CHART INDUSTRIES INC

CHART INDUSTRIES INC

Previous company name

Name change date

Company Overview
Chart Industries Inc is a leading American-based independent global manufacturer of engineered equipment used in the production, storage and end-use of hydrocarbon and industrial gases. The company was incorporated in the year 1992 and has its registered office address in Garfield Heights, Ohio, USA.
Chart Industries’ operations are organized in three segments: biomedical, distribution and storage, and energy and chemicals. Biomedical segment consists of various product line built around the company’s core competencies in cryogenics but with a focus on the medical and biological end users of the liquids and gases instead of the large producers and distributors of cryogenic liquids; distribution and storage segment are driven primarily by the large and growing installed base of users of cryogenic liquids as well as new applications and distribution technologies for cryogenic liquids; and energy and chemicals segment are driven primarily by the large and growing installed base of users of cryogenic liquids as well as new applications and distribution technologies for cryogenic liquids.
Majority of the company’s products are used throughout the liquid gas supply chain for purification, liquefaction, distribution, storage and end-use applications, the largest portion of which are energy-related. Chart Industries has domestic operations located in eight states and an international presence in Australia, China, the Czech Republic, Germany and the United Kingdom. The company manufactures a broad line of cryogenic and low temperature products for the purification, liquefaction, distribution, storage and application of gases such as natural gas, other hydrocarbons, helium, nitrogen, argon, oxygen and carbon dioxide for final use in a multitude of energy, industrial, commercial and scientific applications. These applications serve many selected markets including energy, biomedical, food, entertainment, aerospace, thermal testing, alternative fuels, vacuum systems and many other industrial end users.
Chart Industries aims the following: continue to develop innovative, high-growth, energy-specific products; leverage our global platform to capitalize on growing international demand; Capitalize on our position as a market leader; and maintain out position as a low-cost producer while continuing to improve operating performance.
Business Summary
Chart Industries, Inc. (Chart) is a manufacturer of engineered equipment used in the production, storage and end-use of hydrocarbon and industrial gases. It is a manufacturer of engineered equipment primarily used for low-temperature and cryogenic applications. Chart’s products, including vacuum insulated containment vessels, heat exchangers, cold boxes and other cryogenic components, are used throughout the liquid gas supply chain for the purification, liquefaction, distribution, storage and end-use of hydrocarbon and industrial gases. It operates in three segments: Energy and Chemicals (E&C), Distribution and Storage (D&S) and BioMedical. In June 2009, the Company completed the acquisition of Chengdu Golden Phoenix Liquid Nitrogen Container Company, Ltd. (Golden Phoenix) and Tri-Thermal, Inc. On November 27, 2009, Caire, Inc. and other wholly owned subsidiaries of the Company completed the acquisition of the liquid oxygen therapy business of Covidien plc.
Description and history
Chart Industries, Inc. (Chart), incorporated in 1992, is a manufacturer of engineered equipment used in the production, storage and end-use of hydrocarbon and industrial gases. It is a manufacturer of engineered equipment primarily used for low-temperature and cryogenic applications. Chart’s products, including vacuum insulated containment vessels, heat exchangers, cold boxes and other cryogenic components, are used throughout the liquid gas supply chain for the purification, liquefaction, distribution, storage and end-use of hydrocarbon and industrial gases. Its primary customers include producers and distributors of hydrocarbon and industrial gases and their suppliers. The Company sells its products and services to more than 2,000 customers worldwide. It operates in three segments: Energy and Chemicals (E&C), Distribution and Storage (D&S) and BioMedical. In June 2009, the Company completed the acquisition of Chengdu Golden Phoenix Liquid Nitrogen Container Company, Ltd. (Golden Phoenix) and Tri-Thermal, Inc. On November 27, 2009, Caire, Inc. and other wholly owned subsidiaries of the Company completed the acquisition of the liquid oxygen therapy business of Covidien plc.

