Good morning and welcome to Newell Brands Third Quarter 2017 Earnings Conference Call. At this time, all participants are a listen-only mode. After a brief discussion by management, we will open up the call for questions. In order to stay within the time schedule for the call, please limit yourself to one question during the Q&A session. As a reminder, today's conference is being recorded. A live webcast of this call is available at newellbrands.com on the Investor Relations home page under Events & Presentations. A slide presentation is also available for download. I will now turn the call over to Nancy O'Donnell, SVP of Investor Relations. Ms. O'Donnell, you may begin.

Thank you. Good morning, everyone. Thank you for joining us for Newell Brands third quarter conference call. On our call today are Mike Polk, Newell's CEO and Ralph Nicoletti, our Chief Financial Officer. During the call, we will make statements about our expectations for future financial and operating performance. These forward-looking statements reflect our current views with respect to future events and are subject to risks and uncertainties. I point you to our press release issued today and our most recent SEC filings for a list of some of the most important risk factors that could cause actual results to differ materially from our forward-looking statements. We do not undertake to update these statements. I'd also like to point out that we will refer to certain non-GAAP financial measures to the extent available. A reconciliation of the non-GAAP financial measures to comparable GAAP measures is shown in the press release and is available on our website. Thank you, and now I'll turn it over to Mike.

Thank you. Nancy. Good morning, everyone, and thanks for joining our call. This is my 25th quarterly earnings call as Newell's CEO and we clearly have not had a quarter like this before. The third quarter was chock-full of contradictions. On the positive side, we had broad-based market share growth in our most important U.S. market with share growth on writing instruments, glue, labeling, outdoor and recreation equipment, beverages, fragrance, baby gear, food storage, fresh preserving, vacuum sealing, fishing and team sports. We also had strong double-digit e-commerce growth across the entire portfolio and another quarter of strong cost synergies and savings with a new organization that's coming together and growing as a team. On the opposite side, we had force majeure in our largest supply network, driving inflation with no time to price to recover margin. We had a top customer bankruptcy, forcing a future re-plan on one of our best performing businesses. We had unrelenting retailer inventory destocking, creating a headwind for revenue as our retail partners adjust to slowing market growth and changes in shopping patterns. You name it, we experienced it this quarter. From a selling perspective, what started out as one of our best quarters in a long while in July, took a sharp downward turn in September, resulting in just over $100 million revenue miss versus our expectations, with the big drivers being our U.S. Writing and Appliance businesses. Obviously, this is a disappointing outcome, and as CEO, I take full responsibility for these results. To be clear, there's nothing in our Q3 experience that changes our perspective on our ability to realize the value creation opportunity inherent in Newell Brands, and we are focused and undeterred in our commitment and drive to do just that. That said, we need to accept the retail…

Thanks, Mike, and good morning, everyone. Starting with the key highlights, our core sales grew 0.4% and normalized EPS grew 10.3% to $0.86 per share. We captured about $86 million in synergies and Project Renewal savings during the quarter, which only partially offset the impact of input cost pressure particularly resin, unfavorable product mix, higher spending behind A&P and e-commerce as well as the lost income from the businesses that we have divested. We are lowering our earnings outlook for this year to a new range of $2.80 to $2.85 per share. Regarding operating cash flow, we expect the effect of lower sales and earnings and the related temporary effect on elevated inventory levels will result in cash flow from operations to be in the $700 million to $800 million range. Importantly, as we focus on margin development and working capital improvement, we expect to achieve our target leverage ratio by the end of 2018. Turning to the details, third quarter reported net sales were $3.7 billion, a 7% decline versus last year, primarily due to the divestiture of the Tools, Winter Sports, Totes, Teutonia, Fire Building and Cordage businesses. Foreign exchange was a modest tailwind. Core sales grew 0.4% as strong results in Baby, Food, Waddington, Fishing and Team Sports were largely offset by much softer than anticipated Back-to-School season, which impacted our Writing division as well as soft performance in our Appliance and Cookware division in the U.S. Reported gross margin was 34.5% compared with 32.2% in the prior year, with a year-over-year improvement largely reflecting the absence of last year's $146 million charge for the inventory step-up from the Jarden acquisition. Normalized gross margin was 35% compared with 36% last year as the benefits of cost synergies and Renewal savings were more than offset by input cost…

