MDM Premium Archives - Page 528 of 549 - Modern Distribution Management

Log In

Search
Premium Member Dashboard

All your exclusive premium content in one location.

Ferguson DC exterior
Strategy

Inside Ferguson’s Private Brand Strategy

The second of this three-part Premium series examines the plumbing, HVAC and industrial supplier’s exclusive brands that have been a key market accelerator.
Read More

Premium Monthly

MDM July 2024 Premium Monthly

This issue features our three-part Wesco Analysis series; an examination of Sonepar’s acquisition journey; insights from City Electric Supply’s CES Connect event; and MDM Research on distributors’ AI usage.
Archives

Market Insight Reports

MDM 2Q 2024 MarketPulse Report

Find a wealth of data and analysis extracted from the 2Q24 Baird-MDM Industrial Distribution Survey, including trending charts and figures for revenue and expectations, plus plenty of interesting commentary.

MDM 2Q 2024 M&A Report

See our Premium M&A articles from April-June 2024, including Sonepar’s acquisition journey; how dealmaking impacts MDM’s Top Distributors feature; and the latest EBITDA trading multiples.

MDM 1Q 2024 M&A Report

See our in-depth M&A articles from the first three months of 2024, including the Home Depot-SRS blockbuster; the acquisition strategy for Ferguson and Border States; and the latest EBITDA trading multiples.
Archives

Case Studies

Fastenal: The Big Pivot That Paid Big Dividends

This report examines Fastenal’s strategic pivots over the past ten years – digital, self-service, product mix, sales specialization and more – that have created one of the highest performing North American distributors as measured across most financial benchmarks.
Archives
Premium Events
Premium Articles
Top Distributor Sectors
Midwest, Northeast: Steep Drops in February Housing Starts
Building Permits
Privately-owned housing units authorized by building permits in February were at a seasonally adjusted annual rate of 1,532,000. This is 2.5 percent (& plusmn; 1.0%) below the revised January rate of 1,571,000 and is 28.6 percent (& plusmn; 1.1%) below the February 2006 estimate of 2,147,000.
&nbsp ;
Single-family authorizations in February were at a rate of 1,089,000; this is 3.1 percent (& plusmn; 0.9%) below the January figure of 1,124,000. Authorizations of units in buildings with five units or more were at a rate of 372,000 in February.
&nbsp ;
Housing Starts
Privately-owned housing starts in February were at a seasonally adjusted annual rate of 1,525,000. This is 9.0 percent (& plusmn; 10.2%) ...
Top Distributor Sectors
Premier Farnell Sells UK-Based BuckHickman

Premier Farnell plc has agreed to sell BuckHickman InOne, a distributor of industrial tools and supplies, to The BSS Group plc for about & pound; 27 million.



&nbsp ;


BuckHickman had sales of & pound; 99.8 million and operating losses before interest and tax of & pound; 0.8 million for the financial year ended Jan. 28, 2007.



&nbsp ;


Premier Farnell is a global distributor of electronic components and industrial products to the design, maintenance and engineering sectors. It operates in 21 countries. Companies within Premier Farnell Group include Farnell, CPC, BuckHickman InOne,

Newark , MCM, Akron Brass, TPC Wire & Cable and Cadillac Electric.



&nbsp ;


It is ...
Top Distributor Sectors
Kennametal to Buy Advanced Materials Business
Kennametal Inc., Latrobe, PA, has agreed to buy Purity Metal Holdings Inc. and its subsidiary International Specialty Alloys Inc.&nbsp ; ISA will become part of Kennametal's Advanced Materials Solutions Group.
&nbsp ;
ISA manufactures high-purity specialty metal products for the aerospace, defense and super alloy industries.
&nbsp ;
This acquisition further supports Kennametal's growth and investment strategies, which include expanding AMSG to eventually represent 50% of its ...
Top Distributor Sectors
Norcross Sales Grow 16% in 2006

Safety Products Holdings Inc. and Norcross Safety Products,

Oak Brook, IL , reported sales of $558.1 million in 2006, up from $481 million in 2005, a 16% increase. The sales jump was attributed to an increase in sales in general safety and preparedness and electrical safety segments.




