ADT 2007 Annual Report Download - page 94

Unless otherwise indicated, references in this Annual Report to 2007, 2006 and 2005 are to Tyco’s
fiscal year ended September 28, 2007, September 29, 2006 and September 30, 2005, respectively.
Competitive Strengths
We believe that we have the following competitive strengths:
•Leading market positions and brands. We have leading market positions in each of our segments,
and a number of well recognized brands. For example:
•ADT Worldwide is one of the world’s largest providers of electronic security systems and
services to the commercial and residential markets (ADT and Sensormatic).
•Fire Protection Services is one of the world’s largest providers of fire detection and fire
suppression systems and services (SimplexGrinnell, Wormald and Mather & Platt).
•Flow Control is one of the world’s largest manufacturers of valves and related products
(Keystone and Vanessa).
•Safety Products is a major designer and manufacturer of fire suppression products (Ansul
and Grinnell), breathing apparatus for emergency workers (Scott), intrusion security
products (DSC and Bentel) and video and access control products (American Dynamics and
Software House).
•Electrical and Metal Products is a major manufacturer of galvanized steel tubing and cable
products (Allied Tube & Conduit and AFC Cable).
•Global reach and significant scale of operations. We are a global company, in terms of sales,
manufacturing and services. We conduct business in more than 60 countries, and 53% of our
2007 net revenue was generated outside the United States, with 29% in Europe, 16% in the
Asia-Pacific region and 8% in the Other Americas. We believe the global nature of our
businesses and our extensive sales networks allow us to offer our services and products
worldwide to our multinational customers, differentiating us from our competitors, and to
participate in the higher growth potential of emerging markets. In addition, we have an extensive
global manufacturing presence and operate over 200 manufacturing facilities around the world.
Our global manufacturing footprint and our significant scale of operations provide us with
greater flexibility to reduce our costs through manufacturing efficiencies, purchasing power and
resources for product design, marketing and customer management relative to our smaller
competitors.
•Diverse portfolio of services and products. We offer a broad portfolio of services and products,
which allows our customers to fulfill many of their needs by purchasing solely from us. For
customers that purchase multiple services or products across many geographic areas, the breadth
of our offerings allows us to serve our customers in ways that many of our competitors cannot.
•Diverse customer base. Our customers operate in many different industries and countries, which
allows us to leverage our skills and experience across many end markets. For example, we
provide our electronic security services and products to many of the world’s largest retailers,
many of the leading banks in North America and to over five million households and over one
and a half million business locations globally.
•Favorable long-term growth opportunities. We operate businesses in a number of different markets
that have attractive characteristics and solid growth prospects. ADT Worldwide continues to
experience strong growth rates due to continued commercial, residential and governmental
demand for our broad range of market leading security systems and services. We expect that
growth in Fire Protection Services will be driven by non-residential construction, by
refurbishment and upgrades of existing systems and by increasingly demanding fire codes. We
2 2007 Financials