Eaton Corporation To Sell Navy Controls Business Unit to DRS Technologies
CLEVELAND--May 28, 2002--Diversified industrial manufacturer Eaton Corporation today said it has signed a definitive agreement with DRS Technologies, Inc. to sell its Navy Controls business to DRS for $92.2 million cash. The two companies expect the transaction to close by June 30, 2002.Navy Controls, which manufactures shipboard integrated electrical power distribution and control systems for the U.S. Navy, has 600 employees at facilities in Milwaukee, Wisconsin, and Danbury, Connecticut.
Eaton said it made the decision to sell the Navy Controls business because it does not fit the company's long term strategic plan. "Navy Controls is a solid business, but its product lines and customer base are very different from Eaton's mainstream electrical power distribution business," said Randy Carson, senior vice president and group executive. "DRS Technologies represents a much better fit for Navy Controls and, in our judgment, will provide greater opportunities for this business in the future."
Eaton Corporation is a global $7.3 billion diversified industrial manufacturer that is a leader in fluid power systems; electrical power quality, distribution and control; automotive engine air management and fuel economy; and intelligent truck systems for fuel economy and safety. Eaton has 48,000 employees and sells products in more than 50 countries. For more information, visit www.eaton.com
Editor's Note: A news release regarding this transaction is also being issued today by DRS Technologies, Inc.