Airgas Acquires Fitch Industrial & Welding Supply Based in Lawton, OK
RADNOR, PA – December 1, 2009 -- Airgas, Inc. (NYSE: ARG) today announced it has completed the acquisition of Fitch Industrial & Welding Supply (“Fitch”), an industrial gas and welding supply distributor with three locations in Oklahoma and one in Wichita Falls, TX. The Lawton, OK-based business employs 39 people and generated more than $10 million in revenue during calendar 2008.
The Oklahoma branches have been integrated into Airgas Mid-South, headquartered in Tulsa, OK, while the Wichita Falls branch has been integrated into Airgas Southwest, headquartered in Houston, TX. Airgas Mid South and Airgas Southwest are among 12 regional companies within Airgas’ distribution business.
“Fitch has a strong reputation in the area, and long-standing relationships with their customers,” said Max Hooper, Airgas western division president. “We are excited to welcome the Fitch employees to Airgas, and to provide our new customers with access to the most complete offering of products and services in the industry.”
Fitch boasts nearly 60 years of operation after its founding in 1950 by Carl Fitch. Carl’s son Fred joined the company in 1970, soon thereafter assuming his current role as president and owner.
“Fred Fitch has been an industry leader for years, not only in running his company but also in holding significant management roles, including past president, in the industry association GAWDA,” said Les Graff, Airgas senior vice president – corporate development. “We are very pleased Fred chose to join forces with Airgas, as we remain committed to strengthening our platform by investing in quality businesses.”
“It has been a true pleasure to build this business over the years, and to serve the outstanding business community in and around Lawton,” commented Fitch. “I wanted to be sure that our Fitch employees and customers had the best future possible, so it made perfect sense to join Airgas, the nation’s premier industrial gas company.”
Kevin Brown - http://www.stardustspillproducts.com/
Wednesday, December 2, 2009
Acklands-Grainger acquires K&D Pratt Industrial Division
Purchase strengthens distributor's business in Atlantic Canada
Industrial Distribution Staff -- Industrial Distribution, 11/30/2009 9:44:59 AM
Acklands-Grainger, the Canadian division of broad-line MRO distributor W.W. Grainger, acquired the assets of K&D Pratt Industrial Division.
K&D Pratt's industrial division sells industrial and safety products from facilities in Dartmouth, Nova Scotia; St. John's, Newfoundland; and Saint John, New Brunswick. With 2008 sales of C$12 million (approximately US$11.3 million), the division was previously one of six business units owned and operated by K&D Pratt Group Inc. Terms of the deal were not disclosed.
"We are very excited about joining forces with the K&D Pratt Industrial Division and anticipate it will help us enhance our position as our customers' indispensable partner in keeping their facilities safe, efficient and functional," Sean O'Brien, president of Acklands-Grainger, said in a statement announcing the deal. "They are a leading distributor in Atlantic Canada and their solid customer relationships and service excellence will further enhance our strong local presence in this key and growing region."
The acquisition follows two other recent purchases by W.W. Grainger. Earlier this month, Grainger bought lighting service company Alliance Energy Solutions; in October, the distributor bought Green Bay, Wis.-based Imperial Supplies, which sells maintenance products and aftermarket components for the vehicle and fleet industry.
Industrial Distribution Staff -- Industrial Distribution, 11/30/2009 9:44:59 AM
Acklands-Grainger, the Canadian division of broad-line MRO distributor W.W. Grainger, acquired the assets of K&D Pratt Industrial Division.
K&D Pratt's industrial division sells industrial and safety products from facilities in Dartmouth, Nova Scotia; St. John's, Newfoundland; and Saint John, New Brunswick. With 2008 sales of C$12 million (approximately US$11.3 million), the division was previously one of six business units owned and operated by K&D Pratt Group Inc. Terms of the deal were not disclosed.
"We are very excited about joining forces with the K&D Pratt Industrial Division and anticipate it will help us enhance our position as our customers' indispensable partner in keeping their facilities safe, efficient and functional," Sean O'Brien, president of Acklands-Grainger, said in a statement announcing the deal. "They are a leading distributor in Atlantic Canada and their solid customer relationships and service excellence will further enhance our strong local presence in this key and growing region."
The acquisition follows two other recent purchases by W.W. Grainger. Earlier this month, Grainger bought lighting service company Alliance Energy Solutions; in October, the distributor bought Green Bay, Wis.-based Imperial Supplies, which sells maintenance products and aftermarket components for the vehicle and fleet industry.