Thanks, Ralph. While we take our responsibility to do what we say very seriously and are disappointed in our third quarter outcome, we are equally undeterred in our drive to achieve the full potential of the company. Our confidence is grounded in the knowledge that we have a leading portfolio of brands, advantaged capabilities in innovation and design with the best still to come; a peer group leading e-commerce organization that's only getting stronger, a long list of opportunities for core distribution and broad-based international deployment and a world-class team working on realizing world-class levels of savings. This is a proven model and playbook and is being run by a seasoned team that has successfully executed it before. We could not be more committed and driven to deliver the transformative value creation story that's inherent in Newell Brands. Let me pass the line back to Wendy to help facilitate questions now. Wendy?

Thank you. And our first question comes from Wendy Nicholson with Citi Investment Research. Please go ahead.

Thanks; good morning. I think this quarter clearly is evidence, not that we needed it, that traditional retail is going away and online is what's going to drive your growth going forward. So could you give us kind of a higher-level view of where you are on e-commerce? I know you said 11% of sales that's growing double digits, but is double digits 20% or 50% growth? Where is that growth coming from? Is it the dotcom pure plays or is it retailer websites? And can you update us on the cost to compete? I've seen some of the merchandising you've done on Amazon, it looks great, but can you remind us or update us on how profitable that business is and how much more expensive is it to merchandise online versus in store? Thanks so much.

So, Wendy, thanks for the question. Our point of view about the retail landscape is there are going to be winners in brick-and-mortar. So, we don't think brick-and-mortar is going away by any way, shape or means. There will be some customers that perform really well in that format, but obviously every one of those brick-and-mortar customers will have a multichannel platform for fulfillment to include e-commerce. And you see the likes of Walmart and Target doing really well, Staples doing really well in the space in the commercial side. So, we expect a multichannel landscape in the future, with obviously, shoppers increasingly taking the easier path to fulfill the demand. So, our energy and our focus is not simply on e-commerce, it's on winning share in every channel where we compete and also on making sure that our resourcing, both our people and our money, are properly allocated to the marketplace. The risk in this environment is that you over-subsidize declining customers and don't have enough money focused on where the growth is. So, it's a very dynamic moment for the industry and for us as well and we're going to be in this constant state of asking that question, are our resources in the right place? Now obviously, both legacy companies made a big bet on e-commerce back in 2012 and the combination strengthens the potential. We made a choice to create a different organization structure to support the development of our e-commerce business at the beginning of 2017, by creating an enterprise wide e-commerce division, cross-functional team with full P&L responsibility for the delivery of our global growth and profit in this emerging channel. They've got responsibility for all three components of e-commerce: pure play, that's the Amazons of this world; retailer dotcom, that's Walmart.coms, Target.coms, Staples…

Your next question comes from Dara Mohsenian with Morgan Stanley. Please go ahead.

Hi, Dara. Dara W. Mohsenian - Morgan Stanley & Co. LLC: Hey. First, just more of a detail question. Any thoughts, Mike, around the level of incremental risk from retailer inventory reductions as we look out to 2018? Could you see more pronounced cuts? Or do you think at least at the back half of this year inventory cuts helped mitigate this issue? Obviously, a very volatile environment, but any conceptual thoughts would be helpful. And then you also mentioned a heightened focus on cost cutting and working capital going forward given the weak top line environment. Can you give more detail there? Is that more sort of doubling down on actions already in progress and the typical belt-tightening, or could there be more bigger new programs on that front? Thanks.

