Terminix

{{Short description|American pest control company}}

{{Infobox company|

| name = Terminix International Company, L.P.

| type = Subsidiary

| logo = Terminix logo.svg

| founder = E.L. Bruce

| foundation = {{Start date and age|1927}} in Memphis, Tennessee, United States

| location = Memphis, Tennessee, U.S.

| area_served = Nationwide

| num_employees = 10,500

| industry = Pest control

| parent = Rentokil Initial

| homepage = {{URL|https://www.terminix.com/}}

| key_people = Brett T Ponton (CEO)

| revenue = $1.798 billion

| revenue_year = 2019

| services = Termite & Pest control

}}

Terminix International Company, L.P. is one of the largest pest control companies in the world, operating in 47 states in the United States and 70+ countries around the world. It is a subsidiary of UK-based Rentokil Initial.

History

In 1927, E. L. Bruce, owner of the E. L. Bruce Company in Memphis, Tennessee, wanted to find a way to protect the hardwood floors they manufactured from damage by termites and founded the Bruce Terminix Research Laboratory. In 1932, senior chemist Frank Lyons created the first termiticide, an insecticide specifically designed to kill termites. The company began to franchise under the name Bruce Terminix. In 1955, Terminix was the first company to offer a termite protection contract, with annual inspections and a guarantee. In 1957, franchisees began offering residential and commercial pest control services.{{cite web| url=http://www.calhouncountyjournal.com/sifting-through-history/| title=Sifting through history| date=April 17, 2013| author=Joel McNeece| publisher=Calhoun County Journal| access-date=November 12, 2015}}

In 1968, the E. L. Bruce Company, including Bruce Terminix, was sold to Cook Industries. The company began looking to expand its business both inside and outside of the United States and purchased a pest control company in Mexico. Terminix partnered with Sears, Roebuck and Company to offer pest control services under the Sears Termite and Pest Control name. In 1972, the company changed their name to Terminix International to highlight their expanded operations.{{cite web| url=http://www.commercialappeal.com/business/for-president-of-terminix-its-all-about-the| title=For president of Terminix, 'it's all about the culture'| author=James Dowd| date=April 8, 2012| publisher=The Commercial Appeal Memphis| access-date=November 12, 2015}}

ServiceMaster, a global holding company, purchased Terminix from Cook Industries in 1986. It continued to acquire pest control companies, including former franchisees, to become the largest pest control company in the world by 1990. The company expanded into Europe in 1994 with the acquisition of Peter Cox PLC, a pest-control and wood preservation business in Britain.{{cite web| url=https://www.chicagotribune.com/1994/09/01/servicemaster-acquires-pest-control-firm-in-britain/| title=Servicemaster Acquires Pest-control Firm In Britain| date=September 1, 1994| author=David Young| publisher=Chicago Tribune| access-date=November 12, 2015}} In 2001, Terminix purchased its former partner, Sears Termite and Pest Control. In 2007, ServiceMaster moved its main offices from Downers Grove, Illinois to the site of Terminix's headquarters in Memphis, Tennessee.

