Glenview, IL, Dec. 17—The board of directors of Illinois Tool Works has decided to divest ITW's Consumer Products businesses.

The three consumer businesses— Florida Tile, Precor specialty exercise equipment,  and West Bend appliances and premium cookware—became part of ITW in its November 1999 merger with Premark International. Revenues for these businesses were $483 million in 2000.

"While we consider these businesses to be valuable assets, the consumer characteristics of these companies ultimately led us to conclude that they were not a good long term fit with our traditional business to business approach to customers and end markets," said W. James Farrell, ITW's chairman and CEO.

ITW also stated that as a result of the anticipated divestiture of the Consumer Products businesses, it does not expect to incur a charge to earnings. The firm will restate its financial results for the 2001 fourth quarter and full year as well as prior periods to reflect these businesses as discontinued operations. The company expects to announce its fourth quarter and full year results on January 29.

Copyright 2001 Floor Focus Inc