Tuesday, December 28, 2010

Emak Acquires Majority Shareholding in Ukrainian Company Epicenter LTD

Bagnolo in Piano (RE), 23 December 2010 - Emak S.p.A., one of the leading European operators in the manufacturing and distribution of outdoor power equipment for gardening, forestry and small farming activities, today entered into an agreement for the acquisition of 61% of the share capital of Epicenter LTD; with registered office in Kiev, it has been the distributor of Oleo-Mac trademark products in the Ukrainian market since 2000 and closed the 2009 financial year with a turnover of around € 5 million and a net profit of around € 0.2 million.

The operation is in line with the Group’s strategy for development through external means in markets with high potential for growth. With this acquisition, Emak seeks to achieve better penetration in a market with great potential such as the Ukrainian market, where Emak is already an important operator.

As in the past, Emak’s strategy is to provide an important partner, as Epicenter has already proved to be, with the necessary means to develop the distribution network and internal organization, exploiting at the same time its knowledge and reputation in the territory.

Today’s agreement provides for the transfer of 61% of the shares to Emak by April 2011 at an overall price of between € 1.4 and € 1.7 million. The consideration for the operation will be calculated with the market multiples method, on the basis of the due diligence to be carried out on Epicenter.

The agreement also gives EMAK the right to a call option for the acquisition of a further stake of 14% to be exercised by 2013, bringing its shareholding to 75%.

The acquisition by EMAK will be financed by using its own normally held resources.

The inclusion of the target company within EMAK’s scope of consolidation will take effect from the effective date of the acquisition of control of the company.

Due to the small size of the target company, the conditions of materiality provided for by art. 71 of Consob’s Regulations for Issuers no. 11971 of 14/5/1999 do not apply, and as a result, EMAK shall not be preparing a specific informative document.

COMMENT BY THE CHAIRMAN, FAUSTO BELLAMICO

“The agreement entered into today is in line with the development strategy by external means that the Group is following in order to strengthen its distribution network. Thanks to the newly acquired Epicenter, the Group will be able to further develop its operations in a strategic country such as Ukraine, a market with great potential for growth.”

Monday, December 27, 2010

CPSC, STIHL Initiate Recall for Chain Saws

Stihl Inc. has recalled about 5,000 chain saws that could have sticky throttles and pose a risk of cutting the user, according to the U.S. Consumer Product Safety Commission.

This is Stihl's second recall this month. The German-owned power-tool company, with U.S. headquarters in Virginia Beach, recalled about 1,000 Bike Handle Trimmer /Brushc utter a week ago because vibration could cause the head to come loose.

On Thursday, the agency said Stihl voluntarily pulled from shelves the MS 361C saws (the C-Q version), which have a chain brake activated by the rear handle. They have an orange top casing, gray base and black handle with the style number printed in an orange circle on the side.

The throttle trigger on the saws can stick after being released and could allow the engine to continue to run at a high enough speed to drive the chain. Stihl has received three reports of the throttle trigger sticking but no reports of injuries, according to the commission.

The saws were sold from February 2004 through August 2009 for about $640.

Consumers should stop using the saws and return them to a Stihl dealer for a free repair. For more information, call (800) 610-6677 between 8 a.m. and 8 p.m. Monday through Friday or visit www.stihlusa.com

Monday, December 20, 2010

Kohler Contract Approved by Union

December 19 -- After four months of negotiations, union members vote in favor of Kohler Company's proposed labor contract.

