Preparing to Cook is More than Half the FUN!

Lids Off^TM Jar Opener Takes Off!
In its second year, more than one million US households now have a Black & Decker^® Lids Off^TM Jar Opener. The combination of significant retailer support, great giftability, and a consumer-friendly product with strong advertising support, was the winning formula for huge market success in 2004. With so little penetration in households and such a broad consumer need for this product, Applica continues to be excited about the prospects of Lids Off^TM Jar Opener and product extensions in 2005 and beyond.

Core Food Preparation
Contributing to Applica's significant growth in kitchen appliances was the performance of the core categories in food preparation. Of particular note was the successful product launches in the blender category with offerings in plastic base units under the Crush Master^TM sub-brand and a line of casted, brushed metal blenders. Point-of-sale performance in both product lines exceeded expectations.

Another area of significant growth has been our FreshGuard^TM food storage business. Applica's sales growth has occurred not only in the appliance but, due to an installed base of units, our sales in the replacement bags have been significant.  Category growth for food storage appliances continues to outpace the industry as household penetration levels remain low, which bodes well for the future prospects of this category.

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