Wednesday, November 18, 2009
Sarah Palin to address STAFDA Conference in November 2010
Sarah Palin to headline 2010 STAFDA convention
Former Alaska Governor and 2008 Republican Vice Presidential nominee will deliver the keynote address at STAFDA's 34th Annual Convention & Trade Show in Phoenix
Industrial Distribution Staff -- Industrial Distribution, 11/17/2009 4:17:05 PM
Sarah Palin will deliver the keynote address at the Specialty Tools & Fasteners Distributors Assn.'s 34th Annual Convention & Trade Show, Nov. 8-10, 2010, in Phoenix.
STAFDA wrapped up its 33rd annual convention and trade show, which drew a crowd of more than 3,500, in Atlanta last week.
Palin will address STAFDA members during the group's General Session on Monday, Nov. 8, 2010. According to STAFDA officials, she will speak about her vision for energy independence, health care, fiscal responsibility, small government and national security.
"She encourages her audiences to look to the future, and challenges leaders to do more to support our military, rein in spending and shrink government while creating fiscally responsible health care that benefits all Americans," STAFDA said in a press release announcing the event.
Palin's appearance on the STAFDA stage will come one week after the November 2010 elections. And she is not the first major political figure to address STAFDA members. Former Secretary of State Colin Powell delivered the keynote address in 2005, and former U.S. Senator and 1996 Republican Presidential candidate Bob Dole addressed the crowd in 1999.
Former Alaska Governor and 2008 Republican Vice Presidential nominee will deliver the keynote address at STAFDA's 34th Annual Convention & Trade Show in Phoenix
Industrial Distribution Staff -- Industrial Distribution, 11/17/2009 4:17:05 PM
Sarah Palin will deliver the keynote address at the Specialty Tools & Fasteners Distributors Assn.'s 34th Annual Convention & Trade Show, Nov. 8-10, 2010, in Phoenix.
STAFDA wrapped up its 33rd annual convention and trade show, which drew a crowd of more than 3,500, in Atlanta last week.
Palin will address STAFDA members during the group's General Session on Monday, Nov. 8, 2010. According to STAFDA officials, she will speak about her vision for energy independence, health care, fiscal responsibility, small government and national security.
"She encourages her audiences to look to the future, and challenges leaders to do more to support our military, rein in spending and shrink government while creating fiscally responsible health care that benefits all Americans," STAFDA said in a press release announcing the event.
Palin's appearance on the STAFDA stage will come one week after the November 2010 elections. And she is not the first major political figure to address STAFDA members. Former Secretary of State Colin Powell delivered the keynote address in 2005, and former U.S. Senator and 1996 Republican Presidential candidate Bob Dole addressed the crowd in 1999.
Grainger acquires Alliance Energy Solutions
MRO distributor makes its first service-based acquisition, focused on energy-efficient lighting retrofits
Victoria Fraza Kickham -- Industrial Distribution, 11/18/2009 1:10:52 PM
Broad-line MRO distributor W.W. Grainger said it signed and closed an all-cash acquisition of Alliance Energy Solutions, a service company that provides turn-key energy-efficient lighting retrofits.
Grainger said it expects the transaction to be accretive to earnings in 2010 by approximately one cent to two cents per share. Other terms of the deal were not disclosed.
"This transaction is the first service-based acquisition we're adding to our U.S. customer offering and we anticipate it will help us accelerate our strategy to become our customers' indispensable partner in helping them keep their facilities safe, efficient and functional," Grainger's chairman, president and CEO Jim Ryan said in a statement announcing the deal.
"Our customers told us they had a need for a service to complement our deep product line around lighting products and we listened," said Mike Pulick, president of Grainger's U.S. business. "The Alliance Energy Solutions team is dedicated to helping customers through offering value-added services that help them drive energy efficiency and productivity, with particular expertise in the area of lighting retrofits. We are delighted to have them join the U.S. team."
Alliance Energy Solutions is based in Oxford, Conn., and had sales of $20 million in 2008.
Victoria Fraza Kickham -- Industrial Distribution, 11/18/2009 1:10:52 PM
Broad-line MRO distributor W.W. Grainger said it signed and closed an all-cash acquisition of Alliance Energy Solutions, a service company that provides turn-key energy-efficient lighting retrofits.
Grainger said it expects the transaction to be accretive to earnings in 2010 by approximately one cent to two cents per share. Other terms of the deal were not disclosed.
