Exhibit 99.1
____________ Airgas, Inc.
259 N. Radnor-Chester Road
Suite 100
Radnor, PA 19087-5283
www.airgas.com
AIRGAS News Release
___________________________________________________________________________
Investor Contact: Media Contact:
________________ _____________
Melissa Nigro (610) 902-6206 James Ely (610) 902-6010
melissa.nigro@airgas.com jim.ely@airgas.com
For release: Immediately
AIRGAS SIGNS LETTER OF INTENT TO ACQUIRE BOC'S U.S. PACKAGED GAS BUSINESS
RADNOR, PA - January 27, 2004 -- Airgas, Inc. (NYSE: ARG) today announced
it has signed a non-binding letter of intent to acquire most of the assets
of the U.S. packaged gas business of BOC Group (NYSE: BOX) in a transaction
valued up to $200 million. The companies are working toward signing a
definitive asset purchase agreement, which would be subject to customary
closing conditions and applicable regulatory approvals. The transaction
is expected to close in mid 2004.
The acquisition would include retail stores, warehouses, fill plants and
other operations involved in distributing packaged gases and welding equip-
ment sold through BOC's stores and distributors. The business includes the
range of packaged industrial, medical and most specialty gases. The business
to be acquired generated about $240 million in revenues in fiscal 2003.
Approximately 65 percent of the revenues would be from gas sales and cylinder
rent, with the remainder from welding hardgoods and supplies.
The transaction would exclude packaged electronic gases, helium and hydrogen
delivered in tube trailer or in liquid form, and bulk gases, including bulk
medical and bulk gases supplied to its distributors. The transaction also
would not affect BOC's merchant liquid and tonnage/on-site business in North
America and its packaged gases businesses in other parts of the world.
"The completed transaction would be positive for our associates, our custom-
ers and our shareholders," said Airgas Chairman and CEO Peter McCausland.
"The operations are a strong strategic fit with our core business of dis-
tributing industrial, specialty and medical gases and related supplies. They
would add branches in selected markets in the Midwest, Northeast and Southeast
portions of the United States where we currently have little or no presence,
as well as give us our first presence in Hawaii," he said.
"Airgas has proven it can successfully acquire operations from major gas pro-
ducers, as we did in 2002, and we intend to follow the same strategy of inte-
grating these operations into our strong regional company network. Most of
the acquired operations and related personnel would be integrated within
Airgas' regional company structure. Airgas has formed an integration team
with dedicated resources to manage a smooth transition for customers and
associates," said McCausland.
ABOUT AIRGAS, INC.
Airgas, Inc. (NYSE: ARG) is the largest U.S. distributor of industrial, med-
ical and specialty gases, welding, safety and related products. Its inte-
grated network of nearly 800 locations includes branches, retail stores, gas
fill plants, specialty gas labs, production facilities and distribution
centers. Airgas also distributes its products and services through eBusiness,
catalog and telesales channels. Its national scale and strong local presence
offer a competitive edge to its diversified customer base.
For more information, please visit www.airgas.com.
ABOUT BOC
The BOC Group (NYSE: BOX), the worldwide industrial gases, vacuum technologies
and distribution services company, serves two million customers in more than
50 countries. It employs 44,500 people and had annual sales of over GBP4.3
billion (more than US $7 billion) in 2003. Further information about The BOC
Group may be obtained on the Internet at http://www.boc.com.
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FORWARD-LOOKING STATEMENTS
This press release may contain statements that are forward looking, as that
term is defined by the Private Securities Litigation Reform Act of 1995 or
by the Securities and Exchange Commission in its rules, regulations and
releases. These statements include, but are not limited to, statements
regarding: the Company's intent to purchase the majority of BOC's U.S.
packaged gas business; the Company's intent to enter into a definitive asset
purchase agreement, which would be subject to customary closing conditions and
applicable regulatory approvals; the expectation that the transaction will
close in mid 2004; the components of the business and the revenues to be
acquired; the operations being a strategic fit with the Company's core
business; the Company's intent to follow a prior strategy for integrating the
operations; and working to plan a smooth transition. The Company intends
that such forward-looking statements are subject to the safe harbors created
thereby. All forward-looking statements are based on current expectations
regarding important risk factors and should not be regarded as a
representation by the Company or any other person that the results expressed
therein will be achieved. Important factors that could cause actual results
to differ materially from those contained in any forward-looking statement
include: the failure to execute an asset purchase agreement and to obtain
regulatory approval; customer acceptance of the transaction; the Company's
ability to integrate the acquired operations and to retain BOC's personnel;
an economic downturn;increased industry competition; political and economic
uncertainties associated with current world events; and other factors
described in the Company's reports, including Form 10-K dated March 31, 2003
and Form 10-Q dated September 30, 2003, filed by the Company with the
Securities and Exchange Commission.
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