Profile: Ecolab Inc (ECL.N)

ECL.N on New York Stock Exchange

22 May 2015
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Ecolab Inc. (Ecolab), incorporated in 1924, develops and markets products and services for the hospitality, foodservice, healthcare and industrial markets. The Company provides cleaning and sanitizing products and programs, as well as pest elimination, equipment maintenance and repair services primarily to customers in the foodservice, food and beverage processing, hospitality, healthcare, government and education, retail, textile care, commercial facilities management and vehicle wash sectors. The Company business segments include United States Cleaning & Sanitizing segment, United States Other Services segment, International segment, Water Services segment, Paper Services segment and Energy Services segment. In March 2014, the Company acquired AK Kraus & Hiller Schadlingsbekampfung.

In March 2011, the Company purchased the assets of O.R. Solutions, Inc. In December 2011, it merged with Nalco Holding Company. In December 2011, the Company acquired Esoform. In December 2011, the Company acquired the InsetCenter pest elimination business in Brazil. In March 2012, it acquired Econ Industria e Comercio de Produtos de Higiene e Limpeza Ltda. On December 1, 2012, the Company's Vehicle Care division was purchased by a wholly owned subsidiary of Zep Inc.

United States Cleaning & Sanitizing Segment

The United States Cleaning & Sanitizing segment consists of six business units, which provide cleaning and sanitizing products and programs to United States markets. The Institutional Division sells specialized cleaners and sanitizers for washing dishes, glassware, flatware, foodservice utensils and kitchen equipment (warewashing), for on-premise laundries (typically used by hotel and healthcare customers) and for general housekeeping functions, as well as food safety products and equipment, dishwasher racks and related kitchen sundries to the foodservice, lodging, educational and healthcare industries. The Institutional Division also provides pool and spa treatment programs for hospitality and other commercial customers, as well as a range of janitorial cleaning and floor care products and programs to customers in hospitality, health care and commercial facilities. The Institutional Division develops and markets various chemical dispensing device systems, which are made available to customers, to dispense its cleaners and sanitizers. In addition, the Institutional Division markets a lease program consisted of dishwashing machines, detergents, rinse additives and sanitizers, including full machine maintenance.

The Food & Beverage division addresses cleaning and sanitation at the beginning of the food chain to facilitate the processing of products for human consumption. The Division provides detergents, cleaners, sanitizers, lubricants and animal health products, as well as cleaning systems, electronic dispensers and chemical injectors for the application of chemical products, primarily to dairy plants, dairy farms, breweries, soft-drink bottling plants, and meat, poultry and other food processors. The Food & Beverage Division is also a developer and marketer of antimicrobial products used in direct contact with meat, poultry, seafood and produce during processing in order to reduce microbial contamination. The Food & Beverage Division also designs, engineers and installs clean-in-place (CIP) process control systems and facility cleaning systems for its customer base.

Ecolab’s Kay business unit supplies cleaning and sanitizing chemical products and related items primarily to regional, national and international quick service restaurant (QSR) chains and to regional and national food retailers (supermarkets and grocery stores). Its products include specialty and general purpose hard surface cleaners, degreasers, sanitizers, polishes, hand care products and assorted cleaning tools and equipment, which are primarily sold under the Kay and Ecolab brand names. Kay supports its product sales with employee training programs and technical support designed to meet the needs of its customers.

Both Kay’s QSR business and its food retail business utilize a corporate account sales force, which establishes relationships and negotiates contracts with customers at the corporate headquarters and regional office levels and a field sales force, which provides program support at the individual restaurant or store level. Customers in the QSR market segment are primarily supplied through third-party distributors. The Healthcare Division provides infection prevention and other healthcare related offerings to acute care hospitals, surgery centers, dental offices and veterinary clinics. The Healthcare Division’s infection prevention products (hand hygiene, hard surface disinfectants, instrument cleaners, patient drapes, fluid control and equipment drapes) are sold primarily under the Ecolab and Microtek brand names to various departments within the acute care environment (Infection Control, Environmental Services, Central Sterile and Operating Room).

