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Name and title: Douglas M. Hagerman, senior vice president, general counsel and secretary Age: 45 The company: Rockwell Automation Inc., with a background as a defense industry giant, today is a world leader in industrial automation. It boasts that its products can “control a single machine” or “integrate an entire enterprise.” Milwaukee-based Rockwell’s operations are divided into a control systems unit and a power systems segment. Automation products include motor starters, relays, timers, signaling devices and variable speed drives. Rockwell also provides its clients with factory-management software applications. Rockwell had its genesis in 1878 as a wood hardware specialist. Its innovations include a pioneering dashboard and radio rheostat for automobiles, the transmitter used in the inaugural radio broadcast from Antarctica to the United States, rocket engines employed in the first lunar landing of 1969 and the first modem (which weighed 700 pounds and was the size of a refrigerator). Rockwell does business in about 80 countries and employs approximately 21,000 people “all over the place.” It was No. 427 on the Fortune 500 list with 2005 sales of $5 billion. Legal team and outside counsel: Rockwell’s legal team comprises 18 attorneys, plus paralegals and staff. Hagerman said that “the department’s biggest strength is the quality of the individuals, down to the last person. It’s a seasoned staff of strong contributors and team players.” He reports to Chairman, President and Chief Executive Officer Keith D. Nosbusch. Legal work is performed both in-house and through outside counsel. Hagerman is pursuing a strategy of tilting the balance more toward internal attention, believing that in-house lawyers “add more value” by better knowing the company. He relies on the following firms when seeking external counsel: New York-based Chadbourne & Parke; Milwaukee-based Quarles & Brady; and the Cleveland intellectual property boutique Amin, Turocy & Calvin. He personally hires outside counsel “very rarely,” instead entrusting his “high-end team” to retain and supervise them-with a minimum of direct oversight on his own part. He believes that as members of a U.S.-based law department of a global company, his people must maintain a global outlook toward customers and the legal issues they face. Staff attorneys cover each region, so the “front line of responsibility” in understanding foreign laws falls on them. Immigration is a compliance issue for the department, and ensuring that foreign workers have I-9 forms where appropriate is a legal responsibility. In an important recent case, Rockwell prevailed against Solaia Technologies LLC in infringement litigation dating to 2001. At issue was computer technology to control factory devices. Although there was financial pressure to settle, Rockwell sought to vindicate its position in court and protect its customers and intellectual property. To do so “required a lot of courage,” he said, but the strategy succeeded, with Hagerman supervising the latter stages of litigation following his arrival in 2004. Having previously won “lots of cases” while engaged in private practice, Hagerman is nonetheless most proud of his Rockwell staff. He and his team focus on the legal and strategic aspects of how best to serve the company’s legal needs. Taking a forward-looking approach is essential, he said, and so is finding alternative courses of action if necessary. The department makes sure that Rockwell employees are immersed in the details of applicable laws and regulations, contracts and company policies. Daily duties: Due to the “incredible diversity of issues that I get involved in,” Hagerman has no typical agenda, but his time on the job breaks down in the following general manner: 40% is devoted to nonlegal work as a member of senior management; 30% is spent attending to legal issues, usually in a supervisory role; 15% goes toward managing people; and board of directors matters take up the remaining 15%. He oversees compliance, ethics, environmental, safety and quality-control matters. Rockwell maintains a robust security program in light of the large amount of its intellectual property. Additional security measures have been put into place to “keep people safe and locations secure.” A self-described generalist, Hagerman is experienced in corporate governance, and he provides counsel on audit committee practices, financial reporting processes and compliance measures. Codes of ethics-and adherence to the Sarbanes-Oxley Act, stock exchange regulations and U.S. Securities and Exchange Commission guidelines-also receive his attention. Technological progress has affected Rockwell’s relationship with its customers-and, indirectly, Hagerman’s role. He finds that clients increasingly look to the company to solve ever more complicated problems and to make their operations safer, more efficient and more productive. “Technology plays a key role in providing them the value they get with our company’s products and solutions,” he said. Route to present position: Rockwell’s legal chief attained his current status in May 2004. He was a litigation partner in the Chicago office of Foley & Lardner from 1986 to 2004. As co-chairman of Foley’s securities litigation, enforcement and regulation practice group, he represented litigants in all types of securities disputes. Hagerman is a graduate of Drake University (summa cum laude, 1983) and Harvard Law School (cum laude, 1986). He studied economics and accounting, and is a certified public accountant. Personal: Hagerman, a native of South Bend, Ind., and his wife, Jane Tadych Hagerman, are the parents of a pair of daughters: Caroline, 17, and Nora, 15. Outdoor activities such as backpacking and camping fill up his spare time. Prior to his legal career, he “made pizzas in college.” Hagerman is a member of the General Counsel Roundtable, the MAPI Law Council and the Society of Corporate Secretaries and Governance Professionals. He is a director and treasurer of the United Way of Greater Milwaukee. Last book and movie: China Inc.: How the Rise of the Next Superpower Challenges America and the World, by Ted C. Fishman, and The Godfather.

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