McRae Industries Awarded Government Contract

MOUNT GILEAD, N.C. — April 1, 2021 —McRae Footwear, a division of McRae Industries Inc., has been awarded a contract for Marine Corps temperate weather combat boots by the United States Government Defense Logistics Agency Troop Support.  This contract is for a base year and four option years with the following maximum dollar value.  Base year $6,213,060.00, Option I $6,306,300.00, Option II $6,400,800.00, Option III $6,496,560.00, Option IV $6,594,210.00 for a total of $32,010,930.00. The first delivery is scheduled for 120 days after contract award date.

Posted April 5, 2021

Source: McRae Industries Inc.

Motion Announces Director Of Corporate Development

Jim May

BIRMINGHAM, Ala. — April 5, 2021 — Motion Industries, Inc. — a distributor of maintenance, repair, and operation replacement parts, and a provider of industrial technology solutions — is pleased to announce that Jim May was promoted to director of Corporate Development, effective April 1.

May joined Motion in August 2020 as Director of Strategic Planning and Development to advance the company’s corporate strategic planning, provide economic, industry and competitor analyses, and support deal-side acquisition execution and integration processes. In his new role, he will continue his involvement in Motion’s strategic planning but will take on direct responsibility for advancing the company’s acquisition strategy and processes. May will continue to report directly to Greg Cook, Motion executive vice president and CFO.

“Since joining Motion last August, Jim has quickly displayed his financial, strategic, acquisition and relational acumen,” Cook said. “In his new, expanded role, Jim will now have front-line responsibility for building relationships with potential acquisition targets, and will be the outward-facing point person for our acquisition pipeline. His wide-ranging strategy, corporate development and financial experience within the industrial and manufacturing sectors, as well as his highly relational approach, uniquely position him to lead Motion’s corporate development efforts and to help achieve our company vision.”

Before joining Motion last year, May built 20 years of corporate development experience, including positions with Diebold Nixdorf and most recently Chart Industries, a mid-cap multi-national public company, where he led global strategic planning and merger and acquisition (M&A) functions. He holds a Bachelor of Science degree in Finance from the University of Akron.

Posted April 5, 2021

Source: Motion Industries Inc.

Danimer Scientific Planning $700 Million, 400 Job Expansion In Decatur County, Ga.

ATLANTA, GA — March 29, 2021 — Governor Brian P. Kemp today announced that Danimer Scientific, a developer and manufacturer of biodegradable materials, plans to invest $700 million in expanding their Bainbridge manufacturing operations, nearly quadrupling their workforce in Decatur County. On March 16, Danimer and Mars-Wrigley announced a partnership to develop an innovative home compostable packaging, with SKITTLES® as the brand’s first product to use the new packaging.

“I want to thank Danimer for this planned investment in Bainbridge that will create hundreds of solid manufacturing jobs for the hardworking people of southwest Georgia,” said Governor Kemp. “Across multiple industries, Georgia is growing jobs of the future. This major expansion is a testament to the increasing focus Georgia is putting on sustainability and innovation, supported by our highly skilled workforce, technical colleges, and business-friendly climate.”

Headquartered in Bainbridge for over a decade, Danimer currently employs more than 100 people in southwest Georgia. The company’s renewable and sustainable biopolymers are used in single-use and other plastic products. These materials are biodegradable and compostable and are used by clients in industries like food packaging, bottling, and other traditional packaging sectors. Applications for Danimer’s biopolymers include additives, aqueous coatings, fibers, filaments, films, hot-melt adhesives, and injection-molded articles.

“Georgia has been a welcoming home for Danimer since the company’s inception, and we are grateful for the opportunity to continue growing our roots in the region,” said Stephen Croskrey, CEO of Danimer Scientific. “With access to the state’s robust logistics infrastructure and top-notch talent coming from local universities, we are in a strong position to make our vision of replacing traditional plastic with 100% renewable and biodegradable alternatives a reality. We could not be more pleased with the growing commitments to sustainable solutions by multinational companies, which has allowed us to double the planned size of this new facility.”

Danimer expects to construct an additional 2,000,000-square-foot facility near their current 25-acre campus, located at 140 Industrial Boulevard in Bainbridge. The company will hire for technical positions and careers in production, maintenance, and management. Individuals interested in opportunities with Danimer are encouraged to visit danimerscientific.com for additional information.

“Reducing the environmental impacts of plastic waste is one of the most critical issues facing the world today, so we are proud to welcome home a project that will play a key role in solving it,” said Rick McCaskill, executive director of the Development Authority of Bainbridge and Decatur County. “We look forward to supporting Danimer Scientific in bringing this innovative technology from Decatur County to the rest of the world.”

“Danimer Scientific would not be what it is today without the support we have received from the Bainbridge community over the years,” said Michael Smith, COO at Danimer Scientific. “In particular, we’d like to thank the Development Authority of Decatur County and the State of Georgia for their assistance in making this process smooth and efficient as we prepare plans for the new facility.”

Senior Project Manager Tina Herring represented the Georgia Department of Economic Development’s (GDEcD) Global Commerce division on this competitive project in partnership with the Development Authority of Bainbridge and Decatur County, Southern Regional Technical College, Georgia Quick Start, and Georgia Power.

“We are delighted to see an innovative company like Danimer continue to grow and thrive from their home in southwest Georgia, and I thank our economic development partners for their continued support of our existing industries,” said GDEcD Commissioner Pat Wilson. “Georgia companies like Danimer continue to lead the way toward a green manufacturing future, and we are thrilled to be their partner as they push sustainable solutions forward.”

