Disposal
Spirent PLC
20 February 2002
797- 20 February 2002
SPIRENT AGREES SALE OF AEROSPACE COMPONENT BUSINESSES
Spirent plc, the international network technology company, announces that it
has entered into an agreement for the sale of the equity and assets of its non-
core aerospace component businesses from within its Systems group to Curtiss-
Wright Corporation of the United States, for a cash consideration of $60
million (£42 million approx.).
The businesses sold are involved in the design and manufacture of aerospace
position sensors and control hardware, together with products for other
industrial markets. Products include position sensors, aerospace fire
protection systems, flap electronic control units, in-flight entertainment
power supplies, primary air data computers, aerospace quick access recorders,
crash protected flight recorders and cockpit voice recorders.
The transaction, which is expected to complete by the end of March is subject
to certain conditions. The net proceeds of the sale, after deduction of
taxation and costs, will be used by Spirent for general corporate purposes
including the reduction of debt.
Under the terms of the deal, all of the approximately 660 employees in the
businesses affected will transfer with those businesses.
Combined revenues of these businesses for the year to 31 December 2001 were
£43.5 million, with operating profits of £6.3 million.
At 31 December 2001, the book value of the net assets to be disposed of was
£14.7 million with related goodwill of £27.9 million.
Nicholas Brookes, Chief Executive of Spirent, commented:
'The divestment of these businesses is a further step in our strategy to focus
on high technology activities. We believe that the businesses we are divesting
more logically fit with the new owners who can provide complementary
manufacturing and marketing.'
- ends -
Enquiries:
Nicholas Brookes, Chief Executive Spirent plc +44 (0)1293 767676
Eric Hutchinson, Finance Director
Jon Coles/Rupert Young Brunswick (London) +44 (0)20 7404 5959
Nina Pawlak Brunswick (New York) +1 212 333 3810
Brian Magnus/Tom Hill Morgan Stanley +44 (0) 20 7425 5000
Background note:
About Spirent
Spirent plc is an international network technology company providing state-of-
the-art solutions with a focus on high growth activities. Our Communications
group unites leading edge performance analysis technology with network
operations expertise, enabling customers to accelerate the development,
deployment and assurance of next generation network equipment and services
worldwide. Further information about Spirent plc can be found at
www.spirent.com
Spirent plc is listed on the London Stock Exchange (ticker: SPT) and on the New
York Stock Exchange (ticker: SPM; CUSIP number: 84856M209) with one American
Depositary Receipt representing four ordinary shares.
Spirent and the Spirent logo are trademarks of Spirent plc. All rights
reserved.
About Curtiss-Wright Corporation
Curtiss-Wright Corporation (NYSE: CW, CWb) is a diversified company
headquartered in Lyndhurst, New Jersey. The Company designs, manufactures and
overhauls products for motion control and flow control applications and
additionally is a provider of metal treatment services. The firm employs
approximately 2,600 people. More information on Curtiss-Wright can be found on
the Internet at www.curtisswright.com.
This press release may contain forward-looking statements that are based on
current expectations or beliefs, as well as assumptions about future events.
You can identify these statements by their use of words such
as 'will,' 'anticipate,' 'estimate,' 'expect,' 'project,' 'intend,' 'plan,' 'sho
uld,' 'may,' 'assume' and other similar words. You should not place undue
reliance on our forward-looking statements, which are not a guarantee of future
performance and are subject to factors that could cause our actual results to
differ materially from those expressed or implied by these statements. Such
factors include: aggressive competition; our ability to develop and
commercialize new products and services; risks relating to the acquisition or
sale of businesses; our reliance on third party manufacturers and suppliers;
our exposure to liabilities for product defects; our reliance on proprietary
technology; our ability to grow in e-commerce; our ability to attract and
retain qualified personnel; risks of doing business internationally; and risks
of downturns in the industries in which we participate; and other risks
described from time to time in Spirent plc's Securities and Exchange Commission
periodic reports and filings. We undertake no obligation to update our forward-
looking statements, whether as a result of new information, future events or
otherwise.
This information is provided by RNS
The company news service from the London Stock Exchange
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