Business briefs

Electrical Apparatus, Aug 2007 by Jones, Kevin

Fasco operations being sold to Regal Beloit

The residential and commercial operations of Fasco, along with the stock of its Asian and Pacific operations, are being sold by Tecumseh Products Co. to motor manufacturer Regal Beloit of Beloit, Wis., for $220 million in cash. The acquisition includes the Fasco businesses that make and market motors and blowers for alternative fuel systems, water heaters, and HVAC systems. Fasco's operations are based in Eaton Rapids, Mich., and Tecumseh Products is based in Tecumseh, Mich.

A.O. Smith in China boiler venture

Milwaukee-based motor and water heater manufacturer A.O. Smith has signed an agreement with Fagor Electrodomésticos of Arrásate, Spain, to manufacture residential wall-hung gas combination boilers in China.

The new company, Fagor-A.O. Smith (Nanjing) Combi Boiler Co. Ltd., will operate out of a facility near A.O. Smith's existing water heater operations in Nanjing. The plant will manufacture what are commonly called "combi boilers," which provide both potable water and space heating for residences.

The venture will initially produce the units using Fagor's existing designs, but the partners plan eventually to design and develop new products for the China market.

Tyco Electronics gains formal independence

Tyco Electronics in June became an independent, publicly owned company after completing its split from Tyco International, the industrial conglomerate whose CEO and CFO, in a high-profile trial, were convicted in 2005 of looting some $150 million from the company.

Among other things, CEO L. Dennis Kozlowski had spent $2 million in Tyco's money on a birthday bash for his wife and $6,000 on a shower curtain.

The now fully independent Tyco Electronics is a $12.8 billion global provider of electronic components, network products, and wireless sytems. It is headquartered in Berwyn, Pa., and its three operating segments are Electronic Components, Network Solutions, and Wireless Systems.

Canadian substation contract for ABB

Swiss industrial manufacturer ABB has received an order worth more than $50 million (Canadian) to supply two new substations and upgrade four others for Manitoba Hydro. The installations are part of the Wuskwatim Transmission Stations complex in northern Manitoba. The substations will help deliver power produced by a new 200 MW generating station. Equipment and systems for the project are coming from ABB units in Canada, Sweden, Switzerland, and the U.S. The subations are scheduled to go on line in 2012.

Figures show a rebound in manufacturing

The U.S. Census Bureau recently released figures that suggest the manufacturing sector and economy are rebounding. Demand for non-durables rose 1 .6% in May, compared with a flat reading for April. Prices for raw materials rose, but at a slower rate than in May. Export orders grew for the fifty-fifth consecutive month. Industries that reported export growth in June included miscellaneous manufacturing, machinery, fabricated metals, chemicals, and transportation equipment.

Franklin Electric buys African pump maker

Underwater motor maker Franklin Electric Co. of Bluffton, Ind., has bought South African pump maker Pump Brands Pty. Ltd. Terms were not disclosed. Pump Brands sells pump systems for the irrigation, residential, light commercial, industrial, and municipal markets in Africa. Sales for 2006 were about $32 million.

Emerson wins China chemical plant contract

A unit of St. Louis-based Emerson Electric Co. has won a contract to digitally automate a BP chemical plant in China. Emerson Process Management will manage the automation project at the BP Zhuhai facility by networking smart devices to gather data. The data is used to fix equipment and process problems before they interrupt production, the Associated Press reported. The plant specializes in purified terephthalic acid, an ingredient in polyester fiber, resin, and film.

Edited by Kevin Jones