Page 3 - AnnualReport2014

Our Stockholders: OVER 1O0V0EYRE1A0R0S YEARS
acceptable levels of profit, early in 2014 we implemented a number of pricing,
control pro
repositioning, and cost reduction actions. As demand increased and sales grew over
have stood
time, we continued to control our spending, resulting in significant operating leverage in the business and outstanding profitability in the second half of the year. Improvement in
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contributed $19 million in cash and more than $7 million in Company common stock to
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tatus of the plan. As a result,
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at over one million dollars, we began modernizing the controls on the power plant cranes at the Hoover Dam. We commissioned a million dollar automation project at
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project for Nucor Steel. In addition to introducing several next generation products,
we received two patents during the year for new features on our crane controls. In
construction, forestry, and work trucks. In our elevator drive business, early in the year
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“the one-stop source for mate
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Fiscal 2014 proved to be an exceptional year in terms of sales growth, margin Industrial C
expansion, and profitability on an adjusted basis, excluding a non-cash pension pioneered t
settlement charge. We exceeded both our sales growth and adjusted operating income INNOVINATNIONVATIONof Magnete
objectives and generated sufficient cash to fund our organic growth initiatives and meet Pittsburgh i
our pension obligations. The year started out somewhat slowly, as it typically does due
overhead c
to seasonal buying patterns in our served material handling markets. To assure
As we mark 30Aysewares msianrcke 3M0aygenaertseks’isnce Magnetek’s
incorporation ininJcuonrepo2r0a1tio4n, wineJucenleb2r0a1te4,thwee celebrate
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in this part of the world during fiscal 2014. 50
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Structured Mining Systems of Canonsburg, Pennsylvania
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projects provide opportunities for growth, and we expect the larger project work we
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Highlights in 2014 include a shift in mix back to some fairly large orders in our
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allowing for worldwide use in applications such as oil and gas, petrochemical, above ground mining, and chemical plants. We also introduced a new line of “mini” wireless
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As we move into 2015, our growth initiatives continue to focus on offering innovative
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new markets. In our material handling business, wireless controls and automation
its portfolio of innovative wireless controls serving
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generated in the second half of 2014 to continue. We also see growth potential for
the material handling and fluid power markets
wireless control in fluid power and small equipment applications. We expect the
2014
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particular, and the Asia-Pacific market should provide additional geographic expansion opportunities for this business. Finally, in an effort to position ourselves for growth when coal mining rebounds, we continue to develop innovative underground mining control products, and at the same time we are developing products for new mining applications in order to reduce our reliance on coal. With our focus on growth, consistent profitability, and cash flow, we believe we have a solid business model
that will continue to create long-term value for our stockholders.
In June 2014, Magnetek celebrated 30 years since its incorporation. While we mark this anniversary, we are reminded that the roots of the company date back over 100 years. The Mechanical Appliance Company of Milwaukee, founded in 1901, later became Louis Allis, which is where our elevator drive business originated. Telemotive
Please see “Caution Regarding Forward-Looking Statements” on page 2 of Form 10K for the fiscal year ended December 28, 2014.
* 2014 EPS exclud
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