Matco Tools now owned by Fortive Corporation

a990dna · Dec 24, 2015

Here's the news release for those that own Matco Tools... This has been in the works since the announcement in Q1 2015.

http://www.danaher.com/news/news-re...ed-industrial-growth-company-be-named-fortive

Be prepared to see M&A actiivity in the tools segment - Fortive will be looking at the growth line to meet objectives.

http://www.fortive.com/index.html

.

d.mcfarland · Dec 24, 2015

Murder and accusations or merger and acquisitions?

drink · Dec 24, 2015

Do you think any of the other brands Danaher had will end up there?

drink · Dec 24, 2015

People have been discussing how Armstrong is operating at a lower capacity. Then I heard APEX is on vacation till after the new year.

LB-1911 · Dec 24, 2015

drink said:
Do you think any of the other brands Danaher had will end up there?

drink said:
People have been discussing how Armstrong is operating at a lower capacity. Then I heard APEX is on vacation till after the new year.

What "other brands Danaher had" are you referring to?

Apex is consolidating US production at their Sumter SC facility.

The company's Sumter facility produces hand tools under the Crescent®,
Wiss®, HK Porter® and Xcelite®brand names, and will be adding production of Armstrong® and Allen® hand tools as well as private label brands.

Apex will be consolidating several of its manufacturing facilities into its Sumter plant, which currently employs approximately 200 associates.

Apex's presence in Sumter County spans more than three decades.

http://sccommerce.com/news/press-releases/apex-tool-group-expand-sumter-county-employment

Ponchoguy · Dec 24, 2015

drink said:
Do you think any of the other brands Danaher had will end up there?

Maybe we'll see the USA Craftsman again on a regular scale and not haphazard as it has been...

redwrench60 · Dec 24, 2015

Can anybody actually make anything out of that article's corporate swine vomit laced drivel?

Fedwrench · Dec 24, 2015

I believe this means Danaher has gotten out of the tool business. I also feel that consolidating manufacturing of three or so plants into one facility in South Carolina doesn't bode well for the future of Armstrong tools. :dunno:

I wouldn't look for increased US tool production or for US made craftsman to reappear in large numbers.

redwrench60 · Dec 24, 2015

Fedwrench said:
I believe this means Danaher has gotten out of the tool business. I also feel that consolidating manufacturing of three or so plants into one facility in South Carolina doesn't bode well for the future of Armstrong tools.

I wouldn't look for increased US tool production or for US made craftsman to reappear in large numbers.

I'd say you're probably spot on.

finn · Dec 24, 2015

Read through last years annual report, and it looks like this announcement is the culmination of a plan to exit businesses that have only low growth and profit opportunities.

Basically, Danner is looking at tools as a mature industry, or commodity, so they are spinning off the business.

All of the job openings in the new company are finance or business related. I don't see any product development or technology in the listings.

drink · Dec 24, 2015

LB-1911 said:
What "other brands Danaher had" are you referring to?

Apex is consolidating US production at their Sumter SC facility.

The company's Sumter facility produces hand tools under the Crescent®,
Wiss®, HK Porter® and Xcelite®brand names, and will be adding production of Armstrong® and Allen® hand tools as well as private label brands.

Apex will be consolidating several of its manufacturing facilities into its Sumter plant, which currently employs approximately 200 associates.

Apex's presence in Sumter County spans more than three decades.

http://sccommerce.com/news/press-releases/apex-tool-group-expand-sumter-county-employment

Okay.....it sounds like I am among some hand tool scholars in here who might be constantly among these tool manufacturers or might even be their employees. Who knows?

Here goes.....Danaher owned Matco and it went to Fortive......right? It is my understanding years ago Danaher had, to name a few, brands like Armstrong, KD Tools, Allen, Craftsman, Gearwrench, and Jacobs. The aforementioned brands wound up at APEX Tool Group.......right? It might be possible for these brands to wind up at Fortive also if they have the money and determination to do it. Do you think this is impossible?

