Eaton Corporation reorganizes Truck Components Worldwide business
CLEVELAND, OH.... Eaton Corporation's Truck Component Operations announced today that it will reorganize its businesses to continue providing a strong global customer focus as the businesses continue their worldwide expansion programs. The reorganization is effective January 1, 1998.
In order to insure its emphasis on meeting customer needs globally, six distinct product divisions will be created, each as a complete, worldwide business organization. Five of the divisions will report to Alan E. Best, who becomes Operations Vice President, Truck Components Operations Worldwide. Best will be headquartered in Europe, and will continue to report to Thomas W. O'Boyle, Senior Vice President Truck Components.
Sales and marketing activities will be headquartered both in Europe and the United States, and will report directly to O'Boyle.
The six product divisions are:
Heavy Duty Transmission Division, headquartered in Galesburg, Michigan, Light/Medium Duty Transmission Division, to be headquartered in Europe,
Clutch Division, headquartered in Auburn, Indiana,
Automated Products Division, headquartered in Galesburg,
Axle and Brake Division, (which is currently awaiting governmental approval of a pending sale to Dana Corporation), headquartered in Galesburg and,
Trucking Information Services Division (TISD), headquartered in Galesburg. TISD will continue to report to O'Boyle, while the other five divisions will report to Best.
"We view this reorganization as an important enabling activity necessary to continue our tight focus on meeting the needs of our worldwide customer base," said O'Boyle. "It will more directly support our already aggressive global product programs, contribute to future expansion plans and increase our flexibility."
O'Boyle noted that growth activities in the past two years by Eaton Truck Components included the acquisition of a medium-and light-duty transmission business in Brazil, acquisition of Dana Corporation's worldwide clutch business, and the opening of a new heavy truck transmission plant in China. Additionally, last month the company announced construction of a new $70 million facility in Brazil to meet increased market demand in that country. O'Boyle said growth within current markets is enhanced by the increased acceptance of the company's newly-released automated heavy-duty transmissions, a technology Eaton pioneered.
He said the company's Truck Components business has an aggressive growth strategy in place that will contribute to Eaton's overall objective of $10 billion in sales, an average 10 percent annual earnings improvement and earnings per share of $8 by the year 2000. Eaton has previously indicated it intends to reach that goal through global expansion, new product development and acquisitions.
With worldwide sales approaching $2 billion, Eaton's Truck Components business is a leader in the design, manufacture and marketing of drivetrain components for light, medium and heavy-duty vehicles. Principal products are manual and automated transmissions, clutches, steer, drive and trailer axles, brakes and chassis control systems.
Eaton Corporation is a global manufacturer of highly engineered products which serve industrial, vehicle, construction, commercial and semiconductor markets. Principal products include electrical power distribution and control equipment, truck transmissions and axles, engine components, hydraulic products, ion implanters and a wide variety of controls. Headquartered in Cleveland, the company has 56,000 employees and 165 manufacturing sites in 26 countries around the world. Sales for 1996 were $7 billion.