American Brands

Fortune Brands

Company type	Public
Industry	Conglomerate
Founded	1969
Defunct	2011
Fate	Divided into Fortune Brands Home & Security and Beam Inc.
Headquarters	Deerfield, Illinois , United States
Key people	Bruce A. Carbonari (Chairman and CEO)
Products	Spirits, home furnishings, hardware, golf equipment
Number of employees	24,248 (2009)

Fortune Brands originated as a holding company established in 1969 under the name American Brands, underwent a rebranding in 1997, and was ultimately divided in 2011. Based in Deerfield, Illinois, the firm oversaw a variety of product categories. On December 8, 2010, it declared a strategic realignment to concentrate on its alcoholic beverage segment, intending to divest or spin off its home furnishings, hardware, and golf businesses. The company sold its Titleist and FootJoy lines to Fila.

On October 3, 2011, Fortune Brands separated into two publicly listed entities: Fortune Brands Home & Security and Beam Inc.. In January 2014, Osaka-based Suntory agreed to purchase Beam Inc. for approximately $13.6 billion, completing the $16 billion transaction by April 30, 2014. Beam became a subsidiary operating as Beam Suntory and has been part of Suntory Global Spirits since 2024.

Among its top leadership was Bruce A. Carbonari serving as chairman and CEO. Financial data from 2009 reported revenues of $6.695 billion, operating profits of $505.2 million, net earnings of $242.8 million, total assets valued at $12.37 billion, and equity amounting to $5.106 billion, supported by a global workforce numbering 24,248 employees.

Before its strategic pivot and eventual separation, Fortune Brands’ business approach focused on managing a diversified range of consumer products within the liquor and home security sectors.

History

The origins trace back to the founding of the American Tobacco Company in 1890. Confronted with increasing health-related concerns affecting tobacco in the late 1960s, company leadership diversified operations and rebranded as American Brands, Inc. The tobacco segment was sold to Brown & Williamson in 1994.

Tobacco

The tobacco division was initially part of American Brands but was divested to British American Tobacco in 1994.

Insurance

American Brands acquired Franklin Life Insurance in 1979 but later sold it to American General in 1994.

ACCO

In 1987, American Brands expanded by acquiring ACCO, a holding company encompassing various office supply subsidiaries. It merged ACCO with stapler manufacturer Swingline, Inc., which it had purchased in 1970. In 2005, ACCO was spun off to shareholders and subsequently merged with General Binding Corporation, creating ACCO Brands.

Golf

The golf division was represented by the Acushnet Company, acquired in 1976, which produced golf equipment such as balls, shoes, and clubs under brands including Pinnacle Golf, Titleist, FootJoy, and Cobra Golf. The original Acushnet Rubber division was sold off in 1985. Cobra Golf was sold to Puma AG in 2010, while the remaining golf brands were divested to Fila in 2011.

Home and hardware

Generating over $4 billion annually, the home and hardware segment included brands like Waterloo Industries; Moen faucets; Fypon; Therma-Tru doors; Simonton windows; as well as security brands such as Master Lock, American Lock, and Vista Window Company. Following corporate restructuring, many of these assets were incorporated into Fortune Brands Home & Security.

Spirits

Fortune Brands developed a spirits portfolio anchored by Jim Beam, acquired in 1968. In 2005, it collaborated with French firm Pernod Ricard to jointly acquire more than 25 spirits and wine brands from British holding company Allied Domecq. In 2007, Fortune Brands sold its wine division to Constellation Brands for $885 million USD; this acquisition included prominent labels like Clos du Bois and increased Constellation’s annual "super-premium" wine production capacity by 2.6 million cases.

After divesting other business units, the remaining spirits operations transformed into what became known as Beam Inc..