Modine Names Matt Powell as General Manager, Heavy Duty Equipment

Rhea-AI Summary

Modine Manufacturing Company (NYSE: MOD) has appointed Matt Powell as General Manager of Heavy Duty Equipment (HDE), effective immediately. This strategic move follows the company's decision to separate its traditional powertrain cooling business from its electric vehicle (EV) segment. The realignment aims to enhance focus on growth areas and develop technologies for the EV market. Powell, formerly CEO of Amcor, brings extensive experience in organizational change. Fiscal 2021 revenues were reported at $1.8 billion, with plans to shift resources towards more profitable EV ventures.

Positive

• Appointment of Matt Powell as General Manager for HDE, expected to enhance leadership in the segment.
• Strategic separation of cooling and EV businesses aims to focus on higher growth and margin opportunities.
• Significant growth potential anticipated in the EV segment, aligning with industry trends.

Negative

• Transitioning resources away from combustion engine products may impact current business segments adversely.
• Former HDE leader Joel Casterton's departure could create instability during the transition period.

RACINE, Wisc., Oct. 5, 2021 /PRNewswire/ -- Modine Manufacturing Company (NYSE: MOD or the "Company"), a diversified global leader in thermal management technology and solutions, today announced that Matt Powell has been appointed General Manager, Heavy Duty Equipment ("HDE"). In this role, Mr. Powell will lead the HDE business, excluding that portion of the segment focused on electric vehicles ("EV").  As previously announced, Modine created a separate business unit to focus on the electric vehicle ("EV") business with a separate leadership team. This realigned and refocused organizational structure will allow Modine to actively market the Company's current systems and develop new technologies associated with the EV market while delineating and better focusing the Company's business for our other markets. Joel T. Casterton, who previously led the HDE segment, is leaving Modine later this month to pursue other opportunities outside of the Company.   

Mr. Powell most recently served as the President and CEO of Amcor, Inc., a privately-held manufacturer and distributor in the plastics industry.  Prior to that, Mr. Powell spent eight years with Danaher Corporation, where he held roles of increasing responsibility, including Vice President of Service Operations, North America (Gilbarco Veeder-Root) and various business development and marketing leadership roles.

"I am very pleased to welcome Matt to the Modine team," said Neil D. Brinker, President and CEO.  "The decision to separate the traditional powertrain cooling business from our EV business signals a strategic shift for the Company.  As our customers continue to transition to electric vehicles, we are investing more in the systems and technologies to support these platforms.  This means that we will begin to deemphasize certain products for internal combustion engines as we execute our 80/20 strategy of focusing Company resources on higher growth, higher margin businesses to create a stronger Modine. Matt is well suited to lead this process given his extensive international experience dealing with organizational change."

The Company will retain the existing business segments through the remainder of fiscal 2022.  A portion of the Company's current HDE business is expected to transition to EV over time and the Company plans to shift resources and capital to this business, which offers significantly higher growth potential and margins.  Mr. Powell will be focused on accelerating this transition while improving the profitability and cash flow of the remaining business. He will also evaluate alternatives for certain portions of the business that are not strategic. 

Brinker concluded, "I would like to thank Joel Casterton for his leadership of the HDE segment and his many contributions to Modine.  We wish him the best in his future endeavors." 

About Modine

Modine, with fiscal 2021 revenues of $1.8 billion, specializes in thermal management systems and components, bringing highly engineered heating and cooling components, original equipment products, and systems to diversified global markets through its four complementary segments: BHVAC, CIS, HDE, and Automotive. Modine is a global company headquartered in Racine, Wisconsin (USA), with operations in North America, South America, Europe and Asia. For more information about Modine, visit www.modine.com.

Investor & Media Contact

Kathleen Powers
(262) 636-1687
kathleen.t.powers@modine.com

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SOURCE Modine Manufacturing Company

FAQ

What is the significance of Matt Powell's appointment for Modine (MOD)?

Matt Powell's appointment as General Manager for HDE is significant as it indicates a strategic shift towards focusing on higher growth areas, including electric vehicles.

How will Modine's business structure change after appointing Matt Powell?

Modine's business structure will change by separating traditional powertrain cooling operations from electric vehicle initiatives, allowing focused marketing and technology development.

What were Modine's revenues for the fiscal year 2021?

Modine reported revenues of $1.8 billion for the fiscal year 2021.

What are Modine's plans regarding the EV market after Powell's appointment?

Modine plans to shift resources towards the EV market, recognizing its higher growth potential and margins.

Who did Matt Powell replace at Modine (MOD)?

Matt Powell replaced Joel Casterton, who led the Heavy Duty Equipment segment before leaving the company.