Marysville, Ohio
July 12, 1999The Scotts Company today announced that it will
alter the distribution system for certain products, including its Ortho® and
Miracle-Gro® products and Monsanto Company's consumer Roundup® products for which Scotts
acts as Monsanto's exclusive sales agent.
Previously, Ortho and Roundup products were distributed under an exclusive distribution
agreement with Central Garden & Pet Company (NASDAQ:CENT - news). Scotts assumed the
Central agreement when it acquired the Ortho® business from Monsanto earlier this year.
After the Central agreement expires in September 1999, Scotts plans to distribute Ortho
and
Roundup products in a manner similar to its other lawn and garden products. This system
involves a combination of distributors, of which the largest is Central Garden & Pet,
as well as direct sales by Scotts to certain major retailers. In addition, Scotts intends
to sell Miracle-Gro directly at certain retailers.
"The key here is flexibility,'' said James Hagedorn, President, Scotts North America.
"Central
Garden & Pet has been, and we expect will continue to be, a large and important part
of Scotts's
distribution system for a broad range of our lawn and garden products in North America. We
will
be using additional distributors as well as making some sales directly where we see
opportunities to meet the varied needs of our retail customers.''
The Scotts Company is the world's leading supplier of consumer products for lawn and
garden
care, with a full range of products for professional turf care and horticulture as well.
The company
owns what are by far the industry's most recognized brands. In the U.S., consumer
awareness of
the company's Scotts®, Miracle-Gro® and Ortho® brands outscores the nearest competitors
in
their categories by several times, as does awareness of the consumer Roundup® brand which
is
owned by Monsanto. Scotts has entered into an agreement with Monsanto to be the exclusive
marketing and distribution agent for consumer Roundup® in the United States and most
major
markets internationally. In the U.K., Scotts' brands include Weedol® and Pathclear®, the
top-selling consumer herbicides; Evergreen®, the leading lawn fertilizer line; the
Levington® line of lawn and garden products; and Miracle-Gro®, the leading plant
fertilizer. The Company's leading brands in continental Europe include KB® and
Fertiligene® in France and NexaLotte® and Celaflor® in Germany.
Company news release
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