Diebold, Inc. (NYSE: DBD) ( /ˈdiːboʊld/, DEE-bold) is a United States-based security systems corporation that is engaged primarily in the sale, manufacture, installation and service of self-service transaction systems (such as ATMs), electronic and physical security products (including vaults and currency processing systems), and software and integrated systems for global financial and commercial markets. Diebold is the largest U.S. manufacturer of ATMs.[1]
Diebold was incorporated under the laws of the State of Ohio in August 1876, and is headquartered in the Akron-Canton area; its mailing address is the city of North Canton,[2] but its physical address is located in the city of Green.
Diebold, Incorporated, incorporated in August 1876, is engaged in providing integrated self-service delivery and security systems and services to primarily the financial, commercial, government and retail markets. The Company operates two lines of business: Self-Service Solutions and Security Solutions. Sales of systems and equipment are made directly to customers by the Company’s sales personnel, manufacturers’ representatives and distributors globally. In September 2009, the Company sold its United States election system business, primarily consisting of its Allen, Texas-based subsidiary, Premier Election Solutions, Inc., to Election Systems & Software, Inc.
Self-Service Solutions
The Company offers a line of self-service technologies and services, including automated teller machine (ATM) outsourcing, ATM security and fraud, deposit and payment terminal and software. The Company offers a variety of self-service solutions. Self-service products include a range of ATMs, and teller automation including deposit automation technology such as, check-cashing machines, bulk cash recyclers and bulk check deposit. The Company offers software solutions consisting of multiple applications that process events and transactions. These solutions are delivered on the appropriate platform, allowing the Company to meet customer requirements.
From analysis and consulting to monitoring and repair, the Company provides value and support to its customers every step of the way. Services include installation and ongoing maintenance of its products, OpteView remote services, branch transformation and distribution channel consulting. Outsourced and managed services include remote monitoring, troubleshooting for self-service customers, transaction processing, currency management, maintenance services and full support through person to person or online communication.
Security Solutions
The Company provides physical and electronic security systems, as well as facility transaction products that integrate security, software and assisted-service transactions, providing total security systems solutions to financial, retail, commercial and government markets. The Company provides security solutions and facility products, including in-store bank branches, pneumatic tube systems for drive-up lanes, vaults, safes, depositories, bullet-resistive items and undercounter equipment. The Company provides a range of security products, including digital surveillance, access control systems, biometric technologies, alarms and remote monitoring and diagnostics. The Company provides security monitoring solutions including fire, managed access control, energy management, remote video management and storage, as well as logical security.
Integrated Solutions
The Company provides end-to-end outsourcing solutions with a single point of contact to help customers maximize their self service channel by incorporating new technology, meeting compliance and regulatory mandates. The Company’s service organization provides strategic analysis and planning of new systems, systems integration, architectural engineering, consulting, and project management that encompass all facets of a successful financial self-service implementation. The Company also provides design, sales, service, installation, project management and monitoring electronic security products to financial, government, retail and commercial customers.The Company, through its wholly-owned subsidiary Procomp Industria Eletronica LTDA, is a provider of voting equipment and related products and services. The Company provides elections equipment, networking, tabulation and diagnostic software development, training, support and maintenance.
During the year ended December 31, 2009, the Company’s segments comprised of its three main sales channels: Diebold North America (DNA), Diebold International (DI) and Election Systems (ES) & Other. The DNA segment sells and services financial and retail systems in the United States and Canada. The DI segment sells and services financial and retail systems over the remainder of the globe through wholly-owned subsidiaries, majority-owned joint ventures and independent distributors in every major country throughout Europe, the Middle East, Africa, Latin America and in the Asia Pacific region (excluding Japan and Korea).
The Company competes with NCR Corporation, Wincor-Nixdorf, Grg Equipment Co., Itautec and Perto.
With demand for ATMs continuing to grow, Diebold faced a lengthy production backlog in 1996, leading to its 1997 addition of three new U.S. manufacturing facilities in Staunton and Danville, Virginia, and in Lexington, North Carolina. The company also expanded and upgraded its existing U.S. plants in Canton and Sumter, South Carolina. Diebold continued to operate other manufacturing facilities in Germany, China, India, and the United States.
Although Diebold's share of the U.S. ATM market had fallen from about 55 percent in 1992 to about 40 percent in 1996--thanks in large part to new competitors, most notably Triton Systems Corp., based in Long Beach, Mississippi--the rapid growth in ATMs worldwide, 41 percent in 1996 alone, provided an environment for healthy growth and profitability. Diebold's net sales more than doubled from 1990 to 1996, from $476.1 million to $1.03 billion, while net income grew even faster, increasing from $27.1 million in 1990 to $97.4 million in 1996. The company was growing so fast that in late 1996 it was somewhat belatedly decided that the positions of president and COO--which Mahoney had assumed two years earlier while remaining CEO and chairman&mdash⁄ould finally be given to someone else, namely Gregg A. Searle, who had been an executive vice-president.
