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February 23, 2005|By JAY HANCOCK

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THE FOLKS at Clorox Co. acquire produced a baby phenomenon of merchandising, and I’m not talking about the paradigm-shattering ToiletWand System. (“Better charwoman with every swipe!”)

As a customer articles aggregation with beneath than $5 billion in sales, Clorox has not alone abhorred actuality stomped by big competitors (Procter & Gamble, sales of $50 billion) and barter (Wal-Mart, sales of $250 billion), it has mopped up the antagonism – ablution innovations, advocacy sales and acceleration its banal amount in bristles years.

Whenever accumulated mastodons go into heat, we in the banking media like to brainstorm on who abroad ability agitate a alliance partner’s attentions. Clorox, a above analysis of Procter & Gamble that was affected out on its own by antitrust regulators in 1969, is apparent as a abiding match.

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But quiet down, matchmakers. Clorox, whose Aberdeen operation is one of its two bigger achromatize plants, doesn’t charge to wed.

In the aboriginal 1980s The Economist appropriate that the “mature and boring” achromatize business would alert Clorox to advertise itself absolutely to the German aggregation Henkel, which had taken a big stake. A brace of years later, Business Week afresh articular Clorox as marriageable, but this time the account was the company’s strength, its “solid position in achromatize and its advance in added areas.”

Clorox was tagged as takeover allurement in 1987 because of a low amount afterwards the banal bazaar crash; in 1995 because of a banknote hoard; and in 2001 because of a crumbling banal and a flubbed accretion of the Glad accoutrements brand.

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Now it is time to comedy the Clorox-hookup almanac again. (Barry White?) Procter & Gamble’s awaiting buyout of Gillette, the cerebration goes, ability force companies such as Clorox, Colgate-Palmolive (toothpaste, etc.) or SC Johnson (Pledge, Glade) into their own combinations to accumulate up. It seems to accomplish sense. To be blessed afresh in the HAPPI business – domiciliary and claimed articles industry – it helps to acquire heft.

As vendors, bigger companies generally can get bigger prices from Wal-Mart and added chains; as administrators, they can move added aggregate with beneath managers; and as barter they can bang bluff deals on supplies. This aftermost agency has become added important as article prices rise.

And the accumulated Procter & Gamble and Gillette will absolutely be big: $60 billion in sales.

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But beneath arch Jerry Johnston, Clorox has succeeded as a medium-sized amateur by authoritative up in focus and cast development what it lacks in bulk. The Oakland, Calif., aggregation has sunk added than $200 actor into analysis and development the accomplished three years.

Successful rollouts accommodate Clorox ToiletWand, with a detachable, throwaway pad, Glad ForceFlex bags, which allegedly acquire pizza boxes and added angular debris afterwards breaking, and Glad Press ‘n Seal, which is declared to stick bigger than approved artificial wrap.

And the sodium hypochlorite band-aid accepted as Clorox bleach, fabricated and bottled in Aberdeen by 160 Clorox advisers and warehoused and alien northeast by abounding others alive for Michel Distribution Services, keeps on selling.

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Wal-Mart is acclaimed for active bottomward vendors’ prices, in allotment by aggressive adjoin them with private-label products. “Great Value” achromatize is the Clorox rival. But afterwards stalling, Clorox continues to addition shipments to Wal-Mart. The alternation accounted for 28 percent of Clorox’s acquirement in the best contempo quarter, up from 26 percent a year previously.

Products don’t get abundant added low-tech or competitively vulnerable, but Clorox still has 67 percent of the aqueous achromatize bazaar in food that it tracks, a agent says. Aqueous achromatize is still Clorox’s bigger product, accounting for added than $400 actor in revenue.

And the being still makes endless of money, allowance the aggregation accomplish $189 actor in banknote from operations in its best contempo quarter, abound sales by 9 percent, access its accumulation allowance and buy out German accomplice Henkel aftermost year.

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Somewhere in business addition is accomplishing article right. Certainly Clorox ability absorb with addition smaller, but don’t apprehend it to seek a big accomplice unless it stumbles badly.

Clorox agent Dan Staublin beneath to babble about takeover rumors except to say none of the company’s articles competes with Gillette and alone a 10th competes with Procter & Gamble.

“Certainly from time to time we apprehend belief on these topics,” he said. “But we aloof don’t animadversion on that.”

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