What is the main takeaway from Emerson's order trends as reported in this 8-K?

The primary takeaway is that Emerson Electric Co. is experiencing a significant and ongoing downturn in its order book, reflecting the challenging global economic conditions of early 2009. Orders are declining across all major segments, with a notable sequential worsening from March to April, indicating continued pressure on customer spending and inventory levels.

How much did currency fluctuations affect Emerson's reported orders?

For the trailing three months ending April 2009, currency exchange rates had a negative impact of approximately 6 percentage points on Emerson's underlying orders. The company also specifically noted a negative impact from currency and a stronger U.S. dollar on Process Management orders due to backlog revaluation.

Which business segments are showing the most significant weakness?

While broad weakness is present across all segments, Industrial Automation is facing significant declines due to a sharp drop in global gross fixed investment. Climate Technologies is also experiencing broad weakness across residential, commercial, and refrigeration markets, with the commercial outlook being the weakest.

When and where can investors find more information or hear directly from Emerson's leadership?

Emerson's CEO, David N. Farr, is scheduled to present at the 2009 Electrical Products Group Conference on May 20, 2009, from 10:45 a.m. to 11:25 a.m. EDT. The presentation slides will be available on the Investor Relations section of Emerson's website (www.emerson.com/financial) starting at the presentation time.

EMR 8-K: Regulation FD — May 19, 2009

Summary

This Form 8-K filing by Emerson Electric Co. (EMR) on May 19, 2009, provides an update on the company's "Underlying Orders" on a GAAP basis for the three months ending April 2009. The report indicates a continued challenging economic environment, with total Emerson underlying orders down 25% to 30% year-over-year for the trailing three-month period ending April 2009. Currency exchange rates had a negative impact of approximately 6 percentage points on orders. The company notes a sequential deterioration in orders from March to April, attributing this to customers continuing to reduce inventory, backlogs, and business spending. All major business segments reported significant order declines, with Industrial Automation and Climate Technologies showing particular weakness. The filing also includes details about an upcoming investor event on May 20, 2009, where CEO David N. Farr is scheduled to present at the 2009 Electrical Products Group Conference. The presentation slides will be made available on Emerson's investor relations website. The company reiterates its forward-looking statements are subject to risks and uncertainties, including economic and currency conditions, as detailed in its most recent Form 10-K.

Key Highlights

1Emerson Electric Co. reported a significant decline in underlying orders, with the trailing three-month average for the period ending April 2009 down 25% to 30% year-over-year.
2A sequential deterioration in underlying orders was observed from March to April 2009, indicating ongoing weakness in customer demand and spending.
3Currency exchange rates negatively impacted reported orders by approximately 6 percentage points for the trailing three months ending April 2009.
4All major business segments, including Process Management, Industrial Automation, Network Power, Climate Technologies, and Appliance and Tools, experienced substantial order declines.
5Industrial Automation faced broad weakness due to declining global gross fixed investment, while Climate Technologies saw weakness across residential, commercial, and refrigeration end markets.
6The company will present at the 2009 Electrical Products Group Conference on May 20, 2009, with the CEO, David N. Farr, scheduled to speak.
7Presentation slides for the upcoming investor event will be available on Emerson's investor relations website.

EMERSON ELECTRIC CO 8-K Report, Regulation FD Disclosure (May 19, 2009)

Summary

Key Highlights

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