Right. Yeah, so on cost and on working capital, we don't envision more cash cost going out the door in order to deliver more savings. We're going to really tighten things up here with respect to discretionary spend and those types of choices don't require restructuring or restructuring-related costs. We have, in our funding algorithm, plenty of cash in the geo and in restructuring projects like Project Renewal to deal with those types of cost reduction efforts. But there are other opportunities available to us and while we've been pursuing them, we're going to go even harder on this until we get greater clarity into the revenue progression of the company. On your question regarding retail inventories, one of the biggest drawdowns we've had this year has been in our leading partner and our best estimate is we've taken about two weeks of inventory out of the system, a little bit over that, from the beginning of the year to this point in time and we lap the start of that experience in the fourth quarter. So some of the headwinds associated with that particular partner, I think, diminishes going forward even though they will continue to apply effort in that space. The bigger issue we have to come to grips with and accept is that there are certain retail channels that are struggling in the environment we're in where foot traffic is down and their business models are not well-positioned yet to deal with the shift to e-commerce. In those cases, we should expect, and will probably see, further inventory reduction. We have some specific events that we need to wrestle with as our negotiations get resolved in Baby, which I referenced and I think an example of the type of channel dynamic that I think will present a headwind in the Writing business is in the office superstore channel. But there are others beyond that that I think are going to become sort of a steady and ongoing headwind for us. The big one, which we experienced this year, is behind us as of the fourth quarter, but it doesn't mean this stream of resistance fully dissipates. Ralph, I don't know if you'd like to comment on working capital and the program we're going to put in place.

Sure. Dara, our focus is across the total cash conversion cycle. We've already made good progress on days payable outstanding, as you can see in the days we exited last year just below 60 days and we're on track, this quarter we're about 65, and we think there's room to go further. That's been largely from our procurement synergy effort. We put a big focus there and again we think we have some more programs to help drive that. Clearly a lot of opportunity on inventory as you can see from our inventory days being well above a year ago. Some things we're doing very much in the moment here are pulling back significantly on our internal production and with our suppliers, but importantly to sustain this and to keep continued improvement, we've got some focused improvement teams within some of the divisions where the most opportunity exists. And we're doing things on demand planning and tools related to that to help drive our inventories down to more efficient levels. And then kind of lastly maybe I'll just comment on accounts receivable. We see our DSO fairly stable, frankly with maybe some modest increases over time, but where there is increases we'll look to get value for that whether that's in the supply chain offsets or programming or other things. So net, clearly a lot of activity going on, on cash conversion. So just to build on that, in the moment as September started to unfold, obviously with a long value chain of sourced finished goods, it's very, very difficult to adjust your inventory days in a very narrow window of time when you've got that kind of value chain. However, as we've gone into the fourth quarter we've been, where we can, pulling as many days out of our…

We chose specifically not to guide 2018 today, Dara, because we have the uncertainty of how the TRU discussion is going to play out and we want to see how Q4 presents itself. As I said, October is off to a solid start, but July was our best start to a quarter that we've had in a long, long time. So, we're very cautious about how this is all going to unfold. There are a lot of moving parts to include the working capital discussion, but you can be assured that we're focused on cash. We have two very near-end reasons to be. Number one, we've made commitments to deleverage the balance sheet which we are clear and firm and committed to do, and we obviously with the miss and our prior softness on top line, obviously, we're trading at a ridiculously low multiple for the potential of this company. I understand why, but we want to be in the market buying ourselves to the degree that we can and still deliver the leverage ratio outcome we've committed to deliver. This is the best M&A opportunity we've got. We know exactly what we're going to do in this company over the next number of years, and we're betting on ourselves, which obviously we think is a good bet. So, we're balancing those two things, and so there's plenty of incentive to get cash from operations to as high a level as we possibly can. And then the future, it gets a heck of a lot easier. Once we clear some of these thresholds, this business is very cash generative. If we make material progress on working capital as I think we will and we continue to deliver the synergies, we get very good margin development. Growth will be what growth will be, it will be market driven. We're going to grow ahead of our markets, continue to drive share, and so we are revisiting the algorithm and trying to find the right balance between margin, cash, and growth. But we're not going to presume that the environment gets better going forward, so we're going to live within that constraint. And that will shape the outcome on cash in 2018 and 2019, and then from 2019 onwards we're sort of in a very, very good place with lots of – certainly even in 2019 lots of optionality for application of cash beyond simply financing the business. So we have an eye on that future, and we understand there are stepping stones and there's a need to rebuild confidence in the team's ability to deliver the outcomes we commit to, but we're going to defer on making any comments about 2018 until we get further along into the fourth quarter and have a greater visibility into next year.

