Sales volume grow 6.1% at Polymer Group in FY'12

Selling, general and administrative expenses were $38.4 million for the fourth quarter of 2012 compared with $36.1 million for the fourth quarter of 2011.  The year-over-year increase was primarily driven by higher short-term incentive compensation, which included a discretionary decision by the Board of Directors to pay an increased amount for the fiscal 2012 plan year that resulted in an incremental $1.9 million of expense in the fourth quarter. 

Volume-related expenses such as shipping and handling as well as selling and marketing costs were also higher year-over-year.  These amounts were partially offset by cost reduction initiatives implemented during the year, which reduced employee-related expenses.

Special charges were $6.7 million for the fourth quarter of 2012 and included $3.5 million related to our internal redesign and restructuring of global operations initiative as well as $2.1 million related to our plant realignment cost initiative.  Special charges were $11.9 million for the fourth quarter of 2011 and included $9.3 million related to goodwill and asset impairment charges.  Other costs included  merger related expenses and other cost related to the flood at our Colombia facility.

Polymer Group