Recently I have noticed some out of stock notices on some of the Armstrong tools that are in the current catalog. Hence the confusion as to what is causing it.

drink · Dec 24, 2015

Fedwrench said:
I believe this means Danaher has gotten out of the tool business. I also feel that consolidating manufacturing of three or so plants into one facility in South Carolina doesn't bode well for the future of Armstrong tools.

I wouldn't look for increased US tool production or for US made craftsman to reappear in large numbers.

Are you saying you do not think Armstrong will be around much longer or what?

drink · Dec 24, 2015

Ponchoguy said:
Maybe we'll see the USA Craftsman again on a regular scale and not haphazard as it has been...

It would be nice to have it brought back. Who knows? China might go up on their costs and the brand might wind up back here. At the moment I am thinking the Craftsman Industrial line is the USA line for now. I do not know how long they will stick with it but I hope they stick with it.

Brownsfan · Dec 24, 2015

Does Danaher still own Fluke?

LB-1911 · Dec 24, 2015

Brownsfan said:
Does Danaher still own Fluke?

http://www.fortive.com/index.html
:beer:

mikebaker1129 · Dec 24, 2015

It is just me but it looks like Danaher spun off a new company Fortive.
I see some other former Danaher brands like Fluke and veeder root in there also ,along with Matco.
Just my .02.

Fedwrench · Dec 24, 2015

drink said:
Are you saying you do not think Armstrong will be around much longer or what?

I'm saying that if you reduce Armstrong manufacturing capability from two or three plants to one with others brands, we're not expanding the line. We've seen this before when former US brands like KD, Allen, NAPA, were killed off in favor Gearwrench's expansion and the formation of Apex Tool Group which led to many tools becoming Asian made. I don't see a long or bright future for Armstrong. :dunno:

shockwave · Dec 24, 2015

I am confused was Armstrong owned by apex or Dana and this would explain a lot of changes with Matco from my distributor too

anndel · Dec 24, 2015

So it looks like Danaher created Fortive and is now spinning it off to become an independent separate company and getting out of the tool business.

Sad but when you consolidate the production into few or one plant that mean sales are down and its a cost cutting measure. It could mean the elimination of one or more brands and shipping them overseas, eventually closing the Sumter Plant. Just my guess of what may happen.

LB-1911 · Dec 24, 2015

shockwave said:
I am confused was Armstrong owned by apex or Dana and this would explain a lot of changes with Matco from my distributor too

Danaher acquired Armstrong circa 1994.

Danaher & Cooper formed Apex 2010.

Bain purchased Apex 2012.

Edit to add

There are over 30 professional hand and power tool brands in the Apex Tool Group global portfolio.
Brands
http://www.apextoolgroup.com/brands-faceting

ibedayank · Dec 24, 2015

Brownsfan said:
Does Danaher still own Fluke?

been apex for few years already

anndel · Dec 24, 2015

LB-1911 said:
Danaher acquired Armstrong circa 1994.

Danaher & Cooper formed Apex 2010.

Bain purchased Apex 2012.

And Armstrong went with Apex and is under Apex under Bain Capital

woody 73 · Dec 24, 2015

The bean counters must be thinking overseas is looking better everyday, not even sure why they fooled around with one last plant?

drink · Dec 24, 2015

Fedwrench said:
I'm saying that if you reduce Armstrong manufacturing capability from two or three plants to one with others brands, we're not expanding the line. We've seen this before when former US brands like KD, Allen, NAPA, were killed off in favor Gearwrench's expansion and the formation of Apex Tool Group which led to many tools becoming Asian made. I don't see a long or bright future for Armstrong.

It has been several years since I have heard anything but the last thing I heard was the lines were either Armstrong or GearWrench. The way I understood it was Armstrong was the USA line and GearWrench was the offshore line. The only USA tool brands I can quickly think of that meet government spec on some of their tools are Armstrong and Proto. Why would these brands not be around a long time? If they all go offshore then where will the government go to buy tools? A lot of people buy Armstrong tools and Proto tools also.

Over the past years a lot of different brands were being sold that shared a lot of the same tools. If sales slumped or a brand was discontinued the manufacturer would have a lot of tools going to liquidations. Then the markets were being screwed up by flooding the market with quality tools being sold at liquidation prices. If the tool manufacturer simply stopped making several different brands of the same tool and simply made one tool then they could cut production to only one tool rather than several.

