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Clorox comes clean on 2Q
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December 14, 2000: 7:33 p.m. ET
Household products maker warns of sales, profit shortfall; confirms fears
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NEW YORK (CNNfn) - The Clorox Co., whose stock fell more than 9 percent on fears that it would do so, warned investors after the close of trading Thursday that it will miss its fiscal second-quarter and full fiscal year financial targets.
In a statement, Clorox, whose best-known products include its namesake bleach and "Glad" plastic bags, said second-quarter sales will decline "in the mid-single digits," while earnings will come in at about 30 cents per share.
Analysts surveyed by earnings tracker First Call had expected the Oakland, Calif.-based company to report earnings of 38 cents per share during the quarter.
Clorox (CLX: Research, Estimates) shares fell $3.50 to $34 in New York Stock Exchange trade ahead of the news. That decline came after the company notified the Street that it would be making an announcement after the close and that it planned a conference call with analysts on Friday.
 Traders said there was broad speculation earlier in the day as to what the company planned to announce, ranging from an earnings warning or restructuring` to an affirmation of its previous financial expectations.
Executives at Clorox plan to provide more details about the shortfall in the call, which is scheduled to begin at 10:30 a.m. EST and will be available in real time over the Internet through the company's investor relations site.
In addition to the second-quarter shortfall, Clorox reduced its full fiscal year 2001 forecasts, saying it now expects sales to rise "in the low single-digit range" while earnings will be flat with the $1.75 per share it reported for fiscal 2000.
The company also said it expects one-time charges in the range of $150 to $200 million in calendar year 2001 related to restructuring projects aimed at improving its business.
-- from staff and wire reports 
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