| Fastener Sales To Increase in 2010 |
The fastener industry expressed optimism in 2010, with the sales index expected to more than double to 3.8 this year and the profit index forecasted to gain more than 65% to 3.6.
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| End of 2009 FIN Survey of the Fastener Industry |
More than 65% of fastener companies reported job cuts, including nearly 84% of fastener manufacturers.
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| Cost Index Declines For Third Straight Year |
For 2010 the FIN Cost Index is projected to jump 25% to the 3.2 level recorded in 2002 and 2003 but remain below 2008's mark of 3.5.
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| Indicators for 2010 |
About three in 10 manufacturers plan bigger investments, ahead of the 24% of distributors who intend to increase capital spending over the next few months.
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| FIN Company Performance Index Drops |
The FIN Company Performance Index has ranged from a low of 5.6 at the end of 2001 to a high of 7.9 for 1994.
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| Top Problems of 2009 |
Responding to reduced sales was a frequently mention challenge: "Reducing overhead to meet sales declines," "bringing inventory into line with declining sales," "lowering cost consistent with sales," "downsizing fast enough," "cost control," "cost containment" and "inventory turnover."
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| Manufacturers: Record Low Statistics |
For 2010 manufacturers are projecting 71.5%. From 1994 through 2009 operating capacity has averaged 72.6%.
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| Fastener Prices Stable - For Now |
Nearly six in 10 fastener companies reported stable prices in 2009, while 19.5% said prices fell an average of 14% during the year.
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| Economic Confidence Edges Up |
The Global Economic Confidence Index rose to 2.8 from 2.2 a year ago.
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| No Pay Raises at Most Fastener Firms |
One FIN Survey participant pointed out that the raw numbers don't tell the full story about real income being down. "Although our pay rates may have increased 3% to 5% in 2009, our overtime was essentially eliminated so our people earned less," the respondent explained.
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| Layoffs Prevalent in 2009 |
More than 65% of fastener companies participating in the End of 2009 FIN Survey reported layoffs in 2009, including a 40.2% majority that cut more than 10% of its workforce.
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| Distributor Margins Flatten |
Profit gains among distributors were weak, with only 18.4% reporting "moderate" bottom line growth.
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| Capital Investment Continues Decline |
For the fifth straight year, the level of capital investment in the fastener industry continued to drop.
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| Political Confidence Edges Down |
A 61% majority rated their confidence level in the North American economy at "moderate" and 29.3% "low."
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| Comments from End of 2009 FIN Survey Participants |
"Glad 2009 is over. It was the worst year since 1983."
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| FIN Survey Participants |
FIN Survey participants averaged $17.1 million in annual sales. Just over 8% participants reported annual sales under $1 million and 10.8% reported sales in excess of $50 million.
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