Jan. 29--Consumer products giant Newell Rubbermaid swung to a $256.7 million loss in the fourth quarter, largely based on falling sales stemming from the global economic slump and a write-down of assets in its tools and office products business units.

The Sandy Springs-based company also said it reduced its quarterly dividend payout by half, to 10 cents per share.

However, CEO Mark Ketchum said in an interview that the company is not planning further job cuts beyond the 800 to 1,000 announced last month.

The quarterly loss amounted to 93 cents a share. In the comparable 2007 quarter, Newell reported a profit of $105.4 million, or 38 cents a share.

Wall Street expected a profit of 8 cents per share in the most recent quarter.

Sales fell to $1.45 billion from $1.64 billion.

For the full year in 2008 the company, whose units include Graco baby products and Parker pens, reported a loss of $52.3 million, or 19 cents per share, compared with a profit of $467.1 million, or $1.69 per share, in 2007.

"Our results reflect the dramatic downturn in the global economy during the last two months of 2008," Ketchum said in a statement. "Weakness in consumer spending, compounded by inventory reductions at retail, negatively impacted both sales and productivity."

This year isn't likely to be any easier: The company forecasts a full-year net sales decline of 10 percent to 15 percent, mainly because of the downturn of the U.S. economy.

Consumer credit, which has been a mainstay for shoppers' continual spending, has been curtailed. What's more, the amount of debt consumers carry is likely to shrink as Americans try to strengthen their finances, company officials believe.

The expectations explain some of the defensive measures the company has taken in recent weeks.

Last month it announced plans to cut between 8 percent and 10 percent of its professional staff and managerial employees -- or 800 to 1,000 jobs -- to cut expenses.

The cut in the dividend payout will free up an additional $120 million in cash flow this year and maintain the company's credit rating, he said.

The company also has realigned its business units, shrinking to 13 from 16.

All these moves are designed to get the company positioned to react quickly to changing market events.

"Our mantra for 2009 is flexibility and adaptability," Ketchum said.

Asked if the $819 billion economic stimulus package approved by the U.S. House of Representatives on Wednesday would help his business, Ketchum said it's too early to tell. Some elements of the plan, he said, were not necessarily going to stimulate the economy because they were more geared toward social spending.

"I'm in favor of passage of a stimulus plan but I want it to stimulate the economy," he said.

Despite Newell's sour results, the company, whose shares have fallen around 60 percent during the last 12 months, has a few bright spots.

For example, as more Americans eat at home, Newell's food business -- particularly storage containers -- is seeing an uptick. Similarly, the baby and parenting business remains strong because birth rates have held up, Ketchum said.

Petroleum prices have also decreased, lowering the cost of materials used in some of its products such as rubber garbage cans and plastic storage boxes.

And globally, sales in Asia, Latin America, Eastern Europe and the Middle East have held up even as the U.S. has slowed.

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