Outdoor Power Equipment

July 2012

Proudly serving the industry for which it was named for more than 50 years, Outdoor Power Equipment provides dealers who sell and service outdoor power equipment with valuable information to succeed in a competitive market.

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Stihl Inc. announces personnel moves STIHL INC. recently announced the retirements of long-time executives Peter Mueller as executive vice president of operations and Peter Burton as vice president of sales and marketing, as well as the appointments of their respective successors, Christian Koestler and Nick Jiannas, effective July 1. Peter Mueller led the start-up of the U.S. manufacturing operations for Stihl in Virginia Beach, Va., in 1974 and has since overseen all operational aspects for the company for the past 38 years. Under Mueller's guidance, the company evolved from an assembly operation to a vertically integrated manufacturing facility, producing the majority of Stihl products for the current world market. Mueller also created a culture where employees embrace automation rather than fear it, thus helping the company effectively compete worldwide. In addition, Mueller led Stihl Inc. in manufacturing nearly 50 million units, achieving Free Trade Zone status, and winning numerous quality awards. Stihl also became the "number one selling brand of gasoline-powered handheld outdoor power equipment in America," based on syndicated Irwin Broh Research (commercial landscapers), as well as independent consumer research of 2009-2011 U.S. sales and market share data for the gasoline-powered handheld outdoor power equipment category combined sales to consumers and commercial landscapers. Mueller will transition to a consultant role after he retires in October 2012. "Four decades of service to a company is a rare enough thing in today's business environment, but to have led Stihl Inc. from a new operation in the U.S. to the top-producing facility in the Stihl Group is nothing short of extraordinary," said Fred Whyte, president of Stihl Inc. "The processes Peter implemented have been instrumental in ensuring the Stihl reputation for quality and dependability and will continue his legacy to the company for years to come." Peter Burton retired as vice president of sales and marketing after 30 years with the Stihl organization. During his tenure at Stihl Inc., Burton instituted innovative and industry-leading sales and marketing strategies and campaigns, leading the company to record growth and market share gains, as well as recognition of Stihl as the "number one selling brand of gasoline-powered handheld outdoor power equipment in America." At the core of many of these initiatives is support for the independent servicing dealer, including the "Why?" advertising campaign, the Marketing Advantage Program, the Stihl Concept Store merchandising system, Stihl Dealer Days, Stihl iCademy online training for Stihl dealers, and Independent We Stand cause marketing. These programs are in addition to the successful launches of hundreds of new products and several new technologies. "In a company as closely knit as ours, it is always hard to say goodbye to someone who has contributed so much and been such an integral part of our success," said Fred Whyte. "To say that Peter will be missed is an understatement, but the example that he set during his 30 years with Stihl has set the bar for the next generation of employees and will serve as a foundation for our future success." Nick Jiannas, who most recently served as the branch manager at Northeast Stihl, will succeed Peter Burton as VP of sales and marketing for Stihl Inc. He will be responsible for sales for the domestic and export markets, sales planning, new product development, all marketing programs, and branch operations throughout the U.S. Jiannas began his Stihl career in 1995 as an operations assistant at Pacific Stihl, during which time he spent three months of 1996 in Germany, working in the research, development and product management departments at Andreas Stihl AG & Co. KG. A year later, Jiannas relocated to eastern Tennessee to become a territory manager for Mid-Atlantic Stihl. In 1998, he was promoted and moved to Virginia Beach to assume a product manager position at Stihl Inc. In 2002, Jiannas took over as manager of export and sales planning, responsible for preparing and monitoring monthly sales forecasts and evaluating annual purchase projections for domestic and export markets. In July 2006, Jiannas was promoted to branch manager at Northeast Stihl, where he was responsible for all aspects of branch operations. Under his leadership, Northeast Stihl experienced an overall sales growth of 35 percent in six years. He is most notably recognized for maintaining profitability throughout the recession by managing business elements down and controlling expenses and, ultimately, leading two record sales years coming out of the recession. "Nick's experience in various positions at Stihl branches and at corporate, here and in Germany, gives him a unique perspective of the company and insight in to the strategies necessary to further our sales and marketing success," said Fred Whyte. "I look forward to Nick building on the legacy that Peter Burton established and advancing Stihl's position as an industry leader." Christian Koestler will succeed Peter Mueller and serve as VP of operations for Stihl Inc. Koestler will be responsible for directing U.S. activities in the areas of manufacturing, engineering, materials and procurement, logistics, buildings, maintenance and quality assurance. Originally from Munich, Germany, Koestler began his career with Stihl Inc. as an engineering intern 12 years ago and held various positions, including manufacturing engineering manager and director of technology. In 2010, he accepted the position of global director of engineering, technologies and facility management at Andreas Stihl AG & Co. KG, in Germany, where he was responsible for technology and building expansions globally except for the U.S. In April 2012, he returned to Stihl Inc. Koestler obtained his Master of Science degree in Mechanical Engineering from the Technical University of Munich. He also holds an MBA from Averett University and is a doctoral candidate in engineering at Old Dominion University. "Koestler exemplifies the highest standard of learning and individual growth potential at Stihl," said Fred Whyte. "Koestler raised the bar in our German office and has a proven record of success here at Stihl Inc. We are proud to welcome him back and are confident he will ensure our strong culture and commitment to excellence continues into the next generation of Stihl leadership." OUTDOOR POWER EQUIPMENT JULY 2012 OPE 9

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