"I think both sides worked very hard on this proposal. I think it recognizes the effort by both sides that went into this. And we're pleased with the outcome today," says Paul Kardish, Kohler Company attorney.
"I am disappointed. maybe not surprised. I know there were many that are simply in a position that they have to support their family," says Dave Boucher, UAW Local 833 spokesperson.
Even with union leaders recommending against voting for the proposal, 62 percent of UAW Local 833 members voted to pass it.
When the final votes came in, union leaders were not happy with the new labor contract their own members had just passed. "What we didn't like about it? Pretty much the whole thing," says Dave Bergene, UAW Local 833 president.
Union and Kohler officials still disagreed on a key point. "I would've preferred a strong rejection as a message to the company to negotiate a fair and livable contract which I don't believe we actually received here," says Boucher.
"The contract needed to address a couple objectives. And that was to make sure our manufacturing operations competitive long term but yet minimize the impact on them. And that's what we believe was accomplished today," says Todd Weber, Kohler Company spokesperson.
The new contract comes with a five-year wage freeze, a flexible workforce, a two-tier wage structure and a $1,000 signing bonus. Union officials say many members agreed the contract was unfair, but couldn't afford to take any chances, especially with the signing incentive.
"Times are tough. Take what you can get. I am working, making a good living. I'd like to keep it that way," says Greg Umnus, union member.
"I've been here 37 years at Kohler and this is the first time Herb wanted to buy our votes so I think he wants this contract pretty bad," says Kenn Hibbard, union member.
While union leaders are disappointed, Kohler officials say they're happy both sides could finally come to an agreement.

www.wbay.com

More Ethanol in Gasoline is Bad for Outdoor Power Equipment

December 19 -- It seems like a great idea: Increase the amount of renewable ethanol from grain at the gas station and decrease America's reliance on foreign oil.

But a push to add another 50 percent to the ethanol content of some automobile fuel has opened a barrel of worms. Automakers say they don't know how it will affect their cars; power-equipment and boat manufacturers are predicting calamitous mis-fueling; and gas station owners are looking at a slew of legal and logistical impediments.

The Environmental Protection Agency has approved a request from the ethanol industry to allow ethanol content in a gallon of gas to climb from 10 to 15 percent. The waiver to the Clean Air Act to permit so-called E15 fuel applies only to cars and light trucks made since model year 2007, but the Outdoor Power Equipment Institute and manufacturers argue that once gas stations sell it, consumers will mis-fuel their power equipment, with terrible results.

The availability of E15 could produce "a train wreck in the marketplace," said the institute's attorney, Bill Guerry.

Opponents of E15 are considering a concerted legal action to try to reverse the waiver. "We don't know the long-term effects of E15 on automobiles," said Gloria Bergquist of the Alliance of Automobile Manufacturers. "There's a sweep of studies underway now, and we had urged EPA to wait until next year when more of these studies would be concluded."

In approving the waiver Oct. 13, EPA Administrator Lisa P. Jackson said "thorough testing has shown that E15 does not harm emissions control equipment in newer cars and light trucks."

For veteran power-equipment guys such as Mick Matuskey, the prospect of E15 entering the fuel stream is vexing. Matuskey, co-owner of Power and Lawn Equipment in Gaithersburg, has been in the business for 44 years and remembers when snowblowers, chain saws and mowers lasted much longer.

"You're getting half of the life out of the product today compared to 30, 40 years ago," he said.

Cheaper components and higher running temperatures are taking their toll. But critics say a 15 percent ethanol blend would shorten engine life more and make equipment prone to fuel leaks and fire hazards. Apart from causing engines to run hotter, ethanol fuel eats away at rubber components.

"E15 is going to make fuel lines on older equipment turn to mush a lot faster," Matuskey said. "You've got spillage and environmental issues as well as fire and safety issues."

Prentiss Searles of the American Petroleum Institute said, "Having seals fail on your backpack blower isn't a good thing, because you've got a gas tank sitting on your back."

Old technologies

Tools such as trimmers, mowers and blowers generally use engine technologies long abandoned by carmakers: air cooling, carburetion and, often, two-cycle engines fueled by an oil-gas mix . Ethanol blends cause engines to run leaner and hotter - modern auto engines can adjust for that; lawn mowers and chain saws cannot.

Today's gas-pump blend, ubiquitous and known as E10, pushes power equipment to the limit, said Kris Kiser, the petroleum group's executive vice president. With E15, "our machines fail," he said.

The institute says its members can develop machines that will run on more ethanol, just as they are making them less polluting. But there are as many as 200 million existing pieces of equipment now in jeopardy, used by homeowners, landscapers, foresters, companies and institutions.