Danimer Scientific is a pioneer in creating more sustainable, more natural ways to make plastic products. For more than a decade, the company’s renewable and sustainable biopolymers have helped create plastic products that are biodegradable and compostable. They return to nature instead of polluting the environment. Danimer Scientific’s technology can be found in a vast array of plastic end products that people use every day. Applications for Danimer Scientific’s biopolymers include additives, aqueous coatings, fibers, filaments, films, hot-melt adhesives, and injection-molded articles, among others. The company now holds more than 150 granted patents and pending patent applications in more than 20 countries for a range of manufacturing processes and biopolymer formulations.

Posted April 1, 2021

Source: State of Georgia Office of the Governor

Columbia Sportswear Appoints Craig Zanon As Senior Vice President, Emerging Brands

Zanon

PORTLAND, Ore. — March 31, 2021 — Columbia Sportswear Co., an innovator in active outdoor apparel, footwear, accessories and equipment, today announced the impending retirement of Doug Morse, senior vice president, Emerging Brands, in the summer of 2021, and the hiring of Craig Zanon to fill the vacancy created by Morse’s retirement.

“Craig brings a wealth of experience that will help us continue the growth trajectory of SOREL, Mountain Hardwear and prAna,” said Tim Boyle, CEO, president and chairman of the board. “He will build on the brand-led, consumer focused strategy that we have been pursuing for the last several years.”

Prior to joining Columbia, Zanon spent more than twenty years with Nike, where most recently, he served as vice president and general manager of Global Basketball. During his time at Nike, he also served as vice president for U.S. Footwear and general manager for the Americas.

Morse has held many positions within Columbia Sportswear Co., beginning as a temp in the Consumer Department in November of 1994. After several successful roles in Operations, he served for five years as general manager in Canada and one year as the interim GM in Europe, before assuming the role of vice president/chief business development officer and general manager of LAAP Distributors in 2016. Morse took on the additional role of managing the Emerging Brand portfolio and the Asia Subsidiaries in 2017 before focusing on the Emerging Brands in 2020.

“Doug has been a key part of our growth strategy, helping guide business development and acquisitions for the past seven years,” said Boyle. “He has been a critical part of our Senior Leadership Team, and his business acumen and commitment to excellence will be missed.”

Zanon will be joining the company on April 5th to ensure an effective transition to the role of senior vice president, Emerging Brands upon Morse’s retirement.

The role of senior vice president, Emerging Brands will continue to report to Tim Boyle following the transition.

“I’m excited to join Columbia Sportswear Company and its portfolio of brands,” said Zanon. “After a year like 2020, it will be a welcome challenge to help drive growth at SOREL, Mountain Hardwear and prAna. I look forward to nurturing the unique aspects of each of these iconic brands to help them reach their potential.”

Posted April 1, 2021

Source: Columbia Sportswear Company

Scott D. Farmer To Retire As Cintas Corp. CEO On May 31; Todd M. Schneider Elected New CEO & President, Effective June 1

CINCINNATI — April 1, 2021 — Cintas Corp. today announced Scott D. Farmer, Cintas chairman and CEO, will retire as CEO on May 31, 2021. Farmer will remain executive chairman, a role he has held since 2016.

The company also announced that its board of directors has increased the number of directors from 8 to 9 and elected Todd M. Schneider as CEO and president and a director of the company, effective June 1, 2021.

“It has been a great privilege to serve as Cintas’ CEO for 18 years. The company has grown and changed significantly over that time but our core values and the culture that binds our employee-partners together has remained a steady foundation for the success Cintas has achieved,” Farmer said. “I am proud of our many collective accomplishments, including the innovative products and services we provide our customers as well as the tremendous dedication of our employee-partners. Our company is in a position of financial strength, with a strong and experienced leadership team executing a proven strategy that has allowed our continued success even through the recent pandemic, making this the appropriate time for an orderly transition.”

Under Farmer’s leadership the company’s revenue grew from $2.69 billion in 2003 to more than $7 billion at the end of its previous fiscal year. Cintas Lead Director Joe Scaminace said: “Scott has done a great job leading Cintas through years filled with challenges, change and opportunities, including the Great Recession and the recent pandemic as well as the integration of SAP technology across the organization at the same time the company was integrating its largest acquisition to date, G&K Services. The entire Cintas Board of Directors thanks Scott for his service to the company as CEO and we are grateful that he remains at the helm as Executive Chairman.”

After a comprehensive succession planning process, the board unanimously selected Schneider to assume the position of CEO. “Todd joined Cintas’ Management Trainee program right out of college in 1989. He has held many positions over the course of 32 years. Todd has an extensive knowledge of our company, fully supports and exemplifies our culture and has served as executive vice president and CEO since 2018, which will ensure a seamless transition. Todd is undeniably the right person to lead Cintas to even greater success in the future,” said Farmer.

“I am honored that the board selected me as the next CEO of this great company and grateful for the opportunity to build on the long trajectory of success that Cintas has achieved under Scott Farmer’s leadership,” Schneider said. “With the proven leadership team currently in place, along with our exemplary employee-partners providing excellent care to our customers, I believe Cintas’ future is brighter than ever.”

Posted April 1, 2021

Source: Cintas Corporation

J.Crew Group Bolsters Management Team With Proven Leaders To Advance Long-Term Strategic Growth Plan

NEW YORK — April 1, 2021 — J.Crew Group today announced that it has taken important steps to build out its leadership team in order to advance its long-term strategic growth plan.