Without really knowing it sounds like they might be cutting costs by making one line rather than several in an effort to be more profitable. As an example Armstrong began using Lufkin tape measures and Nicholson hacksaws in their sets and stopped selling their Armstrong brand tapes and saws. Also, if a line of high quality tools that is priced really high doesn't sell much per year because it is so expensive then there will be less demand unless more people buy them. They might be simply restructuring to be more cost efficient over the long run. Finding new high quality tools at liquidation prices might be more difficult to do as time progresses because of restructuring the lines.

Fedwrench · Dec 24, 2015

Re: Matco Tools now owned by Fortive Corporatio

drink said:
Why would these brands not be around a long time? If they all go offshore then where will the government go to buy tools?

First of all, no one is talking about Proto even though their round head ratchets, air tools, and some ratcheting wrenches are imported.
Secondly, you are sadly mistaken if you think the US Government buys only US made tools. In fact the US content requirement has steadily been reduced to 52% of kits the last time I checked. Order a wrench from GSA global supply and you're likely to receive a king tony or paramount branded made in Taiwan wrench these days. SK would be an excellent source of US made tool but, that's not the point.
The issue here that Apex is not about increasing US tool production. They are about profit, and that comes from imported tools. Let's take Gearwrench for example, there used to be two US made items in their whole line up. Their micrometer torque wrenches and their pinless Impact swivel sockets. Now their torque wrenches are no longer US made, and they added nine new impact socket sets recently all of which are imported. The pinless impact sockets in 3/8 & 1/2 drive are the only US made tools in their whole line up.
If you like Armstrong tools, buy them now because I just don't see them being around in another five years. I hope I'm wrong but, apex's recent history shows otherwise. :beer:

ibedayank · Dec 24, 2015

Diamond tool and horseshoe used to be 100% USA and now none of it is the Duluth MN factory is a parking lot This the future thats to PROFIT over everything else

drink · Dec 24, 2015

Re: Matco Tools now owned by Fortive Corporatio

Fedwrench said:
First of all, no one is talking about Proto even though their round head ratchets, air tools, and some ratcheting wrenches are imported.
Secondly, you are sadly mistaken if you think the US Government buys only US made tools. In fact the US content requirement has steadily been reduced to 52% of kits the last time I checked. Order a wrench from GSA global supply and you're likely to receive a king tony or paramount branded made in Taiwan wrench these days. SK would be an excellent source of US made tool but, that's not the point.
The issue here that Apex is not about increasing US tool production. They are about profit, and that comes from imported tools. Let's take Gearwrench for example, there used to be two US made items in their whole line up. Their micrometer torque wrenches and their pinless Impact swivel sockets. Now their torque wrenches are no longer US made, and they added nine new impact socket sets recently all of which are imported. The pinless impact sockets in 3/8 & 1/2 drive are the only US made tools in their whole line up.
If you like Armstrong tools, buy them now because I just don't see them being around in another five years. I hope I'm wrong but, apex's recent history shows otherwise.

There are a lot of different parts of the US Government. Some parts appear to be allowed to purchase some things on a percentage basis of how much offshore product(s) can be included in a purchase. There are exceptions.

10) Some agencies, such as the U.S. Department of Defense, have additional “Buy American” restrictions relating to specific products (such as textiles, body armor and specialty metals).

The Berry Amendment (10 U.S.C. § 2533a), which limits the DOD’s ability to purchase food, cloths, clothing, fibers and hand tools from foreign sources, is the most popular of these but it is far from the only one. The individual restrictions are set forth in DFARS Subpart 225.70, and it is a long list. Be aware that these DOD-unique requirements may be in addition to those country of origin requirements imposed by the Buy American Act or the Trade Agreements Act.

Then they can apply at the state and local levels.

14) Be aware that federal “Buy American” requirements can also apply at the state or local level when federal dollars are being spent.

