INTERVIEW-Fortune Brands CEO bullish on drinks, housing

Wed May 14, 2008 11:05pm BST
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* Sees domestic spirits revs rising in mid single digits

* Spirits sales abroad should be up in high single digits

* Acquisitions would likely come in home, spirits units

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By Martinne Geller

NEW YORK (Reuters) - Despite a faltering U.S. economy, the new chief executive of Fortune Brands Inc (FO.N: Quote, Profile, Research) is optimistic about the fundamental health of his company's business, which sells consumer products ranging from bourbon and golf balls to windows and faucets.

Bruce Carbonari, who rose to the top job on Jan. 1, told Reuters on Wednesday that revenues in the company's spirits business, which includes Jim Beam bourbon, Sauza tequila and Courvoisier cognac, should outperform the industry this year, both at home and abroad.

Domestic spirits revenue should increase in the mid single digits in percentage terms, while industry sales may rise at the low end of its historical range of 2 percent to 4 percent, Carbonari, the former president and chief operating officer, said in an interview.

Carbonari, like the heads of other alcoholic drink makers, said sales have been affected by the weak U.S. economy as cash-strapped consumers make fewer trips to restaurants and bars. Drinkers are still treating themselves to an "affordable luxury," but are drinking at home more often.  Continued...