CHICAGO, Nov. 18 /PRNewswire-FirstCall/ -- Grainger (NYSE: GWW), North America's leading broad line distributor of facilities maintenance products, today announced it has signed and closed an all cash acquisition of Alliance Energy Solutions. Grainger anticipates the transaction should be accretive to earnings in 2010 by approximately $0.01 - 0.02 per share. Other terms of the deal were not disclosed.
Grainger Chairman, President and Chief Executive Officer James T. Ryan said, "This transaction is the first service-based acquisition we're adding to our U.S. customer offering and we anticipate it will help us accelerate our strategy to become our customers' indispensable partner in helping them keep their facilities safe, efficient and functional."
"Our customers told us they had a need for a service to complement our deep product line around lighting products and we listened," said Mike Pulick, President of Grainger's U.S. Business. "The Alliance Energy Solutions team is dedicated to helping customers through offering value added services that help them drive energy efficiency and productivity, with particular expertise in the area of lighting retrofits. We are delighted to have them join the U.S. team."
Alliance Energy Solutions, headquartered in Oxford, Connecticut, provides turn-key energy-efficient retrofits. Alliance Energy President Kevin Siebrecht, and Chief Operating Officer Matt James will continue to lead the operations under the Alliance brand name. Working with Grainger's U.S. business, Alliance will leverage the scale of Grainger's sales network to help bring its unique service capabilities to more businesses and institutions. Alliance had sales of $20 million in 2008.
"Like Grainger, we have a passionate team dedicated to serving customers with integrity," said Siebrecht. "We've been working with Grainger for several years and we are excited about how combining with Grainger increases the growth opportunity that exists to bring customers solutions to their efficiency problems."
W.W. Grainger, Inc. (NYSE: GWW), with 2008 sales of $6.9 billion, is the leading broad-line supplier of facilities maintenance products serving businesses and institutions in the United States, Canada, Japan, Mexico, China, India and Panama. Through a highly integrated network including nearly 600 branches, 18 distribution centers and multiple Web sites, Grainger's employees help customers get the job done, saving them time and money by having the right products to keep their facilities running.
About Alliance Energy Solutions
Alliance Energy Solutions (AES) is a multi-regional, Energy Services Company headquartered in Oxford, Connecticut. AES provides end-to-end solutions for customers, giving customers a single point of contact for an entire energy-efficient retrofit. Though focused primarily on lighting, AES also implements comprehensive conservation projects deriving additional energy savings from HVAC systems, direct digital controls, compressor upgrades, and industrial process improvements. AES has expertise in securing federal, state and local incentives, rebates and tax benefits and can arrange interest-free loans for energy savings projects.
This document contains forward-looking statements under the federal securities law. Forward-looking statements relate to the company's expected future financial results and business plans, strategies and objectives and are not historical facts. They are generally identified by qualifiers such as "anticipate", "anticipates", "should", or similar expressions. There are risks and uncertainties the outcome of which could cause the company's results to differ materially from what is projected. The forward-looking statements should be read in conjunction with the company's most recent annual report, as well as the company's Form 10-K, Form 10-Q and other reports filed with the Securities & Exchange Commission, containing a discussion of the company's business and various factors that may affect it.
SOURCE W.W. Grainger, Inc.
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