SKF secures SEK 1.2 billion long-term agreement for Kaydon bearings for North American and Brazilian wind industries

SKF (STO:SKFB) (STO:SKFA) (Pink Sheets:SKFRY) (LSE:SKFB) announced it has secured a long-term agreement (LTA) for around SEK 1.2 billion for Kaydon slewing ring bearings from a major wind turbine manufacturer providing solutions to the North American and Brazilian wind segments.

Tom Johnstone, SKF President and CEO stated, "We are delighted to sign this agreement. It reinforces SKF's commitment to support developing industries, such as renewable energy, and key customers' strategies as they expand their businesses globally." He added, "This is also a great example of the sales synergies that SKF expected to achieve with the Kaydon acquisition."

SKF acquired Kaydon Corporation in end of 2013. Kaydon is a diversified industrial manufacturer within three areas: friction control products (bearings), velocity control products and specialty products, including environmental services. Kaydon's product offering is highly complementary with SKF's product portfolio within the wind segment and has enabled SKF to expand its offering to its customers worldwide.

"Although we initiated the negotiations for this LTA before we were acquired by SKF, the expansion of our global footprint in combination with SKF was a key factor in being awarded this contract. Our complete solution offering can help make wind energy more efficient and cost-effective by increasing reliability, reducing required maintenance, and extending operational life." said Stephen Curtis, Director, Renewable Energy Business for Kaydon Bearings.