It’s alive!
Despite premature reports of its demise, manufacturing still represents 10 percent of jobs in America and is essential to the economies of many states.

It has recently become routine for pundits to write off U.S. manufacturing as an anachronism. However, a new set of EPI reports shows that “making things” remains an essential part of the economy and will continue to be a source of good jobs. The manufacturing sector supported 14 million jobs in 2007, or about 10.1 percent of total employment.

A Snapshot developed by EPI economist Robert Scott shows the sector's importance varies from state to state. California leads the country in sheer output value, producing $169 billion worth of goods in 2006, followed by Texas with $140 billion. However, the relative importance is greatest in Indiana, where manufacturing accounts for 28 percent of the state’s gross domestic product.

Pro production
Manufacturing industries are also responsible for a significant share of U.S. economic production, generating $1.6 trillion in GDP in 2006 (12.2 percent of total U.S. GDP).

And because manufacturing firms also use trillions of dollars worth of commodities and services as inputs, the sector is responsible for an even bigger share of total output. U.S. manufacturing had gross output of $4.5 trillion in 2005, and it is by far the most important sector of the U.S. economy in terms of total output. (Source: Bureau of Economic Analysis 20081).

The right policies will not only keep manufacturing jobs in the country, but also ensure that they are of high quality and offer adequate wages and benefits.

In her report, Renewing U.S. Manufacturing, economist Susan Helper calls for adopting policies “to create a highly productive, high-wage economy” that would contribute to other critical national goals, such as environmental sustainability, energy independence, modernizing infrastructure, and maintaining a defense industrial base.

U.S. manufacturing also led the way on trade, exporting $923 billion in manufactured goods, 64 percent of all U.S. goods and services exported in 2006. Although export growth slowed in the fourth quarter, manufacturing provided one of the few bright spots for the economy in an otherwise bleak fourth-quarter GDP report.

While the U.S. housing sector is likely to exert a drag on the economy for some time to come, exports from the manufacturing sector should continue to add to growth in the coming year. Reinvestment in U.S. manufacturing would also stimulate growth in a wide swath of states in the heartland that have been hardest hit by the manufacturing and housing crises.

Click here to view the EPI chart pdf.

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2007 year-end sales results show positive growth for power transmission/motion control industry
Chicago, Ill. – February 11, 2008 – In releasing 2007 year-end sales data for distributors and manufacturers of power transmission/motion control (PT/MC) products, the Power Transmission Distributors Association (PTDA) reported that distributors and manufacturers in North America experienced overall growth in sales in 2007. Confidence in the market (as measured on a scale of 1 to 10 with 10 being most optimistic) has eroded slightly, holding a current neutral position between 5.0 and 5.8 versus a range of 5.1 to 6.6 at year-end 2006.

While still in the positive, growth in sales of PT/MC products is definitely slowing. Following three years of double-digit growth, U.S. distributors’ saw a 6.8 percent increase in PT/MC product sales in 2007. The annualized sales-to-inventory ratio for 2007 was up to 7.6, compared to 7.3 in 2006.

Canadian distributors also continued to experience growth in PT/MC sales, again at a slower rate than in the previous three years. Distributors of PT/MC product in Canada ended 2007 with an increase in sales of 1.7 percent. The annualized sales-to-inventory ratio for Canadian distributors showed a slight decline from 7.1 in 2006 to 6.4 in 2007.

U.S. manufacturers of PT/MC products experienced year-to-date sales growth of 3.7 percent versus a more robust growth rate of 7.1 percent in 2006. The same trend holds true for year-to-date orders of PT/MC products for U.S. manufacturers, gaining 1.1 percent in 2007 as compared to 3.8 percent in 2006. The annualized sales-to-inventory ratio increased to 10.0 at year-end 2007 from 9.0 in 2006.

Canadian manufacturers’ sales remained relatively flat in 2007, with a change in sales of under one percent. Year-to-date sales of PT/MC products by Canadian manufacturers in 2007 increased 0.2 percent versus a 0.5 decline in 2006. The annualized sales-to-inventory ratio decreased to 6.9 for Canadian manufacturers compared to 7.4 at the end of 2006.

In considering sales growth on a product-by-product basis for 2007, product categories for U.S. manufacturers showed an overall growth in sales with only two product categories experiencing sales declines – variable speed drives and positioning systems/linear motion products. Canadian manufacturers, on the other hand, showed an overall reduction in sales with only three product categories showing sales growth – unmounted bearings, clutches & brakes and standard industrial motors.

