APC 2004 Annual Report Download - page 12
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10
2
A focus on electricity,
with products and services
for four core markets
Schneider Electric is a benchmark in its industry, with
an exclusive focus on Electrical Distribution and
Automation & Control. It ranks among the world's
leading providers of medium voltage switchgear and
equipment, final low voltage and ultra terminal
devices, industrial control products and pro-
grammable logic controllers.
The Company is also expanding in related activities
through new growth platforms, including Building
Automation and Security, Secured Power and Sensors
for Repetitive Machines.Together, its businesses serve
four core markets: Buildings, Residential, Industry and
Energy & Infrastructure.
Core markets
Through a global approach that takes local character-
istics into account, Schneider Electric is committed to
satisfying all of its customers' needs in four core mar-
kets.
Buildings accounted for 41% of sales in 2004. This
market covers our entire lineup for electrical distribu-
tion, management and optimization, as well as net-
works for transmitting data in homes, apartment
buildings, offices, hotels, hospitals, shopping cen-
ters, manufacturing facilities and sports and cultural
centers.
The Residential market, which represented 11% of
sales, is a strategic priority for Schneider Electric
because it offers significant growth prospects. It is
essentially a local market with different opportunities
depending on the region. In developed markets such
as Western Europe and the US, renovation and home
improvement often represent nearly two-thirds of the
market, which is driven by demand for comfort, safety
and well-being. In emerging markets, on the other
hand, we are targeting newbuilding, with a particular
focus on large housing programs in Eastern Europe,
China and other Asian countries.
The Industry market accounted for 31% of sales in
2004. We offer companies a wide range of products,
equipment and services to distribute and manage
electricity, control and monitor machines, automate
industrial processes, and supervise and manage
industrial sites and their consumption.
Our principle growth drivers in this market are global
accounts and OEMs, who offer strong potential for
new generations of our products and services, notably
in the food & beverage, pharmaceuticals, automobile
and semi-conductor industries.
Ownership background
The complex ownership structure set up over the
1970s was radically streamlined between 1981 and
1995 by merging the various holding companies to
create a single parent company, Schneider SA. In
1999, the Company changed its name to Schneider
Electric SA, which owns all outstanding shares of
Schneider Electric Industries SAS.
Schneider Electric Industries SAS owns virtually all
of the Group's French and foreign subsidiaries.