&nbsp ;


In the general safety and preparedness segment, sales were up 17.7%. Fire service segment sales were even at $87.9 million -incremental American Firewear sales were offset by postponed customer orders due partly to government grant holdups and a delay in the issuance of the new NFPA standard. In the electrical safety segment, sales were up 30%, driven by strong market demand, new product ...
Top Distributor Sectors
Iron Age Shuts Down
Iron Age Corp., distributor and marketer of safety shoes, Westborough, MA , is shutting down after filing for bankruptcy in January. The company sold safety, work and uniform shoes to industrial, service and government sectors.
&nbsp ;
Iron Age filed for Ch. 11 bankruptcy Jan. 22, 2007.
&nbsp ;
In the bankruptcy filing in Massachusetts, CEO David Eckert said in an affidavit that the company had experienced liquidity issues" in the last quarter of 2006 and filed bankruptcy in order to pursue selling the business or liquidating its assets.
&nbsp ;
Iron Age had sales of $85.07 million for the fiscal year ended Jan. 28, 2006, according to the filing. For fiscal 2007, the company had projected revenues of $75 million. Figures include Iron Age, and Iron Age Canada, a ...
Top Distributor Sectors
Carlyle Group to Buy Goodyear Division for $1.5B

Private equity firm The Carlyle Group has agreed to acquire The Goodyear Tire & Rubber Company's Engineered Products Division for $1.475 billion in cash.


Goodyear Engineered Products manufactures hoses, conveyor belts and power transmission belts, as well as tank tracks for military and off-road vehicles. With approximately $1.5 billion in sales, the company serves more than 4,500 customers around the world in a variety of end markets. Following the transaction, the company's headquarters will remain in
Akron, OH
, and current management, including President and CEO Timothy R. Toppen, will continue to lead the business.


The Goodyear Tire & Rubber Company is one of the world's largest ...

Subscriber Only
Canadian Wholesale Revenues Fall in January
Following a strong end to&nbsp ; 2006, wholesalers began the year on a subdued note, as weaker deliveries of automotive products and personal and household goods pushed overall sales lower.
&nbsp ;
Wholesale sales declined&nbsp ; 0.5% in January to&nbsp ; $42.7&nbsp ; billion, reversing some of the&nbsp ; 2.7% gain made in December. Significant drops in the automotive products (-4.6%) and personal and household goods (-4.5%) sectors were behind all of decline in January. Both of these sectors had posted substantial gains in December.
&nbsp ;
The remaining five wholesale sectors, representing&nbsp ; 67% of overall sales, all registered increases in January, led by the building materials and machinery and electronic equipment sectors.
&nbsp ;
Ontario bore the brunt of ...
Top Distributor Sectors
Technology Case Study: Graybar’s Lessons Learned

Electrical distributor Graybar rolled out its new IT system in 2003-2004; the three-year implementation was anything but easy for the $5 billion company. But CFO Beatty D'Alessandro, who oversaw the implementation, says distributors can mitigate the risks inherent with such a transition. Here's how.



Most distributors who are implementing or even considering switching to a new business system may place too much worry on whether the technology will work and what it will cost but not enough on other risks inherent with the transition.


The fact of the matter is if you're with a name-brand software company, the technology is going to work. This is not splitting the atom or curing cancer -we're talking about billing material, and shipping material, and ...
Top Distributor Sectors
MDM Interview: Strategic Player to Financial Buyer

In 2006, Charles Banks retired as CEO of global building materials and plumbing/HVAC distributor Wolseley plc. Banks had nearly 40 years with Wolseley and its subsidiary Ferguson. He decided to apply that vast experience elsewhere at retirement and joined the private equity firm Clayton, Dubilier & Rice, long-time investors in the distribution world. He serves as an operating partner for the firm, meaning his job is to help improve purchased companies to boost value for CD & R.

CD & R is an owner of electrical distributor Rexel and lab supply wholesaler VWR International. Both companies may be sold or up for IPOs in the coming months.

Banks recently sat down with MDM to talk about his transition from leading and building a public company to working for a ...
Top Distributor Sectors
Report: Housing Market in Transition

While most housing markets throughout the country experienced a year of decline in 2006 following the boom levels of the previous two years, 2007 is expected to be a year of transition, with growth emerging in many areas, according the National Association of Home Builders'(NAHB) Regional Housing Starts Forecast.&nbsp ;


The forecast, available through NAHB's HousingEconomics.com, reports on regional and state-by-state housing forecasts and analyzes the health of local housing markets.&nbsp ;


The earlier boom in housing can be attributed largely to excess demand generated by historically low interest rates coupled with aggressive mortgage lending practices, a combination that made homeownership more affordable but also attracted investors and speculators into many ...
Subscriber Only
Monthly Wholesale Trade: Sales and Inventories for January 2007

Sales. January 2007 sales of merchant wholesalers, except manufacturers'sales branches and offices, after adjustment for seasonal variations and trading-day differences but not for price changes, were $333.4 billion, down 0.9 percent from the revised December level, but were up 6.2 percent from the January 2006 level. The December preliminary estimate was revised downward $0.5 billion or 0.2 percent. January sales of durable goods were virtually unchanged from last month, but were up 5.7 percent from a year ago. January sales of nondurable goods were down 1.8 percent from last month, but were up 6.7 percent from last year.

Inventories. Total inventories of merchant wholesalers, except manufacturers'sales branches and offices, after ...

Subscriber Only
Commentary: Fill the Information and Service Vacuum

Many if not most distributors measure product fill rates, and often report to customers in order to document their value. But how many distributors measure information fill rates? How well do you meet customer information needs, from a speed and quality standpoint?


A recent panel discussion on changes in distribution touched on a key observation. An astute panel member observed that velocity is a critical skill for a distributor today. Some may argue that hasn't changed. Customers have always demanded high fill rates and on-time deliveries. But there is a difference.


Velocity is defined by speed and direction. Direction is all about how your company is positioned to meet customer needs. Customers expect and demand fast when it comes to logistics and product delivery. But ...
Subscriber Only
MDM News Digest 3706
Beacon Roofing Supply, Inc., Peabody, MA, has agreed to acquire North Coast Commercial Roofing Systems, Inc., a Twinsburg, OH-based distributor of commercial roofing systems and related accessories, with 16 locations in eight U.S. states. North Coast gives Beacon with its first locations in three states: New York, Ohio and West Virginia. North Coast had sales of about $253 million for the fiscal year ended March 31, 2006. Beacon had sales of $1.5 billion in 2006.More ...
&nbsp ;
January U.S. manufacturing technology consumption totaled $297.48 million, according to the American Machine Tool Distributors'Association and The Association For Manufacturing Technology. This total, as reported by ...
Subscriber Only
MDM March 25, 2007
This is the pdf of this issue of Modern Distribution Management. Apply the full $24.95 pay-per-view cost toward an annual subscription (within 30 days of purchase), which includes two issues a month plus access to more than six years of online archives and market data. Call 1-888-742-5060 or email info@mdm.com to ...
Subscriber Only
Value Lessons from HD Supply

Value Lessons from HD Supply
&nbsp ;
What's the value of a $12-billion distribution roll-up of a couple dozen companies, roughly doubling in size the past two years, consisting of a highly diversified portfolio of both branch-based and catalog models, in more than half a dozen product categories?
&nbsp ;
Rumors are floating $9-11 billion as a potential price. With HDS estimated EBITDA somewhere around $1 billion, that puts the valuation in the range of 9-11X EBITDA. Home Depot paid around 12X EBITDA for Hughes Supply a year ago. But this is definitely a seller's market. HD may feel some Wall Street pressure to jettison the unit quickly, but it also is in the catbird seat. As reported by the Financial Times and <a ...
Top Distributor Sectors
Stock Building Supply Buys Albuquerque Door
Stock Building Supply, Raleigh, NC, has acquired Albuquerque Door, previously owned by Orepac Building Products. Albuquerque Door assembles pre-hung exterior and interior doors, distributes vinyl windows, and manufactures specialty architectural millwork items for national and custom builders in the Albuquerque and Santa Fe markets.

