www.ushalonbank.com   1.800.433.1751                                   June 2019 - Vol 3, Issue 24

Lawsuit Filed Against Multiple Fire Suppression Companies for Poor System Installation
Philadelphia Refinery Explodes
CO2 Suppression System Kills 8 Aboard Freighter
Honeywell Recalls Defective Smoke Detector
Russian Plane Fire Leaves 13 Dead
New Zealand Issues Alert Over Dreamliner Fire Suppression System
Fire Equipment Distributor Settles EEOC Race Discrimination Suit (US)
Apple Recalls MacBook Pro Over Fire Safety Risk
Johnson Controls Under Fire for Failure to Report
United Passenger Says Engine Caught Fire - Flight Diverted
CEOs of Carrier and Otis announced by UTC
Most Popular Stories from April 2019
People in the News
Mergers and Acquisitions
Reports and Studies

Video of the Month
merger1UTC and Raytheon Merger Will Be One of the Largest Business Deals of 2019
The combined business will be called Raytheon Technologies.
Brian Snyder/Reuters

By Michael J. de la Merced
The New York Times

United Technologies says that it plans to combine its aerospace business with Raytheon, uniting the two into a new manufacturing giant in the worlds of aerospace and military weapons and aircraft.

If this all-stock merger goes through, it would be the latest example of consolidation within the military and aerospace industries, creating a new colossus built to thrive in boom times and weather leaner ones.

Together, the aerospace businesses of Raytheon and United Technologies produce Pratt & Whitney engines, Tomahawk missiles and the F-35 fighter jet. The combined company - which will be called Raytheon Technologies - would have about $74 billion in expected sales for 2019.

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third_pointCEO of Third Point Calls UTC-Raytheon Deal "Ill Conceived"
Photographer: Jasper Juinen/Bloomberg

By Scott Deveau and Rick Clough

Activist investor Dan Loeb came out against United Technologies Corp.'s proposed tie-up with Raytheon Co., saying the "ill conceived" deal makes neither financial nor strategic sense.

The chief executive officer of Third Point, whose hedge fund owns a stake in United Technologies worth about $836 million, plans to vote against the deal, Loeb said in a letter to the company's board. The agreement undervalues United Technologies' aerospace unit and CEO Greg Hayes is pushing ahead for the wrong reasons, he said.

"Since there is no strategic or financial rationale for this transaction, we can only conclude that the merger was motivated by empire building and Mr. Hayes' desire to extend his already long overdue tenure as head of a Fortune 100 company," Loeb said in the letter, confirming a report in Bloomberg News.

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Raytheon_UTCRaytheon-UTC Merger Highlights America's Edge in R&D
The United Technology headquarters in Farmington, Conn., June 10.
Photo: Pat Eaton-Robb/Associated Press

By The Editorial Board
The Wall Street Journal

The decline and fall of American manufacturing is a oft-told story and usually fiction. The reality is that the U.S. retains significant comparative advantage in advanced manufacturing, as the merger of Raytheon Co. and United Technologies Corp. that was announced highlights.

The all-stock transaction would create Raytheon Technologies Corp., which the companies value at about $160 billion and would be second only to Boeing among U.S. defense suppliers. Raytheon, which makes Tomahawk cruise missiles and other advanced weapons, will add patents and expertise from UTC's jet-engine and aerospace divisions.

Last year the two companies spent nearly $5 billion on R&D. The CEOs say cost savings will let the combined company increase spending on research, helping preserve the U.S. lead in defense technology as China expands its spending and military footprint.

Continue reading this story here.
merger2Pros and Cons of Raytheon-UTC Merger
Associated Press

By Richard Aboulafia, Aerospace & Defense

The surprise announcement of a Raytheon-United Technologies merger will create Raytheon Technologies, a $74 billion aerospace/defense company, second only to Boeing in the US and roughly tied for third in the world (with Airbus). Yet unlike those two primes, the new entity will largely be a supplier company, creating products and technologies for other companies' platforms.

This merger was a surprise because Raytheon and UTC have very little in common in terms of business segments or programs. Yet there are four reasons to think it will work well...and one reason to be concerned.

For Raytheon, commercial work is a huge draw. As Boeing has shown in recent years, the sheer volume and growth of the commercial aviation market gives defense players a lot of pricing flexibility. The company has had a remarkable string of competition wins, often accompanied by write-offs, which are enabled by strong commercial segment profits. As our chart shows, the civil aviation industry has benefitted from long-term growth, and has come to dwarf the military side.

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Lawsuit Filed Against Multiple Fire Suppression Companies for Poor System Installation
Bonfire Restaurant fire May 2016 (Source: Downtown Grill Facebook page)

By Kristin Nelson

CONWAY, SC -- A poorly installed fire suppression system is to blame for a massive fire that caused nearly $1 million dollars' worth in damage to the Bonfire Smokin' Taqueria restaurant, according to a newly-filed lawsuit.

The insurance company for the restaurant, Selective Way Insurance filed a lawsuit against Ashley Inc., A&A Hood Systems and several unidentified fire suppression installation companies and individuals. The suit states that they were hired to design and install a commercial kitchen fire suppression system for a 48" Swig and Swine solid fuel smoker.

