[December 23, 2013] |
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Rockwell Collins Completes Acquisition of ARINC Incorporated
CEDAR RAPIDS, Iowa --(Business Wire)--
Rockwell Collins, Inc. (NYSE: COL) today announced it has successfully
completed the acquisition of ARINC (News - Alert) Incorporated from The Carlyle Group
for $1.4 billion.
"With this move we take a major leap forward to realizing our vision of
providing a richer set of seamless information management solutions that
encompass the aircraft and ground-based systems," said Kelly Ortberg,
CEO and president of Rockwell Collins. "The acquisition represents an
exciting new growth platform for Rockwell Collins and shifts the balance
of the company toward the expanding commercial aviation sector."
"Combining ARINC's high-performance, high-quality and high-assurance
networks and services with our information systems onboard the aircraft
strengthens our ability to deliver improved efficiency and safety, and
enhanced connectivity," added Ortberg. "In addition, the acquisition
opens up adjacent market opportunities by leveraging ARINC's strong
presence in airport information systems and the broader transportation
and security segments."
Integration process The company expects the impact of the
acquisition to be EPS accretive once crtain transaction and integration
costs have been incurred. The majority of integration activities are
expected to be completed in six to nine months. For the near term,
customers can expect business as usual, and should continue to work with
their current sales representatives, customer service centers and
web-based resources.
Related divestures To serve the best interests of the
industry, and avoid any perceived conflicts of interest, Rockwell
Collins has completed the sale of ARINC's Industry Standards
Organization to SAE International simultaneously with the completion of
the ARINC acquisition. In addition, due to a lack of fit with its
long-term strategy, Rockwell Collins has initiated preparatory efforts
to divest ARINC's Aerospace Systems Engineering and Support business,
which provides military aircraft integration and modifications,
maintenance, and logistics and support. In total these businesses
accounted for approximately 15 percent of ARINC's FY'13 revenues.
About Rockwell Collins Rockwell Collins (NYSE: COL) is a
pioneer in the development and deployment of innovative communication
and aviation electronic solutions for both commercial and government
applications. Our expertise in flight deck avionics, cabin electronics,
mission communications, information management, and simulation and
training is delivered by a global workforce, and a service and support
network that crosses 27 countries. To find out more, please visit www.rockwellcollins.com.
Safe Harbor Statement This press release contains statements
(such as projections regarding future performance) that are
forward-looking statements as defined in the Private Securities
Litigation Reform Act of 1995. Actual results may differ materially from
those projected as a result of certain risks and uncertainties,
including those set forth in the company's SEC (News - Alert) filings and the risks
inherent in the integration of ARINC into Rockwell Collins.
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