The company has appointed four highly experienced retail industry leaders — Jose Davila, chief people officer; Danielle Schmelkin, chief information officer; Derek Yarbrough, chief marketing officer; and Liz Hershfield, senior vice president Sustainability — to its senior management team, which is led by Libby Wadle, J.Crew Group’s CEO. These individuals will be integral in accelerating J.Crew Group’s approach to building a digital-first, purpose-driven organization under its J.Crew, Madewell, and J.Crew Factory brands.

“I believe strong and relevant brands are customer-centric, community-minded, purpose-driven and powered through innovation, technology and a deeply collaborative culture,” Wadle said.  “Jose, Danielle, Derek and Liz are proven leaders in their respective fields, share our core values, and bring significant expertise as well as a passion for our brands that will drive our business forward.”

  • Jose Davila, Chief People Officer. In this role, Jose will guide J.Crew Group’s overall people strategy and execution. Jose’s brings 25 years of talent management and brand-building experience, as well as a deep knowledge of the retail industry to J.Crew Group. He most recently served as Vice President of Human Resources for Levi Strauss & Co., where he oversaw North and South America. Previously, he spent more than ten years at Gap Inc., where he held a series of leadership positions, including Head of International Human Resources, Head of Human Resources for Banana Republic, and Vice President, Human Resources for the Gap Brand Stores Organization.
  • Danielle Schmelkin, Chief Information Officer. In this role, Danielle leads J.Crew Group’s digital transformation by maximizing data insights, increasing connectedness and interactivity with customers, driving innovation and fortifying IT architecture. She most recently served as Chief Information Officer of Madewell. Danielle is a recognized technology and digital innovator who brings over 20 years of experience to this position.
  • Derek Yarbrough, Chief Marketing Officer. In this role, Derek is responsible for all marketing, creative, and Ecommerce initiatives for the J.Crew and Madewell brands. Derek is a recognized leader in Ecommerce, marketing and the fashion industry and brings over 20 years of experience to this newly created position. He spent the previous eight years at Madewell where he played increasingly important roles, and most recently served as the brand’s CMO.
  • Liz Hershfield, Senior Vice President Sustainability. In this newly created role, Liz leads sustainability innovation for the J.Crew, Madewell and J.Crew Factory brands. She will focus on driving a company-wide sustainability agenda that will maximize positive impact and position the J.Crew Group as a leader in sustainable retail. She will continue to oversee Sourcing for Madewell as well as this new role. Liz brings over 25 years of experience and deep knowledge of sourcing and sustainability to the position.

These leaders are part of a strong management team which includes Michael Nicholson, COO and Vincent Zanna, CFO.

J.Crew Group also announced the following appointments to its board of directors.

  • Frits Dirk van Paasschen, a seasoned global executive who spent more than a decade as a Fortune 500 CEO, first at The Coors Brewing Company and then at Starwood Hotels and Resorts Worldwide. Previously, he held several management positions at Nike, ultimately becoming Nike’s President of Europe, Middle East, and Africa. He currently serves on the Board of Directors of Williams-Sonoma, Inc. and Royal DSM.
  • Anna Fieler, a transformative technology executive and investor who founded and currently runs Madison Park Ventures, a venture capital firm that invests in technology companies that advance well-being, connection and productivity. Previously, she was Chief Marketing Officer of PopSugar. She currently serves on the Board of Directors of Shake Shack Inc. and Quinstreet, Inc.
  • Nadia Rawlinson, a global human resources executive who currently serves as the Chief People Officer at Slack. Previously, she was the Chief Human Resources Officer at Live Nation Entertainment and Rakuten USA and she also served as Co-Head of Global Human Resources of Groupon. She was recognized by Black Enterprises Magazine as one of the ‘Most Powerful Women in Corporate America’ and as one of the ‘300 Most Powerful Executives in Corporate America’ in 2019 and 2018, respectively. Nadia also serves on the Board of Directors of Vail Resorts, Inc.

Posted April 1, 2021

Source: J.Crew Group Inc.

Manufacturing PMI® At 64.7%; March 2021 Manufacturing ISM® Report On Business®: Textile Mills & Apparel, Leather & Allied Products Sectors Report Growth

TEMPE, Ariz. — April 1, 2021 — Economic activity in the manufacturing sector grew in March, with the overall economy notching a 10th consecutive month of growth, say the nation’s supply executives in the latest Manufacturing ISM® Report On Business®.

The report was issued today by Timothy R. Fiore, CPSM, C.P.M., Chair of the Institute for Supply Management® (ISM®) Manufacturing Business Survey Committee:

“The March Manufacturing PMI® registered 64.7 percent, an increase of 3.9 percentage points from the February reading of 60.8 percent. This figure indicates expansion in the overall economy for the 10th month in a row after contraction in April. The New Orders Index registered 68 percent, up 3.2 percentage points from the February reading of 64.8 percent. The Production Index registered 68.1 percent, an increase of 4.9 percentage points compared to the February reading of 63.2 percent. The Backlog of Orders Index registered 67.5 percent, 3.5 percentage points above the February reading of 64 percent. The Employment Index registered 59.6 percent, 5.2 percentage points higher than the February reading of 54.4 percent. The Supplier Deliveries Index registered 76.6 percent, up 4.6 percentage points from the February figure of 72 percent. The Inventories Index registered 50.8 percent, 1.1 percentage points higher than the February reading of 49.7 percent. The Prices Index registered 85.6 percent, down 0.4 percentage point compared to the February reading of 86 percent. The New Export Orders Index registered 54.5 percent, a decrease of 2.7 percentage points compared to the February reading of 57.2 percent. The Imports Index registered 56.7 percent, a 0.6-percentage point increase from the February reading of 56.1 percent.”