Diebold's managers felt confident enough about the company's ability to sell ATMs overseas that in July 1997 they announced that the company intended to discontinue the InterBold joint venture with IBM, phasing it out over the following 18 months. Talks between Diebold and IBM were soon underway over Diebold buying IBM's 30 percent InterBold stake. This bold move was indicative of a company filled with confidence about its future. Still the world leader in the far-from-mature ATM market--and with numerous overseas markets still only starting to develop ATM networks--Diebold could count on many more years of revenues and profits from its bread-and-butter product line. And it also was aggressively seeking out the blockbusters of tomorrow through its involvement with ICAMs, medical dispensing systems, smart cards, and also transaction software for the Internet. Diebold could certainly face the new millennium feeling safe and secure.
Principal Subsidiaries: InterBold (70%); Diebold Holding Company, Inc.; The Diebold Company of Canada Limited; Diebold of Nevada, Inc.; Diebold Investment Company; DBD Investment Management Company; VDM Holding Company, Inc.; Diebold Foreign Sales Corporation (U.S. Virgin Islands); Diebold Credit Corporation; Diebold Finance Company, Inc.; Diebold International Limited (U.K.); Diebold Pacific, Limited (Hong Kong); ATM Finance, Inc.; Diebold Mexico Holding Company, Inc.; Diebold Latin America Holding Company, Inc.; Diebold HMA Private Limited (India; 50%); Diebold Mexico, S.A. de C.V.; DBD Resource Leasing, S.A. de C.V. (Mexico); Diebold OLTP Systems, C.A. (Venezuela; 50%); Diebold OLTP Systems, A.V.V. (Aruba; 50%); Starbuck Computer Empire, A.V.V. (Aruba; 50%); China Diebold Financial Equipment Company LTD. (65%); Central Security Systems, Incorporated; MedSelect Systems, Incorporated; Diebold Texas, Incorporated; Griffin Technology Incorporated; Mayfair Software Distribution, Inc.
Principal Operating Units: InterBold; Electronic Security Products; Physical Security Products; Service; MedSelect Systems; Advanced Card Systems.
OVERALL
Beta: 0.99
Market Cap (Mil.): $2,179.47
Shares Outstanding (Mil.): 65.77
Annual Dividend: 1.12
Yield (%): 3.38
FINANCIALS
DBD Industry Sector
P/E (TTM): -- 13.21 19.06
EPS (TTM): -149.98 -- --
ROI: -2.17 15.91 16.06
ROE: -4.33 17.81 17.72
Statistics:
Public Company
Incorporated:1876 as Diebold Safe & Lock Co.
Employees:5,980
Sales:$1.03 billion (1996)
Stock Exchanges:New York
SICs:3499 Fabricated Metal Products, Except Machinery & Transportation Equipment; 3578 Calculating & Accounting Equipment; 3669 Electronic & Other Electrical Equipment & Components, Except Computer Equipment
Name Age Since Current Position
Lauer, John 72 2005 Independent Non-Executive Chairman of the Board
Swidarski, Thomas 52 2005 President, Chief Executive Officer, Director
Richardson, Bradley 52 2009 Chief Financial Officer, Executive Vice President
Chen, James 50 2010 Executive Vice President - International Operations
Ducey, Charles 55 2010 Executive Vice President - North America Operations
Mayes, George 52 2008 Executive Vice President - Global Operations
Chapman, Christopher 2011 Vice President - Global Finance
Angelo, Scott 2011 Vice President, Chief Information Officer
Natoli, Frank 46 2010 Vice President, Chief Technology Officer
Hesse, Chad 38 2011 Vice President, Interim General Counsel, Secretary
Dettinger, Warren 57 2009 Vice President, General Counsel, Assistant Secretary
McDannold, Timothy 48 2007 Vice President, Treasurer
Pierce, Leslie 47 2009 Vice President, Corporate Controller
Rutt, Sheila 42 2005 Vice President, Chief Human Resources Officer
Hunter, M. Scott 49 2006 Vice President, Chief Tax Officer
Kristoff, John 43 2006 Vice President, Chief Communications Officer
Stephenson, Bradley 58 2009 Vice President - Security Division
Mateo, Miguel 60 Vice President - Latin America Division
Brown, Alex 2011 Vice President - Corporate Strategy and development
Allender, Patrick 64 2011 Director
Crandall, Richard 68 1996 Independent Director
Lassiter, Phillip 67 1995 Independent Director
Fitzgerald, Gale 60 1999 Independent Director
Wallace, Henry 65 2004 Independent Director
Weber, Alan 62 2005 Independent Director
Cox, Phillip 63 2005 Independent Director
Cheng, Mei-Wei 61 2009 Independent Director
Byrnes, Bruce 62 2010 Independent Director
Address:
5995 Mayfair Road
Post Office Box 3077
North Canton, Ohio 44720-8077
U.S.A.
