What Spectrum Brands Holdings, Inc. told the SEC could break it.

A large percentage of the products Spectrum sells in the U.S. are manufactured in or sourced from China, and substantially all Home & Personal Care (HPC) segment products are made by third-party suppliers in the APAC region (majority China). This concentrates exposure to U.S. tariffs, retaliatory tariffs and PRC government intervention in supplier operations. The impact is already realized: during FY2025 the HPC business temporarily paused Chinese imports into the U.S., and Home & Garden/HPC net sales fell partly due to tariff-driven pricing negotiations and supply disruptions, with adjusted EBITDA pressured by tariffs (partially offset by tariff-related price increases). The PRC government may intervene with suppliers at any time. A material, realized trade-policy/China-sourcing exposure.

“A large percentage of our products that we sell in the U.S. are manufactured in or sourced from China.”

Spectrum's ability to meet customer needs and hit cost targets depends on maintaining key manufacturing and supply arrangements, including certain sole-supplier or sole-manufacturing-plant arrangements. Loss or disruption of such arrangements — labor disputes/shortages, loss or impairment of a key manufacturing site (e.g., its owned Noblesville IN glass-aquarium plant, Blacksburg VA, Bridgeton MO, or Melle Germany pet/aquatics facilities), or IT/data disruption — could materially harm the business. A sole-source/single-plant manufacturing dependence (suppliers/plants not individually named, so a risk rather than a named edge).

“Our ability to meet our customers' needs and achieve cost targets depends on our ability to maintain key manufacturing and supply arrangements, including execution of supply chain optimizations and certain sole supplier or sole manufacturing plant arrangements.”