Generac Power Systems
|Traded as||NYSE: GNRC|
|Key people||Aaron Jagdfeld, CEO|
|Revenue||$593 million (2010)|
|Parent||Generac Holdings, Inc.|
Generac Power Systems is a manufacturer of backup power generation products for residential, light commercial and industrial markets. Generac’s power systems range in output from 800 watts to 9 megawatts, and are available through independent dealers, retailers and wholesalers. Generac is headquartered in Waukesha, Wisconsin, and has manufacturing facilities in Eagle and Whitewater, Wisconsin.
Founded in 1959, the company soon began producing portable generators for Sears, Roebuck and Co. under the Craftsman brand. During the 1970s, Generac expanded its offerings in the portable and recreational vehicle markets, and in the 1980s the company entered the commercial and industrial markets with its backup power generation systems.
In 1992, Generac began private labeling generator sets for Caterpillar, Inc. As the partnership grew between the two companies, they discussed a potential acquisition of Generac by Caterpillar, although a deal was never finalized. In June 1996, Caterpillar decided to terminate the private labeling agreement. Generac then sued Caterpillar under the Wisconsin Fair Dealership Law ("WFDL"), the Sherman Antitrust Act, the Wisconsin common law concerning restrictive covenants, and the Illinois Consumer Fraud and Deceptive Business Practices Act. The federal district court, in two separate orders, disposed of the action in Caterpillar's favor. Generac then challenged the lower court's rulings in the U.S. 7th Circuit Court of Appeals, which ruled that Generac's claims were properly dismissed by the lower court. Generac continued to supply some transfer switches to Caterpillar until 2002, when Caterpillar changed suppliers.
In 1998, Generac sold its portable products division to the Beacon group, a private equity firm, who later sold it to Briggs & Stratton Corporation. Upon expiration of a non-compete agreement related to the sale in 2007, Generac re-entered the portable generator market in 2008.
In late 2006, Generac was purchased by CCMP Capital of New York. In 2009 CCMP took a write-off, described as a non-cash goodwill and trade name impairment charge, of $583.5 million against their purchase of Generac. Aaron Jagdfeld was appointed president and chief executive officer in September, 2008 and is the current CEO.
Generac goes public
On February 11, 2010, Generac Holdings Inc. (NYSE: GNRC), parent company of Generac Power Systems, Inc., began trading on the New York Stock Exchange under the ticker symbol GNRC. The initial public offering provided $224 million in net proceeds, which were used to pay down debt.
Generac's industrial sizing application, Power Design Pro, received silver in the 2010 Plant Engineering "Product of the Year" award.
Generac manufactures gaseous-fueled, diesel-fueled and bi-fuel engine-driven power generation equipment, modular paralleling systems, automatic transfer switches and small engines. The company supplies products to the industrial, commercial, portable and RV generator markets. They distribute through several distributors including Integrity Supply.
In December 2009, Generac introduced Generac Industrial Power (a rebranding of its industrial products division) to include new engines, new enclosures, ergonomic changes and aesthetic changes. This included a partnership with Fiat Powertrain Technologies to supply Generac with industrial diesel engines for use in industrial generators.
- Generac Power Systems - About Us
- Generac workers get a holiday surprise - JSOnline
- Tom Daykin (November 7, 2011), "Generac to add over 400 jobs at Wisconsin plants", Milwaukee Journal Sentinel, JSOnline
- HQ may now be based in Genesee, Wisconsin according to more recent publication: Jeff Engel (October 29, 2012), "Hurricane Sandy puts Wisconsin generator makers into overdrive", Milwaukee Business Journal, bizjournals.com, retrieved October 30, 2012
- Financial Statements for Generac Holdings Inc. - Google Finance
- "Generac Holdings Inc (GNRC.K) Company Profile – Reuters.com". Reuters.
- 2010 Generac Holdings Annual report
- American Bar Association. Section of Antitrust Law (1999). Annual review of ... antitrust law developments. Section of Antitrust Law, American Bar Association. Retrieved 30 December 2011.
- United States Court of Appeals, Seventh Circuit No.97-1404
- GENERAC HOLDINGS INC. - FORM S-1/A - January 25, 2010
- Budde, Andrea (May 30, 2012). "Generac named among top workplaces in area". Living Lake Country. Retrieved 28 July 2013.
- Product of the Year 2010 Winners | Plant Engineering
- "Generac Power Systems Earns Good Housekeeping Seal". Rental Equipment Register magazine. May 15, 2009. Retrieved 28 July 2013.
- Generac Industrial Power, Fiat Powertrain Technologies Announce Strategic Partnership for Diesel Engines Supply | Business Wire