|Cargill Acquires EnvirotempTM FRTM Dielectric Fluid Business from Cooper Industries|
MINNEAPOLIS and WAUKESHA, Wis., June 19, 2012 /PRNewswire/ -- Cargill and Cooper Power Systems, Inc., announced today Cargill has purchased the global Envirotemp FR3 fluid business and brand from Milwaukee-based Cooper Power Systems, a subsidiary of Cooper Industries plc (CBE) . Cargill currently manufactures the patented, industry leading FR3 renewable dielectric fluid made from vegetable oil that is used in a wide range of applications for transformers and other electrical equipment, benefitting performance, safety, and the environment.
"Having pioneered the natural ester transformer oil market, Cooper Power Systems has significant practical experience with the performance and sustainability advantages of FR3," said Mark Thurman, president, Cooper Power Systems. "We expect this market to continue to experience extremely strong growth. We intend to remain at the forefront of innovative engineering design that utilizes these advantages moving forward."
"We have a proven track record of manufacturing FR3 fluid as a supplier to Cooper Power Systems," said Kurtis Miller, president, Cargill Industrial Oils & Lubricants (IOL). "Now, as a marketer and manufacturer, we will focus on growing the business with other customers seeking a high-performance, renewable fluid. With expertise in the chemistry and applications of renewable oils, and as an independent supplier with world class supply chain capabilities, we will work closely with electrical utility and transformer customers to increase usage of natural, ester-based FR3 fluid."
"Cooper Power Systems remains committed to manufacturing innovative power systems solutions that strengthen the grid and have a favorable environmental impact," Thurman said, "We are pleased to complete this transaction with Cargill. It is a natural progression for the FR3 fluid business that will allow each company to leverage their core strengths to better serve our valued utility customers and the industry."
A revolutionary product released to market in 1998, Envirotemp™ FR3™ fluid quickly gained global acceptance and has been recognized by the National Electrical Code® (NEC®), FM Global, Underwriters Laboratories (UL®), and the International Electrotechnical Commission (IEC). In 2008, FR3 fluid was approved and listed for the USDA BioPreferred® program, and in 2011 FERC approved FR3 fluid for Capital Treatment, which allows utilities to capitalize all costs incurred to retrofill a transformer with the bio-based dielectric coolant. As a result, demand for FR3 fluid has increased, and there are currently more than 450,000 transformers filled with FR3 fluid on six continents.
In 2004, Cargill's IOL business aligned with Cooper Power Systems and began manufacturing FR3 fluid exclusively for use in Cooper Power Systems products and for sale to other electrical equipment manufacturers around the world. Cargill has a global footprint of operations, currently manufacturing FR3 fluid at two locations in the United States and at one location in Brazil.
Cargill is an international producer and marketer of food, agricultural, financial and industrial products and services. Founded in 1865, the privately held company employs 139,000 people in 65 countries. Cargill helps customers succeed through collaboration and innovation, and is committed to applying its global knowledge and experience to help meet economic, environmental and social challenges wherever it does business. For more information, visit Cargill.com and its news center.
Cargill Industrial Oils & Lubricants is the largest Business Unit within Cargill that is exclusively focused on providing bio-based solutions to industrial markets, including dielectric fluid, paints, inks and coatings, lubricants, construction& oilfield chemicals, consumer products, flexible foam & other diverse applications in the chemical industry. Our strategy is to drive growth in sustainable vegetable-based products by delivering innovative customer solutions through a customer-focused approach. www.cargill.com/industrial-oils / www.cargill.com/fr3fluid.
About Cooper Power Systems
Cooper Power Systems, a subsidiary of Cooper Industries plc (CBE), and a global manufacturer and provider of world-class power delivery apparatus and solutions for the utility, commercial, and industrial markets. The company maintains a complete portfolio of products and services required to transform, protect, connect, and build out an electric power system backbone. Smart apparatus – voltage regulators, capacitors, reclosers, switchgear, smart sensors, and controls – integrated with enterprise level software and secure communications enable customers to increase productivity, optimize asset efficiency, improve system reliability, and reduce costs. Reliability and grid-point solutions include: Integrated Volt/VAR Control (IVVC), feeder, and substation automation systems. End-point solutions include: Advanced Metering Infrastructure (AMI) and Demand Response (DR). The company is a leading provider of engineering optimization and modeling tools. For more information, please visit http://www.cooperpower.com/.
About Cooper Industries
Cooper Industries plc (CBE) is a global electrical products manufacturer with 2011 revenues of $5.4 billion. Founded in 1833 Cooper's sustained success is attributable to a constant focus on innovation and evolving business practices, while maintaining the highest ethical standards and meeting customer needs. The Company has seven operating divisions with leading market positions and world-class products and brands, including Bussmann electrical and electronic fuses; Crouse-Hinds and CEAG explosion-proof electrical equipment; Halo and Metalux lighting fixtures; and Kyle and McGraw-Edison power systems products. With this broad range of products, Cooper is uniquely positioned for several long-term growth trends including the global infrastructure build-out, the need to improve the reliability and productivity of the electric grid, the demand for higher energy-efficient products and the need for improved electrical safety. In 2011 sixty-two percent of total sales were to customers in the industrial and utility end-markets and forty percent of total sales were to customers outside the United States. Cooper has manufacturing facilities in 23 countries as of 2011. For more information, visit the website at http://www.cooperindustries.com/.
Envirotemp™ and FR3™ are trademarks of Cargill, Incorporated.
UL® is a registered trademark of UL LLC.
National Electrical Code® and NEC® are registered trademarks of the National Fire Protection Association (NFPA).
BioPreferred® is a registered trademark of the United States Department of Agriculture.