Reckitt Benckiser Expects Sales Hit From Tornado Strike on Warehouse

By Michael Susin

Reckitt Benckiser said nutrition sales are likely to be hurt in the short term after a tornado struck its subsidiary's warehouse in Mount Vernon, Ind.

The consumer-goods company--which houses Dettol, Harpic and Durex among its brands--on Wednesday said the warehouse, a key logistic facility for its infant-formula producer Mead Johnson, sustained significant damage when the tornado hit last week and is currently not operational.

The company said it diverted all inbound deliveries to other warehouse facilities. It expects its insurance to largely offset the impact on earnings.

"Whilst nutrition sales will likely be affected in the short term, we are working closely with all our stakeholders including customers and suppliers, to minimize disruption, by leveraging our global supply chain and managing inventory at our other North American Nutrition warehouses and held by our retail partners," Reckitt said.

Reckitt will provide a further update at its half year report on July 24.

Write to Michael Susin at michael.susin@wsj.com

(END) Dow Jones Newswires

July 17, 2024 02:42 ET (06:42 GMT)

Copyright (c) 2024 Dow Jones & Company, Inc.