The lawsuit states that after the suppression system was installed, Ashley Inc. and A&A Hood were responsible for inspecting, cleaning and maintaining the suppression system. The companies were also responsible for inspecting and cleaning the exhaust and duct work for the smoker, according to court documents.

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Philadelphia Refinery Explodes
Photo: Screenshot of Twitter

By Lilly Nice
The Gal Post

The fire at the refinery of Philadelphia Energy Solutions company destroyed installation for alkylation. This will complicate the supply of gasoline with the largest refinery on the U.S. East coast, Reuters reported sources familiar with the matter.

The destruction of the unit, performance of which amounted to 335 000 barrels per day, along with the damage from the fire that may lead to the closure of the plant for a long period of time.

The company may take several years to restore some of the destroyed system.

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CO2 Suppression System Kills 8 Aboard Freighter
The red marker shows the approximate location of Longyan Port, Rongcheng in China. Graphic: Google Maps.

By Jim Wilson, Australia Correspondent
Freight Waves

A deadly maritime accident has killed several people during a ship repair job in China. Accounts differ but it is clear that either eight or ten people are dead. A further 19 were hospitalized and are believed to be in a serious condition, but stable.

The Fujian Shipping Company vessel Jinhaixiang was undergoing repair at 3pm (local time) on Saturday May 25, by Xixiakou Ship Repair, at Longyan Port, Rongcheng City, Shandong Province, the shipping company said in a statement.

It appears that, during the repair, the carbon dioxide injection system for ship-borne fire protection was somehow activated.

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Honeywell Recalls Defective Smoke Detector

CBS Baltimore

Honeywell recalled a photoelectric smoke sensor sold with fire alarm systems on June 21, the U.S. Consumer Product Safety Commission reported.

This comes after learning the sensors, manufactured in Mexico, could malfunction and cause the fire alarm system to fail to alert occupants in commercial buildings of a fire.

Finish reading this article here.
Russian Plane Fire Leaves 13 Dead
© Provided by Independent Digital News & Media Limited

By Zamira Rahim

At least 13 people, including two children, have died after a large fire broke out on a Russian plane, the country's Investigative Committee said.

The Aeroflot Sukhoi Superjet made an emergency landing at Moscow's Sheremetyevo Airport after flames consumed its tail end.

Dramatic footage on social media showed the plane landing in Moscow, as smoke and fire surrounded part of the jet.

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New Zealand Issues Alert Over Dreamliner Fire Suppression System

By Grant Bradley
Aviation, tourism and energy writer for the NZ Herald

Air New Zealand is inspecting its Dreamliners for a possible fault with engine fire-fighting equipment following an alert from United States authorities.

The Federal Aviation Administration has issued an airworthiness directive over internal engine fire switches on Boeing models.

If the components fail, it could prevent the fire extinguisher agent from being released. If there's an engine fire, the FAA found it could get out of control, resulting in the wing of the carbon fibre plane failing.

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Fire Equipment Distributor Settles EEOC Race Discrimination Suit (US)
A&F Fire Protection's offices in West Babylon. Photo Credit: Danielle Silverman

By Victor Ocasio

A&F Fire Protection Co. Inc., a West Babylon fire sprinkler and fire safety equipment installation company, has agreed to pay $407,500 to settle a race discrimination and retaliation lawsuit filed by the U.S. Equal Employment Opportunity Commission.

In a 2017 lawsuit filed in U.S. District Court in Central Islip, the EEOC charged that A&F discriminated against a class of black and Hispanic employees over a period of years, including subjecting the workers to the "frequent use of slurs" in the workplace, a news release issued by the agency said.

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Apple Recalls MacBook Pro Over Fire Safety Risk
Apple is asking customers to check the serial number on their machines on the Apple recall site

By Basit Mahmood

Apple is asking some of its customers with MacBook Pro laptops to stop using the machines immediately and to replace the batteries as soon as possible over 'a fire risk'.

The company said that a limited number of its largest laptop line, sold between September 2015 and February 2017, contained batteries that 'may overheat and pose a safety risk'.

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Johnson Controls Under Fire for Failure to Report

By Wisconsin Democracy Campaign
Urban Milwaukee

The state Justice Department is reviewing allegations that Johnson Controls International failed to report releasing hazardous chemicals that later contaminated drinking water in northeastern Wisconsin.

The state Department of Natural Resources referred the case to the Justice Department for civil prosecution. The DNR said the company failed to report to the state in 2013 that it found perfluorinated chemicals at a fire training facility it owns in Marinette.

Read the full article here.

United Passenger Says Engine Caught Fire - Flight Diverted

By Sara Mattison

A United Airlines plane returned to Honolulu after passengers say one of its engines caught fire. There were 142 passengers on board. The early morning flight was heading to Majuro, the capital of the Republic of the Marshall Islands. The flight is about five hours over open water.

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Payment Within 7 Days!
smithShana Smith, VP of Fire Professional Services, Recognized

By PR Newswire
Yahoo! Finance

FRIENDSWOOD, Texas -- Shana Smith, VP is recognized by Continental Who's Who as a Lifetime Achiever in the field of Fire Protection and Safety as the Vice President of Fire Professional Services, Inc.

