TREVOSE, Pa. & MINNEAPOLIS--(BUSINESS WIRE)--June 30,
2008--Pentair, Inc. (NYSE:PNR) and GE Water & Process Technologies, a
unit of the General Electric Company (NYSE:GE), today announced a
joint venture to combine their respective global water softener and
residential water filtration businesses. With GE's and Pentair's
industry-leading technologies and Pentair's expansive distribution
channels, the joint venture will provide reliable and affordable water
treatment solutions to meet growing needs.
With the formation of this joint venture, Pentair and GE will be
better positioned to serve residential customers with industry-leading
technical applications in the areas of water conditioning, whole house
filtration, point of use water management and water sustainability,
said Randall J. Hogan, Pentair chairman and chief executive officer.
Further, this joint venture advances Pentair's current residential
filtration strategy for growth. We believe we will accelerate revenue
growth by selling GE's existing residential conditioning and treatment
products through Pentair's sales channels, and by gaining access to
some of GE's current and emerging filtration technologies.
Under the terms of the agreement, Pentair has an 80 percent
ownership stake and GE has a 20 percent stake of the joint venture -
Pentair Residential Filtration. In 2007, the combined residential and
commercial net sales of the parent companies were approximately $450
million USD.
We are excited about the growth opportunities this unique
partnership brings our business, said Jeff Garwood, president and
CEO, GE Water & Process Technologies. Partnerships such as this one
create an excellent opportunity to develop and introduce new
technologies that will meet the needs of both developed and emerging
markets. It is also another example of how GE continues to partner
with industry leaders to drive growth while meeting the world's most
pressing water needs.
Pentair Residential Filtration will serve as the primary sales
channel for Pentair's and GE's respective global residential water
filtration and water softener businesses. It will also serve as the
manufacturing arm for residential and commercial tanks, valves, and
some limited filtration products for the parent companies. Pentair and
GE will continue to serve existing municipal, commercial and
industrial water treatment customers separately, sourcing select
products from the joint venture as needed. Pentair Residential
Filtration will bring together approximately 1,100 employees from
Pentair and GE in 15 facilities in the United States, Europe and
China.
Pentair also said it will share additional information regarding
the joint venture when it announces its second quarter results on July
22, 2008. The company will hold a conference call with investors at 12
p.m. Eastern Daylight Time (EDT) that day. To participate in Pentair's
second quarter earnings conference call, please dial 866-271-5991 or
706-758-4966 prior to 12 p.m. EDT. Please inform the operator you are
calling to participate in the Pentair investor call. A replay of the
conference call will be available for investors from 4 p.m. EDT on
July 22 through midnight on July 30 by dialing 800-642-1687 or
706-645-9291. The access code for the replay is 42427868. Related
presentation materials will be posted to the Investors section of
the company's website (www.pentair.com) prior to the conference call,
and will available there until July 22, 2009.
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 the company's ability to enter into definitive
agreements for and complete any potential joint venture, including
obtaining regulatory approvals, and the risk that expected synergies
may not be fully realized or may take longer to realize than expected,
as well as other risk factors set forth in our SEC filings.
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.
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
Technical Products Group is a leader in the global enclosures and
thermal management markets, designing and manufacturing thermal
management products and standard, modified, and custom enclosures that
house and protect sensitive electronics and electrical components.
With 2007 revenues of $3.30 billion, Pentair employs approximately
16,000 people worldwide.
ABOUT GE WATER & PROCESS TECHNOLOGIES
A world leader in water and wastewater treatment and process
systems, GE Water & Process Technologies, a unit of General Electric
Company (NYSE: GE), offers the broadest portfolio of global expertise
and local capabilities. We invest in forward-looking water and process
technologies, leveraging the best practices of GE's ecomagination, to
help customers balance environmental and economic goals. Our
innovative team develops unique partnerships and delivers reliable,
long-term solutions for communities, governments and industries that
maximize water and energy resources. www.ge.com/water.
MULTIMEDIA AVAILABLE:
http://www.businesswire.com/cgi-bin/mmg.cgi?eid=5720461
CONTACT: Pentair
Todd Gleason, 763-656-5570
Vice President, Investor Relations
todd.gleason@pentair.com
or
Rachael Jarosh, 763-656-5280
Vice President, Corp. Communications
rachael.jarosh@pentair.com
or
GE Water & Process Technologies
Ellen Mellody, +1-215-989-3025
Global Communications & Media Relations Manager
ellen.mellody@ge.com
SOURCE: Pentair, Inc.