Release Details

DALLAS, Jan. 18 /PRNewswire/ -- Lennox International Inc. (NYSE: LII) announced that Lennox Retail Inc., the retail arm of its wholly-owned subsidiary, Lennox Industries Inc., has acquired 17 heating, ventilation and air conditioning (HVAC) dealerships since late October 1999, with a number of other acquisitions currently being negotiated. Total consideration for the 17 companies consisted of approximately $57 million U.S. in cash and Lennox International common stock. Total annualized revenues for the 17 companies are approximately $94 million U.S.

The latest round of acquisitions brings the total HVAC dealerships acquired by Lennox to 97 since the company first announced its retail acquisition strategy in 1998. Total annualized net sales for the 97 acquired companies are approximately $445 million U.S.

"We continue to be pleased at the progress we are making with our retail acquisition strategy," said Bob Schjerven, president and COO of Lennox Industries. "With the pending acquisition of Service Experts, we are slowing the pace of acquisitions somewhat, but we intend to continue our plans for growth in the retail sector.

"Thanks to Lennox' 105 years of experience of selling directly to the dealer and working with dealers to improve their businesses, growing into retail is not only an excellent growth strategy, but a natural fit."

In addition, Lennox has over 1,500 Associate Dealer agreements in place, which give dealers access to a number of benefits and programs designed to enhance their business. Lennox' dealer network currently comprises over 6,000 acquired, associate, and independent dealers throughout North America.

"Lennox Retail's acquisition activity will continue to be a key component in our long-term plans for growth," said John Norris, Lennox International chairman and CEO. "We are confident that by supporting the right mix of acquired, associate, and independent dealers, we will protect our brand, provide stability in a dynamic market, and grow our business in the important North American residential HVAC market."

Selling heating, ventilation, air conditioning, and refrigeration equipment in over 70 countries worldwide, Lennox International Inc. is a world leader in climate control solutions. It is the parent company of Lennox Industries Inc., Armstrong Air Conditioning Inc., Heatcraft Inc., and Lennox Global Ltd. Lennox International stock is traded on the New York Stock Exchange under the symbol "LII." Additional information about Lennox International is available at www.lennoxinternational.com.

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to numerous risks and uncertainties that could cause actual results to differ materially from such statements. For information concerning these risks and uncertainties, see Lennox' publicly available filings with the Securities and Exchange Commission. Lennox disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Lennox International Inc.
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CONTACT: Karen O'Shea, Vice President, Communications and Public Relations of Lennox International Inc., 972-497-5172