MIAMI--(BUSINESS WIRE)--Jun. 8, 2009--
Watsco, Inc. (NYSE:WSO) today announced that the U.S. Federal Trade
Commission has granted early termination of the waiting period under the
Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended,
related to the formation of a joint venture between the Company and
Carrier Corporation.
On May 4, 2009, Watsco and Carrier announced that they had executed an
agreement to form a joint venture to be named Carrier Enterprise LLC
that will distribute Carrier, Bryant and Payne products throughout the
U.S. Sunbelt, Latin America and the Caribbean. Carrier Enterprise LLC,
with pro-forma revenues of approximately $1.4 billion in 2008, will
operate 110 locations in 20 states and Puerto Rico, the Caribbean and
Latin America and serve over 19,000 air conditioning and heating
contractors. The operations will sell Carrier, Bryant and Payne-branded
residential and light-commercial equipment and a complementary array of
parts and supplies. On a combined pro-forma basis, Watsco and the joint
venture had $3 billion of revenues in 2008. The completion of the
agreement is subject to customary closing and transition items and is
expected during the next thirty days.
Watsco is the largest independent distributor of air conditioning,
heating and refrigeration equipment and related parts and supplies in
the HVAC/R industry, currently operating 412 locations serving over
40,000 customers in 34 states. There are an estimated 120 million
single-family homes in the United States, most of which have central air
conditioning and heating systems. Eventually, these systems wear out and
require repair or replacement. Watsco's strategy provides the products,
support and convenience that contractors require to satisfy the needs of
homeowners and businesses that depend on the comfort and
energy-efficiency provided by HVAC systems. The Company's goal is to
build a national network of locations that provide the finest service
and product availability for HVAC/R contractors, assisting and
supporting them as they serve the country's homeowners and businesses.
Additional information about Watsco may be found on the Internet at http://www.watsco.com.
This document includes certain "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. These
statements are based on management's current expectations and are
subject to uncertainty and changes in circumstances. Actual results may
differ materially from these expectations due to changes in economic,
business, competitive market, regulatory and other factors, including,
without limitation, the effects of supplier concentration, competitive
conditions within Watsco's industry, seasonal nature of sales of
Watsco's products, insurance coverage risks and final GAAP adjustments.
Forward-looking statements speak only as of the date the statement was
made. Watsco assumes no obligation to update forward-looking information
to reflect actual results, changes in assumptions or changes in other
factors affecting forward-looking information. Detailed information
about these factors and additional important factors can be found in the
documents that Watsco files from time to time with the Securities and
Exchange Commission, such as Form 10-K, Form 10-Q and Form 8-K.
Source: Watsco, Inc.
Watsco, Inc.
Barry S. Logan, Senior Vice President, 305-714-4102
blogan@watsco.com
www.watsco.com
