MTD Acquires Two Innovative Companies: CORE Outdoor Power and Precise Path Robotics

CLEVELAND, Jan. 28, 2015 -- With the recent purchase of two companies widely recognized as innovators, outdoor power equipment leader MTD Products Inc. has strengthened its commitment to help professional landscapers, grounds care professionals, and lawn and garden care enthusiasts push the bounds of what they can accomplish.

Last month, MTD – the parent company of Cub Cadet, Troy-Bilt, Columbia, Yard Machines, Remington, Arnold  and other brands – acquired CORE Outdoor Power (CORE), a Polson, Montana-based company that powers outdoor lawn care equipment with gasless motor technology that produces higher torque and increased efficiencies than traditional electric motors. CORE Outdoor Power's products have received accolades from leading industry media for having the performance and durability of gas engines and the ability to withstand the most demanding commercial applications, while producing zero emissions and very little noise.

Prior to the purchase of CORE, MTD also acquired Precise Path Robotics, an Indianapolis-based company that has brought to market the world's only commercially available autonomous greens mower, the RG3, designed specifically for golf course putting greens. Advanced robotic technology allows the RG3 to travel in straight lines and along curved perimeters without the need of an operator to guide it – enabling golf course superintendents to achieve consistent and excellent course conditions while reducing operating costs.

"MTD is committed to the professional market," said Rob Moll, CEO, MTD Products. "Robotic and gasless technologies have the power to transform the world of outdoor power equipment and we look forward to bringing the benefit of these new innovations to our consumer and trade customers."

CORE Outdoor Power's Conductor Optimized Rotary Energy motor produces high-torque rotary motion at higher efficiencies and power levels than conventional electric motors. With zero emissions, little noise, and torque levels equal to two-cycle gasoline powered engines, CORE technology is uniquely poised to disrupt the market for portable outdoor power equipment – especially when combined with the company's recently developed lithium power cell, which is capable of storing and delivering unprecedented amounts of power in a very small package. The marriage of these two technologies allows for an environmentally clean line of products that will allow for a new approach to the outdoor power equipment market, which has been historically dominated by two-cycle gas engines.

Precise Path Robotics is a leader in advanced robotic outdoor equipment, with patented technologies that will enable the development of a wide range of robots for use in a variety of outdoor environments, including golf courses, sports fields and residential homes. Precise Path's robust and modular system architecture integrates a variety of custom and off-the-shelf sensor technologies that are combined in a unique way that produces precise cutting patterns.

"MTD has a history of bringing game-changing innovation to the market," said Jean Hlay, President and COO, MTD Products, "and these two acquisitions serve to reinforce our core principles and accelerate the pace with which we bring our vision of the future to life."

ABOUT MTD PRODUCTS

MTD is a worldwide leader in outdoor power equipment with facilities in North America, Europe, Asia and Australia producing equipment for both residential and professional markets. Founded more than 80 years ago and headquartered in Valley City, Ohio, MTD's engineering expertise and state-of-the-art facilities are known for innovation and award-winning products for brands including Cub Cadet, Troy-Bilt, Columbia, Yard Machines, Remington, Arnold and other brands. MTD has earned a reputation around the world for excellence in quality, customer service and value through advanced manufacturing. To learn more, visit mtdproducts.com.

MTD Provides Continuing Support for Closed Plant's Pension Plan

September 23 -- MTD Products Inc., Cleveland, made an agreement with the PBGC under which the company has made a $4.2 million contribution to its pension plan and will waive a credit balance resulting from a $2.8 million contribution in excess of the minimum required contribution made on Sept. 11, 2009.

The pension plan had $222.6 million in assets as of Dec. 2, 2007, according to Money Market Directories, the most recent data available.

The company’s actions are part of an agreement with the PBGC, resulting from the July 28, 2009, closing of its Brownsville, Tenn., plant, where 358 active retirement plan participants lost their jobs, confirmed PBGC spokesman Marc Hopkins.

“Unlike situations where the PBGC assumes responsibility for failed pension plans, MTD’s plan, with more than 1,870 participants, has not failed, has complied with all funding requirements and remains ongoing under the company’s sponsorship,” according to a PBGC news release.

Federal pension law requires the PBGC to seek additional protection of a plan when more than 20% of its employees lose their jobs due to cessation of operations at a facility.

“Whenever a company closes a plant and 20% of the workers are separated from employment, we seek additional protection for the pension plan,” Mr. Hopkins said in a telephone interview. “We’re not saying these plans are in danger, but we want to make sure these plans are in the best financial shape possible.”