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Parker Hannifin Corporation Opens Rs. 100 Crore Green Field Manufacturing Facility at Chennai

CHENNAI, January 9, 2013 /PRNewswire/ --

The New Manufacturing Site to Focus on Production for the Filtration, Pneumatics and Drives, Sealing and Shielding Businesses

Parker Hannifin Corporation (NYSE:PH), the global leader in motion and control technologies, inaugurated its first green field manufacturing facility at Chennai. The state-of-the-art, world class facility is built on a 10 acre plot in Mahindra World City. The new manufacturing site will focus on production for the filtration, pneumatics and drives, sealing and shielding businesses.

The company has invested Rs. 100 crore in setting up the facility. The new facility will manufacture broad range of products and systems for segments such as automotive, off-highway mobile, telecom, oil and gas, mining, and primary metals.

The Chennai facility targets the employment of 300 people in the next 2 to 3 years. With this facility and acquisitions, Parker Hannifin India plans to double their revenues within the next 5 years.

Tom Williams, Executive Vice President and Operating Officer, Parker Hannifin Corporation said, "The inauguration of our first green field manufacturing facility at Chennai and localization of our products demonstrate our commitment to India as a key growth market. Our new Chennai facility will enhance our ability to support our customers locally here as we build our presence in new markets in India." 

"Expanding business in Asia, and specifically India, represents a significant aspect of Parker's future growth strategy. Asia represents approximately 10% of our sales today but over time we would expect that to be as much as 20% as our target is to double our business in the region over the next several years. A significant portion of our growth efforts in the region will be focused on India, as this country will play a critical role in our success in achieving these goals," Mr. Williams added.

Parker Hannifin is committed to investments and long-term growth in India. As part of the growth strategy, Parker has made five strategic acquisitions in India in the past two years and nine since 2005.

Arijit Sen, Country Managing Director, Parker Hannifin India said, "The investment in the new Chennai Parker India plant has established a strong foundation for our future success in India. Additional manufacturing capacity at Chennai will help the company to cater to the demand for high quality products, engineering solutions and systems in India. We have currently only built the first phase of the project in Chennai of 166,000 square feet and we expand further by 100,000 square feet in the second phase."

The Chennai facility is designed as a green building and is in the process of being LEED certified. This emphasizes Parker's commitment to providing a comfortable and healthy working environment and to using eco-friendly material and improved water and energy efficiencies.

Along with its investments in new manufacturing facilities and acquisitions, Parker India continues to invest into human resources, increasing its manufacturing talent and enhancing its product and system engineering capabilities. A well-networked sales organization operating through regional sales offices is supported by an expanding base of distributors and Parker stores to cover the customers, markets and large industrial footprint of India. Besides the established markets in off-highway mobile, oil and gas/CNG, mining, primary metals and automotive, Parker India will be focusing on the exciting and fast growing markets in power generation, renewable energy, railways, defense, and life sciences - which represent strong growth opportunities as India continues to build its infrastructure.

About Parker Hannifin Corporation

Founded in 1918, Parker Hannifin Corporation is a $13 billion, global company. Parker Hannifin is the world's leading diversified manufacturer of motion and control technologies and systems, providing precision-engineered solutions for a wide variety of mobile, industrial and aerospace markets. The company employs approximately 60,000 people in 48 countries around the world.

Parker's engineering expertise and broad range of core technologies uniquely positions the company to solve some of the world's greatest engineering challenges. By partnering with customers, Parker improves their productivity and profitability and seeks new ways to solve humanity's biggest challenges. Parker is located in 48 countries around the world supporting 142 divisions with 311 manufacturing locations.

Parker's unrivalled industrial distribution network extends to approximately 13,000 locations globally. Through this extensive network of local, independent businesses, Parker brings its products and services to customers in 104 countries. This includes continued penetration of the ParkerStore network of industrial retail outlets, which has more than 3,000 locations around the world. www.parker.com

About Parker Hannifin India

The Company has aggressive growth plans in the Asian region and India will play an important role in that growth strategy. Parker has been in India since 1993 and has grown its business through acquisitions and building of new manufacturing facilities. Parker Hannifin India operates in 11 sales offices, 7 manufacturing facilities and employs more than 1,500 people. With a strong base of business and infrastructure, Parker has laid the foundation for future growth in India targeting markets such as mobile, oil and gas, mining, primary metals, automotive, defense, life sciences, railways etc.

Parker Hannifin is committed to investments and long term growth in India. As part of the growth strategy, besides increased manufacturing footprint out of the Mumbai and Chennai facilities, Parker has made 9 acquisitions in India in the past 7 years, including 5 acquisitions since Oct 2011. These acquisitions have created synergies to help grow their business in filtration, hydraulics and fluid connector groups.

With its aggressive investments in past few years, Parker in India has grown rapidly, entering new markets besides adding new products and customers. With its focus on enhancing its engineering resources and being a systems and solution provider across multiple technologies, Parker in India has executed several major new projects in hydraulics, pneumatics, instrumentation, automation, climate control, seals and filtration. 

Primary Media Contact: David Francis, david.francis@ketchumsampark.com, 91-9884052528

Secondary Media Contact: Noel D. Britto, noel.dbritto@parker.com, 91-9167156501

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