Xylem Inc. Appoints Steven R. Loranger Chief Executive Officer and President
Board Initiates Search for a Successor
WHITE PLAINS, N.Y. -- September 9, 2013
Xylem Inc. (NYSE:XYL), a leading global water technology company focused on
addressing the world’s most challenging water issues, today announced that its
Board of Directors has appointed Steven R. Loranger as Chief Executive Officer
and President, effective immediately. Mr. Loranger was Chairman, President and
CEO of ITT Corporation when it spun its water businesses off as Xylem in
October 2011. He currently serves as a director of Xylem and succeeds Gretchen
W. McClain, who has stepped down as President and CEO and as a director to
pursue other opportunities. The Board is initiating a search for the next CEO.
“Steve is an industry veteran who is quite familiar with Xylem’s business. He
knows the challenges we are facing and understands the tremendous potential of
this business,” said Markos I. Tambakeras, Xylem’s Chairman of the Board. "He
is well suited to provide the leadership Xylem needs to transition smoothly to
the next stage of its evolution. We are determined to refine and sharpen our
strategic focus in order to position the Company for growth in our dynamic
industry. We are initiating a comprehensive search to identify the best
candidate to serve as our CEO over the longer term.”
Mr. Tambakeras continued, “On behalf of the entire Board, I would like to
thank Gretchen for her dedication and leadership as the CEO of Xylem. Gretchen
has guided the Company since its spin-off from ITT and has been an important
member of the Xylem management team. We wish her the very best in her future
Mr. Loranger said, “I am energized by the opportunity to lead Xylem during
this important period as the Board conducts its search for our next CEO. I
look forward to working with the Board, our management team and Xylem’s
talented employees around the world to leverage the strength of all our assets
to grow our business and drive stronger performance.”
Xylem today reaffirmed its previously issued full-year 2013 outlook set forth
in its press release issued on July 30, 2013. Xylem’s full-year revenues are
expected to be approximately $3.7 billion, and adjusted net income is expected
to be in the range of $260 to $279 million, or $1.40 to $1.50 per share.
Full-year GAAP net income is anticipated to be in the range of $205 to $237
million, or $1.10 to $1.27 per share, which includes $60 to $80 million of
restructuring and realignment costs.
About Steven Loranger
From the time of Xylem’s spin-off from ITT Corporation in October 2011, Mr.
Loranger has served as a director and Chairman Emeritus of the Board of
Directors in recognition of his long-standing service as the Chairman,
President and Chief Executive Officer of ITT Corporation, former parent
company of Xylem Inc. Mr. Loranger spent seven years leading ITT, until the
spin-offs of the company’s water and defense businesses.
Prior to joining ITT, Mr. Loranger served as Executive Vice President and
Chief Operating Officer of Textron, Inc. Earlier in his career he held
executive positions at Honeywell International Inc. and its predecessor
company, AlliedSignal, Inc.
Mr. Loranger led ITT’s creation of three standalone publicly traded companies
and drove the transformation work throughout 2011, which concluded with the
spin-offs of Xylem and ITT Exelis, a diversified top-tier global aerospace and
defense leader. He also sits on the boards of directors of FedEx, the National
Air and Space Museum and the Congressional Medal of Honor Foundation.
Xylem (NYSE:XYL) is a leading global water technology provider, enabling
customers to transport, treat, test and efficiently use water in public
utility, residential and commercial building services, industrial and
agricultural settings. The company does business in more than 150 countries
through a number of market-leading product brands, and its people bring broad
applications expertise with a strong focus on finding local solutions to the
world’s most challenging water and wastewater problems. Xylem is headquartered
in White Plains, N.Y., with 2012 annual revenues of $3.8 billion and
approximately 12,900 employees worldwide. In 2012, Xylem was named to the Dow
Jones Sustainability World Index for advancing sustainable business practices
and solutions worldwide.
The name Xylem is derived from classical Greek and is the tissue that
transports water in plants, highlighting the engineering efficiency of our
water-centric business by linking it with the best water transportation of all
-- that which occurs in nature. For more information, please visit us at
This document contains information that may constitute “forward-looking
statements.” Forward-looking statements by their nature address matters that
are, to different degrees, uncertain. Generally, the words “anticipate,”
“estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “target” and
similar expressions identify forward-looking statements, which generally are
not historical in nature. However, the absence of these words or similar
expressions does not mean that a statement is not forward-looking.
These forward-looking statements include, but are not limited to, statements
about the separation of Xylem Inc. (the “Company”) from ITT Corporation in
2011, capitalization of the Company, future strategic plans and other
statements that describe the Company’s business strategy, outlook, objectives,
plans, intentions or goals, and any discussion of future operating or
financial performance. All statements that address operating performance,
events or developments that we expect or anticipate will occur in the future —
including statements relating to orders, sales, operating margins and earnings
per share growth, and statements expressing general views about future
operating results — are forward-looking statements.
Caution should be taken not to place undue reliance on any such
forward-looking statements because they involve risks, uncertainties and other
factors that could cause actual results to differ materially from those
expressed or implied in, or reasonably inferred from, such statements. The
Company undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise, except as required by law. In addition, forward-looking
statements are subject to certain risks and uncertainties that could cause
actual results to differ materially from the Company’s historical experience
and our present expectations or projections. These risks and uncertainties
include, but are not limited to, those set forth in Item 1A in our Annual
Report on Form 10-K, and those described from time to time in subsequent
reports filed with the Securities and Exchange Commission.
Tom Glover, +1-914-323-5891
Phil DeSousa, +1-914-323-5930
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