8-KRegulation FDExhibits & Filings

EMERSON ELECTRIC CO 8-K Report, Regulation FD Disclosure (Sep 9, 2010)

Filed September 9, 2010For Securities:EMR

Summary

Emerson Electric Co. (EMR) filed an 8-K on September 9, 2010, to disclose updated financial guidance following recent strategic transactions. During an investor conference call, management provided details on the anticipated impact of the Chloride acquisition and the pending divestitures of the LANDesk and Motors and Appliance Controls businesses. The company confirmed that underlying business expectations remain consistent with those previously communicated on August 3, 2010. This filing primarily serves to inform investors about the net positive impact of these transactions on the company's earnings per share for fiscal years 2010 and 2011.

Key Highlights

  • 1Emerson Electric Co. announced updated FY2010 earnings per share (EPS) guidance following the Chloride acquisition and pending divestitures.
  • 2The company expects the net impact of these transactions to be positive for FY2010 EPS.
  • 3Reported FY2010 EPS is now projected to be in the range of $2.70 to $2.85.
  • 4This represents a $0.10 to $0.15 positive net impact compared to the previous guidance of $2.60 to $2.70.
  • 5The acquisition of Chloride is completed, and the dispositions of LANDesk and Motors and Appliance Controls are expected to be completed by September 30, 2010.
  • 6Underlying business expectations for Emerson remain unchanged from prior disclosures.
  • 7A slide containing detailed projections on the effects of these transactions on FY2010 and FY2011 EPS was presented and filed as an exhibit.

Frequently Asked Questions

The primary transactions are the completed acquisition of Chloride and the pending dispositions of the LANDesk business and the Motors and Appliance Controls business.

The net impact of these transactions is expected to be positive, increasing the projected FY2010 EPS by $0.10 to $0.15. The updated EPS guidance is now between $2.70 and $2.85.

The dispositions of the LANDesk and Motors and Appliance Controls businesses are expected to be completed by September 30, 2010.

No, Emerson stated that there are no significant changes to its underlying business expectations from those previously disclosed in its August 3, 2010, earnings release.