Carlisle revamps corporate structure

ERJ staff report (TB)

Charlotte, North Carolina -- Carlisle Companies Inc. has reorganizsed its business units to reflect recent divestitures and retentions, combining its tyre and wheel, transmission belt and industrial brake and friction businesses into a new division called Engineered Transportation Solutions.

The reorganisation reflects Carlisle's recent decision to keep its power transmission business unit and sell its Johnson Truck Bodies refrigerated truck body and EcoStar residential roofing tile businesses.

The Engineered Transportation Solutions division accounted for $708.1 million (Euro 514.6 million) in sales last year -- roughly 30 percent of Carlisle's overall sales-- while generating $54.2 million in pre-tax operating earnings.

Carlisle earlier said it expects integrating the tyre/wheel and belting businesses to generate synergies that will allow it to achieve long-term goals, including improved operating margins. On its own, the power transmission business generated sales of $115 million last year.

Carlisle's other business units are: Carlisle Construction Materials, consisting mostly of the firm's roofing business; Carlisle Interconnect Technologies, high-performance interconnect solutions; Carlisle FoodService Products, commercial and institutional food-service and sanitary maintenance products; and Carlisle Specialty Products, which includes Trail King and Johnson Truck Bodies, although the latter is for sale and will be reported in 2010 as a discontinued operation.

Tied to the reorganisation is the implementation of a simplified management structure--called Carlisle Operating System--which eliminated the group president layer of management, the company said.

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From Tire Business (A Crain publication)