Black and Decker sold to Stanley

Black and Decker sold to Stanley http://tinyurl.com/yh5ll4v

Top picture: S. Duncan Black – and – Alonzo G. Decker unattributed, undated photos, perhaps c. 1910s Click here for a larger image: http://twitpic.com/o3xt9 or here: http://kevindayhoff.tumblr.com/post/231675270/black-and-decker-sold-to-stanley-pic-s-duncan

Word spread quickly through Carroll County early Monday evening, November 2, 2009 that The Black and Decker manufacturing Company is merging with The Stanley Works.

The company has always had a profoundly strong presence in Carroll County because of the large manufacturing facility that employed generations of workers at the Hampstead plant - including various members of two generations of my family.

The company has always been an economic engine for Carroll and Baltimore County and Maryland. It was on November 8, 1973 that the old Carroll Record newspaper in the county reported: "$1,250,000 Black and Decker Expansion Among Building Permits—A $1,250,000 Black and Decker expansion tops those building permits granted in Westminster since October 24. District Eight - Black and Decker for a steel and masonry addition to an existing building and repair to an existing roof, together valued at $1,250,000."

That was a lot of money in 1973...

One of the earliest reference in Carroll County newspapers to the manufacturing giant occurred in the July 25, 1924 issue of the Westminster American Sentinel newspaper: "Carroll County has a number of incorporated cities surrounding Westminster. These cities furnish labor for several nationally known industries such as the Black & Decker Co. at Hampstead, The Blue Ridge Rubber Co. at Taneytown, the Lehigh Portland Cement Co. at Union Bridge and the Lincoln Manufacturing Co. at New Windsor. The Western Maryland and Baltimore & Ohio Railroads long have been the carriers for county industrial and farm products to the large marketing area. Carroll County is connected by a modern system of roadways..."

The Baltimore Sun picked up the story about the merger quickly: "Stanley Works to buy Black & Decker for $4.5 billion, By Lorraine Mirabella:

"Towson-based tool maker Black & Decker Corp., one of only three Fortune 500 companies in the Baltimore area, is merging with The Stanley Works in a $4.5 billion all-stock deal, the companies announced Monday. "The merger will create Stanley Black & Decker, an $8.4 billion company, that will be headquartered in New Britain, Conn., the companies said. "The boards of directors of both companies have approved the transaction, which will give Black & Decker shareholders 1.275 shares of Stanley common stock for each share of Black & Decker common stock, or a premium of 22.1 percent to Black & Decker's closing share price on Friday."

The Wall Street Journal also carried some excellent analysis: "Stanley to buy Black and Decker." I believe that the article is behind a pay wall, (I am subscriber,) however, the excellent article and analysis may be found here: http://online.wsj.com/article/SB10001424052748703932904574511913680817266.html?mg=com-wsj

Center picture Scripophily detail from B&D stock certificate. Click here for a larger image: http://twitpic.com/o7rr1 or here: http://kevindayhoff.tumblr.com/post/232606394/black-decker-sold-to-stanley-pic-scripophily

For some history on Black and Decker:

In the fall of 1910, Duncan Black and Alonzo Decker invested $1,200 in a dream of making specialized machinery. Their first shop was on Calvert Street in a Baltimore industrial district. Their product line, manufactured under contract for other companies, was diversified. It included a milk bottle cap machine, a lettergraph, a vest pocket adding machine, a postage stamp splitting and coiling machine, machinery for the U.S. Mint, a candy-dipping machine, a shock absorber, and a cotton picker.[http://www.blackanddecker.co.uk/about/history/]

The following history of the Black and Decker Manufacturing Company may be found at: http://www.blackanddecker.com/CustomerCenter/Company-Information.aspx

Two young entrepreneurs, S. Duncan Black and Alonzo G. Decker, founded a small machine shop in Baltimore, Maryland. They called it The Black & Decker Manufacturing Company. Their shop has grown beyond anything they could have imagined.

