Woodward To Buy Cummins Unit

Posted on September 22, 2006

Woodward Governor Co. said it has signed a definitive agreement to purchase all Schaltanlagen-Elektronik-Geräte GmbH & Co. KG (SEG) stock from Cummins, Inc. and Schmitz-Beteiligungs GmbH (SBG), headquartered in Krefeld, Germany, subject to approvals. Terms of the agreement were not disclosed.

Headquartered in Kempen, Germany, SEG had sales of approximately $60 million in 2005. SEG’s product lines include protection and control systems for power generation and distribution applications, power inverters for wind turbines for the operation of speed variable, double-fed asynchronous generators, and electrical systems for gas and diesel engine based power stations.

“We continue to actively work our energy control and optimization solutions strategy through organic development and acquisitions to enhance our systems offering. SEG is an excellent fit with our strategy,” said Thomas A. Gendron, Woodward President and CEO. “SEG’s protective relays are used in the electrical power generation and distribution markets, and complement Woodward power generation system solutions. The alternative, renewable energy markets continue to be areas of interest to Woodward. SEG’s high-power inverters are an integral part of modern wind turbines,” said Gendron.