ORANGE, Conn.--(BUSINESS WIRE)--Sept. 20, 2002--Hubbell Incorporated (NYSE:HUBA, HUBB) today announced that it has signed a definitive agreement to acquire the assets of the pole line hardware business of Cooper Power Systems, Inc., a subsidiary of Cooper Industries, Ltd., (NYSE:CBE).
The purchase price is $8.7 million in cash subject to adjustment at the closing. The transaction is expected to be completed in approximately sixty days.
Pole line hardware products are used in the construction and maintenance of electric utility transmission and distribution lines. They include anchors and accessories, fasteners, pole and crossarm accessories, insulator pins, mounting brackets and related components. Hubbell will purchase product inventories and materials, production equipment, tool and dies and related equipment. The production facility and its real estate are not included.
Tim Powers, President and Chief Executive Officer of Hubbell, cited the agreement's fit within the Company's strategic plan. "Electric utility products are a core business for the Company, and a market to which Hubbell Power Systems segment is a leading supplier. Once completed, this transaction will broaden both our product offering and our opportunities in this important market."
"Hubbell's focus on strategic acquisitions is achieving its goals," Powers noted. "In eleven months we've added more than $500 million in annualized revenues that are immediately accretive to earnings. At the same time, we've continued our programs on schedule to reduce costs and increase asset efficiency throughout the Company to return Hubbell to its historic level of profitability."
Certain statements contained herein may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve numerous assumptions, known and unknown risks, uncertainties and other factors which may cause actual and future performance or achievements of the Company to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. Such factors include: achieving sales levels to fulfill revenue expectations; unexpected costs or charges, certain of which may be outside the control of the Company; general economic and business conditions; and competition.
Hubbell Incorporated is an international manufacturer of quality electrical and electronic products for commercial, industrial, residential, utility, and telecommunications markets. With $1.3 billion in annual revenues in 2001, Hubbell Incorporated operates manufacturing facilities in North America, Puerto Rico, Mexico, Italy, Switzerland, and the United Kingdom, participates in a joint venture in Taiwan, and maintains sales offices in Singapore, Hong Kong, South Korea, People's Republic of China, and the Middle East. The corporate headquarters is located in Orange, CT.CONTACT:
Hubbell Incorporated, Orange
Thomas R. Conlin, 203/799-4100