS (Denmark); Avery Dennison Deutschland G.m.b.H. (Germany); Avery Dennison do Brasil Ltda. (Brazil); Avery Dennison Dover S.A. (Argentina); Avery Dennison Etiket Ticaret Limited Sirketi (Turkey); Avery Dennison Europe Holding (Deutschland) G.m.b.H & Co KG (Germany); Avery Dennison Finance Danmark A.p. S. (Denmark); Avery Dennison Finance France S.A.S.; Avery Dennison Finance Germany G.m.b.H.; Avery Dennison Finance Luxembourg S.A.R.L.; Avery Dennison Foreign Sales Corporation (Barbados); Avery Dennison France S.A.; Avery Dennison Group Danmark A.p.S. (Denmark); Avery Dennison Health Management Corporation; Avery Dennison Holding & Finance The Netherlands B.V.; Avery Dennison Holding AG (Switzerland); Avery Dennison Holding G.m.b.H. (Germany); Avery Dennison Holding Luxembourg S.A.R.L.; Avery Dennison Holdings Limited (Australia); Avery Dennison Hong Kong B.V. (Netherlands); Avery Dennison Hungary Limited; Avery Dennison Iberica, S.A. (Spain); Avery Dennison Investments The Netherlands B.V.; Avery Dennison Italia S.p.A. (Italy); Avery Dennison Korea Limited; Avery Dennison Luxembourg S.A.; Avery Dennison Materials France S.A.R.L.; Avery Dennison Materials G.m.b.H. (Germany); Avery Dennison Materials Ireland Limited; Avery Dennison Materials Nederland B.V. (Netherlands); Avery Dennison Materials Pty Limited (Australia); Avery Dennison Materials U.K. Limited; Avery Dennison Mexico S.A. de C.V.; Avery Dennison Nordic A/S (Denmark); Avery Dennison Norge A/S (Norway); Avery Dennison Office Products (NZ) Limited (New Zealand); Avery Dennison Office Products (PTY.) Ltd. (South Africa); Avery Dennison Office Products Company; Avery Dennison Office Products De Mexico, S.A. de C.V.; Avery Dennison Office Products France S.A.S.; Avery Dennison Office Products Italia S.r.l. (Italy); Avery Dennison Office Products Manufacturing & Trading Limited Liability Company (Avery Dennison Ltd.) (Hungary); Avery Dennison Office Products PTY Limited (Australia); Avery Dennison Office Products U.K. Limited; Avery Dennison Osterreich G.m.b.H. (Austria); Avery Dennison Overseas Corporation; Avery Dennison Pension Trustee Limited (U.K.); Avery Dennison Peru S.A.; Avery Dennison Polska Sp. Z O.O. (Poland); Avery Dennison Scandinavia A/S (Denmark); Avery Dennison Schweiz AG (Switzerland); Avery Dennison Security Printing Europe A/S (Denmark); Avery Dennison Shared Services, Inc.; Avery Dennison Singapore (PTE) Ltd; Avery Dennison South Africa (Proprietary) Limited; Avery Dennison Suomi OY (Finland); Avery Dennison Sverige AB (Sweden); Avery Dennison Systemes d'etiquetage France S.A.S.; Avery Dennison U.K. Limited; Avery Dennison Verwaltungs G.m.b.H. (Germany); Avery Dennison Zweckform Austria G.m.b.H.; Avery Dennison Zweckform Office Products Europe G.m.b.H. (Germany); Avery Dennison Zweckform Unterstutzungskasse G.m.b.H. (Germany); Avery Dennison, S.A. de C.V. (Mexico); Avery Dennison-Maxell K.K. (Japan); Avery Etiketsystemer A/S (Denmark); Avery Etiketten B.V. (Netherlands); Avery Etikettsystem Svenska AB (Sweden); Avery Graphic Systems, Inc.; Avery Guidex Limited (U.K.); Avery Holding B.V. (Netherlands); Avery Holding Limited (U.K.); Avery Holding S.A. (France); Avery Maschinen G.m.b.H. (Germany); Avery Pacific Corporation; Avery Properties PTY. Limited (Australia); Avery Research Center, Inc.; Avery, Inc.; BOA/IWACO Offset A/S (Denmark); Dennison Comercio, Importacas E Exportacao Ltda. (Brazil); Dennison Development Associates; Dennison International Company; Dennison International Holding B.V. (Netherlands); Dennison Ireland Limited; Dennison Manufacturing (Trading) Ltd. (Channel Islands); Dennison Manufacturing Company; Dennison Office Products Limited (Ireland); DMC Development Corporation; Dunsirn Industries, Inc.; Etikettrykkeriet A/S (Denmark); Fasson Canada Inc.; Fasson Portugal Produtos Auto-Adesivos LDA. (Portugal); IWACO A/S (Denmark); IWACO Labels & Labelling Systems OY (Finland); Iwaco Norge AS (Norway); LAC Retail Systems Limited (U.K.); Monarch Industries, Inc.; Ocawi Sverige AB (Sweden); PT Avery Dennison Indonesia; Retail Products Limited (Ireland); Security Printing Division, Inc.; Spartan International, Inc.; Spartan Plastics Canada, Ltd; Steinbeis Office Products Beteiligungs G.m.b.H. (Germany); Stimsonite Australia PTY Limited; Stimsonite Corporation; Stimsonite do Brasil Ltda (Brazil); Stimsonite Europa Limited (U.K.); Stimsonite International, Inc.; Tiadeco Participacoes, Ltda. (Brazil); Zweckform U.K. Ltd.
Principal Divisions: Converting Americas; Converting Asia; Fasson Roll Europe; Fasson Roll North America; Graphics Europe; InfoChain Express; Materials Asia Pacific; Materials South America; Office Products Europe; Office Products North America; Retail Information Services; Reflective Products Division; Specialty Tape Division Europe; Specialty Tape Division U.S.; Worldwide Specialty Tapes.
Principal Competitors: 3M Company; Bemis Company, Inc.; Wallace Computer Services, Inc.; Fortune Brands, Inc.; Moore Corporation Limited; Brady Corporation.
OVERALL
Beta: 1.44
Market Cap (Mil.): $4,460.96
Shares Outstanding (Mil.): 106.87
Annual Dividend: 1.00
Yield (%): 2.40
FINANCIALS
AVY Industry Sector
P/E (TTM): 14.58 20.24 17.05
EPS (TTM): 46.80 -- --
ROI: 9.45 2.61 3.26
ROE: 19.69 2.95 5.84
Statistics:
Public Company
Incorporated: 1977 as Avery International Corporation
Employees: 17,300
Sales: $3.8 billion (2001)
Stock Exchanges: New York Pacific
Ticker Symbol: AVY
NAIC: 322222 Coated and Laminated Paper Manufacturing; 322233 Stationery, Tablet, and Related Product Manufacturing; 339941 Pen and Mechanical Pencil Manufacturing
Key Dates:
1844: Aaron Dennison and his father, Andrew Dennison, begin manufacturing paper jewelry boxes in Brunswick, Maine.
1863: The business is now a partnership, Dennison and Company, between Eliphalet Whorf (E. W.) Dennison, younger brother of Aaron, and three nonfamily members; in addition to boxes, the firm has begun making jewelry tags, display cards, and shipping tags at a factory in Boston.
1878: Company is incorporated as Dennison Manufacturing Company.
1898: Dennison's manufacturing operations are centralized in Framingham, Massachusetts.
1917: Henry Sturgis Dennison, grandson of E.W. Dennison, begins 35-year stint as company president.
1935: R. Stanton Avery forms Los Angeles-based Kum-Kleen Adhesive Products Co. to produce self-adhesive labels.
1938: Kum-Kleen is renamed Avery Adhesives.
1941: Avery begins supplying labels to Dennison, which the latter sells under the brand name Pres-a-ply.
1946: Avery Adhesives incorporates as the Avery Adhesive Label Corporation.
1952: Henry S. Dennison dies, ending more than 100 years of Dennison family leadership of Dennison Manufacturing.
1954: Avery creates a division called Avery Paper Company (later called Fasson), which specializes in producing and selling self-adhesive base materials, often to competing label makers.
1961: Avery goes public.
1964: Avery Adhesive is renamed Avery Products Corporation.
1990: Avery International and Dennison Manufacturing merge to form Avery Dennison Corporation.
1999: European office products joint venture is created with Zweckform Büro-Produkte G.m.b.H.
