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Electromotive Systems Signs Marketing Agreement With Omron IDM Controls

MENOMONEE FALLS, Wis. - May 9, 2001 - Electromotive Systems, the world's leading designer and manufacturer of electrification and control products for the overhead material handling industry, today announced they have signed a marketing agreement with Omron IDM Controls (Houston, TX), a leading supplier of AC variable frequency drives. Under the terms of the alliance, Omron IDM will transfer sales and support for their crane and hoist customers to Electromotive Systems.

According to Perry Pabich, Electromotive Systems Director of Sales and Marketing, Electromotive Systems will work with Omron IDM to convert IDM's existing customers and new opportunities to Electromotive's products. "Electromotive Systems and Omron IDM will work together to ensure a smooth transition for all Omron IDM's crane and hoist customers," said Mr. Pabich.

Omron IDM's decision to enter into the agreement, according to Robert Bost, Division Manager of Omron IDM Controls, stems from their desire to focus their resources on growth opportunities as a part of Omron. IDM's engineering, manufacturing and marketing efforts will be directed at their primary markets, plastics and paper converting, metals, oil field, and HVAC. Their involvement in the crane and hoist industry will be limited to board repair and service.

Also under discussion between the two companies is an agreement whereby Omron IDM may provide after market service for Electromotive's drive products. Although yet to be finalized, this agreement would enhance Electromotive's ability to provide after market service at a local level.

Electromotive Systems is owned by Magnetek, Inc., a leading manufacturer of digital power and control products, with sales of over $300 million in 2000. IDM Controls is a leading supplier of AC drives, engineered drive systems, and related support services, and is a wholly owned subsidiary of the Omron Corporation, based in Tokyo, Japan ($5.2B sales in 2000).

Media Contact:
Lynn Bostrom
Director, Marketing Communications
(262) 252-2903

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