Flowserve Corporation is a world leading manufacturer and aftermarket service
provider of comprehensive flow control systems. We were incorporated in the
State of New York on May 1, 1912. We develop and manufacture precision-engineered
flow control equipment, such as pumps, valves and seals, for critical service
applications that require high reliability. We use our manufacturing platform
to offer a broad array of aftermarket equipment services, such as installation,
advanced diagnostics, repair and retrofitting. We utilize a footprint of Quick
Response Centers (“QRCs”) around the globe to deliver these aftermarket
services.
We sell our products and services to more than 10,000 companies, including some
of the world’s leading engineering and construction firms, original equipment
manufacturers, distributors and end users. Our products and services are used
in several distinct industries across a broad geographic reach.
We conduct our operations through three business segments:
• Flowserve Pump Division (“FPD”) for engineered pumps, industrial
pumps and related services;
• Flow Control Division (“FCD”) for engineered and industrial
valves, control valves, actuators and controls and related services; and
• Flow Solutions Division (“FSD”) for precision mechanical
seals and related products and services.
Through FPD, we design, manufacture, distribute and service engineered and
industrial pumps and pump systems, submersible motors, replacement parts and
related equipment, principally to industrial markets. FPD’s products and
services are primarily used by companies that operate in the oil and gas, chemical
processing, power generation, water treatment and general industrial markets.
FCD, the second largest business segment within Flowserve, designs, manufactures
and distributes a broad portfolio of industrial valve products, including actuators,
controls and related equipment. In addition, FCD offers energy management products
such as steam traps and condensate recovery systems. FCD leverages its experience
and application know-how by offering a complete menu of engineered services
to complement its expansive product portfolio.
Through FSD, we design, manufacture and distribute mechanical seals, sealing
systems and parts, and provide related services, principally to process industries.
Mechanical seals contained in rotating equipment require replacement throughout
the products’ useful lives and the repair and replacement of mechanical
seals is an integral part of our aftermarket services.
We sell to a wide variety of customers globally in several distinct industries:
oil and gas, chemical, power generation and water management, as well as a number
of other industries that are collectively referred to as general industries.
Competition
The pump industry is highly fragmented, with more than 100 competitors. We
compete, however, primarily against a relatively limited number of large companies
operating on a global scale. Competition is generally based on delivery times,
expertise, price, breadth of product offerings, contractual terms, previous
installation history and reputation for quality. Some of our largest pump industry
competitors include ITT Industries, Ebara Corporation, KSB Inc., The Weir Group
PLC, Sulzer Pumps and United Technologies Corporation.
While in recent years the valve market has undergone a significant amount of
consolidation, in relative terms, the market remains highly fragmented. Some
of the largest valve industry competitors include Crane Co., Dresser Inc., Emerson,
Kitz and Tyco.
We compete against a number of manufacturers in the sale of mechanical seals.
Among our largest global mechanical seal competitors are John Crane, a unit
of Smiths Group Plc. and Eagle Burgmann, Inc., which is a joint venture of two
traditional global seal manufacturers, Chesterton and AES. Based on independent
industry sources, we believe that we are the second largest industrial mechanical
seals supplier in the world. Our ability to quickly manufacture customers’
requests for engineered seal products, from design to engineering, manufacturing,
testing and delivery, is a major competitive advantage.