Click here to view the December data charts pdf.

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Trico launches new web-based Lubrication Library
Trico is pleased to announce the launch of its new web-based Lubrication Library www.tricocorp.com/lubricants. The Lubrication Library is a web-based service that providers subscribers a central-point of reference on lubricant specifications and technical information from major lubricant suppliers. It allows users to easily build and print a reference list of lubricants currently used within their facility as well as the manufacturers specifications sheets and material safety data sheets (MSDS). Subscribers can search multiple data with the database such as manufacturer, lubricant name, viscosity grade, specific gravity, and lubricant type just to name a few. Each search produces a detailed view of specifications and the capability to print a report for comparison. The search criteria can also be saved for future reference. The Lubrication Library is the initial launch to a family of web-based products called Trico On Demand. Trico will be unveiling another Trico On Demand product this summer.

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January 2008 month-end trend data for distributors and manufacturers of power transmission/motion control products
March 10, 2008 – The Power Transmission Distributors Association (PTDA) today released January 2008 month-end trend data for distributors and manufacturers of power transmission/motion control (PT/MC) products.

After a two-month decline in U.S. distributors' sales of PT/MC products, January sales were up 7.6 percent compared to December 2007. When matched up against sales in January 2007, sales in January 2008 gained 4.5 percent. Accounts receivable collection days were down 2.8 percent in January 2008 after an increase in December 2007. For January 2008, the confidence index of U.S. distributors remained flat at 5.8 (on a 10-point scale).

Canadian distributors posted positive gains in PT/MC sales, rising 7.7 percent in January 2008. Sales growth over the same period last year was down 0.7 percent. Days sales in account receivables dropped 12.5 percent as compared to December 2007. For January 2008, the confidence level of Canadian distributors rose to 5.5 (on a 10-point scale), slightly higher than the December 2007 level of 5.0.

U.S. manufacturers' sales were up for the first time in two months. Sales in January 2008 increased 7.6 percent compared to December 2007. Sales growth over the same period last year also was positive with a 5.9 percent increase. The confidence level of U.S. manufacturers dropped to 5.5 (on a 10-point) scale from December 2007 to January 2008.

Canadian manufacturer's sales broke its two-month stretch of declining sales, with a 14.5 percent gain over December 2007. Sales were down 7.3 percent when compared to the same period last year. For January, the confidence level of Canadian manufacturers continues to fluctuate between 5.1 and 5.5, with a 0.1 increase to 5.2 (on a 10-point scale) from December 2007 to January 2008.

Product-by-product sales between December 2007 and January 2008 reflect the overall growth in sales experienced by both U.S. and Canadian manufacturers. All product categories for U.S. manufacturers, except mounted bearings, experienced a positive change in sales. For Canadian manufacturers, all product categories, except standard industrial motors, experienced a positive change in sales.

U.S. Manufacturer Percent Change in Product Sales
(December 2007 vs. January 2008)

Canadian Manufacturer Percent Change in Product Sales
(December 2007 vs. January 2008)

The Market Outlook Report is published monthly by the Power Transmission Distributors Association. The full report includes month-to-month and year-to-year changes for the current and the previous year in sales, inventory and accounts receivables for U.S. and Canadian distributors as well as a general confidence index. U.S. and Canadian manufacturer data includes a confidence index, as well as sales and order trends for mounted bearings, unmounted bearings, standard industrial motors, variable speed drives, positioning systems/linear motion products, gear products, clutches and brakes, shaft couplings and mechanical drive systems and other PT products.

Year-end data for 2006 and 2007 is available in a complete report. The monthly data is available by subscription via e-mail or mail. To purchase the year-end data or to begin a subscription to the monthly data, order online at www.ptda.org/store or call PTDA at +1.312.516.2100. PTDA members may download the report at no charge through the PTDA web site at www.ptda.org/MOR.

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The International Manufacturing Technology Show announces plans for New Innovation Center Theme Days
IMTS – The International Manufacturing Technology Show 2008 will feature an all new Innovation Center highlighting a relevant theme brought to life through thought-provoking presentations by industry experts each day during the six-day show September 8 - 13, 2008 at Chicago’s McCormick Place.

