October 25, 2007 - Modern Distribution Management

Log In

Search

October 25, 2007

MDM Audio Conference: Strategic Pricing

Subscriber Only /

Searching for ways to improve profit margin?
Is it time to increase prices?
How do you avoid or minimize a price squeeze?
&nbsp ;
Join Mike Marks, Gene Zelek and moderator Tom Gale Tuesday, November 13, 2007, for a 90-minute audio conference, 1 p.m. Eastern.
&nbsp ;
If your company still operates with a one-size-fits-all” mindset when it comes to pricing, attend this session that focuses on practical aspects of pricing in a format designed to address your specific issues. Busy that day? Order the CD and share this insight with your team.
&nbsp ;
This interactive Strategic Pricing conference will help you assess your pricing opportunities and challenges in today’s fast-changing …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

MDM Audio Conference: Strategic Pricing Read More »

Commentary: Never Say Never

Free, Management, Perspective, Research & Analytics, Strategy, Subscriber Only /

Never say never. It was only five years ago when U.S. industrial markets were in the deepest trench anyone could remember. Customers were shutting plants and moving offshore. Private label was going to put all known brands out of business. Nearly every conversation about the largely ignored industrial downturn in this country included the phrase: It will never be as good again.

You can argue there are fewer distributors serving fewer customers than ten years ago, but look at the growth of industrial distributors the past four years. Overall, most sectors have enjoyed double-digit growth into 2007, and from anecdotal reports, many distributors are pleasantly surprised&nbsp ; that sales haven’t started to luff sooner.

Industrial markets look different today, but …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

Commentary: Never Say Never Read More »

Third Quarter Inflation by Commodity Group

Economic Trends, Research & Analytics, Subscriber Only /

These select product groups provide a snapshot of inflation trends. Third quarter 2006 is compared with third quarter 2007, and the second quarter 2007 with the third quarter 2007. Graphs depict trends from January 2006. Download complete&nbsp ; file below.
&nbsp ;
Abrasives
Adhesives & Sealants
Cutting Tools & Accessories
Hand & Edge Tools
&nbsp ;
Fasteners
Power-Driven Hand Tools
Ball & Roller Bearings
Mechanical Power Transmission Equipment

Electrical Machinery/Equipment
Industrial Material Handling Equipment
Industrial Gases
Welding Machinery/Equipment

Valves, Except Fluid Power
Pumps, Compressors & Equipment
Fluid Power Equipment
Plumbing Fixtures & Fittings

Hardware
Sanitary …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

Third Quarter Inflation by Commodity Group Read More »

Distribution Financial Metrics and Trading Multiples

Subscriber Only /

This table highlights key financial metrics and trading multiples for 30 publicly traded distributors in the industrial and building products industries up to September 30, 2007. Download this data below. Also find graphic illustrating median EBIDTA multiples for the same distribution companies.

&nbsp ;

These materials,&nbsp ; prepared by Robert W. Baird & Co. for MDM,&nbsp ; are for informational purposes …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

Distribution Financial Metrics and Trading Multiples Read More »

MDM Inflation Index: September 2007

Economic Trends, Research & Analytics, Subscriber Only /

Modern Distribution Management’s September Inflation Index, which measures a cross-section of industrial supplies, was up 0.06% from the previous month, and up 3.0% from September 2006.
&nbsp ;
Summary of&nbsp ; MDM Inflation Index for the past 12 months:
&nbsp ;
September 2007 Index 273.5
August 2007 Index 273.3
July 2007 Index 272.4
June 2007 Index 271.7
May 2007 Index 271.2
April 2007 Index 270.8
March 2007 Index 269.6
February 2007 Index 269.4
January 2007 Index 268.7
December 2006 Index&nbsp ; 267.1
November 2006 Index 266.5
October 2006 Index 265.9
September 2006 Index 265.6

Please click below to view a print-ready pdf of the&nbsp ; MDM Inflation Index for September 2007, listing the ten individual …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

MDM Inflation Index: September 2007 Read More »

MDM News Digest 3720

Free, Subscriber Only /

Rexel has made an offer to acquire the Dutch electrical and industrial distributor Hagemeyer NV, and has agreed to sell certain assets of Hagemeyer to Sonepar if its offer is accepted. The offer was made for & euro; 4.60 euro a share in cash, valuing Hagemeyer at & euro; 3 billion euro, a 47 percent premium over Hagemeyer’s average share price for the one-month period prior to Sonepar’s Oct. 9 offer. (At the current exchange rate of $1.43=& euro; 1, the valuation is US$4.3 billion.) Hagemeyer has rejected the offer, saying it undervalues the company. More
&nbsp ;
Rexel, based in France, has acquired EIW Holdings in Western Australia.

