Report: Verona Energizer plant may shut down

VERONA — The Energizer Personal Care facility in Verona could be closing its doors, according to a report filed in May.

A U.S. Securities and Exchange Commission report said Energizer Holdings Inc. has made a decision to shift management focus to other projects.

Energizer hopes to cut back on blade production or completely sell the personal care portion of the business by the end of fiscal 2016, the report said.

This decision would directly affect the plant in Verona, along with two others out of the country. It is unknown when the facility could face the possible shutdown.

"While a sale of the industrial blade business is preferred, if the company is unable to find a buyer in the next couple of months, Energizer will then close the business," said Mark Polzin, a spokesman for Energizer. "Energizer Personal Care enacted this plan as a means to focus on its core business and is by no means a reflection on employees who have worked hard to improve the business."

Polzin said there are a total of 300 people working in the three facilities in question.

Energizer bought the plant from American Safety Razor in 2011, when it filed bankruptcy.

It's expected the pretax cost to Energizer could be up to $45 million if it is unable to sell some or all of the company, the report said. Severance and facility closure costs have been factored into that cost.

Energizer filed the separation or the personal care and household divisions in February to the U.S. Securities and Exchange Commission, according to an Energizer press release.

"This separation will allow each business to pursue its own strategic focus and priorities — with household products carrying forward Energizer's legacy of iconic brands, global distribution and meaningful cash flows and personal care driving top-line and market share growth through an attractive portfolio of brands and a track record of innovation," said Ward Klein, Energizer's CEO, in that press release. "We look forward to completing the separation to unlock the full value of each business for shareholders."

The personal care division has been renamed Edgewell Personal Care, and by July 1, the household division is expected to spin off, retaining the Energizer name, a press release said.

"The company expects that all costs associated with this exit will be incurred prior to the end of fiscal 2016, with the majority of the costs expected to be incurred in fiscal 2015," the report said.

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