Over the first three months of 2009, Terminix acquired nine pest management companies across seven states.{{cite web| url=https://principiumgroup.com/terminix-finishes-q1-with-nine-acquisitions/| title=Terminix Finishes Q1 With Nine Acquisitions| publisher=The Principium Group| access-date=November 12, 2015}} In December 2012, Terminix closed six acquisitions adding over $10 million in revenue.{{cite web| url=http://www.bizjournals.com/memphis/news/2013/01/23/terminix-closes-year-with-acquisitions.html| title=Terminix closes year with six acquisitions in five states| date=January 23, 2013| author=Ed Arnold| publisher=Memphis Business Journal| access-date=November 12, 2015}} In November 2015, Terminix acquired the Utah-based company, Alterra Pest Control.{{cite web|author=Michael Sheffield|date=November 12, 2015|title=Local company continues to expand with latest bug buy|url=http://www.bizjournals.com/memphis/news/2015/11/12/local-company-continues-to-expand-with-latest-bug.html|access-date=November 12, 2015|publisher=Memphis Business Journal}} Terminix started its foray into Canada in 2013 when it acquired Magical Pest Control, based in Toronto, and Vancouver-based Care Pest & Wildlife Control.{{cite web|author=Michael Sheffield|date=September 25, 2014|title=Terminix goes Canadian with acquisition|url=http://www.bizjournals.com/memphis/news/2014/09/25/terminix-goes-canadian-with-acquisition.html|access-date=November 12, 2015|publisher=Memphis Business Journal}} Terminix's parent company at the time, ServiceMaster, held its IPO in June 2014.{{cite web|author=Michael Sheffield|date=August 4, 2015|title=ServiceMaster brands ignite growth in second quarter|url=http://www.bizjournals.com/memphis/news/2015/08/04/servicemaster-brands-ignite-growth-in-second.html|access-date=November 12, 2015|publisher=Memphis Business Journal}}{{cite web|date=June 26, 2014|title=Terminix, Merry Maid parent serves up IPO|url=http://www.stltoday.com/business/local/terminix-merry-maid-parent-serves-up-ipo/article_6f19e11f-5798-579b-a7e2-c5c7af793593.html|access-date=November 12, 2015|publisher=STL Today}} In 2015, Terminix Canada announced the acquisition of Excel Pest Control, based in Fredericton, and St. John's-based Cabot Pest Control.{{Cite web|title=Terminix Acquires Two Canadian Pest Control Companies|url=https://www.pctonline.com/article/terminix-canada-acquisitions-excel-cabot/|access-date=2021-09-09|website=PCT - Pest Control Technology|language=en}} A year later, Terminix Canada acquired Halifax-based Ace Pest Control. In October 2020, ServiceMaster Global Holdings, Inc., sold its ServiceMaster Brands segment and associated trademarks to Roark Capital, and subsequently changed its name to Terminix Global Holdings, Inc., and its NYSE ticker symbol to TMX. Then came the acquisition of the pest control division of Canada-based Citron Hygiene in 2021.{{Cite web|date=2021-05-20|title=Canada-based Division of Citron Hygiene Acquired by Terminix Canada|url=https://terminix.ca/blog/terminix-aquires-pest-control-division-citron-hygiene/|access-date=2021-09-09|website=Terminix|language=en-CA}} The most recent Canadian acquisition was Newmarket-based Environmental Pest Control, also in 2021. Service Master is the parent company for Terminix.

In December 2021, UK-based Rentokil Initial announced that it would acquire Terminix for $6.7 billion.{{cite news |last1=Shabong |first1=Yadarisa |title=Bugs beware: Rentokil to create pest control giant with $6.7 bln deal |url=https://www.reuters.com/world/uk/british-pest-control-firm-rentokil-buy-terminix-67-bln-deal-2021-12-14/ |work=Reuters |date=14 December 2021 |language=en}} The acquisition was closed on October 12, 2022.{{cite news|title=Acquisition of Terminix Completion|url=https://www.rentokil-initial.com/media/news-releases/news-2022/terminix_completion.aspx|publisher=Rentokil Initial|date=October 12, 2022|access-date=October 22, 2022}}

Products

Terminix works with residential and commercial customers for pest control services including termite, mosquito and bed bug treatments, as well as insulation options.{{cite web| url=http://www.insurancejournal.com/news/national/2011/06/13/202389.htm| title=Aon, Global Excess Partners, Terminix Partner to Deal with Bed Bugs.| date=June 13, 2011| publisher=Insurance Journal| access-date=November 12, 2015}}

