The 2020 Mid-Year Economic Update_long

Day: April 24, 2007

Anixter Sales Grow 24% in 1Q

Anixter International Inc., Glenview, IL, distributor of communication products, electrical and electronic wire & cable and a distributor of fasteners and other small parts, reported sales of $1.33 billion in the first quarter 2007, up 24% from the same period last year. Profit was up 71% to $53.6 million.
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Sales for the quarter include $33.6 million from the acquisitions of IMS Inc. in May 2006 and MFU Holdings S.p.A. in October 2006.
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Sales in the first quarter grew at a year-over-year organic rate of 19%.
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Anixter reported seeing strong larger project business, especially in data center builds in the enterprise cabling market and energy/natural resources customers within the electrical wire and cable market. Anixter ...

Pentair 1Q Sales Buoyed by Foreign Markets

Pentair, Inc., Golden Valley, MN, sales increased 5% in the first quarter 2007 to $808 million from the first quarter of 2006. Profit was flat from the same period a year ago.

Pentair reported challenges due to slowing North American residential housing starts and headwinds in the electronic markets, as well as consolidation in the telecommunication industry.

The Water Group delivered strong year-over-year sales performance with sales of $555 million, up 7% over the same period last year. Organic sales growth, excluding the Jung Pump acquisition, was 5%.

Continued growth in China and in emerging markets in Asia-Pacific as well as continued success in penetrating markets in Europe and the Middle East contributed to Water's overall growth. Sales ...

Sandvik Buys UK Manufacturers

Sandvik, Stockholm, Sweden, has agreed to buy Extec Screens and Crushers Ltd., based in Birmingham, UK.
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Sandvik has also agreed to buy Fintec Crushing and Screening Ltd., Belfast, UK.
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Extec and Fintec, respectively, are manufacturers of mobile crushing and screening equipment, including consumables and services to the international construction industry.
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Extec employs 450 people and had sales of 1800 MSEK (US$266.4 million) in 2006. It has manufacturing facilities in Birmingham and Northern Ireland as well as sales and service facilities in Australia, the U.S. and Germany.
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Fintec employs 325 people and had sales of 560 MSEK (US$82.9 million) in 2006.
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Sandvik is a global industrial group focused on tools for ...

Thomas & Betts Sales Up 7.4% in 1Q

Electrical and HVAC manufacturer Thomas & Betts Corporation, Memphis, TN, reported sales increased 7.4% in the first quarter 2007 to $474.6 million. Price increases to offset higher material and energy costs and volume improvements contributed to the sales increase. Profit was down slightly from the prior-year period.
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Thomas & Betts reported that demand remains positive in industrial and utility markets and is starting to strengthen in commercial construction markets.
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Electrical segment sales were $389.2 million in the first quarter, up 8.8% compared to the first quarter 2006. Electrical segment earnings were $64.9 million in the quarter, up 11.4% compared to the first quarter 2006. As a percent of sales, segment earnings were 16.7%.
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WESCO 1Q Sales Up 15%

WESCO International Inc., Pittsburgh, PA, distributor of electrical MRO products and construction materials, reported sales of $1.45 billion in the first quarter 2007, up 15% from the same period a year ago. Sales from the acquisition of Communications Supply Corp., purchased in the fourth quarter 2006, were about $160 million.
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Profit was $48.2 million, up from $44.5 million in the same period a year ago.
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Core electrical sales rose 2%, while sales at CSC added 13% to consolidated sales revenue.
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WESCO had 2006 sales of $5.3 ...

Rexel Reports Flat Growth in North America

Paris-based electrical distributor Rexel Inc. reported sales of 2.576 million euro (US$3.509 billion) in the first quarter 2007, up 31% from the same period last year. Growth was 5.9% on a comparable basis.
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Rexel saw double-digit organic growth in Europe and Asia-Pacific, with flat sales in North America.
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Sales in the U.S. grew 1.1%. The West Coast, Florida and Mid-Atlantic regions, where Rexel has higher exposure to residential activity, were hit by the decline of residential and related commercial construction projects. The South Central and Southern regions, where industrial activity is stronger than construction, fueled organic growth. Industrial and automation equipment posted growth of 4.5% for the quarter.
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Canada saw growth of 2.5% ...

SKF Group Sales Grow 8% in 1Q

SKF reported sales of SEK 14,371 million (US$2.131 billion) in the first quarter 2007, up 8.1%. Profit was up by 4.9%.
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SKF reported that sales were significantly higher in Europe and Asia. Sales in North America were relatively unchanged and sales in Latin America were higher.
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The market demand for SKF's products and services in the second quarter of 2007 is expected to be higher. The demand is expected to be higher in Europe and Latin America, significantly higher in Asia and relatively unchanged in North America. The demand is expected to be higher in the Industrial and Service Division and slightly higher in the Automotive Division. ...