Trimble Navigation Limited
935 Stewart Drive
Post Office Box 3642
Sunnyvale, CA 94085
Trimble to Acquire Meridian Systems for Enterprise Construction Project Management
SUNNYVALE, Calif., Oct. 31, 2006 Trimble (NASDAQ: TRMB) today announced that it has entered into a definitive agreement to acquire privately-held Meridian Project Systems, Inc., of Folsom, Calif., in an all-cash transaction. Meridian Systems provides enterprise project management and lifecycle software for optimizing the plan, build and operate lifecycle for real estate, construction and other physical infrastructure projects. Building owners, construction contractors, engineering firms, and government agencies use Meridian technology to reduce capital construction costs and improve project productivity. Closing of the transaction, anticipated in the fourth quarter of 2006, is subject to usual and customary closing conditions. Financial terms of the transaction were not disclosed.
The acquisition of Meridian Systems adds the business and lifecycle management software component to Trimble's Connected Construction Site strategy which anticipates significant efficiency improvements through a tighter integration of construction process information. Meridian Systems is an established market leader in construction project management technologies to the building owner and architecture, engineering and construction (AEC) market segments.
"Meridian Systems has successfully built a strong market position and has demonstrated profitable revenue growth," said Bryn Fosburgh, vice president of Trimble's Engineering and Construction segment. "The Meridian Systems acquisition provides Trimble an information platform for growth in the enterprise project management market and is a significant step forward in realizing our Connected Construction Site initiatives."
"We are pleased to join Trimble," said James Olsen, CEO of Meridian Systems. "For Meridian, the acquisition provides us with solid financial backing and the organizational infrastructure to further penetrate key vertical markets and expand globally. For Trimble, we believe the acquisition enhances its Connected Construction Site strategy by adding a core enterprise business software competency to facilitate the delivery of information throughout the entire plan, build and operate life cycle."
Meridian Systems will be reported within Trimble's Engineering and Construction business segment. Trimble expects the acquisition to be accretive in 2007.
A goal of Trimble's Connected Construction Site strategy is to improve construction project management by providing easy integration of project data and customized status information to the construction professional. Trimble has a range of solutions for the construction market including: pre-design construction planning software, design and data preparation, earthmoving grade control, site positioning, general and interior building and asset management. Through all phases of the construction process, Trimble provides productivity solutions to streamline work processes, minimize downtime and reduce re-work. Meridian Systems software solutions adds the business management component and bring similar productivity enhancements by optimizing the plan, build and operate phases of real estate, construction, and other physical infrastructure projects and programs.
About Meridian Systems
Construction project management software from Meridian Systems allows building owners, construction and engineering firms, and government agencies to efficiently manage their capital projects, programs and facilities. Meridian has pioneered Infrastructure Lifecycle Management (ILM) technology that automates the Plan-Build-Operate project lifecycle, enabling building owners and operators to improve top-line revenue growth, while reducing capital project costs and schedules. Many leading companies and organizations, including Webcor Builders, Turner Corporation, Fluor Corporation, Procter & Gamble, Target, DFW Airport and many others, use Meridian System solutions. Meridian has become the industry standard for successful construction project delivery, and is ranked as the market share leader for project management and collaboration software by Constructech magazine,1 and by the CFMA among general contractors larger than $101 million in revenue.2 Meridian provides construction project management solutions to more than half of the ENR Top 400 Contractors. For more information, visit: www.meridiansystems.com.
Trimble is a leading innovator of Global Positioning System (GPS) technology. In addition to providing advanced GPS components, Trimble augments GPS with other positioning technologies as well as wireless communications and software to create complete customer solutions. Trimble's worldwide presence and unique capabilities position the Company for growth in emerging applications including surveying, agriculture, machine guidance, fleet and asset management, wireless platforms, and telecommunications infrastructure. Founded in 1978 and headquartered in Sunnyvale, Calif., Trimble has more than 2,400 employees in more than 18 countries worldwide.
Certain statements made in this news release are forward looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and are made pursuant to the safe harbor provisions of the Securities Litigation Reform Act of 1995. This press release contains forward-looking statements that include risks and uncertainties such as the satisfaction of the conditions to closing and the expected financial performance of Meridian Systems. Additional risks and uncertainties include the risks inherent in acquiring and integrating a company, unanticipated expenditures and changing relationships with customers. Among other things, economic trends and additional competitive issues may have an adverse effect on the success of the proposed acquisition. These and other risks are detailed from time to time in reports filed with the SEC, including Trimble's quarterly reports on Form 10-Q and its annual report on Form 10-K. The consummation of the acquisition is subject to certain closing conditions and may not be consummated on the terms proposed or at all.
1Statistics excerpted from the 2006 National Construction-Technology survey, Constructech Magazine
Investor Relations Contact: Willa McManmon of Trimble: 408-481-7838
Media Contact: LeaAnn McNabb of Trimble: 408-481-7808