The 2020 Mid-Year Economic Update_long

Day: February 23, 2009

ABC Supply Acquires Chesapeake Siding & Roofing

ABC Supply Co. Inc., Beloit, WI, has acquired Chesapeake Siding and Roofing, a wholesale distributor of exterior building products.  The transaction includes two locations - one in Chesapeake, VA, and one in Jarvisburg, NC.
 
The acquisition of Chesapeake Siding and Roofing fits our strategy of providing accessible locations in all major geographic markets as we continue to build a national network of wholesale distribution centers for the professional contractor, said David Luck, CEO and president of ABC Supply.
 
All 15 Chesapeake Siding and Roofing employees will be retained by ABC Supply.
 
With the two new locations, ABC Supply has 18 branches in the Mid-Atlantic ...

The Latest Round of Economic Forecasts

Most forecasts put an economic recovery sometime in 2010. Fed Chairman Ben Bernanke reaffirmed that today, although the headlines on his statement (though all accurate) tell slightly different stories:
 
Bernanke: Economy Suffering Severe Contraction (Associated Press)
Bernanke Sees 2010 Recovery Only if Banks Stabilize (Bloomberg)  
Bernanke Says Recession Should End in 2009 (Wall Street Journal)
 

The Home Depot Reports $54 Million Loss For 4Q

The Home Depot, Atlanta, GA, reported a net loss of $54 million for the fourth quarter ended Feb. 1, 2009, compared with net earnings of $671 million, in the same period in fiscal 2007. Sales for the fourth quarter totaled $14.6 billion, a 17.3% decrease from the fourth quarter of fiscal 2007.
 
Fourth quarter results reflect a pre-tax business rationalization charge of $387 million, taken to  exit its EXPO, THD Design Center, YardBIRDS and HD Bath businesses and reduce support staff functions. Results were also impacted by a pre-tax write-down of the Company's investment in HD Supply of $163 million, as well as a loss from discontinued operations of $52 million.
 
Sales for fiscal 2008 were $71.3 billion, 7.8% below fiscal 2007. Profit decreased 47.7% to $2.3 ...