Diebold was incorporated under the laws of the State of Ohio in August 1876, and is headquartered in the Akron-Canton area; its mailing address is the city of North Canton,[2] but its physical address is located in the city of Green.
Diebold, Incorporated, incorporated in August 1876, is engaged in providing integrated self-service delivery and security systems and services to primarily the financial, commercial, government and retail markets. The Company operates two lines of business: Self-Service Solutions and Security Solutions. Sales of systems and equipment are made directly to customers by the Company’s sales personnel, manufacturers’ representatives and distributors globally. In September 2009, the Company sold its United States election system business, primarily consisting of its Allen, Texas-based subsidiary, Premier Election Solutions, Inc., to Election Systems & Software, Inc.
Self-Service Solutions
The Company offers a line of self-service technologies and services, including automated teller machine (ATM) outsourcing, ATM security and fraud, deposit and payment terminal and software. The Company offers a variety of self-service solutions. Self-service products include a range of ATMs, and teller automation including deposit automation technology such as, check-cashing machines, bulk cash recyclers and bulk check deposit. The Company offers software solutions consisting of multiple applications that process events and transactions. These solutions are delivered on the appropriate platform, allowing the Company to meet customer requirements.
From analysis and consulting to monitoring and repair, the Company provides value and support to its customers every step of the way. Services include installation and ongoing maintenance of its products, OpteView remote services, branch transformation and distribution channel consulting. Outsourced and managed services include remote monitoring, troubleshooting for self-service customers, transaction processing, currency management, maintenance services and full support through person to person or online communication.
Security Solutions
The Company provides physical and electronic security systems, as well as facility transaction products that integrate security, software and assisted-service transactions, providing total security systems solutions to financial, retail, commercial and government markets. The Company provides security solutions and facility products, including in-store bank branches, pneumatic tube systems for drive-up lanes, vaults, safes, depositories, bullet-resistive items and undercounter equipment. The Company provides a range of security products, including digital surveillance, access control systems, biometric technologies, alarms and remote monitoring and diagnostics. The Company provides security monitoring solutions including fire, managed access control, energy management, remote video management and storage, as well as logical security.
Integrated Solutions
The Company provides end-to-end outsourcing solutions with a single point of contact to help customers maximize their self service channel by incorporating new technology, meeting compliance and regulatory mandates. The Company’s service organization provides strategic analysis and planning of new systems, systems integration, architectural engineering, consulting, and project management that encompass all facets of a successful financial self-service implementation. The Company also provides design, sales, service, installation, project management and monitoring electronic security products to financial, government, retail and commercial customers.The Company, through its wholly-owned subsidiary Procomp Industria Eletronica LTDA, is a provider of voting equipment and related products and services. The Company provides elections equipment, networking, tabulation and diagnostic software development, training, support and maintenance.
During the year ended December 31, 2009, the Company’s segments comprised of its three main sales channels: Diebold North America (DNA), Diebold International (DI) and Election Systems (ES) & Other. The DNA segment sells and services financial and retail systems in the United States and Canada. The DI segment sells and services financial and retail systems over the remainder of the globe through wholly-owned subsidiaries, majority-owned joint ventures and independent distributors in every major country throughout Europe, the Middle East, Africa, Latin America and in the Asia Pacific region (excluding Japan and Korea).
The Company competes with NCR Corporation, Wincor-Nixdorf, Grg Equipment Co., Itautec and Perto.
With demand for ATMs continuing to grow, Diebold faced a lengthy production backlog in 1996, leading to its 1997 addition of three new U.S. manufacturing facilities in Staunton and Danville, Virginia, and in Lexington, North Carolina. The company also expanded and upgraded its existing U.S. plants in Canton and Sumter, South Carolina. Diebold continued to operate other manufacturing facilities in Germany, China, India, and the United States.
Although Diebold's share of the U.S. ATM market had fallen from about 55 percent in 1992 to about 40 percent in 1996--thanks in large part to new competitors, most notably Triton Systems Corp., based in Long Beach, Mississippi--the rapid growth in ATMs worldwide, 41 percent in 1996 alone, provided an environment for healthy growth and profitability. Diebold's net sales more than doubled from 1990 to 1996, from $476.1 million to $1.03 billion, while net income grew even faster, increasing from $27.1 million in 1990 to $97.4 million in 1996. The company was growing so fast that in late 1996 it was somewhat belatedly decided that the positions of president and COO--which Mahoney had assumed two years earlier while remaining CEO and chairman&mdash⁄ould finally be given to someone else, namely Gregg A. Searle, who had been an executive vice-president.