"This transaction is the first service-based acquisition we're adding to our U.S. customer offering and we anticipate it will help us accelerate our strategy to become our customers' indispensable partner in helping them keep their facilities safe, efficient and functional," Grainger's chairman, president and CEO Jim Ryan said in a statement announcing the deal.
"Our customers told us they had a need for a service to complement our deep product line around lighting products and we listened," said Mike Pulick, president of Grainger's U.S. business. "The Alliance Energy Solutions team is dedicated to helping customers through offering value-added services that help them drive energy efficiency and productivity, with particular expertise in the area of lighting retrofits. We are delighted to have them join the U.S. team."
Alliance Energy Solutions is based in Oxford, Conn., and had sales of $20 million in 2008.
Thursday, October 22, 2009
MSC's Q4 sales fall 21%
Full-year results are down 16%, but distributor says it sees encouraging signs ahead
Victoria Fraza Kickham -- Industrial Distribution, 10/21/2009 10:18:18 AM
MRO distributor MSC Industrial Direct posted lower sales and earnings for the fourth quarter and fiscal year ended August 29, but says it sees encouraging signs in the marketplace as fiscal 2010 gets underway.
In its fiscal fourth quarter, MSC's sales fell 21 percent to $354.1 million, compared with $448.6 million in the prior-year period. Net income fell 49 percent to $26 million.
For the full year, sales fell 16 percent to $1.49 billion, compared with $1.78 billion in fiscal 2008. Net income for the year fell 36 percent to $125.1 million.
MSC's president and CEO David Sandler said the company ended 2009 with a solid performance in the fourth quarter and pointed to the opportunities ahead as the economy improves.
"While our visibility remains limited, we are seeing some encouraging signs in the marketplace," he said in statement announcing the results. "We look at the eventual economic recovery as a significant opportunity for MSC and will continue to focus our investment program on the opportunities that we believe will produce the greatest returns. As in the past, we will prudently balance our level of investment spending to maintain what we believe to be the right mix between short-term profitability and achieving our long-term growth objectives. Overall, we view this time as an extraordinary opportunity to gain market share, and we intend to take advantage of it."
Kevin Brown http://www.stardustspillproducts.com/
Victoria Fraza Kickham -- Industrial Distribution, 10/21/2009 10:18:18 AM
MRO distributor MSC Industrial Direct posted lower sales and earnings for the fourth quarter and fiscal year ended August 29, but says it sees encouraging signs in the marketplace as fiscal 2010 gets underway.
In its fiscal fourth quarter, MSC's sales fell 21 percent to $354.1 million, compared with $448.6 million in the prior-year period. Net income fell 49 percent to $26 million.
For the full year, sales fell 16 percent to $1.49 billion, compared with $1.78 billion in fiscal 2008. Net income for the year fell 36 percent to $125.1 million.
MSC's president and CEO David Sandler said the company ended 2009 with a solid performance in the fourth quarter and pointed to the opportunities ahead as the economy improves.
"While our visibility remains limited, we are seeing some encouraging signs in the marketplace," he said in statement announcing the results. "We look at the eventual economic recovery as a significant opportunity for MSC and will continue to focus our investment program on the opportunities that we believe will produce the greatest returns. As in the past, we will prudently balance our level of investment spending to maintain what we believe to be the right mix between short-term profitability and achieving our long-term growth objectives. Overall, we view this time as an extraordinary opportunity to gain market share, and we intend to take advantage of it."
Kevin Brown http://www.stardustspillproducts.com/
Sales fall 16% at The Stanley Works
Manufacturer cites record gross margin rate and strong free cash flow performance
Industrial Distribution Staff -- Industrial Distribution, 10/21/2009 1:18:21 PM
Tool maker The Stanley Works reported lower sales and earnings for the third quarter of 2009 but pointed to gross margin and free cash flow improvements as key positives in a continued tough economy.
Sales in the quarter fell 16 percent to $936 million; the company posted a $60.4 million profit during the quarter compared to $163 million in profit in same period a year ago.
Sales in the company's industrial segment fell 31 percent compared to the third quarter of 2008 while sales in its construction and do-it-yourself category fell 23 percent compared to the year-ago period. Security segment sales increased 3 percent.
Gross margins improved to a record rate of 41.3 percent, the company said, due to continued execution of productivity projects, price carryover and improved mix due to relatively stable performance in the company's security segment.
In addition, the company generated free cash flow of $158 million in the third quarter, up 53 percent versus the 2008 third quarter.