The Textile Care Division provides chemical laundry products and dispensing systems, as well as related programs, to large industrial and commercial laundries. The Textile Care Division’s customers include free-standing laundry plants used by institutions, such as hotels, restaurants and healthcare facilities, as well as industrial and textile rental laundries. Products and programs include laundry cleaning and specialty products, related dispensing equipment, plus water and energy management. The Vehicle Care Division provides vehicle appearance products, which include soaps, polishes, sealants, wheel and tire treatments and air fresheners. Products are sold to vehicle rental, fleet and consumer car wash and detail operations. Brand names utilized by the Vehicle Care Division include Blue Coral, Black Magic and Rain-X.

United States Other Services Segment

The United States Other Services segment consists of two business units: Pest Elimination and Equipment Care. The Pest Elimination Division provides services designed to detect, eliminate and prevent pests, such as rodents and insects, in restaurants, food and beverage processors, educational and healthcare facilities, hotels, quick service restaurant and grocery operations and other institutional and commercial customers. Equipment Care Division provides equipment repair and maintenance services for the commercial food service industry. Repair services are offered for in-warranty repair, acting as the manufacturer’s authorized service agent, as well as after warranty repair. In addition, Equipment Care operates as a parts distributor to repair service companies and end use customers.

International Segment

The Company conducts business in approximately 74 countries outside of the United States through wholly owned subsidiaries or, in the case of Venezuela, through joint ventures with local partners. In other countries, selected products are sold by the Company’s export operations to distributors, agents or licensees. Its International operations are located in Europe, Asia Pacific, Latin America and Canada, with smaller operations in Africa and the Middle East.

Water Services and Paper Services Segments

The Water and Process Services business consist of two segments: Water Services, which focuses on customers across industrial and institutional markets, and Paper Services, serving the pulp and paper industries. It serve customers in the aerospace, chemical, pharmaceutical, mining and primary metals, power, food and beverage, medium and light manufacturing and pulp and papermaking industries as well as institutional clients such as hospitals, universities, commercial buildings and hotels. The Paper Services segment offers a portfolio of programs that are used in all principal steps of the papermaking process and across all grades of paper, including graphic grades, board and packaging, and tissue and towel.

It provides water treatment capabilities to a range of industries. The water treatment applications include cooling water applications, boiler water applications, raw water/potable water preparation, wastewater applications and water reuse and recycling. Its cooling water treatment programs are designed to control the main problems associated with cooling water systems, such as corrosion, scale and microbial fouling and contamination in open recirculating, once-through and closed systems. Its three dimensional (3D) TRASAR technology for cooling water is automated system for simultaneous control of corrosion, scale and microbial fouling and contamination. It also provides pulp and papermaking applications.

Energy Services Segment

The Energy Services Division provides on-site, technology-driven solutions to the global drilling, oil and gas production, refining, and petrochemical industries. In addition to recovery, production and process enhancements, it delivers a range of water treatment offerings to refineries and petrochemical plants. The Energy Services Division is divided into an Upstream group composed of its Adomite, Oil Field Chemicals and Enhanced Oil Recovery businesses and a Downstream refinery and petrochemical processing service business.

The Adomite group offers a range of product solutions. It supplies chemicals for the cementing, drilling, fracturing and acidizing phases of well drilling and stimulation. The Oilfield Chemicals business provides solutions to the oil and gas production sector. It focuses in crude oil and natural gas production, pipeline gathering/transmission systems, gas processing, and heavy oil and bitumen upgrading. TIORCO business globally markets custom-engineered chemical solutions. Its services include reservoir screening, target validation, laboratory and reservoir simulation work, secondary flood optimization, tertiary recovery flood design and implementation and when needed, a produced water treatment solution. It provide total water management solutions to customers’ refining and chemical processing needs, including boiler treatment, cooling water treatment and wastewater treatment.

Company Address

Ecolab Inc

ST. PAUL   MN   55102
P: +1651.2932233
F: +1302.6555049

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