Grainger closes on vehicle maintenance acquisition

Grainger closes on acquisition of Wis. vehicle maintenance business

• On 2:44 pm EDT, Wednesday October 14, 2009

CHICAGO (AP) -- W.W. Grainger Inc., a facilities maintenance provider, said Wednesday it closed on the acquisition of a vehicle maintenance products distributor.

Terms were not disclosed.

Grainger said the transaction should add between 3 cents per share and 5 cents per share to earnings in 2010, including savings in product and transportation costs.

Analysts surveyed by Thomson Reuters, on average, expect Grainger to earn $5.60 per share next year.

Mike Pulick, president of Grainger's U.S. businesses, said Imperial, a 51-year-old Green Bay, Wis., business expects cross-selling opportunities by offering Imperial customers access to Grainger's products and national distribution scale. Customers of the Chicago-based Grainger will have access to Imperial's 20,000 fleet maintenance products, Grainger said.

The business will continue to operate as Imperial Supplies LLC under Grainger's specialty brands business and will be led by Rob Gilson, Imperial's CEO.

Shares of Grainger fell $1.51, or 1.6 percent, to $92.80 in afternoon trading.

(This version CORRECTS to Imperial sted Grainger in 4th graf)