GENERAL SIGNAL AND RELIANCE AGREE TO GRACE PERIOD.STAMFORD Stamford, town, England Stamford, town (1991 pop. 18,127), in the Parts of Kesteven, Lincolnshire, E central England, on the Welland River. It is a market town. Products include diesel engines, electrical equipment, bricks, and tiles. , CT,--(BUSINESS WIRE)--November 17, 1994--General Signal Corporation announced this morning that it and Reliance Electric had agreed, subject to acceptance by Rockwell International Rockwell International was the ultimate incarnation of a series of companies under the sphere of influence of Willard Rockwell, who had made his fortune after the invention and successful launch of a new bearing system for truck axles in 1919. Corporation, to permit Reliance a grace period until noon, Monday Monday: see week. , November November: see month. 21, 1994 to negotiate with Rockwell Rock·well , Norman 1894-1978. American illustrator whose works, many of which appeared on the cover of the Saturday Evening Post, offer a nostalgic, idealized view of everyday American life. Noun 1. regarding Rockwell's cash tender offer or a possible business combination between Reliance and Rockwell. The grace period would not entitle en·ti·tle tr.v. en·ti·tled, en·ti·tling, en·ti·tles 1. To give a name or title to. 2. To furnish with a right or claim to something: General Signal to terminate the General Signal/Reliance Merger Agreement. In the event that Reliance and Rockwell come to an arrangement for a business combination during the grace period, the General Signal/Reliance Merger Agreement will be terminated effective upon Reliance's payment to General Signal of $55.150 million as a break-up fee and expense reimbursement Reimbursement Payment made to someone for out-of-pocket expenses has incurred. . Upon payment and the termination of the Merger Agreement, mutual releases among General Signal, Reliance, and Rockwell will become effective. The agreement provides that if no arrangement is reached on or before November 21, 1994, the General Signal/Reliance Merger Agreement shall remain in full force and effect. If, prior to April 1, 1995, Rockwell has neither purchased shares of Reliance stock pursuant to a tender offer nor effected a business combination with Reliance, General Signal and Reliance will re-execute the Merger Agreement as if it had never terminated and General Signal will repay to Reliance the $55.150 million, and then proceed to obtain shareholder approval of the merger. Edmund M. Carpenter, chairman and chief executive officer of General Signal, stated that he continues to believe that a General Signal/Reliance transaction is in the best interest of shareholders of both companies, but that he was willing to work with Reliance to put in place the above arrangement. EDITORS NOTE: General Signal Corporation, with estimated 1994 sales in excess of $1.7 billion, is a leading manufacturer of equipment and instruments for the process control, electrical, and industrial technology industries. CONTACT: General SignalCorp.
Nino Fernandez
(203) 329-4320.
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