Black & Decker to merge with Stanley

Black and Decker Corporation is a global manufacturer and marketer of power tools. They will be combining corporations with Stanley Works, a worldwide supplier of tools and engineered solutions.

Black and Decker’s global headquarters is located in Towson, Md. on Joppa Road but will be moving to Stanley’s headquarters in New Britain, Conn. due to the merge in a $4.5 billion deal. 

“There have been extended conversations, extended conversations that this [merge] is something that the two parties felt made sense,” spokeswoman for the Baltimore County Office of Economic Development Fronda Cohen said.

According to Cohen, the power tools division of the once Towson-based Black and Decker will stay in the area as part of the merge deal.

“The power tools division represents a significant amount of employment,” she said. “They will continue to be a strong force in the region.”

Nevertheless, Towson Chamber of Commerce executive director Nancy Hafford is concerned about the parts of Black and Decker that will not be staying in Towson or in Maryland, for that matter.

Hafford said that with this merge many local businesses would be affected, including the Burkshire Marriot and Sheraton hotels and higher-end restaurants.

“When executives from out of state come to Towson to meet with the executives at Black and Decker, they usually stay at those hotels,” Hafford said.

“If the executives aren’t going to be with Black and Decker in Towson, then anything like that chips money away,” she said.

With the combination of the two companies, Stanley chairman and chief executive officer John F. Lundgren will be the president and CEO of Stanley Black and Decker, according to the merger agreement.

Cohen said that 250 individual Black and Decker corporation jobs will be affected by this merger.

Still, Cohen said the Baltimore County Workforce Development Center will help them find new jobs.

“Losing jobs will have a dramatic impact on the lives of the individuals and their families, but we stand ready to help them,” she said.

Tim Sullivan, economics department chairperson and associate professor said that Stanley and Black and Decker are the biggest and most prominent toolmakers in the world and merging the two companies together could give them greater marketing opportunities, but job loss is a downside and they may or may not be recovered.

“People must be optimistic, but this is a very anxious time,” Sullivan said.

Baltimore County Executive Jim Smith has a scheduled call with the CEO of the merged company this week, Cohen said.

“This will indicate how we feel about the company’s presence in Baltimore County and that we will help them in any way to facilitate an easy transition,” Cohen said.