25 August 2009
Carrier sells off International Cold Storage firm
INTERNATIONAL Cold Storage, a US walk-in coldstore business owned by Carrier Commercial Refrigeration, has been acquired by Rainey Road LLC, the owners of two US competitors.
The company has been bought the owners of rival walk-in coldstore manufacturers CrownTonka Walk-Ins and ThermalRite.
All three US firms, CrownTonka, ThermalRite and ICS, will continue to operate independently, specializing exclusively in the manufacturing of cold storage products.
In May 2009, Louis Chenevert, the CEO of Carrier’s parent, United Technologies Corporation (UTC), spoke of 'aggressive restructuring', as a result of the global recession hitting sales in its residential and transport refrigeration sectors. He said the restructuring would see Carrier cutting labour costs by 25% in 2009. Chenevert also said r&d was to be slashed by 20% and administrative expenses cut by 15%.
Tyler Refrigeration, Carrier's refrigerated catering equipment manufacturing business was part of the restructuring with the closure of Tyler's factory in Michigan and the sale of five of Tyler's branches and certain other assets to US commercial refrigeration manufacturer Hill Phoenix.
Operating profit at Carrier is expected to fall by between $375m and $425m in 2009, down from $1.32 billion in 2008.