2002: Jackstädt GmbH, privately held maker of self-adhesive materials based in Germany, is acquired.
Name Age Since Current Position
Scarborough, Dean 55 2010 Chairman of the Board, President, Chief Executive Officer
Butier, Mitchell 39 2010 Chief Financial Officer, Senior Vice President
Miller, Susan 51 2009 Senior Vice President, General Counsel, Secretary
Dixon, Diane 59 2000 Senior Vice President - Communications and Corporate Affairs
Malchione, Robert 53 2001 Senior Vice President - Corporate Strategy and Technology
Hill, Anne 51 2007 Senior Vice President, Chief Human Resources Officer
Sallay, John 54 2009 Senior Vice President - New Growth Platforms Roll Materials
Bondar, Lori 50 2010 Vice President, Chief Accounting Officer, Controller
Rodriguez, Karyn 51 2001 Vice President, Treasurer
Clyde, Timothy 48 2007 Group Vice President - Specialty Materials and Converting
Nolan, Donald 50 2008 Group Vice President - Roll Materials
Bond, Timothy 53 2008 Group Vice President - Office Products
Neville, R. Shawn 48 2009 Group Vice President - Retail Information Services
Pyott, David 57 2010 Lead Independent Director
Mullin, Peter 70 1988 Director
Stewart, Julia 55 2003 Independent Director
Barker, Peter 62 2003 Independent Director
Cardis, John 69 2004 Independent Director
Borjesson, Rolf 69 2005 Independent Director
Siewert, Patrick 55 2005 Independent Director
Hicks, Ken 58 2007 Independent Director
Reed, Debra 54 2009 Independent Director
Alford, Brad 54 2010 Independent Director
Address:
150 North Orange Grove Boulevard
Pasadena, California 91103
U.S.A.
The company was originally founded in Los Angeles in 1935 as Kum Kleen Products, a partnership of Mr. and Mrs. R.S. Avery. The name was changed to Avery Adhesives in 1937. In 1946 the company was incorporated as Avery Adhesive Label Corp., and the name was subsequently changed to Avery Adhesive Products, Inc. in 1958, and to Avery Products Corporation in 1964.[3] The name was changed again to Avery International Corporation in 1976, and it became Avery Dennison after the company merged with Dennison Manufacturing in 1990.[4]
The company is currently headquartered in Pasadena, California. As of 2008, Avery ranked 376 in the Fortune 500 list with total sales of $6.7 billion. Avery Dennison's pivotal line of products are found in their Pressure-Sensitive Materials segment, responsible for 54% of sales. Avery currently employs 36,000 men and women all over the world, with manufacturing and distribution facilities in over 60 countries. Avery Dennison's first overseas subsidiary was established in Holland in 1955.
The Company operates through four segments:
The Pressure-sensitive Materials segment manufactures and sells pressure-sensitive roll label materials, films for graphic applications, reflective highway safety products, performance polymers, and extruded films.
The Office and Consumer Products segment manufactures and sells various office and consumer products, including labels, binders, dividers, sheet protectors, and writing instruments.
The Retail Information Services segment designs, manufactures, and sells various price marking and brand identification products, including tickets, graphic and barcode tags and labels, woven and printed labels, and related supplies and equipment.
Other Specialty Products segment provides automotive and industrial products, RFID tags and inserts, specialty tape, security printing and performance films
Avery merged in 1990 with the Dennison Manufacturing Company, located in Framingham, Massachusetts which was founded in 1844 as a jewelry and watch box manufacturing company by Aaron Lufkin Dennison, who later became the pioneer[peacock term] of the American System of Watch Manufacturing. Five years later Aaron turned the Dennison Manufacturing Company over to his younger brother, Eliphalet Whorf Dennison, who took over and developed the company into a sizable[weasel words] industrial enterprise.
Avery Dennison Corporation (Avery Dennison), incorporated in 1977, develops identification and decorative solutions for businesses and consumers globally. The Company is engaged in the production of pressure-sensitive materials, office and consumer products and a range of tickets, tags, labels and other converted products. The Company operates in three segments: Pressure-sensitive Materials, Retail Information Services, and Office and Consumer Products. Pressure-sensitive materials are sold to label printers and converters that convert the materials into labels and other products through embossing, printing, stamping and die-cutting. It also manufactures and sells a range of office and consumer products, other converted products and items not involving pressure-sensitive components, such as binders, organizing systems, markers, fasteners, business forms, as well as tickets, tags, radio-frequency identification (RFID) inlays and labels, and imprinting equipment and related services for retail and apparel manufacturers.
