(Updates with share price in final paragraph.)
June 3 (Bloomberg) -- Newell Rubbermaid Inc., the maker of Sharpie pens and Rubbermaid containers, cut its full-year profit forecast, saying economic woes are hampering consumer spending.
Per-share profit, excluding costs for restructuring and other items, will be at least $1.60, down from a projection of at least $1.67, the Atlanta-based company said today in a statement. Analysts on average anticipated $1.69, according to a Bloomberg survey.
Some of Newell Rubbermaid’s larger retail customers have lowered expectations for U.S. growth as consumer confidence weakens, said Chief Executive Officer Mark Ketchum. More than two-thirds of Newell’s sales come from the U.S., where increasing prices for food and gas have daunted consumers, whose spending accounts for about 70 percent of the economy.
“Persistent softness in the U.S. economy and increased inflationary pressure have caused us to revise our outlook for the balance of the year,” Ketchum said in the statement.
Newell Rubbermaid fell as much as 6.3 percent to $15.90 in trading before the opening of the New York Stock Exchange. Before today, the shares had declined 6.7 percent this year.
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