REXNORD CORPORATION (NYSE: RXN) ("Rexnord" or the "Company") announced
today that its Board of Directors has initiated a review of strategic
alternatives to enhance shareholder value and has engaged Goldman, Sachs
and Co. to serve as its financial adviser in that process. The
alternatives considered could include the possible sale of the Company,
the possible sale of one or both of its business platforms or the
maintenance of the current structure and execution of the existing
business strategy.
Rexnord can offer no assurance that it will enter into any transaction
in the future, and no decision has been made to enter into a transaction
at this time. The Company does not intend to disclose further
developments unless and until such time as its Board of Directors has
approved a specific course of action, or it otherwise deems further
disclosure is appropriate or required.
About Rexnord
Headquartered in Milwaukee, Wisconsin, Rexnord is comprised of two
strategic platforms, Process & Motion Control and Water Management, with
approximately 7,300 associates worldwide. The Process & Motion Control
platform designs, manufactures, markets and services specified,
highly-engineered mechanical components used within complex systems. The
Water Management platform designs, procures, manufactures and markets
products that provide and enhance water quality, safety, flow control
and conservation. Additional information about the Company can be found
at www.rexnord.com.
Cautionary Statement on Forward-Looking Statements
Information in this release may involve plans, intentions, expectations,
strategies, outlook, beliefs or other statements regarding the future,
which are forward-looking statements, including statements regarding
pursuing a sale, in whole or in part, of the Company. These
forward-looking statements are based upon management's present plans,
intentions, hopes or strategies regarding the future and involve risks
and uncertainties that could cause actual events or developments to be
materially different from those indicated in such forward-looking
statements. Such risks and uncertainties include, but are not limited to
uncertainty regarding the complexity or length of the process, the
possibility that the Company will not enter into any transaction, the
potential that the process will distract the Company's Board of
Directors and management from the Company's business, the potential that
the Company will incur significant expenses in unsuccessfully pursuing
one or more transactions, the risk that the process will impair
relationships with partners, suppliers and associates, the risk that
announcements regarding the process will cause a decline in the
Company's stock price, the risk of claims or other litigation arising
from the pursuit of one or more transactions, and other risks and
uncertainties that are contained in the Company's Form 10-K for the
fiscal year ended March 31, 2012 as well as the Company's annual,
quarterly and current reports filed on Forms 10-K, 10-Q and 8-K from
time to time with the Securities and Exchange Commission. All
information included in this release is based upon information available
to Rexnord as of the date of the release, and the Company assumes no
obligation to update any such forward-looking statements.