Baldor purchases Dodge, Reliance Electric from Rockwell Automation

FORT SMITH, AR, Feb. 9, 2007 -- Baldor Electric Company announced today that it has completed the acquisition of Power Systems, a division of Rockwell Automation. Power Systems consisted of Dodge mechanical power transmission products and Reliance Electric motors, and is located in Greenville, SC. The acquisition positions Baldor as the largest industrial electric motor manufacturer in North America, with products ranging from 1/50 to 15,000 horsepower. The addition of the Dodge product line moves Baldor into the power transmission products business with a leading and preferred brand.

"This was a unique opportunity," explains John McFarland, Baldor's Chairman and CEO. "Baldor has lead the industry for years with a core strength in small motors, where Reliance's strength has been in larger motors. Now, both products will complement each other nicely. Adding the Dodge power transmission products will also provide customers an end-to-end solution from one supplier¿Baldor." Baldor currently makes motors to 1,500 horsepower, whereas Reliance produces motors to 15,000 horsepower. In addition, Baldor manufactures a complete line of variable speed drives used with many of the motors produced by both Baldor and Reliance.

Combined, the companies provide almost 300 years of expertise in the motor and power transmission business. The companies each have a reputation for leading the industry in customer preference, brand recognition, quality products and overall value.

For more information about Baldor please visit our website at www.baldor.com. The company is based in Fort Smith, AR.

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Also see:
-- "Baldor announces management promotions"
-- "Baldor receives 'One to Watch' Award in Little Rock, Ark."
-- "Baldor hosts energy efficiency seminar"

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