ADT 2005 Annual Report Download - page 85

the leading manufacturer of steel and aluminum pre-wired armored cable. The Georgia Pipe business
manufactures plastic conduit. Allied manufactures metal framing and support systems and electrical
cable tray and cable ladders in North America and sells them under the POWERSTRUT, UNISTRUT
and T.J. COPE trade names. In addition, Allied manufactures and distributes welded steel tubular
products in North America. In Brazil, tube is manufactured and sold under the trade names of
FREFER and DINACO. These businesses serve a wide spectrum of customers and applications ranging
from automotive, fire protection, security and safety containment, recreational equipment, commercial
construction and traffic control systems. Electrical & Metal Products competes with multiple national
and international competitors on the basis of price, availability and breadth of product line.
Infrastructure Services
Tyco Infrastructure Services provides a broad range of environmental, consulting and engineering
services through its EARTH TECH business. Earth Tech’s principal services consist of a full-spectrum
of water, wastewater, environmental and hazardous waste management services. Earth Tech also
provides infrastructure and transportation design and construction services for institutional, civic,
commercial and industrial clients; design, construction management, project financing and facility
operating services for water and wastewater treatment facilities for municipal and industrial clients; and
transportation engineering and consulting. Earth Tech operates through a network of offices in the
United States, Canada, the United Kingdom, Ireland, Mexico, Germany, Sweden, China, Australia and
Thailand. Earth Tech competes with a number of international, national, regional and local companies
on the basis of price and the breadth and quality of services.
Backlog
See Item 7. Management’s Discussion and Analysis of Financial Condition and Results of
Operations for information relating to our backlog.
Research and Development
Tyco-sponsored research and development expense by segment for the years ended September 30,
2005, 2004 and 2003 is as follows ($ in millions):
2005 2004 2003
Electronics ...................................... $440 $427 $379
Healthcare ....................................... 232 209 150
Fire and Security .................................. 119 101 100
Engineered Products and Services ...................... 45 40 32
$836 $777 $661
Approximately 5,900 full-time scientists, engineers and other technical personnel were engaged in
our product research and development activities as of September 30, 2005.
Research activity at Electronics focuses specifically on new product development and a continuous
expansion of technical capabilities. Healthcare focuses on technologies to complement existing product
lines and applying expertise to refine and successfully commercialize such products and technologies
and on acquiring rights to new products. We anticipate that Healthcare’s research and development
spending will continue to increase during 2006. Research activity in Fire and Security relates mostly to
the design of fire and intrusion alarm products, video and access control products, as well as products
related to electronic article surveillance. Engineered Products and Services focuses on improvements in
hydraulic design, which controls the motion of fluids, resulting in new fire protection devices and flow
control products.
2005 Financials 9