Emerson buys Motorola's Embedded Communications Computing business

ST. LOUIS, 28 Sept. 2007. Emerson Electric Co. in St. Louis is acquiring the Motorola Embedded Communications Computing (ECC) business in Tempe, Ariz., for $350 million in cash, and will make it part of Emerson Network Power to strengthen Emerson's position in the $6 billion merchant embedded computing industry.

The transaction should close by the end of the year and is subject to regulatory approvals. The sale of Motorola Embedded had been expected for many months.

Motorola's ECC business is a provider of embedded computing products and services to communication infrastructure and equipment manufacturers in telecommunications, medical imaging, defense and aerospace, and industrial automation.

Based in Tempe, Arizona, Motorola's ECC business has approximately 1,100 employees. The business has driven open standards and pioneered technologies based upon them since it was formed in 1980.

For Emerson, the transaction enhances its ability to meet the embedded computing needs in telecommunications and other industries, company officials say. Motorola's ECC business brings complementary technology with Emerson Network Power's embedded computing and embedded power businesses.

Emerson Network Power and Motorola ECC embedded computing technologies feature Advanced Telecommunications Computing Architecture (AdvancedTCA) and Micro Telecommunications Computing Architecture (MicroTCA) standards.

In telecommunications, embedded computing consolidates, translates, routes and monitors voice, video and data information. Local and long-distance wireline offices and wireless base stations depend on embedded computing.

"The combination of Motorola's ECC business with the $100 million embedded computing business we acquired as part of Artesyn last year establishes Emerson as a leader in the embedded computing industry," says David N. Farr, Emerson's chief executive officer and president.

"We believe that Emerson has the proven track record to continue to serve ECC's customers with the same high quality and level of products and services," says Ed Zander, chairman and chief executive officer of Motorola Inc. "We have the highest regard for the talented and dedicated ECC employees and are confident they will be a welcome addition to the Emerson team."

For more information contact Emerson Network Power online at www.emersonnetworkpower.com, or Motorola at www.motorola.com.

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