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    Illinois Tool Works Inc (ITW)

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    Illinois Tool Works Inc. (ITW) is a global manufacturer specializing in a diverse range of industrial products and equipment, organized into seven distinct segments . The company serves various markets, contributing to its overall revenue through these segments. ITW's offerings include components and fasteners for automotive applications, commercial food equipment, testing and measurement tools, welding equipment, engineered adhesives, construction fastening systems, and niche market products like beverage packaging equipment .

    1. Automotive OEM - Supplies components and fasteners for automotive applications, primarily serving original equipment manufacturers and tier markets .
    2. Test & Measurement and Electronics - Produces equipment and consumables for testing and measuring materials and structures, serving diverse markets including electronics and automotive .
    3. Food Equipment - A leader in commercial food equipment, serving food service, retail, and institutional markets with products like warewashing and cooking equipment .
    4. Construction Products - Offers fastening systems and solutions for construction markets .
    5. Welding - Manufactures arc welding equipment and consumables for industrial applications .
    6. Polymers & Fluids - Provides engineered adhesives, sealants, and fluids for niche markets .
    7. Specialty Products - Focuses on niche markets with products like beverage packaging equipment and appliance components .
    NamePositionExternal RolesShort Bio

    Christopher A. O'Herlihy

    ExecutiveBoard

    President & CEO

    Director at Masco Corporation

    Joined ITW in 1989. Held roles including Vice Chairman and EVP of Food Equipment. Became CEO on Jan 1, 2024. Key contributor to ITW's Enterprise Strategy and 2030 performance goals.

    View Report →

    Axel R.J. Beck

    Executive

    Executive Vice President

    None

    EVP since 2020. Previously Group President of Food Equipment. Led 6.3% organic growth in Food Equipment over three years.

    Guilherme Silva

    Executive

    Executive Vice President

    None

    EVP since 2024. Previously Group President of Test & Measurement and Electronics Businesses and Polymers & Fluids Businesses.

    Javier Gracia Carbonell

    Executive

    Executive Vice President

    None

    EVP since 2022. Previously Group President of Construction Businesses and VP/GM of Construction Businesses.

    Jennifer K. Schott

    Executive

    Senior Vice President, General Counsel & Secretary

    None

    Joined ITW in 2021. Previously held legal leadership roles at Caterpillar and Discover Financial Services.

    Mark A. Thibeault

    Executive

    Executive Vice President

    None

    EVP since 2025. Previously Group President and VP/GM of Test & Measurement and Electronics Businesses.

    Mary K. Lawler

    Executive

    Senior Vice President & Chief HR Officer

    None

    Serving as CHRO since 2014. No additional roles or achievements detailed in the documents.

    Michael M. Larsen

    Executive

    Senior Vice President & CFO

    None

    Joined ITW in 2013 as CFO. Oversees financial operations. No external roles mentioned.

    Patricia A. Hartzell

    Executive

    Executive Vice President

    None

    EVP since 2022. Previously Group President and VP/GM of Test & Measurement and Electronics Businesses.

    Randall J. Scheuneman

    Executive

    Vice President & Chief Accounting Officer

    None

    Serving as CAO since 2009. No additional roles or achievements detailed in the documents.

    Sharon A. Szafranski

    Executive

    Executive Vice President

    None

    EVP since 2020. Previously Group President and VP/GM of Test & Measurement and Electronics Businesses.

    T. Kenneth Escoe

    Executive

    Executive Vice President

    None

    EVP since 2020. Previously Group President and VP/GM of Specialty Products Businesses.

    Daniel J. Brutto

    Board

    Director

    Director at Sysco Corporation

    ITW director since 2012. Former President of UPS International. Extensive global operations experience.

    Darrell L. Ford

    Board

    Director

    None

    ITW director since 2021. EVP and CHRO at UPS. Extensive human capital management expertise.

    Jaime Irick

    Board

    Director

    None

    ITW director since 2024. Former SVP at PPG Industries and President of Life Fitness Division at Brunswick Corporation.

    James W. Griffith

    Board

    Director

    None

    ITW director since 2012. Retired CEO of The Timken Company. Extensive manufacturing and governance expertise.

    Jay L. Henderson

    Board

    Director

    Director at The J.M. Smucker Company and Northern Trust Corporation

    ITW director since 2016. Retired Vice Chairman of PwC. Extensive audit and governance expertise.

