ECOLAB INC

ECOLAB INC

Previous company name
ECONOMICS LABORATORY INC
Name change date
12/3/1986
Company Overview
Ecolab Inc., with head office in St. Paul, Minnesota, United States, is the world’s leading producer and supplier of cleaning, food safety and health protection products and services. This company delivers comprehensive programs and services to the foodservice, food and beverage processing, hospitality, healthcare, government and education, retail, textile care, commercial facilities, and vehicle wash industries. This company was founded in 1923 by Merritt J. Osbor.
Ecolab has nine complementary business units. These are: institutional, Kay, pest elimination, food and beverage, healthcare, GCS Service, textile care, vehicle care, and water care services.
The institutional business unit is the world leader in providing cleaning and sanitation products, programs and services to customers in a variety of industries, including: foodservice (full-service restaurants, cafeterias); hospitality (limited to full-service hotels, cruise lines); healthcare (long-term care, assisted living facilities); and commercial facilities (office buildings, schools, retail facilities). This business unit offers more than 700 innovative products and systems.
The Kay business unit is the leading supplier of cleaning and sanitizing products to the United States and international quickservice restaurant industries. This business unit is also gaining market share in the U.S. food retail industry.
The pest elimination business unit provides service and technology for the detection, identification, elimination and prevention of pests in commercial facilities, as well as food safety auditing and training services. This business unit is the largest provider of premium commercial pest elimination services in the United States.
The food and beverage business unit is the leading provider of critical environment sanitation products and systems for the dairy, food and beverage processing, dairy agricultural and pharmaceutic markets. This business unit has gained an increasing amount of business from major corporate and regional customers throughout the world.
The healthcare business unit is a leader in infection control and prevention, providing products and programs to healthcare facilities. Chemical formulations, packaging designs and innovative dispensing systems of this business unit focus on three key market segments: infection prevention, sterile processing and the operating room.
The GCS Service business unit specializes in the care and maintenance of food service equipment. This business unit provides services throughout the United States, with approximately two national distribution centers, 28 regional sales and service centers and more than 500 technicians.
The textile care business unit provides products, systems and services that meet the complex needs of large commercial laundry operations. This business unit was formed by Ecolab to offer chemical and dispensing systems for textile rental and industrial laundries.
The vehicle care business unit is the market leader in the professional car wash chemical industry. this business unit was formed by Ecolabs’ acquisition of Grace-Lee Products in 1997 and Blue Coral systems in 1999.
The water care services business unit provides industrial water treatment products and services for boilers, cooling water and waste treatment systems. This business unit offers products and advanced chemical delivery systems to meet the water treatment needs of its customers.
Ecolab has operations in the Americas, Europe, Asia, the Middle East, and Asia Pacific. Shares of this company are traded on the New York Stock Exchange under the ticker symbol “ECL”.
Business Summary
Ecolab Inc. (Ecolab) develops and markets products and services for the hospitality, foodservice, health care and industrial markets. The Company provides cleaning and sanitizing products and programs, as well as pest elimination, maintenance and repair services primarily to customers in the food and beverage processing, hospitality, healthcare, government and education, retail, textile care, commercial facilities management and vehicle wash sectors. The Company operates in three business segments: United States Cleaning & Sanitizing segment, United States Other Services segment and International segment. In October 2009, the Company acquired ISS pest elimination business in the United Kingdom. In February 2009, the Company acquired Stackhouse business of CORPAK Medsystems, Inc., a marketer of surgical helmets and smoke evacuators, primarily for use during orthopedic surgeries.
Description and history
Ecolab Inc. (Ecolab), incorporated in 1924, develops and markets products and services for the hospitality, foodservice, health care and industrial markets. The Company provides cleaning and sanitizing products and programs, as well as pest elimination, maintenance and repair services primarily to customers in the food and beverage processing, hospitality, healthcare, government and education, retail, textile care, commercial facilities management and vehicle wash sectors. The Company operates in three business segments: United States Cleaning & Sanitizing segment, United States Other Services segment and International segment. In October 2009, the Company acquired ISS pest elimination business in the United Kingdom. In February 2009, the Company acquired Stackhouse business of CORPAK Medsystems, Inc., a marketer of surgical helmets and smoke evacuators, primarily for use during orthopedic surgeries. In December 2010, Campbell Brothers Limited sold its chemical and cleaning solutions business Cleantec to Ecolab Pty Ltd, a subsidiary of the Company.

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 comprised 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.

The Kay Division (which consists of certain wholly owned subsidiaries of the Company) supplies chemical cleaning and sanitizing products primarily to national and regional quick service restaurant chains. Kay’s products include specialty and general purpose hard surface cleaners, degreasers, sanitizers, polishes, hand care products and assorted cleaning tools. Products are sold under the Kay brand or the customer’s private label. In addition, through Kay’s Food Retail business, the Division supplies cleaning and sanitizing products to the food retail industry. Food Retail products are sold primarily through distributors, and include specialty and general purpose hard surface cleaners, degreasers, sanitizers, polishes, hand care products, assorted cleaning tools and floor care products.

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 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 GCS Service. The Pest Elimination Division provides services designed to detect, eliminate and prevent pests in restaurants, food and beverage processors, educational and healthcare facilities, hotels, quick service restaurant and grocery operations and other institutional and commercial customers. In addition, through its EcoSure Food Safety Management business, the Company provides customized onsite evaluations, training and quality assurance services to foodservice operations. The GCS Service 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, GCS Service operates as a parts distributor to repair service companies and end users.

International Segment

The Company conducts business in approximately 72 countries outside of the United States through wholly owned subsidiaries or, in the case of Israel and 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 largest International operations are located in Europe, Asia Pacific, Latin America and Canada, with smaller operations in Africa and the Middle East.

Founded by Merritt J.Osbor

Business Line
Producer and supplier of cleaning, food safety and health protection products and services
Subsidiary
ALCIDE CORP
Advisor
PRICEWATERHOUSECOOPERS LLP
IPO date
12/10/1986
US SIC Code
2842
Company Address
Ecolab Center
370, N. Wabasha Street
City province or state postal code
55102, ST. PAUL, MN
Phone: +1 651 293 2233
Fax: +1 651 293 2092
Country address: UNITED STATES OF AMERICA
Website url: www.ecolab.com