Today, Black & Decker is a global marketer and manufacturer of quality products used in and around the home and for commercial applications. With products marketed in over 100 countries and approximately half of its revenues from outside the United States, Black & Decker's product lines hold leading market share positions in their industries.

The company is the world’s largest producer of power tools and accessories. Its household products business is the U.S. leader and among global competitors in the small household appliance industry.

So what were the chain of events that grew the small machine shop of the early 1900s into today's global manufacturing and marketing powerhouse? The answer may be revealed with a look at the timeline of major events spanning the Company’s history.

1917 -The Company received a patent for the pistol grip and trigger switch on its drill. It also built the first Black & Decker plant, with 12,000 square feet of floor space in a frame building in Towson U.S.A., then a rural suburb of Baltimore U.S.A. 1922 - The Company formed its first foreign subsidiary, Black & Decker Manufacturing Company, Ltd., in Canada and built its first wholly owned assembly operation and sales, service and warehouse facility outside the U.S.A. The Company also added the electric screwdriver to its growing product line. 1925 - International expansion continued. Black & Decker, Ltd. was organized in London, England, as a wholly owned sales, service and warehouse subsidiary serving the United Kingdom. 1928 - Black & Decker acquired Van Dorn Electric Tool Company of Cleveland, Ohio, U.S.A., a manufacturer of industrial power tools. 1929 - Black & Decker (Australasia) Pty., Ltd. was established in Sydney, Australia. The subsidiary was a wholly owned assembly, motor winding, sales, service, and warehousing operation. 1941 - The Towson plant began to manufacture fuses, gun shells and other ordnance for the Allies. Despite the diversion of resources to the war effort, the Company continued to produce power tools within legislated limits. 1943 - Black & Decker received the prestigious Army-Navy "E" award for production, one of four World War II citations awarded to the Company. 1946 - A subsidiary was established with responsibility for developing business in the Western Hemisphere. Pushing south, the Company opened sales, service and warehouse facilities in São Paulo, Brazil. Bottom picture: Black and Decker ad, from the late 1920s, featuring the use of its tools in the building of Conowingo Dam. [Image credit: http://www.conowingolake.com/gpage4.html] Click here for a larger image: http://twitpic.com/o7wxh or here: http://kevindayhoff.tumblr.com/post/232652009/black-and-decker-ad-from-the-late-1920s 1950 - The one-millionth 1/4" Home Utility drill came off the assembly line, a milestone in the Company's manufacturing history. 1951 - S. Duncan Black, co-founder and president since 1910, died on April 15 at the age of 68, and Alonzo G. Decker, Sr. became president. The Company broke ground for a 121,000 square foot plant in Hampstead, Maryland U.S.A. 1954 - While continuing to serve as president, Alonzo G. Decker, Sr. was elected to the newly created position of Chairman of the Board of Directors. 1955 - Black & Decker South Africa (Pty.), Ltd. was set up as a wholly owned sales and service subsidiary in Johannesburg (relocated to Cape Town in 1958), and the Company built a 50,000 square foot plant at Croydon, Victoria, Australia. 1956 - Alonzo G. Decker, Sr. died on March 18, at the age of 72. Robert D. Black, a long-time executive of the Company and brother of S. Duncan Black, was named chairman of the board and president. 1957 – 1958 - Black & Decker (Belgium) S.A. was created as a wholly owned sales, service and warehouse subsidiary in Brussels. In 1958, Black & Decker (New Zealand) Ltd. was opened in Auckland while Black & Decker, G.m.b.H. was established in Dusseldorf, Germany, and Black & Decker (Nederland) B.V. was organized in Rotterdam, The Netherlands. 1959 - Black & Decker organized a subsidiary called Master Power Corporation to acquire Master Pneumatic Tool Company, a manufacturer of portable air tools with operations in Ohio and Canada. 1960 - Alonzo G. Decker, Jr., son of the co-founder and a Black & Decker employee since 1930, succeeded Robert D. Black as president. Mr. Black continued as chairman of the board and chief executive officer. Black & Decker acquired DeWalt, Inc. of Lancaster, Pennsylvania, a manufacturer of radial arm saws and other stationary woodworking equipment in the U.S. and Canada. 1965 - The Hampstead plant grew by 240,000 square feet to accommodate a transfer of manufacturing from Towson. The move marked the end of manufacturing at Towson, where plant facilities were refurbished to accommodate expanded research and applied technology activities. 1967 – 1968 - The United Kingdom company was awarded the Queen's Award to Industry for outstanding achievement in increasing exports. The Italian company won the coveted Oscar del Commercia from the Italian government for its overall contributions to the domestic economy. 1970 – 1971 - The Company acquired the Carbide Router Company, Inc. of Moonachie, New Jersey, U.S.A. In 1971, Black & Decker (Nigeria), Ltd. in Lagos and Black & Decker Argentina S.A.C.I. in Buenos Aires were organized as wholly owned sales and service subsidiaries. 1972 - The Japanese government granted approval in 1972 for Black & Decker to manufacture power tools in that country. Nippon B&D KK became the first non-Japanese company in five years to be given such approval on a private ownership basis. 