"We are encouraged by the second consecutive quarter of record gross margins despite the market-driven volume headwinds we experienced through September," chairman and CEO John F. Lundgren said in a statement announcing the results. "Our ongoing success in tailoring our product and service offerings to best fit our customers' needs is producing market share gains within a majority of our businesses while positioning us to take full advantage of the mild stabilization we are experiencing in select end markets."
Industrial Distribution Staff -- Industrial Distribution, 10/21/2009 1:18:21 PM
Tool maker The Stanley Works reported lower sales and earnings for the third quarter of 2009 but pointed to gross margin and free cash flow improvements as key positives in a continued tough economy.
Sales in the quarter fell 16 percent to $936 million; the company posted a $60.4 million profit during the quarter compared to $163 million in profit in same period a year ago.
Sales in the company's industrial segment fell 31 percent compared to the third quarter of 2008 while sales in its construction and do-it-yourself category fell 23 percent compared to the year-ago period. Security segment sales increased 3 percent.
Gross margins improved to a record rate of 41.3 percent, the company said, due to continued execution of productivity projects, price carryover and improved mix due to relatively stable performance in the company's security segment.
In addition, the company generated free cash flow of $158 million in the third quarter, up 53 percent versus the 2008 third quarter.
"We are encouraged by the second consecutive quarter of record gross margins despite the market-driven volume headwinds we experienced through September," chairman and CEO John F. Lundgren said in a statement announcing the results. "Our ongoing success in tailoring our product and service offerings to best fit our customers' needs is producing market share gains within a majority of our businesses while positioning us to take full advantage of the mild stabilization we are experiencing in select end markets."
Thursday, October 15, 2009
Grainger's sales drop 14 percent for 3rd quarter
Jack Keough -- Industrial Distribution, 10/14/2009 9:25:35 AM
Grainger today reported third quarter sales of $1.6 billion, which were down 14 percent versus third quarter 2008. Net earnings for the quarter increased 3 percent to $145 million versus $140 million in 2008. The 2009 third quarter included a one-time $47 million pre-tax or $0.37 per share gain from the step-up of its investment in MonotaRO Co. Ltd., after Grainger became a majority owner in September.
"Despite the effects of the sluggish economy, we are pleased with our results," said Grainger Chairman and CEO James T. Ryan in a statement. . "Our execution has been solid. In particular, our relentless focus on providing exceptional customer service is paying off. We continue to see evidence that we are capturing market share. Now more than ever, our customers are depending on Grainger's product breadth, unmatched local availability and customer service to help them cost effectively maintain their facilities."
Ryan added, "While daily sales remain stable, we are not yet seeing a catalyst for a sustained economic turnaround in any of our major end markets. We expect comparisons to improve as sales fell in the fourth quarter last year. We will continue to focus on what we can control. With the investments we have made, we remain in a great position as the economy recovers."
Sales for the company decreased 14 percent for the quarter; down 14 percent in July, down 13 percent in August and down 13 percent in September. Price contributed a positive 4 percent while volume was down 17 percent. Sales were negatively affected by 1 percent related to foreign exchange. There were 64 selling days in the quarter, the same as the 2008 third quarter.
Operating earnings for the company were down 19 percent. The operating earnings decrease was the result of expenses decreasing at a slower rate than sales, partially offset by a higher gross profit margin.
Effective with the first quarter of 2009, the company has two reportable business segments, the United States and Canada, which represent approximately 98 percent of company sales. This new reporting reflects the integration of Lab Safety Supply with Grainger's U.S. branch-based business.
The remaining operating units (Mexico, India, Puerto Rico, China, and Panama) are included in other businesses and are not considered a segment. The company acquired Asia Pacific Brands India Private Limited in June 2009 resulting in the inclusion of the India operations in other businesses in the third quarter. The company obtained a majority ownership of MonotaRO in September, consolidated its balance sheet as of the end of the third quarter and will consolidate its income statement beginning in the fourth quarter.
Sales for the United States segment decreased 14 percent in the 2009 third quarter. Sales declined by 14 percent in July, August and September.
As a result of integrating Lab Safety Supply with the Grainger Industrial Supply business starting late in 2008, the company had said that it expected to deliver $70-$100 million in incremental revenue and $20-$30 million in cost savings. To date, the project has generated $24 million of the additional revenue and $15 million of the savings, with the company on track to deliver within the range of the projected sales and cost benefits by mid-2010.
