Acquisition: Optimation buys Kodak engineering units

01/04/2007


Optimation Industrial Services , a subsidiary of Optimation Technology Inc., signed an agreement to purchase the capital engineering, capitalized maintenance, and construction units of Kodak's Global Manufacturing Technology Organization . The companies describe Kodak as a major customer for Optimation, a designer of automated processes and machines systems for the manufacturing industries, which calls Kodak one of its most significant clients. The transaction, expected to be completed on or around Dec. 30, 2006, was announced Dec. 5. Terms were not disclosed, although assets and number of persons involved were discussed.

As part of the agreement, Optimation acquires equipment and facilities essential to operating the units and providing capitalized maintenance and construction services. Also under the agreement, Kodak contracts with Optimation to provide services in these areas. Optimation plans to hire approximately 162 employees currently working in these groups. Bill Pollock, president of Optimation, expects the added skills and staff to better serve other clients. "We'll be able to provide both design and maintenance services to other manufacturing plants in Rochester and beyond the local area," Pollack adds.

Terry Taber, general manager of the Global Manufacturing Technology Organization for Kodak, says, the "agreement offers the prospect for enhanced employment stability for our employees who will be moving over to Optimation Technology in 2007. Optimation is a leader in the industry segments it currently serves and is now expanding its scope of services. We look forward to working with them as a partner in our business. This agreement is structured to provide operating flexibility for Kodak, an essential characteristic for our future success."

Optimation, with headquarters in Rush, NY (near Kodak's headquarters in Rochester), has served Kodak for 22 years. Other Optimation offices and subsidiaries are in Syracuse, NY; Boston, MA; Houston, TX; Detroit, MI; St. Paul, MN; and Edmonton, Alberta, Canada. Optimation customer industries include chemical, food, pharmaceutical, medical devices, consumer products, glass, paper, energy, water, and wastewater treatment.

—Edited by Mark T. Hoske , Control Engineering editor in chief





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