1974 - Sales passed the $500 million mark. The first one-year customer satisfaction guarantee was introduced by Black & Decker in the U.S.A. 1975 - Alonzo G. Decker, Jr. relinquished the position of chief executive officer, but continued as chairman of the board. Francis P. Lucier succeeded Mr. Decker as chief executive officer and continued as president. It was the first time in the Company's history that a member of the Black or Decker families did not hold the post of chief executive officer. 1979 - The U.S. power tools business was incorporated as a wholly owned subsidiary under the name of Black & Decker (U.S.), Inc. Annual sales topped $1 billion for the first time. 1981 - Robert D. Black, former chairman of the board and chief executive officer, died on March 21, at the age of 84. 1984 - Black & Decker announced a major reorganization plan to realign corporate management and consolidate manufacturing. Plants were closed at Maidenhead and Harmondsworth, England; Kildare, Ireland; Lancaster, Pennsylvania; and Solon, Ohio U.S.A. Manufacturing was transferred to other Black & Decker facilities. Also in 1984, the Company acquired General Electric Company’s small household appliance business. Black & Decker launched a brand transition program; unprecedented in scope, to transfer the Black & Decker brand name to the household appliances acquired from General Electric. 1984 - Reflecting its broader product line and global marketing expertise, the Company adopted a new logo. The new logo retained the strong orange color that had long been identified with the Company and kept the heritage of the hexagon. 1985 - Black & Decker turned 75. A celebration marking the occasion included placing a capsule of Company memorabilia in the newly renovated engineering building at Towson. The capsule will remain sealed until 2085. Signaling greater emphasis on marketing and sales, the Company’s stockholders approved a name change to The Black & Decker Corporation. 1987 - Black & Decker’s rebound gathered steam. Earnings doubled, and sales were the highest in the Company’s history. Sales exceeded $2 billion, and Black & Decker were ranked by Fortune among the 200 largest U.S.-based industrial companies. Sales & Marketing Management Magazine ranked Black & Decker as having the best sales force in an U.S.A. survey. 1988 - The Company was awarded the Medal of Professional Excellence by Purchasing Magazine for its world-class purchasing operations and expertise. 1989 - Black & Decker acquired Emhart Corporation ($2.8 billion in revenues) in 1989, nearly doubling the Company’s size and adding a compatible global presence and an array of well-respected brand names, including Kwikset® residential door locks and hardware, Price Pfister® faucets, Molly® wall anchors, POP® rivets, True Temper golf club shafts and many other consumer and commercial products. Black & Decker was inducted into the U.S.A. Space Foundation’s Space Technology Hall of Fame for its cordless power tool achievements and contributions to NASA’s Gemini and Apollo programs. 1990 - The Company repaid nearly $700 million of acquisition debt with proceeds from the sale of six non-strategic businesses. (Two additional operations were sold early in 1991, generating over $100 million in additional proceeds for debt repayment.) Of 6,000 brands surveyed among 10,000 consumers, Black & Decker ranked seventh in brand name awareness and esteem in the U.S. and nineteenth in Europe. Black & Decker initiated a Total Quality Process focusing on raising the level of customer satisfaction within every segment of the Company’s operations. 1992 – The entirely new DEWALT line of professional products for North America was launched. 1993 – The Company’s new product and service commitment to the consumer channel of distribution earned it the Vendor of the Year awards from Wal-Mart, Builders Square, L.G. Cook, BMA, Channel Home Centers, and several other U.S.A. key accounts. Also launched the selected Elu line of professional power tools for Europe. 1995 – The new line of DeWalt Professional Power Tools & Accessories launches in Europe 1996 – Nearly all businesses hold first- or second- place market shares in their industries and improved their positions during the year, reflecting the continuous flow of innovative new products. 1998 – Black & Decker reports the strongest balance sheet in ten years and sales of core businesses reach record levels. 1999 - Focus begins on more fully globalizing the business by employing the internet and "e-business" strategies to support key retail partners as they expand in North America and around the world. 2002 – Black & Decker ® and Hitachi Koki enter into cooperative arrangement in the power tools business 2003 – Black & Decker ® sells its European security hardware business to Assa Abloy for $108 million 2003 - Black & Decker ® purchase Baldwin Hardware Corporation and Weiser Lock Corporation from Masco, for a cash purchase price for the transaction in the region of $275 million 2004 – Black & Decker ® reports earnings per share before restructuring charges of $1.35 for the fourth quarter of 2003 and record $4.02 for the full year; generating $480 million free cash 2004 – Black & Decker ® reports a record earnings per share from continuing operations in the second quarter of 2004 2004 - Black & Decker ® announce the purchase of the Tools Group from Pentair, Inc. (NYSE: PNR) for approximately $775 million in cash. The Tools Group, which includes the Porter-Cable, Delta, DeVilbiss Air Power, Oldham Saw, and FLEX businesses, had sales of $1.08 billion and operating profit of $82 million in 2003.

