CLEVELAND ... Diversified industrial manufacturer Eaton Corporation (NYSE:ETN) announced today it has reached agreement with Cobham plc to purchase its aerospace fluid and air division for $270 million. The transaction is expected to close in the fourth quarter.

The aerospace fluid and air division of Cobham plc, which is based in Wimborne, U.K., had 2004 sales of $210 million and EBITDA of $26 million. It employs 1,600 people in five manufacturing locations in the United Kingdom and the United States.

"This acquisition will allow Eaton to capitalize on its recognized strengths in fluid conveyance and pump technology through the products, capabilities and customers of Cobham's fluid and air division," said Alexander M. Cutler, Eaton chairman and chief executive officer.

Cobham's fluid and air division includes FR-HiTemp, which provides low-pressure airframe fuel systems, electro-mechanical actuation, air ducting and hydraulic and power generation, and Stanley Aviation, which produces fluid distribution systems for fuel, hydraulics and air.

"The purchase of Cobham's aerospace fluid and air division will strengthen our position on commercial and defense platforms, expand our European presence and provide attractive aftermarket opportunities," said Craig Arnold, Eaton senior vice president and president - Fluid Power Group.

Cobham plc designs and manufactures equipment, specialized systems and components for the aerospace, defense, homeland security, search and rescue and communications markets. It also operates, modifies and maintains aircraft for military and commercial purposes.

Eaton Corporation is a diversified industrial manufacturer with 2004 sales of $9.8 billion. Eaton is a global leader in electrical systems and components for power quality, distribution and control; fluid power systems and services for industrial, mobile and aircraft equipment; intelligent truck drivetrain systems for safety and fuel economy; and automotive engine air management systems, powertrain solutions and specialty controls for performance, fuel economy and safety. Eaton has 57,000 employees and sells products to customers in more than 125 countries.

 

Contact Information

William Hartman, vice president, Investor Relations
(216)523-4501
williamhartman@eaton.com

Gary Klasen, director, Media Relations
(216)523-4736
GaryKlasen@eaton.com