Ruling Dismisses Majority of Jury Verdict
GOLDEN VALLEY, Minn.--(BUSINESS WIRE)--Jan. 17, 2007--Pentair,
Inc. (NYSE:PNR) announced that the majority of the jury verdict
against its subsidiary, Essef Corporation (Essef), was reversed today.
The ruling dismisses the claims against Essef for lost enterprise
value ($135 million) as a matter of law, and grants a new trial on the
lost profits claim ($47.6 million). The ruling does not affect the
verdict of $10.4 million for out of pocket expenses.
"We are gratified that our concerns about the jury verdict have
been addressed by the court," said Randall J. Hogan, Pentair chairman
and chief executive officer.
As previously disclosed, the case arises out of an outbreak of
Legionnaire's Disease on the Horizon cruise ship in 1994. Celebrity
sued Essef and certain of its subsidiaries prior to Pentair's
acquisition of Essef in August 1999. Celebrity alleged that it
sustained damages resulting from the outbreak, seeking attorney fees
and costs for prior litigation as well as out-of-pocket losses, lost
profits and loss of business enterprise value. In June 2006, a jury
awarded Celebrity $193 million, excluding interest and attorney's
fees.
The Company is studying the opinion, which was released this
afternoon.
About Pentair, Inc.
Pentair (www.pentair.com) is a diversified operating company
headquartered in Minnesota. Its Water Group is a global leader in
providing innovative products and systems used worldwide in the
movement, treatment, storage and enjoyment of water. Pentair's
Enclosures Group is a leader in the global enclosures market,
designing and manufacturing standard, modified, and custom enclosures
that house and protect sensitive electronics and electrical
components. With 2005 revenues of $2.95 billion, Pentair employs
approximately 15,000 people worldwide.
Caution concerning forward-looking statements
Any statements made about the company's anticipated financial
results are forward-looking statements subject to risks and
uncertainties such as whether the Company's post-trial motions and
appeals will be successful, and the amount of any pre-judgment
interest and attorneys which may be awarded. Forward-looking
statements included herein are made as of the date hereof, and the
company undertakes no obligation to update publicly such statements to
reflect subsequent events or circumstances. Actual results could
differ materially from anticipated results.
CONTACT: Pentair
Rachael Jarosh, 763-656-5280
Communications
E-mail: rachael.jarosh@pentair.com
SOURCE: Pentair, Inc.