Fiore continues, “The manufacturing economy continued its recovery in March. However, Survey Committee Members reported that their companies and suppliers continue to struggle to meet increasing rates of demand due to coronavirus (COVID-19) impacts limiting availability of parts and materials. Extended lead times, wide-scale shortages of critical basic materials, rising commodities prices and difficulties in transporting products are affecting all segments of the manufacturing economy. Worker absenteeism, short-term shutdowns due to part shortages, and difficulties in filling open positions continue to be issues that limit manufacturing-growth potential. Optimistic panel sentiment increased, with eight positive comments for every cautious comment, compared to a 5-to-1 ratio in February. Demand expanded, with the (1) New Orders Index growing at a strong level, supported by the New Export Orders Index continuing to expand, (2) Customers’ Inventories Index at an all-time low and (3) Backlog of Orders Index growing to an all-time high. Consumption (measured by the Production and Employment indexes) contributed positively (a combined 10.1-percentage point increase) to the Manufacturing PMI calculation. All top six industries reported moderate to strong expansion. The Employment Index expanded for the fourth straight month, but panelists continue to note significant difficulties in attracting and retaining labor at their companies’ and suppliers’ facilities. Inputs — expressed as supplier deliveries, inventories, and imports — continued to support input-driven constraints to production expansion, at higher rates compared to February. Inputs positively contributed to the PMI calculation, by a combined 5.7 percentage points. The importation of items marginally slowed in the period, driven by port backlogs. The Prices Index expanded for the 10th consecutive month, indicating continued supplier pricing power and scarcity of supply chain goods.

“All of the six biggest manufacturing industries — Computer & Electronic Products; Fabricated Metal Products; Food, Beverage & Tobacco Products; Transportation Equipment; Chemical Products; and Petroleum & Coal Products, in that order — registered strong growth in March.

“Manufacturing performed well for the 10th straight month, with demand, consumption and inputs registering strong growth compared to February. Labor-market difficulties at panelists’ companies and their suppliers persist. End-user lead times (for refilling customers’ inventories) are extending due to very high demand and output restrictions as supply chains continue to recover from COVID-19 impacts,” Fiore said.

Of the 18 manufacturing industries, 17 reported growth in March, in the following order: Textile Mills; Electrical Equipment, Appliances & Components; Machinery; Computer & Electronic Products; Apparel, Leather & Allied Products; Furniture & Related Products; Fabricated Metal Products; Food, Beverage & Tobacco Products; Primary Metals; Plastics & Rubber Products; Paper Products; Transportation Equipment; Chemical Products; Nonmetallic Mineral Products; Miscellaneous Manufacturing; Printing & Related Support Activities; and Petroleum & Coal Products. No industries reported contraction in March.

What Respondents Are Saying

“Late-winter storms in unexpected [areas] of the U.S. had our organization exercising business-continuity plans on a much more aggressive scale than anticipated. While the storms slowed our supply chain down, we did what we could to meet orders, even though few were short. We feel that in the coming month, we will be able to make up the misses as well as continue strong deliveries in the next month. As consumer confidence grows and the academia market reopens globally, we do expect orders to increase.” (Computer & Electronic Products)

“Demand remains strong. Significant supply impacts on raw materials due to the Texas freeze. All major raw-material and suppliers on force majeure.” (Chemical Products)

“Business conditions are positive for our industry and company. The constraints are mainly related to parts availability (imports, supply chain congestion). Manpower is also a constraint; hiring new members is a challenge.” (Transportation Equipment)

“Winter Storm Uri has made daily life in supply chain quite a challenge. Everything from plastic substrates to adhesives have been significantly impacted by the production interruptions.” (Food, Beverage & Tobacco Products)

“The spring and summer months look great for the national oil markets.” (Petroleum & Coal Products)

“A lack of qualified machine and fabrication shop talent makes it difficult to keep up with production demands when there is no backup (second string). Qualified new hires are an ongoing challenge. We have had to provide better compensation to keep qualified talent. Raw-material prices are up 50 percent to 60 percent over the last six months, which results in increased prices to our customers and a disincentive to build inventory.” (Fabricated Metal Products)

“Widespread supply chain issues. Suppliers are struggling to manage demand and capacity in the face of chronic logistics and labor issues. No end in sight.” (Machinery)

“Business is even stronger for us this year through the third quarter, and we expect a very healthy growth of our manufacturing sales.” (Electrical Equipment, Appliances & Components)

“Business bottomed out in February; we are expecting steady improvement through the end of the year. Inflation and material availability, along with logistics, are major concerns.” (Furniture & Related Products)

“Tremendous stress on the supply chain since the winter storm in Texas. Chemicals are on allocations or unavailable. Resin is on allocation and unavailable.” (Plastics & Rubber Products)

MANUFACTURING AT A GLANCE

March 2021

Index Series Index

Mar

Series Index

Feb

Percentage

Point

Change

Direction Rate of Change Trend* (Months)
Manufacturing PMI® 64.7 60.8 +3.9 Growing Faster 10
New Orders 68.0 64.8 +3.2 Growing Faster 10
Production 68.1 63.2 +4.9 Growing Faster 10
Employment 59.6 54.4 +5.2 Growing Faster 4
Supplier Deliveries 76.6 72.0 +4.6 Slowing Faster 61
Inventories 50.8 49.7 +1.1 Growing From Contracting 1
Customers’ Inventories 29.9 32.5 -2.6 Too Low Faster 54**
Prices 85.6 86.0 -0.4 Increasing Slower 10
Backlog of Orders 67.5 64.0 +3.5 Growing Faster 9
New Export Orders 54.5 57.2 -2.7 Growing Slower 9
Imports 56.7 56.1 +0.6 Growing Faster 9
OVERALL ECONOMY Growing Faster 10
Manufacturing Sector Growing Faster 10

Manufacturing ISM® Report On Business® data is seasonally adjusted for the New Orders, Production, Employment and Inventories indexes.

