CLEVELAND, April 2 /PRNewswire-FirstCall/ -- Parker Hannifin (NYSE: PH),
the global leader in motion and control technologies, today announced the
acquisition of Rectus AG, a leading manufacturer of quick disconnect couplings
and related products for pneumatic, hydraulic, medical and chemical processing
applications. The company employs approximately 380 people worldwide
including its headquarters in Nussdorf, Germany, its Nycoil operation in
Randleman, North Carolina, its TEMA operation in Skovde, Sweden and several
international sales offices. Rectus' revenues were approximately $115 million
in 2006. Earnings are expected to be accretive to Parker in the first full
year. Terms of the deal were not disclosed.
Rectus will operate within the Industrial North America and Industrial
International segments of Parker's global fluid connectors business. Bob
Bond, President of Parker's Fluid Connectors Group, said, "Rectus compliments
Parker's global presence in the pneumatic and hydraulic coupling market while
significantly strengthening our European position. Their highly regarded
products and systems are widely available through a select distribution
network, and add to our ability to provide customers with the industry's most
complete package of fluid handling technologies. We're eager to begin working
closely with our new colleagues and to jointly capture the many synergies we
have identified to the benefit of our combined customer base."
Rectus Owner and President Peter Klein added, "Parker and Rectus have
enjoyed a growing business relationship for nearly two decades, including
joint product development and private branding. The success of our past
collaboration, combined with Parker's record of successfully integrating
acquired companies, should provide our employees and customers with a strong
feeling of comfort going forward. We anticipate continued profitable growth
as part of the Parker worldwide organization."
With annual sales exceeding $9 billion, Parker Hannifin is the world's
leading diversified manufacturer of motion and control technologies and
systems, providing precision-engineered solutions for a wide variety of
commercial, mobile, industrial and aerospace markets. The company employs more
than 57,000 people in 43 countries around the world. Parker has increased its
annual dividends paid to shareholders for 50 consecutive years, among the top
five longest-running dividend-increase records in the S&P 500 index. For more
information, visit the company's web site at http://www.parker.com, or its
investor information site at http://www.phstock.com.
Forward-Looking Statements
Forward-looking statements contained in this document and other written
reports and oral statements are made based on known events and circumstances
at the time of release, and as such, are subject in the future to unforeseen
uncertainties and risks. All statements regarding future performance,
earnings projections, events or developments are forward-looking statements.
It is possible that the Company's future performance and earnings projections
of the Company may differ materially from current expectations, depending on
economic conditions within both its industrial and aerospace markets, and the
Company's ability to achieve and maintain anticipated benefits associated with
announced realignment activities, strategic initiatives to improve operating
margins and growth and innovation initiatives. A change in economic
conditions in individual markets may have a particularly volatile effect on
segment performance. Among other factors which may affect future performance
are: changes in business relationships with and purchases by or from major
customers or suppliers, including delays or cancellations in shipments, or
significant changes in financial condition, uncertainties surrounding timing,
successful completion or integration of acquisitions, threats associated with
and efforts to combat terrorism, competitive market conditions and resulting
effects on sales and pricing, increases in raw material costs that cannot be
recovered in product pricing, the Company's ability to manage costs related to
insurance and employee retirement and health care benefits, and global
economic factors, including manufacturing activity, air travel trends,
currency exchange rates, difficulties entering new markets and general
economic conditions such as interest rates. The Company undertakes no
obligation to update or publicly revise these forward-looking statements to
reflect events or circumstances that arise after the date of this Report.
SOURCE Parker Hannifin
04/02/2007
CONTACT: Media, Christopher M. Farage - Vice President, Corp.
Communications, +1-216-896-2750, cfarage@parker.com, or Financial Analysts,
Pamela Huggins, Vice President - Treasurer, +1-216-896-2240,
phuggins@parker.com, both of Parker Hannifin
