Defendant Name:
Newell Brands Inc.
Defendant Type:
Public Company
SIC Code:
3089
CUSIP:
65122910
Document Reference:
33-11251
Document Details
Legal Case Name
In the Matter of Newell Brands Inc. and Michael B. Polk
Document Name
Order Instituting Cease-and-Desist Proceedings Pursuant to Section 8A of the Securities Act of 1933 and Section 21C of the Securities Exchange Act of 1934, Making Finds, and Imposing a Cease-and-Desist Order
Document Date
29-Sep-2023
Document Format
Administrative Proceeding
Allegation Type
Issuer Reporting and Disclosure
Document Summary
On September 29, 2023, the SEC instituted settled cease-and-desist proceedings against Newell Brands Inc. and Michael B. Polk, stating: "This matter involves Newell’s misleading statements regarding non-GAAP
financial measures that it called “core sales growth” and “core sales,” which Newell described in
its earnings releases as giving investors “a more complete understanding of underlying sales
trends.” Newell explained that the core sales measure would allow investors to understand “sales
on a consistent basis” by removing from its “net sales” measure the effects of acquisitions,
divestitures, and foreign currency fluctuations. Newell disclosed its year-over-year core sales
growth rate as part of the headline of its quarterly earnings releases. Newell also provided
investors guidance about its expected core sales growth rate, and analysts followed Newell’s
publicly announced core sales growth."
Disgorgement & Penalty Information
Resolutions
Cease and Desist Order
Cooperation Before the Resolution
Remedial Acts or Efforts Before the Resolution
Fair Funds
Monetary Penalties:
Civil Penalty
Individual:
$12,500,000.00
Shared:
Other Defendants in Action: