The 2020 Mid-Year Economic Update_long

Day: June 15, 2009

Canadian Manufacturing Sales Edge Down in April

Canadian manufacturing sales edged down 0.1% to $41 billion in April, according to the latest report from Statistics Canada. Manufacturing sales leveled off between February and April, after falling by 18.7% between October 2008and January 2009. Sizable gains in the transportation equipment industry were offset by weakness in other industries. Excluding the transportation equipment industry, manufacturing sales decreased by 2.8%.

Constant dollar manufacturing sales gained 0.4% in April. The slight rise in constant dollar sales indicates an increase in the volume of sales between March and April. Although manufacturing sales remaining largely unchanged in April, sales decreased in 16 of 21 manufacturing industries.

By Sector
The weakness in most sectors was offset by a 16.4% gain in ...

ITW Operating Revenues Fall 26%

Illinois Tool Works Inc., Glenview, IL, reported operating revenue decreased 26% for the three months ended May 31, 2009, due to a 23% decrease in base revenues and a 9% decline in contributions from currency translation. Acquisitions contributed 6% to revenues in the three month period.

The Company's base revenues continue to stabilize as core revenues have been in a range of -21% to -25% since January 2009.

On a segment basis, the Company's three month moving average percentage change for operating revenues, comprised of base revenues, acquisitions/divestitures and currency translation, is provided below. (Percent change for three months ended May 31, 2009 versus prior year period) ...

Platinum Equity Buys Alcoa’s Electrical Distribution, Wire Harness Business

Platinum Equity, Los Angeles, CA, has acquired the wire harness and electrical distribution business of Alcoa, Pittsburgh, PA. Financial terms of the acquisition were not disclosed. The sale includes operations in 13 countries and involves approximately 17,500 employees.

The wire harness and electrical distribution business was the largest piece of Alcoa's Electrical and Electronic Solutions division, and its customers include major domestic and international automotive original equipment manufacturers and tier-one suppliers.

Plans for naming the business and other details of the transition will be announced over the coming weeks and months. ...

Culture Clash: Acquisitions of Distressed Rivals May Make Integrations More Challenging

My bank was recently acquired, out of collapse, by one of the largest banks in the country. The transition from one to the other was going pretty smoothly, and I hadn't noticed any changes - for the most part - in how they did business with me. Until now.

I received a letter last week telling me that I had gone beyond the limited transactions" my account allowed online and via check (three!), and that I had been charged an over-activity fee for this transgression. I am getting married this month, so I have been writing more than the usual number of checks and conducting more than the usual number of online transactions. Still, this has never been an issue before. Clearly in the merger of the two banks, my free checking account had been downgraded, so to speak, to a category that had ...