Profile: Airgas Inc (ARG)
28 Jan 2015
Airgas, Inc., incorporated on August 21, 1986,, is a supplier of industrial, medical and specialty gases, and hardgoods, such as welding equipment and related products. The Company is also a producer of atmospheric gases, carbon dioxide, dry ice and nitrous oxide and a supplier of safety products, refrigerants, ammonia products and process chemicals. The Company also offers supply chain management services and solutions, and product and process technical support across many customer segments. The Company operates in two segments: Distribution and All Other Operations. The Company markets its products and services through multiple sales channels, including branch-based sales representatives, retail stores, strategic customer account programs, telesales, catalogs, e-Business and independent distributors.
Distribution Business Segment
The Company’s Distribution business segment’s principal products include industrial, medical and specialty gases sold in packaged and bulk quantities, as well as hardgoods. The Company’s air separation facilities and national specialty gas labs primarily produce gases that are sold by the various regional and other business units within the Distribution business segment as part of the complementary suite of similar products and services for the Company’s customers. Gas sales primarily include atmospheric gases, including nitrogen, oxygen and argon; helium; hydrogen; welding and fuel gases, such as acetylene, propylene and propane; carbon dioxide; nitrous oxide; ultra-high purity grades of various gases; special application blends, and process chemicals. Within the Distribution business segment, the Company also recognizes rent revenue derived from the rental of its gas cylinders, cryogenic liquid containers, bulk storage tanks, tube trailers and welding-related and other equipment.
All Other Operations Business Segment
The All Other Operations business segment consists of six business units. The Company’s primary products produced and/or supplied are carbon dioxide, dry ice (solid form of carbon dioxide), nitrous oxide, ammonia and refrigerant gases. The Company is a producer of liquid carbon dioxide and dry ice. Its customers for carbon dioxide and dry ice include food processors, food service businesses, various businesses in the pharmaceutical and biotech industries, and wholesale trade and grocery outlets. In addition, the Company operates eight liquid carbon dioxide production facilities. The Company’s carbon dioxide production capacity is supplemented by take-or-pay supply contracts with other regional and national liquid carbon dioxide producers.
The Company is a producer of nitrous oxide gas in the United States through its three nitrous oxide production facilities. The Company is a distributor of anhydrous and aqua ammonia. Industrial ammonia applications primarily include the abatement of nitrogen oxide compounds (DeNOx) in the utilities industry, chemicals processing, commercial refrigeration, water treatment and metal treatment. Refrigerants are used in a range of commercial and consumer freezing and cooling applications. The Company purchases and distributes refrigerants and provides technical and refrigerant reclamation services.
The Company operates approximately 29 distribution facilities across the United States and purchases ammonia from suppliers under agreements. The primary focus of the refrigerants business is on the sale, distribution and reclamation of refrigerants, with a varied customer base that includes small and large heating, ventilation, and air conditioning (HVAC) contractors and distributors, facility owners, transportation companies, manufacturing facilities and government agencies.
SUITE 100, 259 N. RADNOR-CHESTER
RADNOR PA 19087