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Hamco buys Bibsters from Procter & Gamble
May '10
Crown Crafts, Inc. announced that Hamco, Inc., a wholly-owned subsidiary of the Company, has acquired the Bibsters product, including related intellectual property, from The Procter & Gamble Company. Bibsters, originally introduced by P&G in 2003, is a disposable bib that provides coverage for infants and toddlers while feeding.

At closing, which was effective as of the close of business today, P&G assigned its intellectual property related to the Bibsters product to Hamco, including 26 patents and 44 trademarks which have been awarded throughout the world. In a separate but related transaction, Hamco also acquired the inventory associated with the Bibsters product line. Hamco plans to integrate the distribution of the Bibsters product line into the Company's facilities in Compton, CA.

"We are thrilled to find an opportunity that will complement last year's acquisition of Neat Solutions by expanding our business in the disposable products category," commented E. Randall Chestnut, Chairman, President and Chief Executive Officer of the Company. "Hamco already has the overwhelming market share in reusable bibs, and we are confident that the Bibsters line of disposable bibs will solidify Hamco's position as the overall leader in infant and toddler bibs. We anticipate that the acquisition will result in an annual increase in our net sales of $3 million and will be swiftly accretive to our earnings. The Bibsters customer base and channels of distribution are consistent with those of Hamco's existing products, and we are confident that there are additional placement opportunities for Bibsters," Mr. Chestnut continued.

Crown Crafts, Inc. designs, markets and distributes infant, toddler and juvenile consumer products, including crib and toddler bedding and blankets; nursery and bath accessories; reusable and disposable bibs and floor mats; burp cloths; room decor; and disposable placemats, toilet seat covers and changing mats. The Company's operating subsidiaries include Crown Crafts Infant Products, Inc. in California and Hamco, Inc. in Louisiana. Crown Crafts is America's largest producer of infant bedding, bibs and bath items. The Company's products include licensed and branded collections as well as exclusive private label programs for certain of its customers.

Crown Crafts Inc

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