Diebold's managers felt confident enough about the company's ability to sell ATMs overseas that in July 1997 they announced that the company intended to discontinue the InterBold joint venture with IBM, phasing it out over the following 18 months. Talks between Diebold and IBM were soon underway over Diebold buying IBM's 30 percent InterBold stake. This bold move was indicative of a company filled with confidence about its future. Still the world leader in the far-from-mature ATM market--and with numerous overseas markets still only starting to develop ATM networks--Diebold could count on many more years of revenues and profits from its bread-and-butter product line. And it also was aggressively seeking out the blockbusters of tomorrow through its involvement with ICAMs, medical dispensing systems, smart cards, and also transaction software for the Internet. Diebold could certainly face the new millennium feeling safe and secure.
Principal Subsidiaries: InterBold (70%); Diebold Holding Company, Inc.; The Diebold Company of Canada Limited; Diebold of Nevada, Inc.; Diebold Investment Company; DBD Investment Management Company; VDM Holding Company, Inc.; Diebold Foreign Sales Corporation (U.S. Virgin Islands); Diebold Credit Corporation; Diebold Finance Company, Inc.; Diebold International Limited (U.K.); Diebold Pacific, Limited (Hong Kong); ATM Finance, Inc.; Diebold Mexico Holding Company, Inc.; Diebold Latin America Holding Company, Inc.; Diebold HMA Private Limited (India; 50%); Diebold Mexico, S.A. de C.V.; DBD Resource Leasing, S.A. de C.V. (Mexico); Diebold OLTP Systems, C.A. (Venezuela; 50%); Diebold OLTP Systems, A.V.V. (Aruba; 50%); Starbuck Computer Empire, A.V.V. (Aruba; 50%); China Diebold Financial Equipment Company LTD. (65%); Central Security Systems, Incorporated; MedSelect Systems, Incorporated; Diebold Texas, Incorporated; Griffin Technology Incorporated; Mayfair Software Distribution, Inc.
Principal Operating Units: InterBold; Electronic Security Products; Physical Security Products; Service; MedSelect Systems; Advanced Card Systems.
OVERALL
Beta: 0.99
Market Cap (Mil.): $2,179.47
Shares Outstanding (Mil.): 65.77
Annual Dividend: 1.12
Yield (%): 3.38
FINANCIALS
DBD Industry Sector
P/E (TTM): -- 13.21 19.06
EPS (TTM): -149.98 -- --
ROI: -2.17 15.91 16.06
ROE: -4.33 17.81 17.72
Statistics:
Public Company
Incorporated:1876 as Diebold Safe & Lock Co.
Employees:5,980
Sales:$1.03 billion (1996)
Stock Exchanges:New York
SICs:3499 Fabricated Metal Products, Except Machinery & Transportation Equipment; 3578 Calculating & Accounting Equipment; 3669 Electronic & Other Electrical Equipment & Components, Except Computer Equipment
Name Age Since Current Position
Lauer, John 72 2005 Independent Non-Executive Chairman of the Board
Swidarski, Thomas 52 2005 President, Chief Executive Officer, Director
Richardson, Bradley 52 2009 Chief Financial Officer, Executive Vice President
Chen, James 50 2010 Executive Vice President - International Operations
Ducey, Charles 55 2010 Executive Vice President - North America Operations
Mayes, George 52 2008 Executive Vice President - Global Operations
Chapman, Christopher 2011 Vice President - Global Finance
Angelo, Scott 2011 Vice President, Chief Information Officer
Natoli, Frank 46 2010 Vice President, Chief Technology Officer
Hesse, Chad 38 2011 Vice President, Interim General Counsel, Secretary
Dettinger, Warren 57 2009 Vice President, General Counsel, Assistant Secretary
McDannold, Timothy 48 2007 Vice President, Treasurer
Pierce, Leslie 47 2009 Vice President, Corporate Controller
Rutt, Sheila 42 2005 Vice President, Chief Human Resources Officer
Hunter, M. Scott 49 2006 Vice President, Chief Tax Officer
Kristoff, John 43 2006 Vice President, Chief Communications Officer
Stephenson, Bradley 58 2009 Vice President - Security Division
Mateo, Miguel 60 Vice President - Latin America Division
Brown, Alex 2011 Vice President - Corporate Strategy and development
Allender, Patrick 64 2011 Director
Crandall, Richard 68 1996 Independent Director
Lassiter, Phillip 67 1995 Independent Director
Fitzgerald, Gale 60 1999 Independent Director
Wallace, Henry 65 2004 Independent Director
Weber, Alan 62 2005 Independent Director
Cox, Phillip 63 2005 Independent Director
Cheng, Mei-Wei 61 2009 Independent Director
Byrnes, Bruce 62 2010 Independent Director
Address:
5995 Mayfair Road
Post Office Box 3077
North Canton, Ohio 44720-8077
U.S.A.