The Innovation Center/Theme Day lineup includes:
Monday, September 8, Automotive Day sponsored by Ward’s Automotive Group;
Tuesday, September 9, Quality Day sponsored by Quality Magazine;
Wednesday, September 10, Aerospace/Aeronautics Day sponsored by Aerospace Manufacturing & Design Magazine;
Thursday, September 11, Power Generation/Green Day sponsored by Today’s Energy Solutions;
Friday, September 12, Medical Day sponsored by Today’s Medical Developments Magazine; and
Saturday, September 13, Job Shop Day sponsored by American Machinist Magazine.

Each day during the show at 11 a.m. and 2 p.m., theater-style presentations will be offered in the Innovation Center, which will be located in the Lakeside Center (East Building). A complete list of Innovation Center programs and the daily schedules will be available at www.imts.com.

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Legrand North America wins award for operational excellence
Legrand North America (LNA), a leading choice for electrical and network infrastructure products in the U.S. and Canada, recently received an award for Operational Excellence from Gexpro, a world-class electrical products supplier and primary LNA customer.

LNA is made up of four electrical manufacturers – Cablofil/Legrand, On-Q/Legrand, Pass & Seymour/Legrand and Wiremold/Legrand. LNA received the award after various Gexpro branches nationwide nominated the conglomerate for providing the most outstanding customer service.

“We take pride in knowing that our customers recognize and appreciate our efforts,” said Pat Davin, Vice President and General Manager at Pass & Seymour/Legrand. “This award truly belongs to all LNA employees, especially those in departments that touch our customers directly and indirectly every day.”

Gexpro presented the award at its leadership meeting.

Legrand is the global specialist in products and systems for electrical installations and information networks. In 2007, Legrand employed 35,000 people worldwide and reported sales of €4.1billion, including 25 percent in emerging markets. The company is listed on the Eurolist market of Euronext Paris and is a component stock of indexes including the SBF120, FTSE4Good and MSCI World (ISIN code FR0010307819). www.legrandelectric.com

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Ride the Wave to Success at the PTDA 2008 Industry Summit
The Power Transmission Distributors Association (PTDA) heads to one of the world’s most dynamic and luxurious destinations—Miami Beach, Florida—for its 2008 Industry Summit on Oct. 30 – Nov. 1 at the Loews Miami Beach Hotel.

Playing off the Miami Beach location distributors and manufacturers in the power transmission/motion control (PT/MC) industry attending the Industry Summit will “Ride the Wave to Success” and learn how to coast past their competition. The PTDA 2008 Industry Summit offers:

• Ken Schmidt, former director of communications for Harley-Davidson Motor Company, as the opening keynoter. Schmidt will share his experience in restoring Harley-Davidson’s image and re-igniting consumer demand for its motorcycles. His lessons in maintaining relationships with veteran customers and innovatively pursuing new ones with a successful corporate culture will resonate with any business manager

• Alan Beaulieu, senior analyst and economist for the Institute for Trend Research, repeating his appearance from last year’s Industry Summit, will review his 2007 forecast and give attendees insight into the next economic wave.

• Workshops on a broad selection of topics that will increase efficiencies in transporting product to Latin America, reduce operating costs through new technologies and identify and capitalize on employee’s strengths to ride the wave to greater profitability.

• Manufacturer-Distributor Idea Exchange (MD-IDEX)—quick and effective business meetings between current and potential business partners.

• And much more!

The PTDA Industry Summit is open to all employees of member companies and qualified prospects. Detailed program information and registration information will be available in June.

For more information, visit www.ptda.org/Summit or contact PTDA at 312-516-2100 or via e-mail at ptda@ptda.org.

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Best online resource simplifies industrial glove selection
Best Glove unveils its new website at www.bestglove.com. A key resource to safety engineers and officers worldwide, the website features ChemRest, Best Glove's dedicated web portal with all the information needed to select the most applicable, protective chemical-resistant glove for specific, potentially hazardous applications.

By building the ChemRest.com portal into its website, Best Glove has made it easier than ever before for end users to determine which glove will best suit their needs. The ChemRest capability on the site contains easy-to-read chemical resistance data from over 9,000 conclusive tests. It includes rankings from most effective protection for that particular chemical to least effective, not only for ASTM F739 Method for Heavy Exposure, but also for the often overlooked ASTM F1383 Method for Intermittent Contact with Chemicals - an important factor for many industries.

In addition to the ChemRest resource, the site has a powerful search facility that makes finding detailed information about the company, its products and the industry very simple.