Offering fire sprinkler inspection programs, extinguisher inspections, emergency lighting service inspection programs, fire alarm installation and inspection, fire suppression systems inspections, digital video surveillance services, and the operating of high-end residential and commercial gate automation, Fire Professional Services, Inc is an industry leader in the installation and service of Passive Fire Protection Systems, Closed Circuit Television and Entry Gates from various manufacturers.

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caliriCaliri Receives Telgian's Pat Ryan Award

By MDM Publishing LTD
International Fire Protection

The most prestigious honor bestowed at Telgian each year is the Pat Ryan Team Spirit Award. The award celebrates teamwork at its highest level and was created in memory of Telgian associate Pat Ryan. This award recognizes the spirit of teamwork that Ryan personified, and it is presented annually to the Telgian Team Associate who best embodies his example.

The winner of the 2019 award, which was announced at the conclusion of the annual Telgian Shareholder's Meeting, was John Caliri, Jr.

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jlaJLA Group Acquires Fire Facilities Management (UK)

By MDM Publishing LTD
International Fire Protection

The JLA group is delighted to announce the acquisition of Fire Facilities Management Limited.

Established in 2001, Fire FM specializes in providing high-quality fire-safety solutions, such as installation and maintenance of fire protection assets, fire risk assessments and related training, to customers across the UK. Based in Dunstable, Fire FM employ 36 people, including 25 field based engineers.

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rolls_royceRolls Royce Acquires Siemens eAircraft Business
Rolls-Royce makes a bold move into its electrification strategy with the Siemens eAircraft acquisition.

By Julie Boatman

In a move that leaves no question as to how it feels about the promise of electric propulsion, Rolls-Royce has entered into an agreement to acquire Siemens' eAircraft business, the company announced during the Paris Air Show 2019.

Siemens' significant work in electric and hybrid-electric propulsion development began to take shape several years ago under the direction of Dr. Frank Anton, in locations in Germany and Hungary. Its hybrid aircraft, the Magnus eFusion first flew on April 11, 2018, equipped with a SP55D engine and a FlyEco diesel engine. While it suffered an accident on May 31, 2018, investigators determined that the airplane's batteries had not caught fire prior to the crash.

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haesHaes Acquires International Safety Technology (UK)

By MDM Publishing LTD
Gulf Fire

Leading fire control panel manufacturer Haes announced that they have now completed the acquisition of the distributor International Safety Technology (IST) who focus exclusively in overseas markets. IST have been in operation for over 28 years and developed a loyal and growing client base over that time as their service and the market has seen substantial development.

The rest of this story can be found here.
nuclearA Burning Issue: New Report on Research into Fire Protection in Nuclear Power Plants
Schematic representation of the French DIVA test facility, where the PRISME experiments take place.


Knowledge about the origin and propagation of fires is an important basis for evaluating the fire safety of a nuclear power plant. For this reason, GRS is currently conducting research in two international projects of the Committee on the Safety of Nuclear Installations (CSNI) on the subject of fire protection in nuclear installations: the PRISME project and the HEAF project.

In the PRISME project, an international research team has been investigating the spread of fires and smoke in nuclear power plants since 2006. The abbreviation PRISME stands for the French Propagation d'un incendie pour des scénarios multi-locaux élémentaires - in English Fire propagation in scenarios of multi-room geometries.

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safety_mythsFire Safety Myths - Will Equipment Work as Designed?

By Chris Jelenewicz, PE, FSFPE, Technical Director, Society of Fire Protection Engineers

Designing fire safety in a building involves coordinating the design and construction of a range of complex systems. These systems include suppression systems, fire alarm and communication systems, smoke control systems, structural fire protection, passive fire systems, and egress systems to name a few. It is the fire protection engineer's job to coordinate the design of these systems based on the project's unique building characteristics, occupant characteristics, and possible fire scenarios so these systems work as one unified fire safety system.

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vikingMinimax is Now Part of Viking

By Viking Group Inc.

Hastings, Mich. -- The Viking Corporation, a global leader in fire and life safety systems, announced that the Minimax Fire Products brand is now part of Viking's Special Hazards line and will be distributed under the Viking name. The expanded line of special hazards products now includes clean agent suppression systems, advanced detection options, and other integrated systems for many fire protection challenges.

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CEOs of Carrier and Otis announced by UTC

By PR Newswire
Yahoo! Finance

FARMINGTON, Conn. -- United Technologies Corp. announced the appointments of David L. Gitlin as president & chief executive officer of Carrier and Judith F. Marks as president & chief executive officer of Otis, effective immediately.

"I'm pleased to announce these most important assignments as we make strong progress toward our goal of establishing both Carrier and Otis as stand-alone public companies and clear leaders in their respective industries," said Greg Hayes, UTC chairman & CEO. "I have great confidence in Judy and Dave to drive strategic growth, lead their industries in innovation and customer focus, and maximize value creation for their respective shareowners, customers and employees."

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Most Popular Stories from April 2019

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