Stephanie Dreyer, spokeswoman for the ethanol coalition that requested the waiver, Growth Energy, said labels at the pump, to be required by the EPA, will explicitly direct consumers to the right type of fuel. "There are two types of diesel on the road now, and they are indicated by a label," she said. "And as far as we know it hasn't been a problem."

The use of E15 in cars, she said, "will accelerate the use of renewable fuel, increase energy security, create jobs, reduce transportation costs and improve the environment." Dreyer said it will also encourage investment in the next generation of ethanol made from a variety of plant materials.

Cathy Milbourn, an EPA spokeswoman, says the agency is not advocating E15 but simply responding to a waiver request under the clean-air statute.

The waiver covers about one-fifth of the vehicles on the road. The agency is waiting for further engine emission tests by the Energy Department before deciding whether to extend approval of E15 for cars built since 2001.

If the agency extends the waiver back to model-year-2001 vehicles, E15 would be approved in more than half the automobiles in the country, a percentage that would grow as older cars are scrapped.

Power-equipment makers say consumers filling a portable gas can while also fueling their vehicles are not going to pay attention to a sign telling them to use E15 only in approved automobiles. They also speculate that gasoline retailers will make more money from E15 than E10, and if it becomes legal for 54 percent of automobiles, "at some point there is likely to be a wholesale transfer over to a majority fuel," Guerry said.

In time, E10 may no longer be available, at which point, Guerry said, "people are going to be stuck filling their portable containers with E15 no matter how effective the mis-fueling regulation is."

Other problems

Equipment makers are also worried that the ethanol, which absorbs water, will make the fuel unstable and destructive to engines when seasonable equipment is stored for months on end. Another problem, Kiser said, is that the faster engine idling speeds will cause machines with centrifugal clutches, such as chain saws, to engage blades at rest.

For gas station owners, the waiver has raised its own set of questions and concerns. Tanks, pipes and pumps must be listed by Underwriters Laboratories, an independent product-safety testing organization, for E15 to meet Occupational Safety and Health Administration regulations, as well as contractual obligations with insurers and others.

"The existing infrastructure is not certified," said Tim Columbus, counsel to the Society of Independent Gasoline Marketers of America. "Somebody has got to go through all the hoops to get the fuel registered, and then you have to figure out what are you going to do with the existing infrastructure. This isn't going to happen in 10 minutes."

John Eichberger, an executive with the other major gas station trade group, the National Association of Convenience Stores, said some existing tanks are certified for E15 but others aren't.

"The bigger issue is the pipes from the tanks to the dispensers and the materials used to connect them, the gaskets, glues and seals," he said. As with replacing underground storage tanks, "you would have to crack concrete to get to them. Add a decimal point to the price."

With the extended waiver, E15 is "more likely to be assimilated into the marketplace, and mis-fueling will be more likely," Kiser said. And while the EPA may permit E15 in older vehicles, using the fuel might still void the manufacturer's warranty, he said. He predicted "a challenge for the consumer."

Congress is considering a bill that would shield gas retailers from liability suits for mis-fueled engines.

Another concern of Kiser's members in the American Petroleum Institute is that E15 will be cheaper to retailers and that eventually E10 will no longer be available. They have asked the EPA to mandate its continued sale.

Meanwhile, equipment makers, as well as retailers such as Matuskey, are trying to deal with the uncertainties spawned by the E15 waiver. If and when it arrives, "it'll have a major impact on our industry," he said.

Adrian Higgins       www. washingtonpost.com

CPSC, STIHL Recall Trimmers and Brushcutters

Washington, D.C. -- December 16, 2010. The following product safety recall was voluntarily conducted by the firm in cooperation with the CPSC. Consumers should stop using the product immediately unless otherwise instructed.

It is illegal to resell or attempt to resell a recalled consumer product.

Name of Product: STIHL FS 310 Bike Handle Trimmer/Brushcutter

Units: About 1,000

Manufacturer: STIHL Incorporated, of Virginia Beach, Va.

