Amphenol Corporation is one of the world's largest designers, manufacturers and
marketers of electrical, electronic and fiber optic connectors, interconnect systems
and coaxial and flat-ribbon cable. The Company was incorporated in 1987. Certain
predecessor businesses, which now constitute part of the Company, have been in
business since 1932. The primary end markets for the Company's products are:
· communication systems for the converging technologies of voice, video
and data communications;
· a broad range of industrial applications including factory automation
and motion control systems, medical and industrial instrumentation, mass transportation
and natural resource exploration, and automotive applications; and
· commercial aerospace and military applications.
The Company designs and manufactures connectors and interconnect systems which
are used primarily to conduct electrical and optical signals for a wide range
of sophisticated electronic applications. The Company believes, based primarily
on published market research, that it is the third largest connector manufacturer
in the world. The Company has developed a broad range of connector and interconnect
products for the information technology and communications equipment applications
including the converging voice, video and data communications markets. The Company
offers a broad range of interconnect products for factory automation and motion
control systems, machine tools, instrumentation and medical systems, mass transportation
applications and automotive applications, including airbags, pretensioner seatbelts
and other on-board automotive electronics. In addition, the Company is the leading
supplier of high performance, military-specification, circular environmental
connectors that require superior reliability and performance under conditions
of stress and in hostile environments. These conditions are frequently encountered
in commercial and military aerospace applications and other demanding industrial
applications such as oil exploration, medical instrumentation and off-road construction.
The Company is a global manufacturer employing advanced manufacturing processes.
The Company designs, manufactures and assembles its products at facilities in
the Americas, Europe, Africa and Asia. The Company sells its products through
its own global sales force, independent manufacturers' representatives and a
global network of electronics distributors to thousands of OEMs in approximately
60 countries throughout the world.
The Company sells its products to over 10,000 customer locations worldwide.
The Company's products are sold both directly to OEMs, contract manufacturers,
cable system operators, telecommunication companies and through manufacturers'
representatives and distributors. There has been a trend on the part of OEM
customers to consolidate their lists of qualified suppliers to companies that
have a global presence, can meet quality and delivery standards, have a broad
product portfolio and design capability, and have competitive prices.
The Company has focused its global resources to position itself to compete
effectively in this environment. The Company has concentrated its efforts on
service and productivity improvements including advanced computer aided design
and manufacturing systems, statistical process controls and just-in-time inventory
programs to increase product quality and shorten product delivery schedules.
The Company's strategy is to provide comprehensive design capabilities, a broad
selection of products and a high level of service in the areas in which it competes.
The Company has achieved a preferred supplier designation from many of its customers.
Competition
The Company encounters competition in substantially all areas of its business.
The Company competes primarily on the basis of engineering, product quality,
price, customer service and delivery time. Competitors include large, diversified
companies, some of which have substantially greater assets and financial resources
than the Company, as well as medium to small companies. In the area of coaxial
cable for cable television, the Company believes that it and CommScope are the
primary world providers of such cable; however, CommScope is larger than the
Company in this market. In addition, the Company faces competition from other
companies that have concentrated their efforts in one or more areas of the coaxial
cable market
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