APC 1998 Annual Report Download - page 42

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Schneider Electric
in North America
18,000
employees
30%
A commanding position
in all our business segments
T he North American Division encompasses all of Schneider Electric’s
operations and facilities in the United States, Canada, and Mexico.T hese
three countries constitute the world’s largest free-trade zone, under NAFTA.
T he Division was set up in 1993, and its growth is driven by by Square D’s
reputation in NEMA-compliant electrical distribution and industrial control
products.T he Division’s catalog also includes products by Merlin Gerin,
Telemecanique and Modicon, as well as two local brands--Federal Pacific
Electric and Federal Pioneer.
In North America, we have 18,000 employees, 33 production facilities,
and a substantial sales network with 2,500 distributors across the continent.
T hese strengths and the confidence they generate have won Schneider
a strong position in residential construction, commercial and industrial
buildings, automated process control, the OEM market, and with large
accounts. Our ambitious but realistic strategy relies on four core values:
trust, teamwork, intelligent risk taking, and working for results.
It also encourages all local initiatives to extend our product lineup
and expand our market share. Currently, 20 such projects are under review.
Highlights
1998: robust growth
In the US and Mexico, 1998 was a good year for Schneider,
with sales rising 6.1% at constant scope of consolidation
and exchange rates. Most of the growth was provided by
electrical distribution, particularly in the residential
construction market.
Mexico: a star performer
In Mexico, Schneider Electric posted outstanding gains
in sales, income, and market share in 1997 and 1998.
Customer confidence in products made in Mexico has also
risen sharply. As a result, our Mexican plants now export
a quarter of their output, mainly to the US.
Premier distributors
In this market, 80% of Schneider products are sold through
a network of distributors. Most of them are exclusive
“Premier Distributors”; 8,000 of their employees have
attended a training program organized by Schneider Electric.
Schneider’s distribution
network in Mexico extends
deep into rural areas.
Area sales
Workforce
FF
15
billion
€
2.3
billion
Area sales
as a % of total