Hazard: Vibration from the ignition module may cause the trimmer head to loosen and detach from the mounting, posing an injury hazard.

Incidents/Injuries: The company received three reports of incidents and no reports of injuries.

Description: The recalled bike handle trimmer/brushcutter has “STIHL” printed on the engine head. The model number FS 310 is located in two places, on the shaft and on the flywheel housing below the starter grip. This recall includes all units with serial numbers ranging from 27961 1030 through 27961 1119 and 27984 3607 through 27984 4556, which can be found on an adhesive label affixed to the bottom of the fuel tank and etched into the metal frame on the bottom of the engine.

Sold at: Authorized STIHL dealers nationwide from June 2009 to April 2010 for about $550.

Manufactured in: United States

Remedy: STIHL informed purchasers for whom they had addresses directly by letter after April 15, 2010. Consumers should stop using this trimmer/brushcutter immediately and take it to an authorized STIHL dealer for a new ignition module, which will be installed at no cost to the consumer.

Consumer Contact: For more information, contact STIHL between 8 a.m. and 8 p.m. ET Monday through Friday at (800) 610-6677 or visit STIHL’s website at www.stihlusa.com

Friday, December 17, 2010

Green Media Publications Announces 2010 Selections for Most Influential People in the Green Industry

(Oct. 29, 2010) -- Green Media, a division of M2MEDIA360 -- publisher of Arbor Age, Landscape and Irrigation, Outdoor Power Equipment and SportsTurf -- is proud to announce the 2010 selections for “Most Influential People in the Green Industry.”

Green Media’s “Most Influential People in the Green Industry” were nominated by their peers for their ongoing contributions to the green industry (submissions were made from May 20, 2010 through July, 16, 2010). Nominations were reviewed by Green Media’s in-house panel, and the 2010 selections for “Most Influential People” were chosen from throughout the green industry.

The professionals selected for this honor exemplify commitment to the green industry, and have exhibited a widespread influence on their peers. Green Media congratulates all of those chosen for this year’s list of “Most Influential People in the Green Industry.” They are as follows:
  • Bob Curry, owner/CEO, Covermaster, Inc.
  • Arthur L. Evans, founder and chairman of the board, Dixie Chopper
  • Den Gardner, executive director, Turf and Ornamental Communicator's Association and executive director of Project Evergreen
  • Dale Getz, sales manager, Sports Fields and Grounds, The Toro Company
  • John Gibson, president, Swingle Lawn, Tree & Landscape
  • Judson Griggs, director of garden development, Lambert Landscape Company
  • Karen McKie, co-owner, Green Oak Nursery
  • Ed Nelson, president and CEO, Rotary Corporation
  • Scott Prophett, president, North American Training Solutions, Inc.
  • Frank Rossi, Ph.D., turfgrass scientist, Cornell University
  • Dane Scag, former owner, Scag Power Equipment, Inc. and Great Dane Power Equipment, Inc. (retired)
  • Doug Schattinger, president, Pioneer Athletics
  • Tobe Sherrill, CEO, SherrillTree
  • Harold Spiegel, president, Preservation Tree Services, Inc.
  • Jim Starmer, executive vice president, Dixie Sales Company, Inc.
  • Mark Stennes, plant pathologist, S and S Tree Specialists, Inc.
  • Mickey Strauss, president, MSM Landscape Services, Inc.
  • James Urban, author, “Up By Roots”
  • Fred Whyte, president, Stihl Inc., and chairman, Outdoor Power Equipment Institute
  • Dr. Fred Yelverton, extension weed specialist, North Carolina State University

The “Most Influential People in the Green Industry,” will be profiled in the January 2010 issues of Arbor AgeLandscape and IrrigationOutdoor Power Equipment and SportsTurf.

Thursday, December 16, 2010

Maker of Snow Throwers Sued Over Exploding Plastic Wheels

Rick Barrett   www.jsonline.com


The recall targeted 130,000 snow throwers sold through hardware stores, home improvement centers and retailers like Kmart and Sears. They were sold from July 2004 through March 2006, for $500 to $800, under the brand names Yard Machines, Troy-Bilt and Craftsman.

