MDM News Digest 4020 - Modern Distribution Management

MDM News Digest 4020

News briefs for Oct. 11-25

Chicago-based Grainger has acquired SafetyCertified, Inc. The acquisition supports the distributor’s strategy of service expansion. More

Grainger reported third quarter sales of $1.9 billion increased 19 percent versus the 2009 third quarter. Profit for the quarter increased 4 percent to $150 million versus $145 million in 2009. For the nine months ended Sept. 30, 2010, sales of $5.4 billion were up 17 percent versus the nine months in the prior period. Profit was up 14 percent to $379 million from the first three quarters of 2009. More

Swedish manufacturer SKF has agreed to acquire St. Louis, MO-based Lincoln Holdings Enterprises, Inc. for US$1 billion. Lincoln manufactures lubrication systems, tools and equipment under the Lincoln, Alemite and Reelcraft brands. More

For the third quarter, SKF sales increased 16.1 percent to SEK 15.5 billion (US$2.29 billion), driven primarily by increased volume. Profit was SEK 1.43 billion (US$211.5 million). More

United Stationers, Deerfield, IL, announced that Paul Barrett has been named president, LagasseSweet, reporting to Steve Schultz, group president, Lagasse and ORS Nasco. Barrett previously held the position of vice president of sales for LagasseSweet. More

Airgas, Radnor, PA, lost its challenge to invalidate a bylaw amendment voted on at the latest shareholder meeting. The amendment, proposed by Allentown, PA-based Air Products as part of its hostile takeover bid, would move the Airgas 2011 annual shareholder meeting to January. Airgas announced it would appeal the ruling. More

Industrial distributor Motion Industries, reported sales were up 29 percent in the third quarter. Parent companyGenuine Parts Company, Atlanta, GA, reported third-quarter sales of $2.95 billion, an increase of 13 percent compared to the same period a year ago. Profit increased 22 percent to $131.8 million. For the nine months ended Sept. 30, 2010, sales were $8.4 billion, up 11 percent compared to the first nine month of 2009. Profit increased 19 percent to $300.4 million. More

WinWholesale, Dayton, OH, has opened Albuquerque Winwater Works Co. Albuquerque Winwater Works will provide general, municipal and utility contractors throughout New Mexico with water line, sanitary sewer and storm sewer products and supplies. More

The Fastenal Company, Winona, MN, reported sales for the third quarter were $603.7 million, up 23.4 percent from the prior-year period, and profit grew 57.6 percent. For the first nine months, sales were up 16.7 percent to $1.69 billion. Profit was $200 million. More

Watsco, Inc., Coconut Grove, FL, reported sales for the third quarter were $813 million, up 10 percent over the same period last year. Profit increased 49 percent to $31 million. For the first nine months, sales increased 52 percent to $2.2 billion, and profit increase 129 percent to $97.2 million. More

Parker Hannifin Corp., Cleveland, OH, fiscal 2011 first quarter sales were $2.8 billion, an increase of 26.5 percent from the same quarter a year ago. Profit was $249 million compared with $74 million in the first quarter of fiscal 2010. More

3M, St. Paul, MN, has agreed to buy the tape-related assets of Alpha Beta Enterprise Co. Ltd., a manufacturer of box sealing tape and masking tape in Taipei, Taiwan. More

Zep Inc., Atlanta, GA, a manufacturer of maintenance chemicals for the industrial, institutional, MRO, and automotive markets, has acquired Atlanta-based Niagara National, LLC, a manufacturer in automatic truck wash systems and products, for an undisclosed price. More

Zep reported sales for the fiscal year ended Aug. 31, 2010, were $568.5 million, up 13.5 percent over last year. Profit climbed 45 percent to $13.5 million. For the fourth quarter, sales were $161.4 million, an increase of 20.2 percent. Profit fell 67 percent to $2.1 million. More

The U.S. manufacturing sector has held up well during an uneven economic recovery and should continue to expand, but likely at a slower pace, according to the quarterly Manufacturers Alliance/MAPI Survey on the Business Outlook – September 2010, a leading indicator for the industrial sector. The September 2010 composite index fell slightly to 77 percent from a record high 81 percent in the June 2010 report. It marks the fourth straight quarter it has reached 50 percent or above, the benchmark between contraction and expansion.More

