PALMER JOHNSON POWER SYSTEMS spun off from superyacht builder Palmer Johnson Yachts in 1977 (originally "Sturgeon Bay Boat Works"). The new business began with branches in Sturgeon Bay, Wisconsin and Chicago, Illinois, primarily distributing Twin Disc marine product.
 
PJ rapidly entered new markets including industries such as steel, forestry, mining and construction. The Company’s emphasis was on service repair and product support. This "Value Added" philosophy met rapid success, both in sales and reputation.

PJ expanded into new territories in the 80s and 90s, adding branches in St. Paul, St. Louis, Kansas City, Oklahoma City, Denver, Dallas, Little Rock and Phoenix.  In 2001, the Chicago branch was divided into a sales and service branch in Addison, Illinois, and a new central warehouse in Racine, Wisconsin.  In 2002, PJ acquired the assets of the NA D’Arcy Company, a Twin Disc Distributor with branches in Los Angeles and San Francisco.  PJ completed an extensive overhaul of these sales and service branches in spring 2004.

The Company has also diversified its product offerings, adding Funk transmission products and Wichita clutches and brakes and the following significant brand names: Frank W. Murphy Gauges, Bosch Rexroth, Clark Hurth, Rockford Clutches, Allison TT Transmissions, Eaton Airflex Clutches, Cotta Transmission, Ingersoll-Rand Air Starters and Compressors, Hamilton Jet Drives, Mechanics Driveshafts and Spicer Driveshafts.

PJ has successfully established service programs for large OEMs such as New Holland, John Deere, Caterpillar, AGCO, CNH and Komatsu Dresser. Support programs included remanufacturing, exchange programs, field service campaigns, warranty support and inventory depots.  Several other national transmission rebuilding programs were created with PJ playing a major role in the service support of high volume transmission manufacturers.

The modern day PALMER JOHNSON POWER SYSTEMS consists of twelve sales and service branches supported by a master distribution center and a machining facility. Ninety-five dedicated employees operate within fourteen facilities with over 175,000 square feet of office, service area, and warehouse.  PJ annually sells over $38 million dollars of product over a 19 state territory. The "Value Added Service" concept remains as the number one reason for PJ's long term growth and success.