Your next question comes from Bonnie Herzog with Wells Fargo. Please go ahead.

Hi. It's actually Joe Lachky for Bonnie.

Hi, Joe.

Hi. So I understand your hesitation on giving any 2018 guidance. Obviously visibility is pretty low, but I was wondering if maybe you had any like high-level thoughts, specifically regarding core sales growth and really in the context of your comments of a more modest top line going forward. And in the past you've talked about the fact that you're in this strengthening phase and sort of approaching some sort of a scale or accelerate phase. And I wonder if you still believe that that progression for the top line will still take place? And whether or not the long-term 3% to 5% range that you've laid out in your previous presentations is realistic in the current environment? Thanks.

Right. So, Joe, obviously we're living in the here and now right in the moment, and I pick my words very carefully. We are clearly focused on growing ahead of the market. We're going to have some market dynamics because of TRU and because of the continued challenges in writing certainly into next year that will kind of serve as a compromise. I think I take heart in the underlying performance in the business. The 3.5% POS growth is a very strong growth number for the U.S. And that is the true measure of the underlying performance in the business. And that disconnect between sell-out and sell-in that I described, that 70 basis points down in core sales in the U.S. relative to that 3.5% POS growth, that's the scale of the issue we're facing into. I'm reluctant to guide core sales into 2018 until I get clarity on the TRU-Baby dynamic because I think there will be some dynamics connected to that with respect to both inventory liquidation and then whatever choices they're going to make from a network perspective, which we do not have their point of view on into 2018. So we're going to have to accept that as a reality that isn't in our existing performance. That said, our programming, our ideas strengthen as we move through 2018. And I was very clear, we're not going to back off on continuing to build our innovation funnel to strengthen these brands, to build the capability and design, and invest that capability back into our product performance. Those are the capabilities that will create the strategic leverage for the company going forward, that coupled with ecommerce. So we will continue to benefit from the investments that started in 2017. They start to yield growth and impact in the…

Your next question comes from Lauren Lieberman with Barclays. Please go ahead.

Thank you. Okay. Thanks. Good morning. So I appreciate it makes perfect sense you're not in a position to have a lot of visibility into next year, but I was curious on two fronts. One, on the visibility conversation. So retail inventory levels, when you had the big destock at Walmart last year's fourth quarter, particularly in appliances, I don't feel like there was a great sense that that was the beginning of something, right. It felt like it was specific to after Black Friday, some seasonal adjustment, but not that there was going to be a continued working down. So whether it's in that category, in that retailer, or just more broadly, is there anything you can do to sort of investigate, like where inventories stand at some of your bigger customers, so that you can think about how to manage that moving forward, not just adjusting the current working capital situation, but what might still be on the come as you move into next year? That was one.

It's an excellent question.

Okay.

We have perfect visibility into our largest retailers' inventory position. We know what our – through Retail Link, you have that visibility. You see exactly how many weeks on hand you've got at retail and how many weeks on hand you have in the warehouse. So we know exactly what has gone on there and we can see that by SKU, quite frankly, every day. So we have perfect visibility at that customers and they share that with us because it's in their interest for us to know and to work with them to manage those inventories down. It's not true with every retailer. We model our inventory position by retailer or by product family. Every month we're looking at this, so there's a standard report that we're looking at, which is how I can tell you what I told you earlier on the retail landscape. I think at the heart of your question, Lauren, is this hope that we will anticipate the future better than we have through the third quarter, both the retailer landscape and then the consequences of that through the whole business model, and that we are pivoting our resourcing and thinking about our future production requirements in the context of that next state of that retail landscape. The confession to make is we didn't do that well enough in the third quarter for sure. The reality of our business model is it's impossible to adjust in 30-day windows or 60-day windows or 45-day windows because of the fact that we're only 50% self-manufactured, and we have a long value chain of sourced finished goods that are on the water that's tied to kind of a forward-looking forecast. It's really important for us to accept the retail landscape dynamics for what they are such that we're…