Sales declined in all customer end-markets in the United States. Grainger continues to add more products to its offering that will result in having almost 300,000 products in the 2010 catalog. Product line expansion contributed $251 million in sales for the third quarter versus $196 million in the third quarter 2008.
Operating earnings for the quarter were down 15 percent in the United States. The operating earnings decrease was the result of operating expenses decreasing at a slower rate than sales, partially offset by a higher gross profit margin. Payroll-related expenses were down due to lower headcount, reduced commissions and no bonus accruals.
Around one third of the decrease in operating expenses is expected to be permanent. Gross profit margins were up due to sales price increases exceeding product cost inflation and a $10 million reduction in the LIFO inventory reserve due to lower inflation on inventory purchases and lower inventory levels than previously estimated.
Sales for the Acklands-Grainger business in Canada for the quarter were down 13 percent versus the 2008 third quarter. In local currency, sales were down 8 percent. Sales in local currency declined 10 percent in July, 5 percent in August and 9 percent in September. T
The Canadian economy remained weak, particularly the forestry and natural gas industries. Growth in the oil and utilities sectors remained favorable in the quarter.Operating earnings decreased 41 percent for the 2009 third quarter (38 percent in local currency), primarily due to the sales decline and a 260 basis point decline in gross margin.
The decline in gross margin was primarily the result of higher product costs due to unfavorable foreign exchange rates and an increase in the mix of lower margin business, particularly large customers.
Sales for the other businesses, which include Mexico, India, Puerto Rico, China, and Panama, were up 11 percent versus prior year. The sales increase was due primarily to the acquisition of the business in India in June 2009, along with contributions from China and Panama. Mexico represents approximately 50 percent of sales within this group.
Sales in Mexico were down 21 percent in the quarter versus the same period in 2008 due to unfavorable foreign exchange. In local currency, sales in Mexico increased 2 percent for the quarter. Operating losses for other businesses were $2 million for the quarter compared to $3 million a year ago.
Grainger today reported third quarter sales of $1.6 billion, which were down 14 percent versus third quarter 2008. Net earnings for the quarter increased 3 percent to $145 million versus $140 million in 2008. The 2009 third quarter included a one-time $47 million pre-tax or $0.37 per share gain from the step-up of its investment in MonotaRO Co. Ltd., after Grainger became a majority owner in September.
"Despite the effects of the sluggish economy, we are pleased with our results," said Grainger Chairman and CEO James T. Ryan in a statement. . "Our execution has been solid. In particular, our relentless focus on providing exceptional customer service is paying off. We continue to see evidence that we are capturing market share. Now more than ever, our customers are depending on Grainger's product breadth, unmatched local availability and customer service to help them cost effectively maintain their facilities."
Ryan added, "While daily sales remain stable, we are not yet seeing a catalyst for a sustained economic turnaround in any of our major end markets. We expect comparisons to improve as sales fell in the fourth quarter last year. We will continue to focus on what we can control. With the investments we have made, we remain in a great position as the economy recovers."
Sales for the company decreased 14 percent for the quarter; down 14 percent in July, down 13 percent in August and down 13 percent in September. Price contributed a positive 4 percent while volume was down 17 percent. Sales were negatively affected by 1 percent related to foreign exchange. There were 64 selling days in the quarter, the same as the 2008 third quarter.
Operating earnings for the company were down 19 percent. The operating earnings decrease was the result of expenses decreasing at a slower rate than sales, partially offset by a higher gross profit margin.
Effective with the first quarter of 2009, the company has two reportable business segments, the United States and Canada, which represent approximately 98 percent of company sales. This new reporting reflects the integration of Lab Safety Supply with Grainger's U.S. branch-based business.
The remaining operating units (Mexico, India, Puerto Rico, China, and Panama) are included in other businesses and are not considered a segment. The company acquired Asia Pacific Brands India Private Limited in June 2009 resulting in the inclusion of the India operations in other businesses in the third quarter. The company obtained a majority ownership of MonotaRO in September, consolidated its balance sheet as of the end of the third quarter and will consolidate its income statement beginning in the fourth quarter.
Sales for the United States segment decreased 14 percent in the 2009 third quarter. Sales declined by 14 percent in July, August and September.
As a result of integrating Lab Safety Supply with the Grainger Industrial Supply business starting late in 2008, the company had said that it expected to deliver $70-$100 million in incremental revenue and $20-$30 million in cost savings. To date, the project has generated $24 million of the additional revenue and $15 million of the savings, with the company on track to deliver within the range of the projected sales and cost benefits by mid-2010.
