Cintas

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Cintas Corporation
TypePublic
IndustryService
Founded1929; 92 years ago (1929) (as Acme Industrial Laundry Company)
FoundersRichard (Doc) Farmer
Headquarters,
U.S.
Key people
  • Todd Schneider (CEO)[1]
  • Richard T. Farmer (Chairman Emeritus)
  • Scott Farmer (Executive Chairman)[2]
  • Mike Thompson (Executive Vice President and CAO)[3]
Revenue
  • Increase US$7.09 billion (2020)[4]
  • Increase US$4.476 billion (2015)
  • Increase US$1.16 billion (2020)[4]
  • Increase US$701.36 million (2015)
  • Increase US$876 million (2020)[4]
  • Increase US$430.62 million (2015)
Total assets
  • Increase US$7.67 billion (2020)[5]
  • Increase US$4.192 billion (2015)
Total equity
  • Increase US$3.24 billion (2020)
  • Increase US$1.932 billion (2015)
Number of employees
40,000[6] (2020)
Websitewww.cintas.com
Footnotes / references
[7][8]
Cintas delivery truck in Ann Arbor, Michigan
Cintas delivery truck in Markham, ON

Cintas Corporation (/ˈsɪntɑːz/) is an American corporation headquartered in Cincinnati, Ohio, which provides a range of products and services to businesses including uniforms, mats, mops, cleaning and restroom supplies, first aid and safety products, fire extinguishers and testing, and safety courses.[9] Cintas is a publicly held company traded on the Nasdaq Global Select Market under the symbol CTAS and is a component of the Standard & Poor's 500 Index.

The company is one of the largest in the industry with over 40,000 employees in 2020.[6] In 2020, the company reported $7.09 billion in total revenue.[4]

History[edit]

Early company years[edit]

Cintas Corporation began in 1929 as the Acme Industrial Laundry Company by Richard (Doc) Farmer and Amelia Farmer.[10] They collected old, used rags from factories, laundered them, and sold them back to businesses. In the early 1940s, Doc’s son Hershell, took over and replaced the old rags with shop towels, becoming a service company. By then, the company’s name had changed to Acme Wiper and Industrial Laundry.[11]

Herschell’s son, Richard "Dick" Farmer, joined the family business in 1957 after graduating from Miami University in Oxford, Ohio. Acme had just 12 employees at the time. In 1959, Hershel handed the business over to Dick, allowing him to expand into uniform rental. The company became Acme Uniform and Towel Supply in 1964. Dick worked with Celanese Corporation, Graniteville, and Redkap to develop a 65/35 Polycotton fabric blend. In 1968, Dick Farmer founded the Satellite Corporation. He opened the first location in Cleveland and the companies merged in 1970.[11] In 1972, the company changed its name to Cintas and then went public in 1983.[12]

Scott Farmer, seen here in 2018, was the CEO of Cintas from 2003 to 2021.

Cintas expanded its uniform services into Canada with the acquisition of Cadet Uniform Service Ltd in 1995. Bob Kohlhepp became CEO in 1996, while Dick Farmer became Chairman of the Board. In 1997, Cintas entered the First Aid & Safety business. In July 1998, Dick Farmer's son Scott Farmer, who has been employed at the company since 1981, became president and chief operating officer.[11][13]

2000s to present[edit]

In 2002, Cintas acquired a number of companies, including uniform rental company Omni Services, and first-aid companies Petragon, American First Aid, and Respond Industries.[14][15]

In 2003, Cintas acquired Kamp Fire Equipment, a distributor of fire safety products and services.[15][16][17]

UNITE HERE was the subject of a ruling that was subsequently upheld by the U.S. Court of Appeals for the Third Circuit. The court ruled that the labor union violated the privacy of thousands of Cintas employees in Pennsylvania, by illegally obtaining their license plate numbers in order to access their home addresses and other personal information.[18][10]

Another investigation involved the March 2007 death of a Tulsa, Oklahoma employee. Both unions and several Members of Congress called for stricter health and safety standards at Cintas laundry facilities.[19][20]

Phillip Holloman became President and COO in 2008.[21] Dick Farmer then became chairman emeritus, and Bob Kohlhepp became Chairman of the Board.[15][22]