Retail Information Services designs, manufactures and sells a range of branding and information products and services, including brand and price tickets, tags and labels, and related services, supplies and equipment. Office and Consumer Products manufactures and sells a range of office and consumer products, including labels, binders, dividers, sheet protectors, and writing instruments. In addition to its reporting segments, it has other specialty converting businesses consisting of several businesses that produce specialty tapes and labels, including RFID inlays and labels, and other converted products. During the fiscal year ended January 1, 2011 (fiscal 2010), the Pressure-sensitive Materials segment contributed approximately 56% of its total sales, while the Retail Information Services and Office and Consumer products segments contributed approximately 23% and 13%, respectively, of its total sales. During fiscal 2010, international operations represented approximately 68% of its sales.
Pressure-sensitive Materials Segment
Pressure-sensitive Materials segment manufactures and sells Fasson-, JAC-, and Avery Dennison-brand pressure-sensitive roll materials, Avery-brand graphics and graphic films, Avery Dennison-brand reflective products, and performance polymers. Pressure-sensitive materials consist of papers, plastic films, metal foils and fabrics, which are coated with the Company-developed and purchased adhesives, and then laminated with specially coated backing papers and films. They are sold in roll or sheet form with either solid or patterned adhesive coatings, and are available in a range of face materials, sizes, thicknesses and adhesive properties. These materials are sold to label printers and converters for labeling, decorating, fastening, electronic data processing and special applications on a global basis.
Graphic products consist of a range of films and other products sold to the architectural, commercial sign, digital printing, and other related market segments. The Company sells cast and reflective films to the construction, automotive, and fleet transportation market segments, scrim-reinforced vinyl material for banner sign applications, and reflective films for traffic and safety applications. Its graphics and reflective businesses are organized on a global basis to serve the expanding commercial graphic arts market segment, including wide-format digital printing applications. It also manufactures and sells films that are used for outdoor, weather-resistant applications. Performance polymer products include a range of solvent- and emulsion-based acrylic polymer adhesives, protective coatings and other polymer additives for internal use, as well as for sale to other companies.
The Company competes with UPM-Kymmene, Bemis Company, Inc. and 3M Company.
Retail Information Services Segment
Retail Information Services segment designs, manufactures and sells a range of identification and information management products for retailers, apparel manufacturers, distributors and industrial customers on a global basis. Its brand identification products include woven and printed labels, graphic tags and barcode tags. Its information management products include price tickets, carton labels, RFID tags and printing applications. Services include supply chain and security management, and retail store efficiency. Its solution-enabling products include printers, fastening and application devices, and security management products.
The Company competes with SML Group, Checkpoint Systems, Inc. and Shore to Shore, Inc.
Office and Consumer Products Segment
The Office and Consumer Products segment manufactures and sells a range of Avery-brand printable media and other products. This segment’s products are concentrated in a few major customers, such as office products superstores, mass market distributors and wholesalers. It manufactures and sells a range of Avery-brand products for office, school and home uses, including printable media, such as copier, ink-jet and laser printer labels, related computer software, ink-jet and laser printer card and index products, and organization, filing and presentation products, such as binders, dividers and sheet protectors. It also offers a range of other stationery products, including writing instruments, markers, adhesives and specialty products under brand names, such as Avery, Marks-A-Lot and HI-LITER.
The Company competes with 3M Company, Acco Brands Corporation and Esselte Corporation.
Other Specialty Converting Businesses
Other specialty converting businesses include the Company’s specialty tape, industrial, performance films and automotive products, business media, RFID and security printing businesses. These businesses manufacture and sell specialty tapes, films, RFID inlays and labels, pressure-sensitive postage stamps and other converted products. The specialty tape business manufactures and sells single- and double-coated tapes and adhesive transfer tapes for use in non-mechanical fastening, bonding and sealing systems in a range of industries, which are sold to industrial and medical original equipment manufacturers, converters, and disposable diaper producers globally. These products are sold in roll form and are available in a range of face materials, sizes, thicknesses and adhesive properties. Its automotive businesses consist of custom pressure-sensitive and heat-seal labels, pressure-sensitive films and engineered fasteners for the automotive market segment. These products are sold primarily to original equipment manufacturers (OEMs) and their suppliers.