Energy and Chemicals Segment

The Company’s principal products within the E&C segment, which accounted for 43% of sales during the year ended December 31, 2009, are focused on engineered equipment and systems for the energy and chemicals markets, primarily heat exchangers, Core-in-Kettles, cold boxes, process systems and liquid natural gas (LNG) vacuum insulated pipe. These products are used by natural gas, petrochemical processing and industrial gas companies in the production of their products. The Company is a designer and manufacturer of cryogenic brazed aluminum and air cooled heat exchangers. Chart is a designer and fabricator of cold boxes. The Company is a designer, engineer and manufacturer of hydrocarbon process systems for those markets requiring cryogenic technology. These process systems incorporate its own products, including brazed aluminum heat exchangers, Core-in-Kettles, cold boxes, vessels, pipe work and air cooled heat exchangers. The LNG Vacuum Insulated Pipe line consists of vacuum insulated pipe (VIP), used for LNG transportation within both export and import terminals.

Distribution and Storage Segment

Through its D&S segment, which accounted for 42% of its sales during 2009, the Company is a supplier of cryogenic equipment to the global bulk and packaged industrial gas markets. The Company is a supplier of cryogenic bulk storage systems of various sizes ranging from 500 gallons to 180,000 gallons. It is a supplier of cryogenic packaged gas systems of various sizes ranging from 160 liters to 3,000 liters. Cryogenic liquid cylinders are used in the packaged gas industry. The Company has developed two technologies in the packaged gas product area: ORCA Micro-Bulk systems and Tri-fecta Laser Gas assist systems. The Company’s line of cryogenic components includes VIP, engineered bulk gas installations, specialty liquid nitrogen end-use equipment and cryogenic flow meters. These products are sold to industrial gas producers, as well as to distributors, resellers and end users. It supplies cryogenic solutions for the storage, distribution, vaporization, and application of LNG.

The Company supplies cryogenic trailers, bulk storage tanks, tap-off facilities, and vaporization equipment configured for LNG into Virtual Pipeline applications. The Beverage Liquid CO2 Systems consists of vacuum insulated, bulk liquid CO2 containers used for beverage carbonation in restaurants, convenience stores and cinemas, in sizes ranging from 100 pounds to 750 pounds of liquid CO2 storage. It also manufactures and markets non-insulated, bulk fountain syrup containers for side-by-side installation with its CO2 systems. Its beverage systems are sold to restaurant chains, soft drink companies and CO2 distributors. The Company operates locations in the United States and Europe providing installation, service, repair and maintenance of cryogenic products, including storage tanks, liquid cylinders, cryogenic trailers, cryogenic pumps and cryogenic flow meters.

BioMedical Segment

The BioMedical segment, which accounted for 15% of the Company’s sales during 2009, consists of a range of product lines. The Company’s respiratory oxygen product line consists of a range of medical respiratory products, including liquid oxygen systems and ambulatory oxygen systems, which are used primarily for the in-home supplemental oxygen treatment of patients with chronic obstructive pulmonary diseases, such as bronchitis, emphysema and asthma. Its biological storage systems consist of vacuum insulated containment vessels for the storage of biological materials. The primary markets for this product line include medical laboratories, biotech/pharmaceutical, research facilities, blood and tissue banks, veterinary laboratories, repositories and artificial insemination, particularly in the beef and dairy industry.

The Company competes with Linde, Sumitomo, Kobe, Fives, Air Products, Praxair, Air Liquide, Technip, ITP, Taylor-Wharton International, Acme Cryogenics, Vacuum Barrier Corporation and Ind-Burma Petroleum Company.

Business Line
Independent global manufacturer of engineered equipment used in the production, storage and end-use of hydrocarbon and industrial gases
Subsidiary
CAIRE INC
Advisor
ERNST & YOUNG LLP
IPO date
12/1992
US SIC Code
3823
Company Address
Suite 300
1, Infinity Corporate Centre Drive
City province or state postal code
44125, GARFIELD HEIGHTS, OH
Phone: +1 440 753 1490
Fax:
Country address: UNITED STATES OF AMERICA
Website url: www.chart-ind.com