Rayovac Announces Remington Operational Changes

-- Remington's Bridgeport Facility to Be Phased Out Over Next Several Months

MADISON, Wis., Jan. 13 /PRNewswire-FirstCall/ -- Rayovac Corporation (NYSE: ROV) today announced significant operational changes to integrate Remington Products, which it acquired in September 2003.

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Remington's current headquarters and shaver screen manufacturing complex in Bridgeport, CT will be consolidated with Rayovac operations in Wisconsin between March and November. The Remington office operations will be relocated to Rayovac's Madison, WI headquarters complex. The manufacturing functions will be moved to Rayovac's Portage, WI plant beginning this fall with the plant closing by calendar year-end.

As a result of these actions, approximately 96 hourly manufacturing and 121 administrative employees will be laid off. Rayovac will provide severance packages to all employees not offered continuing employment, as well as outplacement services. Layoffs will begin at the end of March.

"Decisions that affect people's lives are always difficult," said Dave Jones, Rayovac chairman and CEO. "In fairness to our employees, whose contributions we appreciate, we are making this announcement as early as possible. We intend to help out-placed employees make the transition to new employment," Jones said.

Rayovac and Remington sales management, field sales operations and marketing will be merged into a single North American sales and marketing organization combining the expertise and talent of both organizations. The new structure will be launched in mid-February immediately following Rayovac's global sales meeting.

Finance, Information Systems, customer service and other administrative functions will be transferred to the existing counterpart organizations at Rayovac's North American headquarters located in Madison, WI. The transition is scheduled for the end of March, concurrent with the migration of all Remington business transactions into Rayovac's SAP system.

The Rayovac and Remington research and product development functions will be merged into a single organization based at Rayovac's corporate research facility in Madison, WI.

Beginning this spring, all Remington's distribution facilities in North America will be integrated into Rayovac's distribution facilities and infrastructure. Packaging and distribution activities at Remington's third- party-operated facility in Atlanta, GA will be transitioned to Rayovac's facilities in Dixon, IL and LaVergne, TN. In Canada, the Remington distribution center will be closed and all activity transferred to the Rayovac facility in Mississauga, Ontario Canada.

Planning for the integration of Rayovac and Remington international operations is continuing and is expected to be complete by the end of the first quarter. Details will be provided at a later date. Also, the 65 remaining Remington U.S. Service Centers will be closed by the end of February, completing an initiative begun by Remington several years ago. A total of 311 full-time, part-time and seasonal employees will be laid off.

In conjunction with these initiatives and to support its global expansion and diversification strategy, Rayovac will relocate its corporate headquarters to Atlanta, GA in the spring of 2004. Executive management, corporate finance, and selected other corporate administrative functions will be relocated. Twenty-five positions will move to Atlanta, GA. The growing size and maturity of the regional business unit structure as well as the desire to headquarter in a more central geographic location closer to key global customers and regional headquarter locations were the key drivers behind this decision.

"We intend to continue to grow our business and leverage our global presence both by expanding market share of our family of products and by adding more leading brands to our fine stable of world-class offerings," Jones continued. "This move to Atlanta improves our access to all global customers and moves us closer to our global markets."

Rayovac Corporation is a global consumer products company with a diverse portfolio of world-class brands, including Rayovac, VARTA and Remington. The Company holds many leading market positions including: the world's leader in hearing aid batteries; the top selling rechargeable battery brand in North America and Europe; and the number one selling brand of men's and women's foil electric razors in North America. Rayovac markets its products in more than 100 countries and trades on the New York Stock Exchange under the ROV symbol.

Certain matters discussed in this news release, with the exception of historical matters, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to a number of risks, uncertainties and other factors that could cause results to differ materially from those anticipated as of the date of this release. Actual results may differ materially from these statements as a result of (1) changes in external competitive market factors, such as introduction of new product features or technological developments, development of new competitors or competitive brands or competitive promotional activity or spending, (2) changes in consumer demand for the various types of products offered by Rayovac or Remington, (3) changes in the general economic conditions where we do business, such as stock market prices, interest rates, currency exchange rates, inflation and raw material costs, (4) our ability to successfully implement manufacturing, distribution and other cost efficiencies and (5) various other factors, including those discussed herein and those set forth in Rayovac's Annual Report on Form 10-K.

SOURCE Rayovac Corporation