The Company’s industrial businesses consist of custom pressure-sensitive labels and multi-layer film constructions for durable goods, electronics and consumer packaged goods. These products are sold to OEMs, tier suppliers and packaging converters. Its performance films business produces a range of decorative and functional films, for the automotive industry, which is designed for injection mold applications. Its business media business designs and markets customized products for printing and information workflow applications. Its RFID business manufactures RFID inlays and labels and makes use of its existing distribution by marketing to its label converting customers. Its security printing business manufactures and sells self-adhesive battery labels to a battery manufacturer, and self-adhesive stamps to the United States Postal Service. In addition, it sells specialty print-receptive films to the industrial label market segment, metallic pigments to the packaging industry, and wood grain and other patterns of film laminates for housing exteriors.
Principal Subsidiaries: A.V. Chemie AG (Switzerland); ADC Philippines, Inc. (Philippines); ADESPAN S.R.L. (Italy); ADESPAN U.K. Limited; AEAC, Inc.; Avery (China) Company Limited; Avery Automotive Limited (U.K.); Avery Corp.; Avery de Mexico S.A. de C.V.; Avery Dennison (Fiji) Limited; Avery Dennison (Guangzhou) Co. Ltd. (China); Avery Dennison (Guangzhou) Converted Products Limited (China); Avery Dennison (Hong Kong) Limited; Avery Dennison (India) Private Limited; Avery Dennison (Ireland) Limited; Avery Dennison (Kunshan) Limited (China); Avery Dennison (Malaysia) SDN. BHD.; Avery Dennison (Shanghai) International Trading Limited (China); Avery Dennison (Thailand) Ltd.; Avery Dennison Australia Group Holdings Pty Limited; Avery Dennison Belgie B.V. B.A. (Belgium); Avery Dennison C.A. (Venezuela); Avery Dennison Canada Inc.; Avery Dennison Chile S.A.; Avery Dennison Colombia S.A,; Avery Dennison Converted Products de Mexico, S.A. de C.V.; Avery Dennison Coordination Center B.V.B.A. (Belgium); Avery Dennison Danmark Holding ApS (Denmark); Avery Dennison Deutschland G.m.b.H. (Germany); Avery Dennison do Brasil Ltda. (Brazil); Avery Dennison Dover S.A. (Argentina); Avery Dennison Etiket Ticaret Limited Sirketi (Turkey); Avery Dennison Europe Holding (Deutschland) G.m.b.H & Co KG (Germany); Avery Dennison Finance Danmark A.p. S. (Denmark); Avery Dennison Finance France S.A.S.; Avery Dennison Finance Germany G.m.b.H.; Avery Dennison Finance Luxembourg S.A.R.L.; Avery Dennison Foreign Sales Corporation (Barbados); Avery Dennison France S.A.; Avery Dennison Group Danmark A.p.S. (Denmark); Avery Dennison Health Management Corporation; Avery Dennison Holding & Finance The Netherlands B.V.; Avery Dennison Holding AG (Switzerland); Avery Dennison Holding G.m.b.H. (Germany); Avery Dennison Holding Luxembourg S.A.R.L.; Avery Dennison Holdings Limited (Australia); Avery Dennison Hong Kong B.V. (Netherlands); Avery Dennison Hungary Limited; Avery Dennison Iberica, S.A. (Spain); Avery Dennison Investments The Netherlands B.V.; Avery Dennison Italia S.p.A. (Italy); Avery Dennison Korea Limited; Avery Dennison Luxembourg S.A.; Avery Dennison Materials France S.A.R.L.; Avery Dennison Materials G.m.b.H. (Germany); Avery Dennison Materials Ireland Limited; Avery Dennison Materials Nederland B.V. (Netherlands); Avery Dennison Materials Pty Limited (Australia); Avery Dennison Materials U.K. Limited; Avery Dennison Mexico S.A. de C.V.; Avery Dennison Nordic A/S (Denmark); Avery Dennison