Best Glove is one of the world's leading manufacturers of hand protection for industrial and medical markets. For more information on Best Glove, visit www.bestglove.com.

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ASSE joins brief to support employers’ rights to determine workplace safety rules
The American Society of Safety Engineers (ASSE) joined with ASIS International and the Brady Center to Prevent Gun Violence in recently filing an amici curiae brief urging the United States Tenth Circuit Court of Appeals to affirm a 2007 federal district court ruling that found two so-called “forced entry laws” in Oklahoma unconstitutional. The Oklahoma laws would have prevented employers from setting workplace safety rules barring guns to be brought on employer property in a locked vehicle.

The U.S. Court for the Northern District of Oklahoma, in a suit filed against Oklahoma by ConocoPhillips and other employer plaintiffs (ConocoPhillips v. Henry), held that the Oklahoma’s “forced entry laws” conflicted with the general duty clause of the federal Occupational Safety and Health (OSH) Act of 1970. The general duty clause requires employers to protect their employees against avoidable and recognizable hazards that may not be addressed by specific workplace safety and health standards promulgated by the Occupational Safety and Health Administration (OSHA). Since federal laws preempt state law, the OSH Act preempted the Oklahoma laws.

“We are pleased today to be able to support employers’ most fundamental right, which is to determine how best to run their businesses and keep their employees and property safe,” said ASSE President Michael W. Thompson, CSP. “Employers hire our member safety, health and environmental (SH&E) professionals to determine just how best to protect workers. Whether, in their best judgment, protecting workers and property means keeping guns out of parking lots or not, that decision must be made by an employer and an SH&E professional. Those sometimes difficult decisions cannot be made by a state governor or legislature substituting political decisions for professional judgment about how best to protect workers under duties employers have under the OSH Act’s general duty clause.”

“Preventing violence is just one of many workplace safety, health and environmental issues our members work hard each day with employers to address so that workers are able to go home safe and healthy from their jobs each day,” added Thompson. “A law such as Oklahoma’s forced entry laws, if reinstated, would undermine our members’ professional ability to give advice to Oklahoma employers on workplace safety and it means that Oklahoma workplaces would be less safe.”

The cost of workplace violence to employers alone has been estimated at $4 billion a year, which is supported by ASSE’s “2004 Workplace Violence Survey and White Paper.”

According to the Department of Labor’s BLS National Census of Fatal Occupational Injuries for 2006, workplace homicides ranked as the fourth cause of on-the-job deaths, claiming the lives of 516 workers with more than 80 percent of those workers being shot.

ASIS International, founded in 1955, is an international organization of professionals responsible for security at corporate and government facilities. The Brady Center to Prevent Gun Violence is a non-profit organization working to reduce handgun deaths and injuries through education, research and legal advocacy.

For more information please go to www.asse.org. For a full copy of the "ASSE 2004 Workplace Violence Survey & White Paper," visit www.asse.org/newsroom/releases/press394_survey.pdf.

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Rockwell Automation to acquire leading European safety light curtain and optoelectronic sensor supplier
Rockwell Automation, Inc. has reached a definitive agreement to acquire the Safety and Automation business of CEDES AG. CEDES’ Safety and Automation business is a leading supplier of safety and measuring light curtains, as well as other safety and non-safety optoelectronics, control units and related accessories for industrial applications. Terms of the transaction were not disclosed.

The CEDES Safety and Automation business is headquartered in Landquart, Switzerland with sales offices primarily across Europe. The business unit being acquired includes products, technology, development engineering, marketing, sales and distribution to serve the industrial safety and automation markets.

“As the global leader in the process and machine safety market, Rockwell Automation’s acquisition of CEDES’ Safety and Automation business will enhance a strategic segment within our product portfolio,” said Steve Eisenbrown, senior vice president of Rockwell Automation. “Optoelectronic safety sensors, which include light curtains, are one of the largest product segments of the machine safety market. This acquisition will expand our comprehensive breadth of competitive machine safety solutions for our customers worldwide.”

Subject to satisfaction of customary closing conditions, Rockwell Automation expects the transaction to be completed early in the second calendar quarter of 2008. After the acquisition is complete, customers can continue to purchase products through the current distribution network of CEDES’ Safety and Automation business. As products become available under the Allen-Bradley brand, customers will also be able to purchase them through the Rockwell Automation distribution network.

CEDES’ Safety and Automation business will be included in the Architecture and Software operating segment.

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