Sales declined in all customer end-markets in the United States. Grainger continues to add more products to its offering that will result in having almost 300,000 products in the 2010 catalog. Product line expansion contributed $251 million in sales for the third quarter versus $196 million in the third quarter 2008.
Operating earnings for the quarter were down 15 percent in the United States. The operating earnings decrease was the result of operating expenses decreasing at a slower rate than sales, partially offset by a higher gross profit margin. Payroll-related expenses were down due to lower headcount, reduced commissions and no bonus accruals.
Around one third of the decrease in operating expenses is expected to be permanent. Gross profit margins were up due to sales price increases exceeding product cost inflation and a $10 million reduction in the LIFO inventory reserve due to lower inflation on inventory purchases and lower inventory levels than previously estimated.
Sales for the Acklands-Grainger business in Canada for the quarter were down 13 percent versus the 2008 third quarter. In local currency, sales were down 8 percent. Sales in local currency declined 10 percent in July, 5 percent in August and 9 percent in September. T
The Canadian economy remained weak, particularly the forestry and natural gas industries. Growth in the oil and utilities sectors remained favorable in the quarter.Operating earnings decreased 41 percent for the 2009 third quarter (38 percent in local currency), primarily due to the sales decline and a 260 basis point decline in gross margin.
The decline in gross margin was primarily the result of higher product costs due to unfavorable foreign exchange rates and an increase in the mix of lower margin business, particularly large customers.
Sales for the other businesses, which include Mexico, India, Puerto Rico, China, and Panama, were up 11 percent versus prior year. The sales increase was due primarily to the acquisition of the business in India in June 2009, along with contributions from China and Panama. Mexico represents approximately 50 percent of sales within this group.
Sales in Mexico were down 21 percent in the quarter versus the same period in 2008 due to unfavorable foreign exchange. In local currency, sales in Mexico increased 2 percent for the quarter. Operating losses for other businesses were $2 million for the quarter compared to $3 million a year ago.
Grainger acquires Imperial Supplies
Jack Keough -- Industrial Distribution, 10/14/2009 8:44:48 AM
Grainger, a leading broad line distributor of facilities maintenance products, today announced it has signed and closed an all cash acquisition of Imperial Supplies, LLC from American Capital, Ltd. No other terms of the agreement were disclosed. Grainger anticipates the transaction should be accretive to earnings by $.03-$.05 a share in 2010 including product and transportation cost savings.
Imperial, headquartered in Green Bay, Wisc., is a national distributor of maintenance products and aftermarket components for the vehicle and fleet industry. The company has built its reputation by offering customers highly efficient methods to order and monitor their purchases, serving the fleet market since 1958. In 2008, Imperial had sales of $67 million.
"Imperial Supplies is a leading player in the $4 billion fleet maintenance industry and we are excited to begin working together," said Mike Pulick, President of Grainger's U.S. Businesses. "In addition to the financial benefits for our shareholders, we anticipate cross selling opportunities by offering Imperial customers access to Grainger's broad product offering and national distribution scale and Grainger customers access to the 20,000 fleet maintenance products Imperial carries."
The business will continue to operate as Imperial Supplies, LLC under Grainger's Specialty Brands business and will be led by Rob Gilson, Imperial's CEO. Gilson will report to Ralph Howard, Vice President, Specialty Brands, and together they will leverage Grainger's expertise and resources to profitably grow market share.
"We share common values that focus on serving customers with the utmost integrity," said Gilson. "Going forward, this is a big win for Imperial customers because they have our ongoing commitment to superior service combined with the scale of Grainger's industry leading network."
Grainger, a leading broad line distributor of facilities maintenance products, today announced it has signed and closed an all cash acquisition of Imperial Supplies, LLC from American Capital, Ltd. No other terms of the agreement were disclosed. Grainger anticipates the transaction should be accretive to earnings by $.03-$.05 a share in 2010 including product and transportation cost savings.
Imperial, headquartered in Green Bay, Wisc., is a national distributor of maintenance products and aftermarket components for the vehicle and fleet industry. The company has built its reputation by offering customers highly efficient methods to order and monitor their purchases, serving the fleet market since 1958. In 2008, Imperial had sales of $67 million.
"Imperial Supplies is a leading player in the $4 billion fleet maintenance industry and we are excited to begin working together," said Mike Pulick, President of Grainger's U.S. Businesses. "In addition to the financial benefits for our shareholders, we anticipate cross selling opportunities by offering Imperial customers access to Grainger's broad product offering and national distribution scale and Grainger customers access to the 20,000 fleet maintenance products Imperial carries."
