Industry News, January 2000

News from around the pest control industry

PCT AND ZENECA PRESENT LEADERSHIP AWARDS

ATLANTA — Celebrating its 11th year, the Leadership Awards, co-sponsored by Pest Control Technology and Zeneca Professional Products, spotlighted individuals who have contributed positively to the growth of the structural pest control industry, as well as established strong ties with fellow business leaders and customers in their communities.

The 11 recipients of this year’s Leadership Awards were recognized in a special Leadership Issue of PCT magazine in October and were honored individually at a reception during this year’s National Pest Control Association Pest Management 1999 Conference in Atlanta.

Winners of the 1999 Leadership Awards included: Bob Case, Sears Termite & Pest Control; Jim Clark, Sr., Clark Pest Control; Ward Combs II, Presto-X-Company; Tim Hulett, Hulett Environmental Services; Raleigh Jenkins, ABC Pest, Pool & Lawn Services; Brad Kard, USDA Forest Service; Truly Nolen, Truly Nolen of America; Lois Stevens-Caffey, Adams Pest Control; Bubba Tindol, Allgood Services of Georgia; Richard Whitman, Whitman Exterminating Co.; and Richard Yashek; J.C. Ehrlich Co.

"PCT takes great pride in recognizing professionalism and outstanding achievement in the pest control industry, and the Leadership Awards are an extension of the pride we feel," said Dan Moreland, publisher of PCT and Service Technician magazines. "It takes a great deal of creativity and persistence to succeed in this industry and this year’s winners have clearly exhibited their abilities in these areas."

Since their inception in 1989, the Leadership Awards have been filled with stories of unusual personal accomplishment and achievement. The stories reflect the pride and determination that have allowed winners to reach commendable levels of success in their profession.

"Once again the 1999 Leadership Award winners have demonstrated their commitment to raising the level of professionalism in the industry," said Buddy Camors, business director for Zeneca Professional Products. "The contributions these individuals have made to the industry should certainly be recognized and, more importantly, studied by industry members as examples to follow."

NOVARTIS, ASTRAZENECA PLAN AGROCHEMICAL DEAL

LONDON — Pharmaceutical giants Novartis and AstraZeneca will spin off their agricultural chemical businesses, then merge them into a company with estimated annual revenue of nearly $8 billion, the companies announced in December.

Both Novartis and AstraZeneca have specialty chemical divisions that serve the pest control industry. The new company, called Syngenta, will be the biggest agrochemical business in the world.

The move will allow both companies to concentrate on their pharmaceutical businesses.

"After a thorough review of its business portfolio strategy the board of Novartis concluded that the benefits of concentrating on the health care businesses outweigh the modest synergies between the healthcare and agribusiness activities," a Novartis statement stated.

Michael Pragnell, current CEO of Zeneca Agrochemicals and CEO designate of Syngenta, said, "The agribusiness of Novartis and Zeneca Agrochemicals are an ideal fit with complementary product portfolios and a strong international sales and marketing culture. Syngenta’s unique focus and its outstanding science base will enable it to enhance value creation in agriculture at a time of substantial industry change."

Completion of the merger is expected to take place in the second half of 2000.

DOW AGROSCIENCES, BIOTECA PLAN RESEARCH AGREEMENT

INDIANAPOLIS — Dow AgroSciences LLC and Bioteca Technology Ltd. announced last month a two-year research agreement that may lead to additional uses of spinosad, a naturally occurring insect control product.

Spinosad is derived through the fermentation of a naturally occurring organism. It controls a variety of insect pests, including flies, drywood termites, thrips and some beetles.

According to the company, under the terms of the new agreement, Bioteca will determine the potential for obtaining additional variants of spinosad, complementing ongoing efforts by Dow AgroSciences to generate a variety of spinosad-related products.

"The application of the cutting-edge technology pioneered by Bioteca will allow us to dramatically accelerate our program to develop additional products that share the excellent biological activity and environmental benefits of spinosad," said Dave Morris, Global Business Leader, Spinosad.

