August 6, 2008 - Modern Distribution Management

August 6, 2008

New Report Encourages Companies to Work Directly With Factory Managers Overseas

According to a new report by Business for Social Responsibility, companies should work directly with factory managers overseas to equip them with skills, knowledge and systems to better address labor standards violations, environmental degradation and poor health and safety protections. The recommendation comes from the organization’s report: Pilot Summary Report: Building Capabilities to Implement Corporate Social Responsibility (CSR) Management Systems at ICT Suppliers in China.”
 
The report is based on recently completed pilot projects the organization says were aimed at breaking through common barriers to improving factory conditions. The project included many participants including the World Bank and the Foreign Investment Advisory Service and others.
 
BSR …

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Avnet Sales at $17.9B in Fiscal 2008, Up 14.5%

Phoenix, AZ-based Avnet, Inc. reported sales of $17.95 billion for fiscal year end 2008, up 14.5% over fiscal year 2007. Profit improved 27% to $499.1 million. Organic growth was 4.9% over the prior year.
 
For the fourth quarter ended June 28, 2008, sales were $4.68 billion, an increase of 10.4% over the same period the prior year. Profit was $144.1 million, up 15.6%.
 
CEO Roy Vallee said, In fiscal 2008, our focus on value based management and value creating M&A resulted in record financial results despite the challenging macro-economic forces impacting our markets.”
 
Avnet completed seven acquisitions in fiscal year 2008.
 
Electronics Marketing sales were up 10.8% to $2.73 billion in the fourth quarter, included positive impact from …

Avnet Sales at $17.9B in Fiscal 2008, Up 14.5% Read More »

Building Materials Holding Corp. Discontinues SelectBuild Florida Operations

Building Materials Holding Corp., San Francisco, CA, will discontinue operations at its wholly-owned subsidiary SelectBuild Florida over the next four months in an effort to better align costs with current market conditions.
 
The move comes a week after BMHC announced it was out of compliance with financial covenants for its current credit facility.
 
In light of the challenging homebuilding environment, we recognize the need to realign our business across the country to reflect local conditions,” said Stanley M. Wilson, president and COO. “The closure of the SelectBuild Florida facilities is in direct response to the challenging business environment in Florida. The Florida market has weakened considerably and we anticipate it will be some time before improvement is …

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Industrial Distribution Group Now Private

Industrial Distribution Group Inc., Atlanta, GA, distributor of maintenance, repair, operating and production (MROP) products and integrated supply services to manufacturers and other industrial users, is now owned by an affiliate of Luther King Capital Management.
 
We are delighted that the merger with Eiger (the affiliate of Luther King) has been successfully completed,” said Charles A. Lingenfelter, IDG’s president and CEO. “The consummation of this transaction enables us to focus our full attention on our customers and suppliers. We will be a more agile company with the ability to adapt more swiftly in response to market changes.”
 
Eiger now owns 100% of the company’s stock. Eiger was formed to acquire IDG. Before the merger agreement, Luther King owned 14.9% …

Industrial Distribution Group Now Private Read More »

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