Item 2. PROPERTIES

Our principal office is located in leased premises in Schaffhausen, Switzerland, and our management office in the United States is located in leased premises in Minneapolis, Minnesota. Our operations are conducted in facilities throughout the world. These facilities house manufacturing and distribution operations, as well as sales and marketing, engineering and administrative offices.

We carry out our Valves & Controls manufacturing operations at 8 plants located throughout the United States and 34 plants located in 17 other countries. In addition, Valves & Controls has 31 distribution facilities, 57 sales offices and 51 service centers located in numerous countries throughout the world.

We carry out our Process Technologies manufacturing operations at 14 plants located throughout the United States and at 11 plants located in 8 other countries. In addition, Process Technologies has 10 distribution facilities and 22 sales offices located in numerous countries throughout the world.

We carry out our Flow Technologies manufacturing operations at 7 plants located throughout the United States and at 14 plants located in 10 other countries. In addition, Flow Technologies has 40 distribution facilities, 20 sales offices and 11 service centers located in numerous countries throughout the world.

We carry out our Technical Solutions manufacturing operations at 8 plants located throughout the United States and 9 plants located in 8 other countries. In addition, Technical Solutions has 11 distribution facilities and 52 sales offices located in numerous countries throughout the world.

We believe that our production facilities are suitable for their purpose and are adequate to support our businesses.