The country of origin restrictions typically attach to the money when Congress appropriates the funds. Even when those funds are administered through grants to state and local governments, the federal restrictions may still attach. Additionally, many states may also impose separate “Buy American” or “Buy Local” requirements of their own.

drink · Dec 24, 2015

7) The Trade Agreements Act, on the other hand, does prohibit the purchase of products and services that are not “substantially transformed” in the U.S. or a “designated country.”

Note the quotes — these terms have special meaning. “Substantial transformation” considers whether a product is transformed into a new and different article of commerce with a name, character or use distinct from the article or articles from which it was transformed. This is a highly fact dependent question, and the U.S. Customs and Border Protection has issued extensive guidance on what does and does not constitute “substantial transformation.”

“Designated countries” are countries that U.S. trade policy chooses to favor — whether because the United States has entered into a free trade agreement (such as the North American Free Trade Agreement or the U.S.-Korea Free Trade Agreement) or because the country is small and still developing (as with Afghanistan or Haiti). FAR 25.003 lists these countries (currently numbered at 121), which includes countries such as Canada, Germany, Hong Kong, Japan, Mexico, Singapore, South Korea and Taiwan. Be aware, however, that China and India are not “designated countries.” You should know what countries are on the list and be aware that the list is regularly updated.

Jmonnty · Dec 25, 2015

drink said:
Okay.....it sounds like I am among some hand tool scholars in here who might be constantly among these tool manufacturers or might even be their employees. Who knows?

Here goes.....Danaher owned Matco and it went to Fortive......right? It is my understanding years ago Danaher had, to name a few, brands like Armstrong, KD Tools, Allen, Craftsman, Gearwrench, and Jacobs. The aforementioned brands wound up at APEX Tool Group.......right? It might be possible for these brands to wind up at Fortive also if they have the money and determination to do it. Do you think this is impossible?

Recently I have noticed some out of stock notices on some of the Armstrong tools that are in the current catalog. Hence the confusion as to what is causing it.

Armstrong and the other tool brands that are in apex were part of a joint venture with Cooper, the joint venture was sold to a private equity group.

source: own a Do It Best that sells apex tools.

drink · Dec 25, 2015

Jmonnty said:
Armstrong and the other tool brands that are in apex were part of a joint venture with Cooper, the joint venture was sold to a private equity group.

source: own a Do It Best that sells apex tools.

Can you tell who the private equity group is? Will you tell what it means as far as the future of the Armstrong brand?

LB-1911 · Dec 25, 2015

drink said:
Can you tell who the private equity group is?

https://www.google.com/search?q=Bai...rome..69i57&sourceid=chrome&es_sm=93&ie=UTF-8

tonydanzah · Dec 25, 2015

I wonder how this will affect my matco warranty on a ratchet.

Fedwrench · Dec 25, 2015

The Berry amendment doesn't apply to the micro purchase level (less than or equal to $3500) which is the level that most federal agencies purchase at for daily ops. For larger purchases, purchase orders are used through vendors registered with Sam.gov or are listed in the GSA schedule.

Anyone that has read this deep into this thread may be thinking what Armstrong has to do with MATCO, the issue is that MATCO only makes tool boxes. All other hand tools and the remainder of their catalog is made by someone else for them. The vast majority of MATCO's hardline that is stamped USA, was made in Armstrong factories for probably the last 20 years or so. If Armstrong's production goes from multiple factories down to one plant sharing facilities with other lines, it doesn't mean Armstrong production is increasing. It also might mean that MATCO's hardline may become more imported to meet demand.

pepgj · Dec 25, 2015

redwrench60 said:
Can anybody actually make anything out of that article's corporate swine vomit laced drivel?

You just have to let your eyes go unfocused and float with the words. To be fair, an awful lot of corporate verbiage is weasel words to attempt (unsuccessfully) to avoid the ever-present lawsuits and gubmint disclosure rules.

I wonder what's going on there. No doubt a re-org will fix everything. It makes sense now that Danaher recently paid off a bunch of pensions as lump sums.

ChrisPace · Dec 25, 2015

I read through all of this and I appreciate seeing all the love for American made tools and the jobs they create. Small factories all over the US are closing making all kinds of products, tons of factors but the largest one is they were losing money. costs have gone up and the ability to turn a profit down.