Your next question comes from Joe Altobello with Raymond James. Please go ahead. Joseph Nicholas Altobello - Raymond James & Associates, Inc.: Great. Thanks, guys. Good morning. The first question, quick housekeeping item. TRU was there an impact on core sales in this quarter and what would you expect the impact to be in the fourth quarter?

Yes, so there was no impact, no material impact, in this quarter. We went through a couple days where we needed to see how things were going to sort out in the end of September, but as it turns out, it may be $1 million or $2 million but no material impact in the quarter. That's how Baby had 10% core growth. We expect to have an impact in the fourth quarter that I think will largely be related to inventory liquidation in advance of whatever restructuring program Toys"R"Us does with respect to its fleet of stores. So that's built into our guidance and assumptions around that on Baby. Baby has been growing unbelievably well, but I think in the fourth quarter you guys should consider the fact that it could be flat to down in the face of that kind of headwind, and that's built into our guidance. If that happens in the fourth quarter, that will be consistent with our view. If it doesn't for timing reasons, then it will shift into Q4, and that's one of those uncertainties that's still to be resolved. The more important conversation around TRU/BRU is what does the future look like? And this our leading Baby retail partner, baby care retail partner globally. We have a very good relationship with BRU/TRU. We've built our businesses in a collaborative way over time, and we expect to come through those discussions with the same strategic partnership in place, albeit with a shift in the profile of their business connected to whatever they choose to do with respect to their store configuration. But in terms of the development of the brand, the commitment to do it, our partnership, the constructive nature of the conversations, those are all positive and ongoing, and we'll get closure on that I suppose over the – probably the next couple of weeks and then we'll have the clarity we need to look forward.

Your next question comes from Andrea Teixeira with JPMorgan. Please go ahead.

Hi, good morning. It's Christina Brathwaite on for Andrea.

Hi, Andrea.

We just wanted to dive into the inventory in a little more detail. So up 18% (54:27) year-over-year. Can you talk about a little bit more about the composition? It sounds like a lot of that was driven by the Writing business, but are there any other kind of pockets that you'd call out there? And then looking ahead, how are you thinking about getting to more normalized inventory levels? How much longer do you think it will take? And are you embedding any kind of gross margin headwind in your guidance related to just selling that down?

Yes. So two things. Our issues in the quarter were all U.S. based. It was writing instruments and it was – our miss was writing instruments related and appliance related for different reasons. Obviously, as I've said, market growth was below our forecast in the quarter. However, share progression in writing instruments was right about where we expected it to be. But the net effect was a lower sellout than we had built into the model. And because market growth was effectively flat across the landscape with some retailers down and other retailers up slightly, I think everybody anticipated a stronger back-to-school and therefore the whole marketplace had to adjust to the shorter market growth, and so that's unfolding. On appliances, the issue is a more familiar one to us, and it's one that we're experienced addressing, but it does have retailer inventory consequences, and that is that with the exception of the cookers' market, which is where this pressure cooker phenomenon is, market growth was down sequentially in the quarter. Pressure cooker is really, really strong. That's why we're launching Express Crock pressure cooker that does multi-cooking and we are broadening the footprint into that space. But more broadly speaking, market growth in appliances came down excluding the cooker segment and our share importantly was down across many of our formats. And what's missing there is the kind of innovation we need to be able to be competitive in that space and we need to do things that allow us over time, to premiumize that category – our footprint in the category. And so we're working on that. That's where we started at the beginning of the year, and it starts to play out in the fourth quarter and into next year. Retailers in that environment also hold back…

Your next question comes from Kevin Grundy with Jefferies. Please go ahead.

Hey, Kevin.