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

MDM News Digest 3720 Read More »

Fastenal Faces Wage-Hour Suit

Companies, Fasteners, Legal Issues in Wholesale Distribution, Operations, Subscriber Only, Top Distributor Sectors /

Multiple wage-hour lawsuits have reared their heads in the past few years. Distributors have been targeted as well. Last year C & S Wholesale Grocers was hit with a class-action; this month, two former Fastenal employees have followed suit, saying they were misclassified as assistant managers and as a result, denied overtime under the Fair Labor Standards Act.


Two former employees filed a lawsuit against The Fastenal Co., Winona, MN, on Oct. 18, 2007, alleging the industrial and construction supplies distributor violated the wage-hour provisions of the Fair Labor Standards Act (FLSA).

Three others have joined the suit, and the law firm representing the employees, Nichols, Kaster and Anderson, is hoping to add what it says in the lawsuit is …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

Fastenal Faces Wage-Hour Suit Read More »

Teaming Up for Hagemeyer

Companies, Finance, Free, Mergers & Acquisitions, Subscriber Only /

A bidding war has possibly been avoided in the fight for Dutch electrical/industrial distributor Hagemeyer’s global assets. Rexel just bid nearly $4.3 billion for the company, but plans to only keep a little over half of Hagemeyer when all is said and done. Sonepar has agreed to buy the rest.
&nbsp ; &nbsp ;
In an interesting twist, French-based distributor Rexel has made an offer to acquire Hagemeyer, and has agreed to sell certain assets of Hagemeyer to Sonepar if its offer is accepted.
&nbsp ;
The move eliminates the possibility of a bidding war between the two electrical distribution giants. It also plays down the risk of buying the entire company.
&nbsp ;
Rexel’s offer was made for & euro; 4.60 euro a share in cash, valuing Hagemeyer at & euro; 3 …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

Teaming Up for Hagemeyer Read More »

Huttig Building Products 3Q Sales Down 21%

Building Materials/Construction, Free, News, Subscriber Only, Top Distributor Sectors /

Huttig Building Products, Inc., a distributor of millwork, building materials and wood products, reported sales for third quarter ended Sept. 30, 2007, fell 21% to $233 million from the prior-year period. The company registered breakeven results, compared with a net loss of $9.1 million in the prior year.
&nbsp ;
For the nine months ended Sept. 30, 2007, the net loss from continuing operations amounted to $2.2 million, compared to a net loss of $3.4 million in the prior-year period. During the first nine months, sales declined 20% to $694.9 million. …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

Huttig Building Products 3Q Sales Down 21% Read More »

Timken Sales Up 6% in 3Q

Free, News, Power Transmission/Motion Control/Fluid Power, Subscriber Only, Top Distributor Sectors /

The Timken Company, Canton, OH, reported sales of $1.26 billion in the third quarter 2007, an increase of 6% over the same period a year ago. Strong sales in industrial markets were partially offset by the strategic divestment of the company’s automotive steering and European steel tube manufacturing operations in prior periods.
&nbsp ;
For the first nine months of 2007, sales were $3.89 billion, an increase of 4%, driven by strong industrial markets
&nbsp ;
The Industrial Group had third-quarter sales of $556.8 million, up 11% from the same period last year. The increase resulted from favorable pricing, currency and strong demand across all market sectors, especially from heavy industry and …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

Timken Sales Up 6% in 3Q Read More »

Rockwell Automation Acquires Pavilion Technologies

Finance, Free, Mergers & Acquisitions, News, Power Transmission/Motion Control/Fluid Power, Subscriber Only, Top Distributor Sectors /

Rockwell Automation, Inc., Milwaukee, WI, has agreed to buy Pavilion Technologies Inc., Austin, TX, a supplier in advanced process control, production optimization and environmental compliance solutions for process and hybrid industries.
&nbsp ;
Pavilion also has offices in Europe and the Asia-Pacific region. It serves major customers in consumer products, oil & gas, chemicals and other process industries.
&nbsp ;
Rockwell Automation is a supplier of industrial automation power, control and information solutions. The company employs about 19,000 people serving customers in more than 80 …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

Rockwell Automation Acquires Pavilion Technologies Read More »

MDM October 25, 2007

Subscriber Only /

This is the pdf of this issue of Modern Distribution Management. Apply the full $24.95 pay-per-view cost toward an annual subscription (within 30 days of purchase), which includes two issues a month plus access to more than six years of online archives and market data. Call 1-888-742-5060 or email info@mdm.com to …

To access this page, you must purchase MDM Premium Subscription, MDM Premium Subscription – Monthly or MDM Premium Subscription – Annually.

MDM October 25, 2007 Read More »

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!