However about every thread of GJ is laced with tons of love for Harbor Freight and in fact I see many folks arguing that HF is what everyone should own over USA tools. HF is probably a real factor here, as is Gearwrench. Maybe both great tools but it's all stuff we could have made here and did. Maybe we should start supporting Snap On, Lisle, SK and others more so they don't fade away. Once they go they won't come back.

Waterloo industries makes tool boxes in Sedalia MO near me and was employing 100's. They have been downsizing over the last few years as well. HF 44" tool chests are absolutely a factor.

Have you guys also noticed McDonalds is now employing mostly middle aged adults? They used to be college and high school kids a few years ago. This is part of the reason why.

Yankee · Dec 25, 2015

drink said:
Recently I have noticed some out of stock notices on some of the Armstrong tools that are in the current catalog. Hence the confusion as to what is causing it.

Here's an email that I sent to the Regional Craftsman Industrial Manager regarding why a Craftsman Industrial wrench was no longer available. I figured it was just a distraction and that they were no longer going to make them at all.... But sounds like it' due to Armstrong moving.... So the Craftsman Industrial line might still be a current thing...

Randy Johnson
Aug 16

to karl.storz
I was ordering a Craftsman Industrial wrench #23532 full polish 1 1/16 combinatiion wrench from Summit Racing.com.

The order was canceled due to Sears telling them it was no longer available?

Is this just temporary or is there another distributor that has it?

Thank you,

Randy Johnson

Storz, Karl <[email protected]>
Aug 17

to me
Hi Randy -

This is a temporary “out of stock” until Jan 2016. Here are a couple of options:

Wrench options at Summit:
· Craftsman 45950: Full Polished version

· Craftsman Industrial 23444: Matte finished version

Other distributor options:
· Logistics Supply

· Travers Tool

· Builders World

Hope this helps.

KS
Karl Storz
National Sales Manager
Kenmore/Craftsman/Diehard
KCD Brands

pepgj · Dec 25, 2015

ChrisPace said:
I read through all of this and I appreciate seeing all the love for American made tools and the jobs they create. Small factories all over the US are closing making all kinds of products, tons of factors but the largest one is they were losing money. costs have gone up and the ability to turn a profit down.

An interesting thing is that Germany is able to support numerous small and medium sized tool works. Dunno why. Are they run more efficiently? Germans tend to buy German? (probably).

It would be interesting to check out street prices for new Snap-on and Stahlwille main line tools like socket and wrench sets.

KnurledNut · Dec 25, 2015

"The East Coast conglomerate Danaher Corp., announced in May that it will split in two. One company will keep the Danaher name and its highest growth businesses. The other, Fortive, will take the more mature instrumentation and industrial businesses. Fortive's headquarters will be in Everett, Washington, where Fluke is headquartered. As previously announced, longtime Danaher vice president Jim Lico – who briefly ran Tektronix after its sale – will be Fortive's chief executive."

rice rocket · Dec 25, 2015

pepgj said:
An interesting thing is that Germany is able to support numerous small and medium sized tool works. Dunno why. Are they run more efficiently? Germans tend to buy German? (probably).

It would be interesting to check out street prices for new Snap-on and Stahlwille main line tools like socket and wrench sets.

Because they don't sell garbage at above garbage prices.

drink · Dec 27, 2015

Fedwrench said:
The Berry amendment doesn't apply to the micro purchase level (less than or equal to $3500) which is the level that most federal agencies purchase at for daily ops. For larger purchases, purchase orders are used through vendors registered with Sam.gov or are listed in the GSA schedule.

Anyone that has read this deep into this thread may be thinking what Armstrong has to do with MATCO, the issue is that MATCO only makes tool boxes. All other hand tools and the remainder of their catalog is made by someone else for them. The vast majority of MATCO's hardline that is stamped USA, was made in Armstrong factories for probably the last 20 years or so. If Armstrong's production goes from multiple factories down to one plant sharing facilities with other lines, it doesn't mean Armstrong production is increasing. It also might mean that MATCO's hardline may become more imported to meet demand.

I am not so sure about that. Do you work for the government, or sell tools to the government?

Matco Tools now owned by Fortive Corporation

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