Terminix released the environmentally safe mosquito bait Attractive Targeted Sugar Bait in 2014. The garlic oil makes mosquitoes sick and kills 90 percent of the mosquitoes within three weeks.{{cite web| url=https://www.bloomberg.com/bw/articles/2014-05-19/terminixs-attractive-targeted-sugar-bait-uses-garlic-oil-to-kill-mosquitoes| title=Terminix's New Mosquito Killer? Garlic Oil.| author=John Tozzi| date=May 19, 2014| publisher=Bloomberg| access-date=November 12, 2015}}{{cite web| url=http://www.dallasnews.com/lifestyles/home-and-gardening/headlines/20140612-environmentally-friendly-mosquito-control-available-in-texas.ece| title=Environmentally friendly mosquito control available in Texas| author=Karel Holloway| date=June 12, 2014| publisher=Dallas Morning News| access-date=November 12, 2015}}{{cite web| url=http://www.huffingtonpost.ca/2015/05/05/safe-mosquito-repellent_n_7214482.html| title=New Sugar-Based Mosquito Repellent Is Safe For The Environment And People| date=May 5, 2015| publisher=Huffington Post| access-date=November 12, 2015}} The company also produces AllClear mosquito repellant, which is an all natural mix of essential oils.{{citation needed|date=April 2016}}

Legal proceedings

In May 2008, termite inspectors in California sued ServiceMaster and its Terminix unit for failure to pay overtime, rest breaks, and other work-required expenses. Terminix held that termite inspectors were outside sales employees.Pablo et al. v. ServiceMaster Global (Terminix), CASE NO. 3:08-cv-03894-SI(U.S. Dist. Ct. N. Dist. CA(filed May 31, 2008)).29 U.S.C. 213(a)(1). See generally Allan J. Schwartz, Who is employed in "capacity of outside salesman" within the meaning of 13(a)(1) of Fair Labor Standards Act (29 U.S.C.A. 213(a)(1)), as amended. In June 2011, the U.S. District Court held that termite inspections are not sales activities.Pablo v.ServiceMaster Global Holdings, Inc., No. C 08-03894 SI, UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF CALIFORNIA, 2011 U.S. Dist. LEXIS 64969,(N.D. Cal., June 20, 2011, supra. The case was filed as a class action,AT&T Mobility LLC v. Concepcion, No. 09-893, SUPREME COURT OF THE UNITED STATES, 131 S. Ct. 1740; 179 L. Ed. 2d 742; 2011 U.S. LEXIS 3367; 161 Lab. Cas. (CCH) P10,368; 22 Fla. L. Weekly Fed. S 957; 52 Comm. Reg. (P & F) 1179,(April 27, 2011). and class action case was denied, while Individual claims were allowed.Pablo et al., supra.See Am. Pipe & Constr. Co. v. Utah, No. 72-1195, SUPREME COURT OF THE UNITED STATES, 414 U.S. 538; 94 S. Ct. 756; 38 L. Ed. 2d 713; 1974 U.S. LEXIS 42;(January 16, 1974).

In March 2016, Terminix settled with the United States Department of Justice over illegal use of banned pesticides in the United States Virgin Islands and the poisoning of a family vacationing there.{{cite news|last1=Shoichet|first1=Catherine|last2=Ganim|first2=Sara|title=Terminix fined $10 million; pesticide poisoned family in Virgin Islands|url=http://www.cnn.com/2016/03/29/health/terminix-fined-virgin-islands-pesticide/index.html|access-date=30 March 2016|agency=CNN|date=2016-03-30}} The family of four was poisoned when the unit below their rented villa was fumigated with the highly toxic methyl bromide, which has been banned from indoor use in the United States since 1984.

In 2020, “ An investigation by the Alabama Attorney General’s office and the Alabama Department of Agriculture and Industries revealed that Terminix engaged in a pattern of collecting annual termite protection premiums from Alabama consumers, but failed to deliver or provide the termite protection services promised in the contracts consumers had with Terminix.” The company agreed to a $60 million settlement with the Department of Agriculture, largely directed at consumers.{{Cite web|title=$60 million settlement with Terminix over illegal business practices targeting Alabamians|url=https://www.fox10tv.com/news/60-million-settlement-with-terminix-over-illegal-business-practices-targeting-alabamians/article_28edeb40-1f93-11eb-bf43-f34da5ee6a1f.html|access-date=2021-03-24|website=FOX10 News|language=en}}

References

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