*Number of months moving in current direction.

**Correction made to consecutive months from previous report.

Commodities Reports Up/Down In Price And In Short Supply

Commodities Up in Price


Acetone (2); Acrylonitrile Butadiene Styrene (ABS) Plastic (3); Adhesives; Aluminum (10); Aluminum Extrusions (2); Brass Products; Copper (10); Copper Products; Corn; Corrugate (6); Corrugated Boxes (5); Crude Oil (4); Diesel (3); Electrical Components (4); Electronic Components (4); Epoxy Resins; Ethylene; Freight (5); Foam Products; High-Density Polyethylene (HDPE) (3); Isocyanate; Labor — Temporary; Light Emitting Diode (LED) Displays; Lumber (9); Medium-Density Fiberboard (MDF); Nylon Fiber (3); Ocean Freight (4); Oil-Derived Products (2); Packaging Supplies (4); Paper Products (4); Petroleum-Based Products; Phosphates; Plastic Resins (7); Plasticizers; Polyethylene (2); Polypropylene (9); Polyvinyl Chloride (PVC) (6); Propylene (3); Resin-Based Products (2); Rubber Products (2); Semiconductors (2); Solvents — Other (2); Soybean Products (6); Steel (8); Steel — Carbon (4); Steel — Cold Rolled (7); Steel — Galvanized; Steel — Hot Rolled (7); Steel — Scrap (4); Steel — Stainless (5); Steel Products (7); Styrene; Surfactants; Wire Products; Wood — Pallets (4); and Vinyl Acetate Monomer

Commodities Down in Price


None.

Commodities in Short Supply

Adhesives; Corrugated Boxes (5); Electrical Components (6); Electronic Components (4); Epoxy Resins; Fiberboard; Foam Products; Freight; Light Emitting Diode (LED) Displays; Lumber; Personal Protective Equipment (PPE) — Gloves (13); Plasticizers; Polyols; Polypropylene (2); Polyvinyl Chloride (PVC); Plastic Resins — Other; Plastic Products (2); Semiconductors (4); Solvents; Steel (4); Steel — Carbon; Steel — Hot Rolled (5); Steel — Stainless; Steel Products (2); Vinyl Acetate Monomer; and Wood Products.

Note: The number of consecutive months the commodity is listed is indicated after each item.

March 2021 Manufacturing Index Summaries

Manufacturing PMI

Manufacturing grew in March, as the Manufacturing PMI registered 64.7 percent, 3.9 percentage points higher than the February reading of 60.8 percent. This is the highest reading since December 1983 (69.9 percent); prior to that, the Manufacturing PMI registered 66 percent in November 1983. “The Manufacturing PMI continued to indicate strong sector expansion and U.S. economic growth in March. All five subindexes that directly factor into the Manufacturing PMI were in growth territory and at higher levels compared to February. All of the six biggest manufacturing industries expanded, in the following order: Computer & Electronic Products; Fabricated Metal Products; Food, Beverage & Tobacco Products; Transportation Equipment; Chemical Products; and Petroleum & Coal Products. The New Orders and Production indexes continued to expand at strong levels. The Supplier Deliveries Index continued to reflect suppliers’ difficulties in maintaining delivery rates, due to factory labor-safety issues, transportation challenges and increased demand. All 10 subindexes were positive for the period; a reading of ‘too low’ for Customers’ Inventories Index is considered a positive for future production,” says Fiore. A reading above 50 percent indicates that the manufacturing economy is generally expanding; below 50 percent indicates that it is generally contracting.

A Manufacturing PMI above 43.1 percent, over a period of time, generally indicates an expansion of the overall economy. Therefore, the March Manufacturing PMI indicates the overall economy grew in March for the 10th consecutive month following contraction in April 2020. “The past relationship between the Manufacturing PMI and the overall economy indicates that the Manufacturing PMI for March (64.7 percent) corresponds to a 6.2-percent increase in real gross domestic product (GDP) on an annualized basis,” Fiore said.

The Last 12 Months

Month Manufacturing 
PMI® Month Manufacturing 
PMI®
Mar 2021 64.7 Sep 2020 55.7
Feb 2021 60.8 Aug 2020 55.6
Jan 2021 58.7 Jul 2020 53.7
Dec 2020 60.5 Jun 2020 52.2
Nov 2020 57.7 May 2020 43.1
Oct 2020 58.8 Apr 2020 41.7
Average for 12 months – 55.3

High – 64.7

Low – 41.7

 

New Orders

ISM’s New Orders Index registered 68 percent in March, up 3.2 percentage points compared to the 64.8 percent reported in February. This indicates that new orders grew for the 10th consecutive month. This is the highest reading since January 2004, when the index registered 70.6 percent. “Of the six largest manufacturing sectors, five — Fabricated Metal Products; Computer & Electronic Products; Food, Beverage & Tobacco Products; Transportation Equipment; and Chemical Products — expanded at very strong levels. Petroleum & Coal Products retained its previous-month reading of 50 percent,” says Fiore. A New Orders Index above 52.8 percent, over time, is generally consistent with an increase in the Census Bureau’s series on manufacturing orders (in constant 2000 dollars).

