{
  "docId": "019dd923-622c-750b-8b98-c3e7825e1948",
  "docSlug": "8b6a62f49fba",
  "documentTitle": "Church & Dwight Co., Inc. (CHD)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Ben Axler",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2019-09-05 00:00:00",
  "orientation": "landscape",
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  "pageNumber": 64,
  "pageCount": 92,
  "prevPage": 63,
  "nextPage": 65,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "balanced",
  "nDataPoints": 81,
  "notes": "The slide uses a table to contrast reported income with related party expenses, suggesting potential manipulation of EBITDA.",
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  "components": [
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      "kind": "callout",
      "text": "We observe that CHD’s related purchases from Armand mysteriously dropped to a 6.5yr low at $14.6m and management fees (benefiting EBITDA through a reduction to SG&A) has increased even while underlying performance from these entities doesn’t appear to be improving.",
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      "kind": "paragraph",
      "text": "The Company holds a 50% ownership interest in both Armand and ArmaKleen, and reports income from these equity positions through the income statement. We will lay out the case why we believe it must be consolidated...",
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      "kind": "source-note",
      "text": "Source: CHD. 1) We believe Armand sells into the animal feed/dairy market... 2) During 2015... 3) Billed by CHD, and recorded as a reduction of SG&A...",
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      "kind": "table",
      "text": "Table showing Equity Income, Distributions, Capital Return, Related Purchases, Related Sales, and Admin Billing from 2011 to LTM 6/30/19.",
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      "kind": "title",
      "text": "Potentially Shady Related Party Transactions",
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      "evidence": "The overall thesis implies that failing to act on Spruce Point's analysis could lead to significant financial losses for investors holding onto CHD stock.",
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      "objective": "The cost of not selling CHD",
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