Pentair acquires Oldham Saw Company

"Oldham Saw fits exceptionally well with our tools business, meets our strict acquisition criteria, and doubles our power tool accessory offering," said Randall J. Hogan, Pentair chairman and CEO. "Our strong cash flow performance during the first three quarters of 2002 will more than pay for both the Oldham acquisition and the previously announced purchase of Plymouth Products. The addition of these two excellent businesses will drive Pentair's sales in 2003, helping fulfill our commitment to growth while building additional value for shareholders."

Oldham Saw designs and manufactures router bits, circular saw blades, and related accessories for the do-it-yourself and professional power tool markets. Sold under the Oldham(R), Viper(R), United States Saw(R), and Hickory(TM) brand names, the company's products go to market via the home center, lumberyard, and hardware channels. Oldham Saw's private label products are sold to leading power tool manufacturers, including Pentair's Porter-Cable and Delta units. Oldham Saw holds the leading share in the router bit category, and holds the second place position in the circular saw blade category in North America. The company employs approximately 300 people in a manufacturing and office facility located in West Jefferson, N.C. Oldham's sales in the last 12 months were approximately $65 million.

"With Pentair's established position in tool markets, we will be able to immediately expand the existing distribution of Oldham Saw products, pursue entry into new markets, and build on our accessory offering," said Frank J. Feraco, president and chief operating officer of Pentair's Tools Group. "The addition of this highly respected accessory line means we can better meet the broad needs of our customers, and leverage our strength in multiple distribution channels."

According to Pentair, a strong and knowledgeable management team has guided Oldham Saw to a decade of excellent results. Oldham's management team will remain with the firm and will execute the strategic growth plans for accessories.

Pentair is a St. Paul-based manufacturer whose core businesses compete in tools, water technologies, and enclosures markets. The company employs 11,500 people in more than 50 locations around the world.

In related news, Pentair, Inc. completed the acquisition of water filtration products manufacturer, Plymouth Products, Inc., of Sheboygan, WI, from USF Consumer & Commercial WaterGroup, a unit of Vivendi Environnement. Pentair, which financed the acquisition through available lines of credit, expects the acquisition to be accretive to its earnings in the first full year of ownership.

Plymouth Products manufactures water filtration products used in residential, commercial, and industrial applications. The products include filter housings in a variety of sizes, replaceable cartridge elements available in a variety of filtration media, and filtration systems to treat drinking water for specific contaminants. The acquired business had net sales in 2001 in excess of $80.0 million.