    Kelly J. Grier

    Board

    Director

    None

    ITW director since 2022. Former US Chair and Managing Partner (CEO) of Ernst & Young LLP.

    Pamela B. Strobel

    Board

    Director

    Director at State Farm Mutual Automobile Insurance Company

    ITW director since 2008. Retired EVP and CAO of Exelon Corporation. Extensive legal and risk management expertise.

    Richard H. Lenny

    Board

    Independent Lead Director

    Non-Executive Chairman of Conagra Brands; Director at McDonald’s Corporation

    ITW director since 2014. Former Chairman, President, and CEO of Hershey. Extensive governance and strategy expertise.

    Susan Crown

    Board

    Director

    Chairman and CEO of Owl Creek Partners; Director at Northern Trust Corporation

    ITW director since 1994. Extensive governance and leadership experience. Founder of Susan Crown Exchange.

    1. Given that the Specialty segment is a collection of disparate businesses with limited growth in recent years, what specific actions are you taking to streamline this segment and ensure sustainable margin expansion over the long term?
    2. With your long-term growth target of 4% to 7%, and 2 to 3 percentage points expected from customer-back innovation, how confident are you in achieving this ambitious goal, especially considering past contributions were lower?
    3. Considering the negative 2% organic growth in North America and declines in key segments like Welding and Polymers & Fluids, how are you addressing the underlying demand challenges beyond destocking effects?
    4. Your operating margin guidance has increased by 165 basis points on flat organic growth; can you break down the key drivers of this improvement and explain how much is sustainable in the current market environment?
    5. In light of your strategic repositioning and potential for product line pruning, are there any plans to divest underperforming assets within the Specialty segment to further optimize your portfolio?
    Program DetailsProgram 1Program 2
    Approval DateMay 7, 2021 August 4, 2023
    End Date/DurationQ4 2023 Open-ended
    Total additional amount$3.0 billion $5.0 billion
    Remaining authorization amount$0 $3.9 billion as of September 30, 2024
    DetailsCompleted Active
    YearAmount Due (in millions)Debt TypeInterest Rate (%)% of Total Debt
    2024$668 0.25% Euro Notes0.25 8.0% = (668 / 8,346) * 100
    2024$265 Commercial Paper4.85 3.2% = (265 / 8,346) * 100
    2025$835 Euro Credit Agreement4.13 10.0% = (835 / 8,346) * 100
    2027N/A0.625% Euro Notes0.625 N/A
    2028€650 ($700 approx.) 3.25% Euro Notes3.25 8.4% = (700 / 8,346) * 100
    2030N/A2.125% Euro Notes2.125 N/A
    2031N/A1.00% Euro Notes1.00 N/A
    2032€850 ($915 approx.) 3.375% Euro Notes3.375 11.0% = (915 / 8,346) * 100
    2034N/A3.00% Euro Notes3.00 N/A

    Competitors mentioned in the company's latest 10K filing.

    CompanyDescription

    The Welding segment competes globally with this company, which is mentioned as a key competitor in the welding equipment and consumables market.

    This company is identified as a global competitor in the Welding segment, which includes arc welding equipment and consumables.

    NameStart DateEnd DateReason for Change
    Deloitte & Touche LLP2002 PresentCurrent auditor

    Notable M&A activity and strategic investments in the past 3 years.

    CompanyYearDetails

    Unnamed Acquisition – Test & Measurement & Electronics (April 1)

    2024

    The acquisition was completed on April 1, 2024 for $59 million, net of cash acquired, supporting a strategy of selective high-quality growth, with closing adjustments and purchase price allocation to be finalized within a year.

    Unnamed Acquisition – Test & Measurement & Electronics (January 2)

    2024

    Completed on January 2, 2024 for $57 million, net of cash acquired, this acquisition aligns with the company’s long-term growth strategy, contributed to revenue growth in its segment, and had a 50 basis point dilutive impact on operating margin in Q1 2024.

    MTS Systems Corporation – Test & Simulation Business

    2021

    ITW acquired the Test & Simulation business for $750 million as part of a strategic move to bolster its Test & Measurement offerings, integrating a complementary business through an agreement initiated after Amphenol’s acquisition of MTS, with expected closing in mid-2021 following customary regulatory approvals.

    No recent press releases or 8-K filings found for ITW.