Of the 18 manufacturing industries, the 15 that reported growth in new orders in March — in the following order — are: Apparel, Leather & Allied Products; Electrical Equipment, Appliances & Components; Textile Mills; Paper Products; Nonmetallic Mineral Products; Furniture & Related Products; Machinery; Fabricated Metal Products; Computer & Electronic Products; Food, Beverage & Tobacco Products; Primary Metals; Transportation Equipment; Chemical Products; Plastics & Rubber Products; and Miscellaneous Manufacturing. The only industry reporting a decline in new orders in March is Wood Products.

New Orders %Higher %Same %Lower Net Index
Mar 2021 45.3 49.2 5.5 +39.8 68.0
Feb 2021 42.4 51.2 6.4 +36.0 64.8
Jan 2021 37.0 51.0 12.0 +25.0 61.1
Dec 2020 40.3 45.1 14.6 +25.7 67.5

 

Production

The Production Index registered 68.1 percent in March, 4.9 percentage points higher than the February reading of 63.2 percent, indicating growth for the 10th consecutive month. This is the highest reading since January 2004, when the index registered 69.3 percent. “All of the top six industries (Petroleum & Coal Products; Computer & Electronic Products; Food, Beverage & Tobacco Products; Fabricated Metal Products; Transportation Equipment; and Chemical Products) expanded at strong levels,” says Fiore. An index above 52.1 percent, over time, is generally consistent with an increase in the Federal Reserve Board’s Industrial Production figures.

The 14 industries reporting growth in production during the month of March — listed in order — are: Textile Mills; Electrical Equipment, Appliances & Components; Petroleum & Coal Products; Machinery; Computer & Electronic Products; Primary Metals; Food, Beverage & Tobacco Products; Fabricated Metal Products; Furniture & Related Products; Transportation Equipment; Chemical Products; Nonmetallic Mineral Products; Miscellaneous Manufacturing; and Plastics & Rubber Products. No industries reported decreased production in March.

Production %Higher %Same %Lower Net Index
Mar 2021 43.0 48.9 8.1 +34.9 68.1
Feb 2021 36.8 51.7 11.6 +25.2 63.2
Jan 2021 30.8 57.8 11.4 +19.4 60.7
Dec 2020 32.3 54.6 13.1 +19.2 64.7

 

Employment

ISM’s Employment Index registered 59.6 percent in March, 5.2 percentage points higher than the February reading of 54.4 percent. “The Employment Index grew for the fourth month in a row. This is the highest reading since February 2018 (59.8 percent); the index registered 62.1 percent in June 2011. Of the six big industry sectors, five (Computer & Electronic Products; Fabricated Metal Products; Transportation Equipment; Food, Beverage & Tobacco Products; and Chemical Products) expanded. Continued strong new-order levels, low customer inventories and expanding backlogs indicate potential employment strength for the next three months. For the seventh straight month, survey panelists’ comments indicate that significantly more companies are hiring or attempting to hire than those reducing labor forces,” says Fiore. An Employment Index above 50.6 percent, over time, is generally consistent with an increase in the Bureau of Labor Statistics (BLS) data on manufacturing employment.

Of the 18 manufacturing industries, the 14 industries reporting employment growth in March — in the following order — are: Electrical Equipment, Appliances & Components; Textile Mills; Primary Metals; Machinery; Printing & Related Support Activities; Computer & Electronic Products; Nonmetallic Mineral Products; Fabricated Metal Products; Paper Products; Furniture & Related Products; Transportation Equipment; Plastics & Rubber Products; Food, Beverage & Tobacco Products; and Chemical Products. No industries reported a decrease in employment in March.

Employment %Higher %Same %Lower Net Index
Mar 2021 23.9 69.0 7.2 +16.7 59.6
Feb 2021 19.2 68.5 12.3 +6.9 54.4
Jan 2021 13.9 72.2 13.8 +0.1 52.6
Dec 2020 14.9 68.8 16.3 -1.4 51.7

 

Supplier Deliveries†

The delivery performance of suppliers to manufacturing organizations was slower in March, as the Supplier Deliveries Index registered 76.6 percent. This is 4.6 percentage points higher than the 72 percent reported in February. This is the highest reading since April 1974 — at the end of the 1973 oil crisis — when the index registered 82.1 percent. Five (Chemical Products; Computer & Electronic Products; Fabricated Metal Products; Transportation Equipment; and Food, Beverage & Tobacco Products) of the six top manufacturing industries reported slowing deliveries. “Suppliers continue to struggle to deliver, with deliveries slowing at a faster rate compared to the previous month. Transportation challenges and challenges in supplier-labor markets are still constraining production growth — and to a greater extent compared to February. The Supplier Deliveries Index also reflects difficulties suppliers continue to experience due to COVID-19 impacts combined with strong growth in economic activity. Supplier labor and transportation constraints are not expected to diminish in the near term due to continuing pandemic impacts and strong demand,” says Fiore. A reading below 50 percent indicates faster deliveries, while a reading above 50 percent indicates slower deliveries.