The problem is the plastic wheels can explode as the tires are filled with air, sending plastic shrapnel flying.

More than 200 people, including a Milwaukee man, have been injured, even though more than 80% of the machine owners have been notified of the recall that began in October 2006.

"We think that we have exhausted every reasonable effort to contact people," but the work continues, MTD attorney Terry Hollister said Monday.

"We are resolving claims as they arrive, but more importantly, we are trying to prevent more injuries from occurring," Hollister said.

Based in Cleveland, MTD Products is one of the nation's largest outdoor power equipment makers.

The company said it initially received reports of 16 injuries, including fractured fingers, a broken toe and facial lacerations, from the plastic-wheel snow throwers when the tires were overinflated and the rims burst into pieces.

MTD cooperated with the U.S. Consumer Product Safety Commission in the voluntary recall and told consumers to immediately stop using the machines until they received a kit to remedy the problem.

"It's very difficult. But we have worked very hard to track down as many people as we could," Hollister said.

Still, the recall notice came too late for Jim LaFleur, of Hugo, Minn., who was seriously injured while inflating a tire on his snow thrower.

Both of his index fingers and his right thumb were broken. Doctors have implanted metal pins in his fingers, and he now suffers from arthritis in those joints.

A transit bus driver, LaFleur also has lost partial use of his hands.

"In a fairly tight spot, I can't even use my index fingers to put a nut on a bolt," he said.

LaFleur said one of the plastic wheels exploded after he had checked the tire pressure and was putting in a little more air to bring the tire up to full pressure of 30 pounds per square inch.

"It was 'bang,' just like that. There was nothing but pieces left of the wheel," he said.

This fall, LaFleur sued MTD for his injuries. He and his wife, Kristine LaFleur, are seeking an undetermined amount of compensation in excess of $150,000, according to the lawsuit filed in U.S. District Court in Minneapolis.

MTD should have known that plastic wheels and inflatable tires weren't a good combination, said one of their attorneys, Victor Harding of the Milwaukee law firm Warshafsky, Rotter, Tarnoff & Bloch.

Over time, plastic degrades and can become brittle. The wheels were not strong enough to handle the tire air pressure, according to Harding, whose firm has settled at least four similar lawsuits against MTD.

"The company says the tires had to be over-pressurized to explode, but I don't think that has been established yet," Harding said. "I think the company tried to save a nickel (by using plastic wheels), and it has come back to bite them in the butt."

Others have sued MTD, including a 56-year old truck driver who was blinded by plastic shrapnel when putting air in the tire of his snow thrower.

The company has since issued a free service kit, with pressure relief valves, labels and instructions, for consumers with the recalled snow throwers.

MTD says inflatable snow thrower tires should never be filled with high-pressure air compressor.

"Air compressors are high-volume, high-psi machines capable of over-inflating a tire, possibly causing it or the rim to burst," MTD says on its Web site.

Briggs and Stratton Announces Public Offering of $200 Million of Senior Notes

MILWAUKEE -- Dec. 13 and 15 -- Briggs and Stratton Corporation announced today that it has commenced a public offering of $200 million aggregate principal amount of its senior notes due 2020. The notes will be unsecured and will be guaranteed on a senior basis by its significant domestic subsidiary, Briggs and Stratton Power Products Group, LLC, and certain of its future domestic subsidiaries.

On December 15, Briggs and Stratton Corporation announced today that it has priced a public offering of $225 million aggregate principal amount of its senior notes due 2020, which will bear interest at a rate of 6.875%. The offering is being made pursuant to a shelf registration statement and is expected to close on December 20, 2010.

The Company intends to use the net proceeds from the offering to redeem its outstanding 8.875% Senior Notes due March 15, 2011 and to pay fees and expenses in connection with the offering and redemption and for general corporate purposes.

Bank of America Merrill Lynch and J.P. Morgan will act as joint book-running managers for the offering.