In 2015, Cintas acquired Zee Medical from McKesson Corporation for approximately $130 million.[23]

In 2016, CEO Scott Farmer became chairman of the board.[13]

In 2017, Cintas made their largest acquisition with G&K Services for $2.2 billion.[24]

Cintas has been included on the Fortune 500 list three years in a row, in 2018, 2019 and 2020.[25]

In 2021, Scott Farmer retired as CEO, retaining his position as Executive Chairman.[26] Todd Schneider, former Executive Vice President and COO, was selected to replace Farmer.[27]

Products and Services[edit]

The company offers uniforms for rental and direct purchase, restroom and chemical supplies, mats, microfiber towels, mops, disinfectant sprays, and hand sanitizer. The company also sells first aid supplies, personal protection equipment (PPE), AEDs, training and compliance courses, eyewash stations, and water coolers to businesses. Cintas also repairs fire extinguishers. Part of Cintas' response to the COVID-19 pandemic has involved an increase in cleaning products and services, hand sanitizer, and personal-protective equipment and services.[28]

References[edit]

  1. ^ "Todd M Schneider". Bloomberg.
  2. ^ "Scott D Farmer". Bloomberg.
  3. ^ "Michael L. Thompson". The Org.
  4. ^ a b c d "Cintas Corporation (CTAS)". Yahoo! Finance.
  5. ^ "Total assets of Cintas from FY 2012 to FY 2020". Statista.
  6. ^ a b "Cintas: Number of Employees 2006-2020". Macrotrends.
  7. ^ "CINTAS CORP 2013 Annual Report Form (10-K)" (XBRL). United States Securities and Exchange Commission. July 30, 2013.
  8. ^ "CINTAS CORP 2014 Q3 Quarterly Report Form (10-Q)" (XBRL). United States Securities and Exchange Commission. April 9, 2014.
  9. ^ "The Service Professionals". Cintas. Retrieved July 8, 2016.
  10. ^ a b Bailey, Jeff (August 11, 2005). "Where Neatness Truly Counts". New York Times.
  11. ^ a b c "Timeline".
  12. ^ "Cintas Company Timeline". Cintas Corporation. Retrieved June 1, 2020.
  13. ^ a b "Scott D Farmer, Cintas Corp". Bloomberg Markets. Bloomberg L.P. Retrieved February 6, 2020.
  14. ^ "Facilities Solutions - Uniforms, Facilities Services, First Aid & Safety and Fire Protection". OMNIA Partners.
  15. ^ a b c "Timeline". Cintas Cares.
  16. ^ Williams, Lance (March 29, 2004). "heat in fire protection market". Cinncinati Business Courier.
  17. ^ Kostrinsky, Tanya (May 5, 2020). "Value Investing with Legends" (PDF). Columbia.
  18. ^ "High court upholds ruling in Cintas case". Cincinnati.com. April 7, 2009. Archived from the original on October 9, 2012.
  19. ^ Sewell, Dan (March 17, 2007). "Federal court: Cintas policy violated rights". The Cincinnati Post (Associated Press). E. W. Scripps Company. Archived from the original on March 25, 2007.
  20. ^ "House Leaders Want Cintas Inquiry". September 28, 2007. Archived from the original on September 28, 2007.
  21. ^ McCauley, Byron (July 15, 2018). "Cintas' trailblazing COO Phillip Holloman steps down after 22 years". Cincinnati Enquirer.
  22. ^ "Farmer family". Forbes.
  23. ^ "Cintas Corporation Announces Agreement to Purchase ZEE Medical". Business Wire. Retrieved January 24, 2019.
  24. ^ "Exhibit 99.1". Sec.Gov.
  25. ^ "Cintas". Fortune.
  26. ^ "Scott D Farmer, Cintas Corporation". www.bloomberg.com. Retrieved June 7, 2021.
  27. ^ "Todd M Schneider, Cintas Corporation". www.bloomberg.com. Retrieved June 7, 2021.
  28. ^ "COVID-19 Supplier Directory". Florida Restaurant & Lodging Association.

External links[edit]