Thank you. Good morning, guys. My question for you broadly on the portfolio and then I wanted to come back to the POS data that you cited in the release. So first one, and we talked about some – I was hoping you could dimension the magnitude of the deterioration in the outlook that we've seen, particularly since September. And maybe even going further back, Mike, some of the biggest surprises to the downside, and I guess the context here, the financial delivery when you were running Newell Rubbermaid was fantastic, and at the risk of being cheeky, maybe Staples-like and that really drove the multiple for the stock over time. But clearly the delivery has been less consistent here post the close of the Jarden deal, which I guess plausibly one would think this relates to the integration or maybe something that was missed with that portfolio. So any comments there, Mike, now with the benefit of hindsight looking back over the past year-and-a-half or so since the deal closed in terms of magnitude driving some of the downside here versus initial expectations? And we talked about some of the U.S. retail dynamics and of course that hasn't helped and we've seen the Nielsen data which hasn't been great for a while, so maybe it's specifically in U.S. brick-and-mortar. But to the extent you can dimensionalize some of this, Mike, would be helpful. And then I also wanted to come back to the POS sales data, so the 3.5%. What exactly does that capture? Because the Nielsen data that we have even making adjustments is closer to flat and I would even say 3.5% kind of growth is obviously not what's discounted in your share price at this point, and also, sort of tying that in, Mike, with your comment that will likely grow next year. So just sort of help us understand that. On the one hand, the category is doing 3.5% in the U.S., which is sort of what's syndicated in the data, then with the comment understanding some of the destocking and some of the Toys"R"Us drag that you sort of couched that you "likely grow" when the category is doing 3.5%, at least that's what's syndicated. So sorry for being verbose, but thank you for all that.

No problem. Let me start with the last part of your question first. So the way we track, we track four things every week that the data becomes available. Some of it becomes available daily, some of it becomes available in four-week increments. And we don't track Nielsen data in the traditional sense. We're looking at Nielsen panel diary data, which includes the e-commerce effect across all of our businesses, and in some cases that's not available, so we take what is available which is an IRI platform, and then there are some specific databases in Team Sports that are neither IRI or panel diary and then we aggregate that into a scorecard that all of us get that looks at the market growth data sellout in 4-week, 12-week, 52-week increments on market share, share change. And then we get POS data weekly, which is transaction data from our retailers, including Amazon and we get the ability to split both E from bricks-and-mortar by product family. We could go lower, but we've got all that data that comes in and gets aggregated. So you're not going to see the POS data that we see. We see that every week and it's the equivalent of retail link from all of our retailers and then of course, we have our invoicing that we compare all that to. We look at it across 75 product families and we do this in the U.S. And so we have a very, very granular view of our business and it's a unique combination of these different data sources that gives us the perspective and that's the number we quote. Now what I said, Kevin, was our sellout was 3.5%, not the category sellout. Category sellout decelerated in the quarter and was effectively flat. There are examples…

And I apologize, Kevin has dropped from the Q&A.

Okay, great.

Okay. Your next question comes from Jason Gere with KeyBanc. Please go ahead.

All right, thanks.

Hey, Jason.

Hey, Mike. I guess I know you're talking about taking some of the pricing on the resin-based and seeing how that's kind of playing through. As you look at the quarter and some of the changing dynamics, and I know you've done this with a few categories, but how do you think about pricing adjustments to the downside? And some of the categories that you play in that maybe these are categories where the price might need to be a little bit lower just to be more competitive for the consumer out there, especially as we live in this Amazon world where everything seems to have a private label element to it. So I was just wondering how you think about the pricing on the downside to kind of counteract some of the pricing that you need to take for the commodity-based impacts? Thanks.