Privately-owned housing starts in September were at a seasonally adjusted annual rate of 610,000, according to the U.S. Census Bureau and the Department of Housing and Urban Development. This is 0.3 percent above the revised August estimate of 608,000 and is 4.1 percent above the September 2009 rate. More

Industrial production decreased 0.2 percent in September after an increase of 0.2 percent in August. Total manufacturing output, as well as manufacturing output excluding motor vehicles and parts also moved down 0.2 percent. For the third quarter, industrial production rose at an annual rate of 4.8 percent after having advanced about 7 percent in both the first and second quarters of this year. More

Non-residential building construction investment in Canada reached $10.4 billion in the third quarter, a 2.9 percent increase from the second quarter and the third consecutive quarterly gain. The increase was mainly the result of higher spending on commercial and industrial buildings. More

Canadian manufacturing sales increased 2 percent in August to $45.1 billion. Higher sales volumes were responsible for most of the gain. With the increase, manufacturing sales were 17.6 percent higher than their most recent low, reached in May 2009. Constant dollar manufacturing sales increased 2.1 percent in August. More

Wholesale prices increased 0.4 percent in September, seasonally adjusted, the U.S. Bureau of Labor Statistics reported. This advance followed a 0.4-percent rise in August and a 0.2-percent increase in July. More

Sales of power transmission/motion control products by U.S. and Canadian manufacturers grew in August, after a decline in July. U.S. sales were up 7.6 percent and Canadian manufacturers’ sales were up 2.6 percent according to August 2010 sales data released by the Power Transmission Distributors Association Market Outlook Report. In the U.S., year-to-date sales are up 10.2 percent over the same period in 2009. In Canada, sales are 12 percent ahead of 2009. More

August U.S. manufacturing technology consumption totaled $246.42 million, according to the Association for Manufacturing Technology and the American Machine Tool Distributors’ Association.  This total, as reported by companies participating in the USMTC program, was down 5.7 percent from July but up 88 percent when compared with the total of $131.06 million reported for August 2009.  With a year-to-date total of $1,697.27 million, 2010 is up 62.4 percent compared with 2009. More

Total value of building permits in Canada totaled $5.7 billion in August, down 9.2 percent from July, but still 11.4 percent higher than in August 2009. In the non-residential sector, the value of permits decreased 22.9 percent from July to $2.2 billion. The value of permits in the residential sector increased 2 percent to $3.5 billion. More

USG Corp., Chicago, IL, reported sales for the third quarter of $758 million, a decrease of 7.8 percent from a year ago. USG recorded a net loss of $100 million, compared to a year ago loss of $94 million. For the first nine months, sales were $2.24 billion with a net loss of $284 million. More

L&W Supply Corp., USG’s building products distribution segment, reported third quarter 2010 sales of $281 million, down 15 percent compared to the third quarter of 2009, and an operating loss of $24 million. More

Non-food consumable products distributor Bunzl plc reported sales for the third quarter is up 6 percent from the same period a year ago, and up 3 percent year-to-date. Excluding the one-off positive impact from the sale of products from H1N1 prevention last year, growth in the third quarter was 1 percent. More

Fastener distributor Bossard Group reported sales of CHF 119.4 million (US$112.8 million) in the third quarter, an increase of 32.2 percent in local currencies. In the first nine months, sales were CHF 363.5 million (US$373.8 million), up 25 percent in local currencies, and 21.2 percent in Swiss francs. More

Diversified industrial manufacturer Eaton Corp., Cleveland, OH, reported sales for the third quarter of 2010 were up 18 percent from the prior-year period. Profit was $268 million, an increase of 39 percent. More

United Rentals, Inc., Greenwich, CT, reported third quarter revenue was $605 million, an increase of 2.2 percent over the same period a year ago. Profit was $23 million, compared to no profit a year ago. More

Acuity Brands, Inc., Atlanta, GA, reported sales for the fiscal year ended Aug. 31, 2010, were $1.63 billion, down 2 percent from fiscal 2009. Profit declined 6.2 percent to $79.6 million. Fourth-quarter sales were $444.1 million, an increase of 5 percent. Profit decreased 6.5 percent to $27.2 million. More

Packaging Corporation of America, Lake Forest, IL, third-quarter sales were $642.8 million, an increase of 16 percent compared to third quarter 2009. Profit increased 28 percent. More

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