Norge A/S (Norway); Avery Dennison Office Products (NZ) Limited (New Zealand); Avery Dennison Office Products (PTY.) Ltd. (South Africa); Avery Dennison Office Products Company; Avery Dennison Office Products De Mexico, S.A. de C.V.; Avery Dennison Office Products France S.A.S.; Avery Dennison Office Products Italia S.r.l. (Italy); Avery Dennison Office Products Manufacturing & Trading Limited Liability Company (Avery Dennison Ltd.) (Hungary); Avery Dennison Office Products PTY Limited (Australia); Avery Dennison Office Products U.K. Limited; Avery Dennison Osterreich G.m.b.H. (Austria); Avery Dennison Overseas Corporation; Avery Dennison Pension Trustee Limited (U.K.); Avery Dennison Peru S.A.; Avery Dennison Polska Sp. Z O.O. (Poland); Avery Dennison Scandinavia A/S (Denmark); Avery Dennison Schweiz AG (Switzerland); Avery Dennison Security Printing Europe A/S (Denmark); Avery Dennison Shared Services, Inc.; Avery Dennison Singapore (PTE) Ltd; Avery Dennison South Africa (Proprietary) Limited; Avery Dennison Suomi OY (Finland); Avery Dennison Sverige AB (Sweden); Avery Dennison Systemes d'etiquetage France S.A.S.; Avery Dennison U.K. Limited; Avery Dennison Verwaltungs G.m.b.H. (Germany); Avery Dennison Zweckform Austria G.m.b.H.; Avery Dennison Zweckform Office Products Europe G.m.b.H. (Germany); Avery Dennison Zweckform Unterstutzungskasse G.m.b.H. (Germany); Avery Dennison, S.A. de C.V. (Mexico); Avery Dennison-Maxell K.K. (Japan); Avery Etiketsystemer A/S (Denmark); Avery Etiketten B.V. (Netherlands); Avery Etikettsystem Svenska AB (Sweden); Avery Graphic Systems, Inc.; Avery Guidex Limited (U.K.); Avery Holding B.V. (Netherlands); Avery Holding Limited (U.K.); Avery Holding S.A. (France); Avery Maschinen G.m.b.H. (Germany); Avery Pacific Corporation; Avery Properties PTY. Limited (Australia); Avery Research Center, Inc.; Avery, Inc.; BOA/IWACO Offset A/S (Denmark); Dennison Comercio, Importacas E Exportacao Ltda. (Brazil); Dennison Development Associates; Dennison International Company; Dennison International Holding B.V. (Netherlands); Dennison Ireland Limited; Dennison Manufacturing (Trading) Ltd. (Channel Islands); Dennison Manufacturing Company; Dennison Office Products Limited (Ireland); DMC Development Corporation; Dunsirn Industries, Inc.; Etikettrykkeriet A/S (Denmark); Fasson Canada Inc.; Fasson Portugal Produtos Auto-Adesivos LDA. (Portugal); IWACO A/S (Denmark); IWACO Labels & Labelling Systems OY (Finland); Iwaco Norge AS (Norway); LAC Retail Systems Limited (U.K.); Monarch Industries, Inc.; Ocawi Sverige AB (Sweden); PT Avery Dennison Indonesia; Retail Products Limited (Ireland); Security Printing Division, Inc.; Spartan International, Inc.; Spartan Plastics Canada, Ltd; Steinbeis Office Products Beteiligungs G.m.b.H. (Germany); Stimsonite Australia PTY Limited; Stimsonite Corporation; Stimsonite do Brasil Ltda (Brazil); Stimsonite Europa Limited (U.K.); Stimsonite International, Inc.; Tiadeco Participacoes, Ltda. (Brazil); Zweckform U.K. Ltd.
Principal Divisions: Converting Americas; Converting Asia; Fasson Roll Europe; Fasson Roll North America; Graphics Europe; InfoChain Express; Materials Asia Pacific; Materials South America; Office Products Europe; Office Products North America; Retail Information Services; Reflective Products Division; Specialty Tape Division Europe; Specialty Tape Division U.S.; Worldwide Specialty Tapes.
Principal Competitors: 3M Company; Bemis Company, Inc.; Wallace Computer Services, Inc.; Fortune Brands, Inc.; Moore Corporation Limited; Brady Corporation.
