Toro 2014 Annual Report Download - page 30

ITEM 2. PROPERTIES
As of October 31, 2014, we utilized manufacturing, distribution, warehouse, and office facilities totaling approximately 6.1 million square feet of
space worldwide. We also had approximately 72 acres of excess land in Wisconsin adjacent to a distribution center, 36 acres of land in
Minnesota utilized as a testing and storage facility, and 21 acres of land in California used as a testing site. On November 14, 2014, we
acquired approximately 22 acres of land in Iron Mountain, Michigan and 252,720 square feet of manufacturing and distribution space as a result
of our acquisition of the BOSS business, as previously discussed. Plant utilization varies during the year depending on the production cycle. We
consider each of our current facilities to be in good operating condition. Management believes we have sufficient manufacturing capacity for
fiscal 2015, although strategies for future operational growth are currently being assessed. We are expanding and renovating our corporate
facilities located in Bloomington, Minnesota, which included the construction of a new 75,000 square foot facility that was completed in fiscal
2014 and renovation of our original corporate facility in fiscal 2015 to accommodate additional expansion needs for our product development
and test capacities. Our significant facilities are listed below by location, ownership, and function as of October 31, 2014:
Location Ownership Products Manufactured / Use
Bloomington, MN Owned/Leased Corporate headquarters, warehouse, and test lab
El Paso, TX Owned/Leased Components for professional and residential products and distribution center
Ankeny, IA Leased Residential and professional distribution center
Juarez, Mexico Leased Professional and residential products
Plymouth, WI Owned Professional and residential parts distribution center
Tomah, WI Owned/Leased Professional products and distribution center
Windom, MN Owned/Leased Residential and professional products and warehouse
Beatrice, NE Owned/Leased Professional products, test facility, and office
Iron Mountain, MI
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Owned Professional products, distribution facility, and office
Riverside, CA Owned/Leased Professional products, test facility, distribution center, and office
Xiamen City, China Leased Professional products, distribution center, and office
Braeside, Australia Leased Distribution center, service area, and office
Hertfordshire, United Kingdom Owned Professional and residential products, distribution center, test lab, and office
Ploiesti, Romania Owned Professional products, distribution center, test lab, and office
Shakopee, MN Owned Components for professional and residential products
Beverley, Australia Owned Professional products, distribution center, service area, and office
Baraboo, WI Leased Professional and residential distribution center
El Cajon, CA Owned/Leased Professional and residential products, distribution center, test lab, and office
Brooklyn Center, MN Leased Distribution facility, service area, and office
Capena, Italy Leased Distribution center
Sanford, FL Leased Professional products and distribution center
Kent, WA Leased Distribution facility, service area, and office
Fiano Romano, Italy Owned/Leased Professional products, distribution center, and office
St. Louis, MO Leased Distribution facility, service area, and office
Oevel, Belgium Owned Distribution center, service area, and office
Abilene, TX Leased Office, professional products, and service center
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Acquired on November 14, 2014 as part of the acquisition of the BOSS business.
others’ patents, we regularly review certain patents issued by the
ITEM 3. LEGAL PROCEEDINGS
USPTO and foreign patent offices. We believe these activities help
We are a party to litigation in the ordinary course of business. us minimize our risk of being a defendant in patent infringement
Litigation occasionally involves claims for punitive, as well as com- litigation. We are currently involved in patent litigation cases where
pensatory, damages arising out of the use of our products. we are asserting and defending against claims of patent
Although we are self-insured to some extent, we maintain insur- infringement.
ance against certain product liability losses. We are also subject to For a description of our material legal proceedings, see Note 13
litigation and administrative and judicial proceedings with respect to of the Notes to Consolidated Financial Statements under the head-
claims involving asbestos and the discharge of hazardous sub- ing ‘‘Commitments and Contingent Liabilities – Litigation’’ included
stances into the environment. Some of these claims assert dam- in Item 8, Financial Statements and Supplementary Data of this
ages and liability for personal injury, remedial investigations or Annual Report on Form 10-K, which is incorporated into this Item 3
clean-up, and other costs and damages. We are also typically by reference.
involved in commercial disputes, employment disputes, and patent
litigation cases in the ordinary course of business. To prevent pos- ITEM 4. MINE SAFETY DISCLOSURES
sible infringement of our patents by others, we periodically review
competitors’ products. To avoid potential liability with respect to Not applicable.
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