The business will continue to operate as Imperial Supplies, LLC under Grainger's Specialty Brands business and will be led by Rob Gilson, Imperial's CEO. Gilson will report to Ralph Howard, Vice President, Specialty Brands, and together they will leverage Grainger's expertise and resources to profitably grow market share.
"We share common values that focus on serving customers with the utmost integrity," said Gilson. "Going forward, this is a big win for Imperial customers because they have our ongoing commitment to superior service combined with the scale of Grainger's industry leading network."
Wednesday, September 16, 2009
Grainger's August sales drop 13 percent-Company sees weak demand across all customer segments
Jack Keough -- Industrial Distribution, 9/14/2009 7:48:44 AM EDT
W.W. Grainger says its August sales dropped 13 percent in August versus August, 2008 primarily the result of weak demand across all customer end-markets and geographies. Foreign exchange negatively affected sales by approximately 1 percentage point. There were the same number of selling days in August 2009 and August 2008 (21). The 2009 third quarter will have the same number of selling days (64) as the 2008 third quarter.
In the United States, sales decreased 14 percent while sales dropped eight percent in Canada. Grainger's other business grew 16 percent.
W.W. Grainger says its August sales dropped 13 percent in August versus August, 2008 primarily the result of weak demand across all customer end-markets and geographies. Foreign exchange negatively affected sales by approximately 1 percentage point. There were the same number of selling days in August 2009 and August 2008 (21). The 2009 third quarter will have the same number of selling days (64) as the 2008 third quarter.
In the United States, sales decreased 14 percent while sales dropped eight percent in Canada. Grainger's other business grew 16 percent.
Tuesday, August 25, 2009
Grainger's Revamped Web Site
Lindsay Young Konzak
David Gordon and Allen Ray recently posted on their blog that Grainger will be launching its revamped Web site soon. (See blog at http://www.electricaltrends.com/.) They say that the site relaunch is focused on improved searching capabilities, new features to "enhance productivity," enhanced account information and easier catalog access.
The investment is a good one for Grainger given that the distributor's e-commerce channel is growing at twice the company's growth rate, according to its 2009 Fact Book posted at its Web site. The distributor presents these numbers:
E-commerce sales rose by 13% to $1.5 billion (in 2008). Sales in the e-commerce channel represented 24% of overall sales for Grainger's U.S. business, 7% for the Canadian business and 9% for Grainger's other businesses.
David Gordon and Allen Ray recently posted on their blog that Grainger will be launching its revamped Web site soon. (See blog at http://www.electricaltrends.com/.) They say that the site relaunch is focused on improved searching capabilities, new features to "enhance productivity," enhanced account information and easier catalog access.
The investment is a good one for Grainger given that the distributor's e-commerce channel is growing at twice the company's growth rate, according to its 2009 Fact Book posted at its Web site. The distributor presents these numbers:
E-commerce sales rose by 13% to $1.5 billion (in 2008). Sales in the e-commerce channel represented 24% of overall sales for Grainger's U.S. business, 7% for the Canadian business and 9% for Grainger's other businesses.
Wednesday, August 12, 2009
Wolseleys New Industrial Catalog
Jack Keough -- Industrial Distribution, 8/11/2009 1:19:37 PM EDT
Wolseley's Canadian Industrial Business Group has released its new industrial products catalog.
The 2009-10 catalog features more than 850 pages with products from more than 200 manufacturers. It also includes nearly 200 pages of fastener-related products.
"The catalog also includes an enhanced 41-page technical section that includes fastener specifications, safety PPE respiratory selection charts and adhesive bonding guides," said Doug Collins, Director of Sourcing and Marketing. "With each edition we continue to expand our offering featuring more up-to-date products from our preferred vendor partners. Also, the charts and specifications make this catalogue an important reference guide for our customers."
This 2009-10 catalog includes product lines for OEM/MRO including:
• Health & safety
• Hand tools
• Power tools
• Facility maintenance
• Material handling
• Cutting tools, tooling components and precision measuring
• Abrasives
• Welding
• Fasteners
To browse the catalog online, visit the Wolseley Industrial Products Group website. The French version of the catalog will be available shortly.
