Textron Acquires ALSTOM Gears; Acquisition Establishes Preferred Supplier Relationship and Enhances Technological Offerings

Textron Inc. (NYSE:TXT) announced today the acquisition of U.K.-based ALSTOM Gears, part of ALSTOM, a leading supplier of components, systems and services to the world's energy and transport infrastructure markets. ALSTOM Gears manufactures and sells a range of gears and gearboxes, including high-speed epicyclic and parallel shaft gearboxes, for the industrial, rail and marine industries. The acquisition will be fully integrated into Textron's Power Transmission Products business, part of the company's Fluid & Power Systems Group. For the fiscal year-ended March 1999, ALSTOM Gear's revenues were approximately $10 million. Terms of the transaction were not disclosed.

"Textron's acquisition of ALSTOM Gears further strengthens our power transmission capabilities, adding a range of technologically advanced gearbox systems to our existing product brands, including David Brown, Cone Drive and Textron Industrial gears," said Textron Fluid & Power Systems President Bob Geckle. "Furthermore, the acquisition establishes a multi-year preferred supplier agreement for Textron with ALSTOM for power transmission products," he added.

With approximately $1 billion in annualized revenues and locations in 23 countries, Textron's Fluid & Power Systems Group is a leading manufacturer of mechanical power transmission, motion control, fluid handling and electronic systems and components. The Fluid & Power Systems Group is part of Textron's $4 billion Industrial Segment.

Textron Inc. (NYSE:TXT) is a $10 billion, global, multi-industry company with market-leading businesses in Aircraft, Automotive, Industrial and Finance. Textron has a workforce of over 64,000 employees and major manufacturing facilities in 23 countries. Textron is among Fortune magazine's "America's Most Admired Companies," and Industry Week magazine's "Best Managed Companies."

Gear Grinder rough and finish grinds gears in one setup

Built on mineral-filled cast polymer base, 6-axis GS:G2 produces gears from 1-12 in. dia, employs near net-shaped or hobbed gears, and requires 15 min of setup. Machine requires users to install proper tooling and enter part form, dress, and grind parameters into control in order to start-up new jobs, while menu-driven screens and Gear Smart(TM) Programming facilitate operation. Product features dual wheel machining and infinitely variable wheel speeds and feeds.

Sometimes a new machine is just destined to happen. Markets evolve, new technologies emerge, and an experienced machine tool builder seizes the opportunity. The result: the right machine, at the right time, at the right price.

Drake Manufacturing in Warren, OH is putting the finishing touches on a highly productive 6-axis gear grinder that will be grinding quality parts after just 15-minutes of setup. Best part is - like Drake's other gear and thread manufacturing machines - it's priced to provide high return on investment for the job shop owner as well as the large, automotive supplier.

Drake is best known for its line of CNC gear hobbers, thread and worm grinders, rack mills and bore grinders. The GS:G2 is a machine that blends the best of Drake's specialty grinding and gear making expertise.

As the basis of competition in the power transmission and speed reducer markets increasingly shifts toward quiet operation and efficiency, more and more manufacturers are calling for precision ground gears. The Drake GS:G2 enables manufacturers to source near net-shaped or hobbed gears from low-cost suppliers and still control the final product quality. "This is a high value-added grinder, that with minimal capital outlay, can help our customers remain globally competitive for years to come," said Stig Mowatt-Larssen, Drake's Manager of Research and Development.

A flexible grinder

The GS:G2 has the flexibility and capability to handle a variety of grinding roles: job shop work, manufacturing cell environments, high volume grinding - even prototype work. Fast changeovers with menu-driven setup screens-no more change gears or dressing thread wheels-make it easy to switch from job to job.