Black and Decker sold to Stanley http://tinyurl.com/yh5ll4v

Top picture: S. Duncan Black – and – Alonzo G. Decker unattributed, undated photos, perhaps c. 1910s Click here for a larger image: http://twitpic.com/o3xt9 or here: http://kevindayhoff.tumblr.com/post/231675270/black-and-decker-sold-to-stanley-pic-s-duncan

Center picture Scripophily detail from B&D stock certificate. Click here for a larger image: http://twitpic.com/o7rr1 or here: http://kevindayhoff.tumblr.com/post/232606394/black-decker-sold-to-stanley-pic-scripophily

Bottom picture: Black and Decker ad, from the late 1920s, featuring the use of its tools in the building of Conowingo Dam. [Image credit: http://www.conowingolake.com/gpage4.html] Click here for a larger image: http://twitpic.com/o7wxh or here: http://kevindayhoff.tumblr.com/post/232652009/black-and-decker-ad-from-the-late-1920s

Black and Decker Mfg Co, Bus Econ mergers acquisitions, Business, Maryland Business

*****

Kevin Dayhoff Soundtrack: http://www.kevindayhoff.net/ Kevin Dayhoff Art: http://www.kevindayhoffart.com/ Kevin Dayhoff Westminster: http://www.westgov.net/ Twitter: https://twitter.com/kevindayhoff Twitpic: http://twitpic.com/photos/kevindayhoff Kevin Dayhoff's The New Bedford Herald: http://kbetrue.livejournal.com/

Kevin Dayhoff Art: http://www.kevindayhoff.com/ (http://kevindayhoffart.blogspot.com/) http://www.kevindayhoffart.com/ New Bedford Herald: http://kbetrue.livejournal.com/