Wolseley Canada is a distributor of plumbing, heating, ventilation, air conditioning and refrigeration, engineered pipe, waterworks, fire protection, pipes, valves and fittings and industrial supplies products. Headquartered in Burlington, Ontario, the company operates approximately 250 branches across Canada.
Wolseley's Canadian Industrial Business Group has released its new industrial products catalog.
The 2009-10 catalog features more than 850 pages with products from more than 200 manufacturers. It also includes nearly 200 pages of fastener-related products.
"The catalog also includes an enhanced 41-page technical section that includes fastener specifications, safety PPE respiratory selection charts and adhesive bonding guides," said Doug Collins, Director of Sourcing and Marketing. "With each edition we continue to expand our offering featuring more up-to-date products from our preferred vendor partners. Also, the charts and specifications make this catalogue an important reference guide for our customers."
This 2009-10 catalog includes product lines for OEM/MRO including:
• Health & safety
• Hand tools
• Power tools
• Facility maintenance
• Material handling
• Cutting tools, tooling components and precision measuring
• Abrasives
• Welding
• Fasteners
To browse the catalog online, visit the Wolseley Industrial Products Group website. The French version of the catalog will be available shortly.
Wolseley Canada is a distributor of plumbing, heating, ventilation, air conditioning and refrigeration, engineered pipe, waterworks, fire protection, pipes, valves and fittings and industrial supplies products. Headquartered in Burlington, Ontario, the company operates approximately 250 branches across Canada.
UPDATE-Grainger sales decline deepens in July
Wed Aug 12, 2009 11:33am EDT
NEW YORK, Aug 12 (Reuters) - WW Grainger Inc (GWW.N), a supplier of building maintenance products, said on Wednesday its sales declined at a faster pace in July than in either May or June, citing weak demand across its markets.
July sales were down 14 percent from a year earlier, compared to the 13 percent sales decline Grainger reported in June and 10 percent in June.
Sales for August are trending about the same as July, the company said.
Sales of seasonal products were weak because of mild weather in much of the United States. Sales to governments fell by mid-single digits, reflecting states' budget crises, while sales to the retail and manufacturing sectors were down by double-digits, Grainger said on a monthly podcast posted on its website.
About a quarter of company sales are to the manufacturing sector -- a smaller exposure to the sector than rivals like MSC Industrial Direct Co Inc (MSM.N) and WESCO International Inc (WCC.N).
Analysts have noted a high degree of correlation between Grainger's monthly sales performance and data on U.S. non-farm payrolls and industrial production, but improvement in those metrics has not been reflected in Grainger's results.
Last week's jobs report showed a much smaller than expected decline in U.S. payrolls, while this Friday's industrial production data are expected to show an increase.
The company also competes with industrial distributors Fastenal Co (FAST.O) and Applied Industrial Technologies Inc (AIT.N).
Grainger shares were down 47 cents to $88.25 in late morning trading on the New York Stock Exchange. Fastenal and Applied Industrial were both higher. (Reporting by Nick Zieminski, editing by Gerald E. McCormick)
NEW YORK, Aug 12 (Reuters) - WW Grainger Inc (GWW.N), a supplier of building maintenance products, said on Wednesday its sales declined at a faster pace in July than in either May or June, citing weak demand across its markets.
July sales were down 14 percent from a year earlier, compared to the 13 percent sales decline Grainger reported in June and 10 percent in June.
Sales for August are trending about the same as July, the company said.
Sales of seasonal products were weak because of mild weather in much of the United States. Sales to governments fell by mid-single digits, reflecting states' budget crises, while sales to the retail and manufacturing sectors were down by double-digits, Grainger said on a monthly podcast posted on its website.
About a quarter of company sales are to the manufacturing sector -- a smaller exposure to the sector than rivals like MSC Industrial Direct Co Inc (MSM.N) and WESCO International Inc (WCC.N).
Analysts have noted a high degree of correlation between Grainger's monthly sales performance and data on U.S. non-farm payrolls and industrial production, but improvement in those metrics has not been reflected in Grainger's results.
Last week's jobs report showed a much smaller than expected decline in U.S. payrolls, while this Friday's industrial production data are expected to show an increase.
The company also competes with industrial distributors Fastenal Co (FAST.O) and Applied Industrial Technologies Inc (AIT.N).
Grainger shares were down 47 cents to $88.25 in late morning trading on the New York Stock Exchange. Fastenal and Applied Industrial were both higher. (Reporting by Nick Zieminski, editing by Gerald E. McCormick)
Subscribe to:
Posts (Atom)
Posts