The company operates from one location in Albuquerque; the acquisition adds approximately 50 associates to the Stock family. All senior management, including manager Carolyn Kidd, will remain with the company.



Stock Building Supply now operates 321 locations in 34 states, with reported sales of $5.3 billion for the fiscal year 2006. Stock Building Supply is a subsidiary of Wolseley plc of Theale, England, which had sales in fiscal ...
Top Distributor Sectors
Lab Supply Distributor VWR Exploring Strategic Options

VWR International, Inc., West Chester, PA, a distributor to the global research laboratory industry, announced that Goldman Sachs & Co. and Banc of America Securities LLC have been retained to explore strategic options for VWR.
&nbsp ;
VWR is owned by Clayton, Dubilier & Rice, which bought the company from Merck KGaA of Germany for $1.65 billion in April 2004.
&nbsp ;
John Ballbach, president and CEO of VWR, said, "As this process moves forward, we remain committed to maintaining our strong relationships with our customers and suppliers and to the continued growth of our business."
&nbsp ;
The company does not expect to disclose further developments regarding the process until the review of strategic options has been completed.
&nbsp ;
VWR International ...
Top Distributor Sectors
Illinois Tool Works Sales Up 15% in 1Q ’07

Illinois Tool Works Inc., Glenview, IL, reported revenues increased 15% in the three months ended Feb. 28, 2007. About 2% was from base revenues, 11% from acquisitions, and 2% as a result of translation and other items.
&nbsp ;
Organic growth benefited from strong demand from international end markets; however, North American end markets continued to show signs of moderating growth or declines.
&nbsp ;
By segment, growth was 5% in engineered products/North America; 20% engineered products/International; specialty systems/North America; 22% specialty systems/International.
&nbsp ;
ITW is a $14.1 billion diversified manufacturer of highly engineered components and industrial systems and consumables. The company is in 49 ...
Subscriber Only
Wholesale Prices Advance 1.3% in February
The Producer Price Index for Finished Goods advanced 1.3 percent in February, seasonally adjusted, the Bureau of Labor Statistics of the U.S. Department of Labor reported. This increase followed a 0.6-percent decline in January and a 0.9-percent rise in December. At the earlier stages of processing, the intermediate goods index turned up 1.1 percent after falling 0.7 percent in the previous month, and prices for crude goods climbed 8.9 percent following a 6.3-percent decrease in January.
&nbsp ;
Among finished goods in February, the index for energy goods moved up 3.5 percent compared with a 4.6-percent drop a month earlier. The rate of increase for consumer foods prices accelerated to 1.9 percent in February from 1.1 percent in January. Excluding prices for foods and ...

Investment Banking Directory

Work with a banking partner that knows your business. Get detailed information on investment banks with expertise in the wholesale distribution industry.

Learn More
Featured Content

How to Drive Adoption for B2B Technology

Download this whitepaper to uncover the stories of two pioneering distribution businesses, illuminating the…

Business Model Innovation

Discover how leading distributors are inventing and transforming business models to delight customers, disrupt…

3 Ways Distributors Can Make Better Inventory Decisions

Discover how a leading distributor has revolutionized inventory policies and supply chain planning to…

SHIFT 2023 Playbook

As distribution leaders constantly seek educational resources on business transformation, technology optimization and talent…
Go to Library

Market Prospector

  • Build strategic sales plans.

  • Determine market and demand.

  • Create smart prospect lists. 

Turn your sales data into actionable data with Market Prospector.  A web-based SAAS tool that gives you insight into your market, your territories, your customers and new prospects too. 

Learn More

Sign Up for the MDM Update Newsletter

Our daily newsletter is your best source for news and trends in the wholesale distribution industry.

Sign Up

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.