Of the 18 industries, 17 reported slower supplier deliveries in March, listed in the following order: Apparel, Leather & Allied Products; Wood Products; Plastics & Rubber Products; Machinery; Textile Mills; Electrical Equipment, Appliances & Components; Furniture & Related Products; Paper Products; Miscellaneous Manufacturing; Chemical Products; Computer & Electronic Products; Fabricated Metal Products; Transportation Equipment; Food, Beverage & Tobacco Products; Nonmetallic Mineral Products; Printing & Related Support Activities; and Primary Metals. No industries reported faster supplier deliveries in March.

Supplier Deliveries  

%Slower

%Same %Faster Net Index
Mar 2021 54.9 43.5 1.6 +53.3 76.6
Feb 2021 45.4 53.1 1.5 +43.9 72.0
Jan 2021 39.9 56.5 3.5 +36.4 68.2
Dec 2020 39.5 56.3 4.2 +35.3  67.7*

*Supplier Deliveries is no longer seasonally adjusted; however, due to more precise rounding, this number increased by 0.1 percentage point.

Inventories

The Inventories Index registered 50.8 percent in March, 1.1 percentage points higher than the 49.7 percent reported for February. The Inventories Index moved back into growth territory after contracting for one month. “Inventory-growth stability in light of ongoing supplier constraints indicates that supply chains are meeting near-term production demand, despite transportation challenges and COVID-19 headwinds. However, supplier delivery rates continue to not be fast enough to grow inventories, as most panelists would prefer,” says Fiore. An Inventories Index greater than 44.5 percent, over time, is generally consistent with expansion in the Bureau of Economic Analysis (BEA) figures on overall manufacturing inventories (in chained 2000 dollars).

The eight industries reporting higher inventories in March — listed in order — are: Printing & Related Support Activities; Electrical Equipment, Appliances & Components; Textile Mills; Computer & Electronic Products; Furniture & Related Products; Food, Beverage & Tobacco Products; Primary Metals; and Plastics & Rubber Products. The five industries reporting a decrease in inventories in March are: Wood Products; Nonmetallic Mineral Products; Transportation Equipment; Chemical Products; and Machinery.

Inventories %Higher %Same %Lower Net Index
Mar 2021 22.4 58.4 19.2 +3.2 50.8
Feb 2021 19.8 63.1 17.1 +2.7 49.7
Jan 2021 18.1 65.6 16.3 +1.8 50.8
Dec 2020 22.1 53.5 24.4 -2.3 51.0

 

Customers’ Inventories†


ISM’s Customers’ Inventories Index registered 29.9 percent in March, 2.6 percentage points lower than the 32.5 percent reported for February, indicating that customers’ inventory levels were considered too low. “Customers’ inventories are too low for the 54th consecutive month, a positive for future production growth. This reading is the lowest ever reported since the subindex was established in January 1997. For eight months in a row, the Customers’ Inventories Index has been at historically low levels,” says Fiore.

None of the 18 industries reported higher customers’ inventories in March. The 15 industries reporting customers’ inventories as too low during March — listed in order — are: Wood Products; Nonmetallic Mineral Products; Primary Metals; Fabricated Metal Products; Electrical Equipment, Appliances & Components; Machinery; Chemical Products; Transportation Equipment; Computer & Electronic Products; Paper Products; Textile Mills; Plastics & Rubber Products; Furniture & Related Products; Miscellaneous Manufacturing; and Food, Beverage & Tobacco Products.

Customers’ 
Inventories % 
Reporting %Too 
High %About 
Right %Too 
Low  

Net

 

Index

Mar 2021 79 5.3 49.2 45.5 -40.2 29.9
Feb 2021 79 4.8 55.4 39.8 -35.0 32.5
Jan 2021 75 3.3 59.6 37.1 -33.8 33.1
Dec 2020 75 7.2 61.4 31.4 -24.2 37.9

 

Prices†


The ISM® Prices Index registered 85.6 percent, a decrease of 0.4 percentage point compared to the February reading of 86 percent, indicating raw materials prices increased for the 10th consecutive month. In the last two months, the index has been at its highest levels since July 2008, when it registered 90.4 percent. “Aluminum, copper, chemicals, all varieties of steel, plastics, transportation costs, wood and lumber products all continued to record price increases as a result of product scarcity,” says Fiore. A Prices Index above 52.7 percent, over time, is generally consistent with an increase in the Bureau of Labor Statistics (BLS) Producer Price Index for Intermediate Materials.

All 18 industries reported paying increased prices for raw materials in March, in the following order: Apparel, Leather & Allied Products; Furniture & Related Products; Wood Products; Machinery; Miscellaneous Manufacturing; Fabricated Metal Products; Nonmetallic Mineral Products; Primary Metals; Food, Beverage & Tobacco Products; Electrical Equipment, Appliances & Components; Plastics & Rubber Products; Computer & Electronic Products; Chemical Products; Printing & Related Support Activities; Textile Mills; Transportation Equipment; Paper Products; and Petroleum & Coal Products.