Yeah, well, we've experienced negative price this year, that's part of the challenge in a more inflationary environment. We put more programming in, as I described to you guys in a recent conference. So we're looking forward to try and land these price increases in the context of more inflation. It's easier to sell pricing when you've got that dynamic going on and everybody, including private label, has to deal with the resin inflation. I noticed last couple of days some other folks talking about this as well. And so we'll do our best to land those pricing actions, and so far, so good. But your point about relative price is a really important point and the primary objective we have as a company is to build market share. And to build market share you've got to have great innovation, you've got to have great communication, you have to have great packaging, you have to have great product performance. But you have to live within a set of price principles relative to the value offering in your categories and relative to the premium offerings in your categories. And while we always are pushing to premiumize these categories through innovation, we will occasionally price down to make sure we maintain those price gaps. Now, in an inflationary environment, which we have been in, in the back half of 2017, there's less pressure on that. The good news for us is that private label's not a big variable. Unlike consumer staples and food, where private label is a real issue, in general private label is relatively underdeveloped in these categories, and I don't think it becomes more developed unless we don't do our jobs as brand leaders. And if we do our job with innovation, if we do our job with brand…

Our last question comes from Bill Chappell with SunTrust. Please go ahead.

Hey, Bill.

Hi. Actually, this is Stephanie on for Bill. I just have a question on Yankee Candle, just kind of as you transition into that large retailer you announced last quarter. Maybe you could talk a little bit about that and maybe anything negative you got from some of your other retail partners. Just some color on that would be helpful. Thanks.

Look, first of all, I'm really proud of the Yankee Candle team. Hope Margala, who runs that business, is doing an outstanding job, as are the whole group up in Deerfield. And they're dealing with a very difficult challenge in their retail platform, and they've done it unbelievably well this year and we're coming to this point where we're starting to get the fruits of our labor benefiting them in the marketplace. So we've put a lot of work in the second quarter cleaning up the brand architecture, not just in the U.S. but also in Europe. And so that work is largely behind us now. We've established a true brand architecture within Yankee with Yankee Candle as the premium offering and Home Inspirations from Yankee as the value offering. It's not an opening price point position, but it's a value offering relative to Yankee. We want to put a Yankee Candle within arm's reach of every consumer in the United States. And so the primary focus on Yankee is putting Yankee Candle out there so that our consumers have the opportunity to experience this brand, and we're pushing to do that very broadly across mass channels, across specialty channels, through e-commerce, both within our own D2C site and through pure-play options as well. Our largest retailer, Walmart, took Yankee Candle in over the summer and it's doing really well. And so I think it's early days because we're coming into the peak consumption window, so that'll be the true test of how it's doing, but that move is the first step in a series of steps that we've taken. Obviously we've also bought two brands this year. We bought WoodWick; it's a multi-sensory platform of sound and fragrance, and then we've just bought Chesapeake, which is a completely different positioning from Yankee in more of a spa, sort of, sensory positioning. And those three brands together, along with Millefiori in Europe will create a brand portfolio that allows us to tackle what is a very big opportunity in Home Fragrance around the world. And so we're really excited about it. We believe that we can continue to renovate retail such that we outperformed in that segment. We're trying new things including this concept store and pop-up store in Soho that opens next week, this micro site that presents the new brand architecture and portfolio in a holistic way that is not specifically Yankee focused, but a total portfolio focused platform. And we're doing personalization in a way that's bigger and better in the fourth quarter than we've done previously. So I think there's lots of opportunity here ahead, and we'll work through all the challenges of operationalizing that as we move forward. But I think the team's done an excellent job of working through the reset this year and has the brand positioned to perform as we go into next. And we'll see how that all plays out.

This concludes our question-and-answer session. I will now turn the call back to Mr. Polk.

Wendy, can you just indulge me for one last-second.

Yes.

I know the folks that usually stick on these calls all the way to the end are my people, and so just a final thank you to my Newell colleagues, particularly for your perseverance in part through this call, but also through the third quarter and your drive and determination to continue to realize the ambition we've set out for the company. Let's all stay focused in the here and now while being uncompromising in our drive to reach our long-term potential. It's all still out there for us to play for and we need to kind of put ourselves in the position to do just that. So again, thank you and thank you, Wendy, for your help with the conference.

This concludes our question-and-answer session. I will now turn the call back to Mr. Polk for closing remarks.

Wendy. I just made my closing remarks, so I think we're all set.