OVERALL
Beta: 1.44
Market Cap (Mil.): $4,460.96
Shares Outstanding (Mil.): 106.87
Annual Dividend: 1.00
Yield (%): 2.40
FINANCIALS
AVY Industry Sector
P/E (TTM): 14.58 20.24 17.05
EPS (TTM): 46.80 -- --
ROI: 9.45 2.61 3.26
ROE: 19.69 2.95 5.84
Statistics:
Public Company
Incorporated: 1977 as Avery International Corporation
Employees: 17,300
Sales: $3.8 billion (2001)
Stock Exchanges: New York Pacific
Ticker Symbol: AVY
NAIC: 322222 Coated and Laminated Paper Manufacturing; 322233 Stationery, Tablet, and Related Product Manufacturing; 339941 Pen and Mechanical Pencil Manufacturing
Key Dates:
1844: Aaron Dennison and his father, Andrew Dennison, begin manufacturing paper jewelry boxes in Brunswick, Maine.
1863: The business is now a partnership, Dennison and Company, between Eliphalet Whorf (E. W.) Dennison, younger brother of Aaron, and three nonfamily members; in addition to boxes, the firm has begun making jewelry tags, display cards, and shipping tags at a factory in Boston.
1878: Company is incorporated as Dennison Manufacturing Company.
1898: Dennison's manufacturing operations are centralized in Framingham, Massachusetts.
1917: Henry Sturgis Dennison, grandson of E.W. Dennison, begins 35-year stint as company president.
1935: R. Stanton Avery forms Los Angeles-based Kum-Kleen Adhesive Products Co. to produce self-adhesive labels.
1938: Kum-Kleen is renamed Avery Adhesives.
1941: Avery begins supplying labels to Dennison, which the latter sells under the brand name Pres-a-ply.
1946: Avery Adhesives incorporates as the Avery Adhesive Label Corporation.
1952: Henry S. Dennison dies, ending more than 100 years of Dennison family leadership of Dennison Manufacturing.
1954: Avery creates a division called Avery Paper Company (later called Fasson), which specializes in producing and selling self-adhesive base materials, often to competing label makers.
1961: Avery goes public.
1964: Avery Adhesive is renamed Avery Products Corporation.
1990: Avery International and Dennison Manufacturing merge to form Avery Dennison Corporation.
1999: European office products joint venture is created with Zweckform Büro-Produkte G.m.b.H.
2002: Jackstädt GmbH, privately held maker of self-adhesive materials based in Germany, is acquired.
Name Age Since Current Position
Scarborough, Dean 55 2010 Chairman of the Board, President, Chief Executive Officer
Butier, Mitchell 39 2010 Chief Financial Officer, Senior Vice President
Miller, Susan 51 2009 Senior Vice President, General Counsel, Secretary
Dixon, Diane 59 2000 Senior Vice President - Communications and Corporate Affairs
Malchione, Robert 53 2001 Senior Vice President - Corporate Strategy and Technology
Hill, Anne 51 2007 Senior Vice President, Chief Human Resources Officer
Sallay, John 54 2009 Senior Vice President - New Growth Platforms Roll Materials
Bondar, Lori 50 2010 Vice President, Chief Accounting Officer, Controller
Rodriguez, Karyn 51 2001 Vice President, Treasurer
Clyde, Timothy 48 2007 Group Vice President - Specialty Materials and Converting
Nolan, Donald 50 2008 Group Vice President - Roll Materials
Bond, Timothy 53 2008 Group Vice President - Office Products
Neville, R. Shawn 48 2009 Group Vice President - Retail Information Services
Pyott, David 57 2010 Lead Independent Director
Mullin, Peter 70 1988 Director
Stewart, Julia 55 2003 Independent Director
Barker, Peter 62 2003 Independent Director
Cardis, John 69 2004 Independent Director
Borjesson, Rolf 69 2005 Independent Director
Siewert, Patrick 55 2005 Independent Director
Hicks, Ken 58 2007 Independent Director
Reed, Debra 54 2009 Independent Director
Alford, Brad 54 2010 Independent Director
Address:
150 North Orange Grove Boulevard
Pasadena, California 91103
U.S.A.