Otis Elevator Acquires Majority Interest In United Arab Emirates Elevator Distributor

Business Wire, April 30, 2002

Business Editors

FARMINGTON, Conn.--(BUSINESS WIRE)--April 30 2002

Otis Elevator Company announced today that it has completed the purchase of 51 percent of United National Development Company (UNDC), Otis' agent and distributor in the United Arab Emirates. Otis is a unit of United Technologies Corp. (NYSE: UTX)

"United National Development Company has been an excellent distributor for Otis for more than 25 years," said Mario Abajo, President for Otis' South Europe Area. "The acquisition represents an additional opportunity for accelerated growth and further increases our presence in the Middle East market."

United National Development Company, with an employee base of 200 people and sales in 2001 of US$13 million, has 2,000 units under maintenance. The company sells 200 units per year, with Dubai, one of the seven emirates that constitute the United Arab Emirates, accounting for 120.

Under the agreement, Otis will have management control of the company, which will operate under the new name of Otis LLC, U.A.E.

Mohamed Rasheed, Managing Director for Otis' UAE, Kuwait and Arabian Gulf operations, said the concern is a well-managed company in a highly competitive market and is a perfect compliment to Otis.

"It operates effectively in a niche but very exciting market of the United Arab Emirates," Rasheed said. "This acquisition puts Otis in a more favorable position in the United Arab Emirates for new equipment sales and maintenance."

Otis Elevator Company, a wholly owned subsidiary of United Technologies Corporation, is the world's largest company in the manufacture, sale, installation and service of people moving products including elevators, escalators, shuttle systems and moving walkways. Otis, with headquarters in Farmington, Connecticut, offers its products and services in more than 200 countries and territories and maintains more than 1.2 million elevators and escalators worldwide.