"This in turn should help us target additional insect pests and help meet the enormous customer demand for spinosad," Morris said.

Trademarks in the United States containing the active ingredient spinosad include Tracer Naturalyte insect control, Success Naturalyte insect control, SpinTor Naturalyte insect control and Conserve insect control.

GARDEX CHEMICALS EXPANDS TO UNITED STATES

WILMINGTON, Del. — Gardex Chemicals Ltd. recently announced the expansion of their company’s operations into the United States.

On Dec. 1, the Gardex facility, located in Wilmington, Del., was open to service the needs of the food processing and restaurant industries with various products dealing primarily with pest control. "The expansion of Gardex into the United States from our Canadian base was a natural fit for the company at this time," said Karen Furgiuele, president of Gardex North America. "We are currently working with some major chains on a North American basis, and we are looking forward to working with other distributors and major retailers directly in these markets as we expand our service and sales to these industries."

One of the major lines to be handled by Gardex is the Mantis line of flying insect control products manufactured by PestWest.

BECKER UNDERWOOD ACQUIRES REJEX-IT

AMES, Iowa — Becker Underwood, Inc., recently acquired the Rejex-it Wildlife Management Products division from PMC Specialties.

Rejex-it products are EPA-registered animal aversion products that modify or deter animal encroachment problems such as geese invasion of golf courses, deer grazing on trees and ornamentals or unwanted birds roosting in public areas.

The Rejex-it line of products was previously marketed to the pest control industry through RJ Advantage, a subsidiary of PMC Specialties.

INVESTOR GROUP ACQUIRES WOODSTREAM

LITITZ, Pa. — An investor group, including Woodstream Corp. management and an affiliate of Friend Skoler & Co., L.L.C., announced last month that it has acquired Wood-stream from CCPC Acquisition Corp. of Wilmington, Del.

Terms of the transaction were not disclosed.

Woodstream is a U.S. manufacturer and marketer of poison-free pest control products and rodent and wildlife control products.

Harry E. Whaley, president of Woodstream, said, "We are very excited about our future as an independent company and the opportunity to focus exclusively on servicing our customers and developing the Victor and Havahart brands."

CCPC Acquisition acquired the common stock of Woodstream on Sept. 16, 1999, as part of its acquisition of EKCO Group, Inc. in connection with a business buildup in kitchen housewares by its subsidiary, Corning Consumer Products Company.

EPA AWARDS STERITECH FOR ENVIRONMENTAL EXCELLENCE

Washington, D.C. — Steritech Group Inc., a Maryland pest management company, was awarded a 1999 Excellence Award for environmental stewardship from the Environmental Protection Agency in November.

As part of the five-year anniversary of its Pesticide Environmental Stewardship Program (PESP), EPA presented the award to 10 organizations that made "outstanding accomplishments," in use of safer alternatives to pesticides, implementation of IPM strategies and educational programs that advance risk reduction.

Steritech, the only structural pest management company recognized, was commended for its "development and implementation of a core training program and policy to use baits and dusts for cockroach and ant management and virtually eliminate sprays and aerosols," according to an EPA statement.

Launched in 1994, EPA developed PESP as a voluntary public/private partnership to reduce pesticide risk. Companies can join the PESP program by formally signing a statement to support the goals of PESP and by writing a strategy that describes their long-term approach to pesticide risk reduction.

"We were very excited about receiving the award because since the inception of our company one of our goals has been to minimize pesticide usage," said Eric Eicher, vice president, Steritech.

"To be able to participate in a program like PESP and receive that type of recognition is fabulous."

Other companies recognized with an EPA PESP Excellence Award were: American Electric Power Service Corporation; American Mosquito Control Association.; Campbell Soup Company; City of Davis, Calif., Parks and Recreation Division; Gemplers Inc.; Gerber Products Company; Lodi-Woodbridge Winegrape Commission; Monroe County Community School Corporation; and the National Potato Council.

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