 

Prices

%Higher %Same %Lower Net Index
Mar 2021 71.6 27.9 0.5 +71.1 85.6
Feb 2021 73.1 25.7 1.2 +71.9 86.0
Jan 2021 64.3 35.7 0.0 +64.3 82.1
Dec 2020 57.8 39.7 2.6 +55.2 77.6

 

Backlog of Orders†


ISM®’s Backlog of Orders Index registered 67.5 percent in March, a 3.5-percentage point increase compared to the 64 percent reported in February, indicating order backlogs expanded for the ninth straight month. March’s reading is the highest since reporting for this subindex began in January 1993. “Backlogs expanded at faster rates in March, indicating nine months of new-order intakes more than fully offsetting production outputs. Five of the six big industry sectors (Fabricated Metal Products; Transportation Equipment; Computer & Electronic Products; Chemical Products; and Food, Beverage & Tobacco Products) reported that backlogs expanded with significant strength,” says Fiore.

The 15 industries reporting growth in order backlogs in March, in the following order, are: Apparel, Leather & Allied Products; Furniture & Related Products; Textile Mills; Paper Products; Nonmetallic Mineral Products; Machinery; Fabricated Metal Products; Electrical Equipment, Appliances & Components; Transportation Equipment; Plastics & Rubber Products; Computer & Electronic Products; Primary Metals; Chemical Products; Miscellaneous Manufacturing; and Food, Beverage & Tobacco Products. No industries reported a decline in March compared to February.

Backlog of Orders % Reporting  

%Higher

 

%Same

 

%Lower

 

Net

 

Index

Mar 2021 91 43.1 48.8 8.1 +35.0 67.5
Feb 2021 91 38.5 51.0 10.5 +28.0 64.0
Jan 2021 91 32.1 55.2 12.7 +19.4 59.7
Dec 2020 90 31.4 55.4 13.2 +18.2 59.1

 

New Export Orders†


ISM®’s New Export Orders Index registered 54.5 percent in March, down 2.7 percentage points compared to the February reading of 57.2 percent. “The New Export Orders Index grew for the ninth consecutive month, and at a slower rate. Of the six big industry sectors, four (Fabricated Metal Products; Food, Beverage & Tobacco Products; Transportation Equipment; and Chemical Products) expanded. New export orders were again a positive factor to the growth in the New Orders Index,” says Fiore.

The eight industries reporting growth in new export orders in March — in the following order — are: Printing & Related Support Activities; Fabricated Metal Products; Food, Beverage & Tobacco Products; Electrical Equipment, Appliances & Components; Transportation Equipment; Machinery; Miscellaneous Manufacturing; and Chemical Products. The two industries reporting a decrease in new export orders are Wood Products; and Paper Products. Eight industries reported no change in exports.

New Export Orders % Reporting  

%Higher

 

%Same

 

%Lower

 

Net

 

Index

Mar 2021 76 16.7 75.6 7.7 +9.0 54.5
Feb 2021 73 20.5 73.4 6.1 +14.4 57.2
Jan 2021 75 17.6 74.6 7.7 +9.9 54.9
Dec 2020 72 20.1 74.8 5.1 +15.0 57.5

 

Imports†

ISM’s Imports Index registered 56.7 percent in March, an increase of 0.6 percentage point compared to the 56.1 percent reported for February. “Imports expanded for the ninth consecutive month, at slightly higher rates compared to February, reflecting continued increases in U.S. factory demand and interest in increasing onshore inventory. Panelists continued to note record-breaking backlogs in ports of entry, as well as difficulties in arranging drayage and operating within the domestic transportation market,” says Fiore.

The 11 industries reporting growth in imports in March — in the following order — are: Wood Products; Furniture & Related Products; Nonmetallic Mineral Products; Electrical Equipment, Appliances & Components; Textile Mills; Food, Beverage & Tobacco Products; Computer & Electronic Products; Chemical Products; Machinery; Transportation Equipment; and Fabricated Metal Products. The only industry reporting a decrease in imports in March is Paper Products. Six industries reported no change in imports in March compared to February.

Imports % Reporting  

%Higher

 

%Same

 

%Lower

 

Net

 

Index

Mar 2021 87 19.9 73.6 6.5 +13.4 56.7
Feb 2021 85 21.0 70.3 8.7 +12.3 56.1
Jan 2021 84 21.9 69.9 8.3 +13.6 56.8
Dec 2020 85 19.2 70.8 10.0 +9.2 54.6

†The Supplier Deliveries, Customers’ Inventories, Prices, Backlog of Orders, New Export Orders, and Imports indexes do not meet the accepted criteria for seasonal adjustments.

Buying Policy

Average commitment lead time for Capital Expenditures increased in March by three days to 145 days. Average lead time for Production Materials increased in March by eight days to 75 days. Average lead time for Maintenance, Repair and Operating (MRO) Supplies increased in March by two days to 40 days.

Percent Reporting
Capital Expenditures Hand-to-
Mouth 30 Days 60 Days 90 Days 6 Months 1 Year+ Average 
Days
Mar 2021 23 4 9 17 26 21 145
Feb 2021 23 6 8 15 29 19 142
Jan 2021 21 6 10 15 30 18 141
Dec 2020 24 5 10 17 28 16 132
Percent Reporting
Production Materials Hand-to-
Mouth 30 Days 60 Days 90 Days 6 Months 1 Year+ Average 
Days
Mar 2021 11 27 27 20 12 3 75
Feb 2021 11 31 27 20 9 2 67
Jan 2021 9 35 26 20 7 3 68
Dec 2020 9 33 27 21 7 3 69
Percent Reporting
MRO Supplies Hand-to-
Mouth 30 Days 60 Days 90 Days 6 Months 1 Year+ Average 
Days
Mar 2021 31 36 19 10 4 0 40
Feb 2021 33 37 16 11 3 0 38
Jan 2021 31 36 19 11 3 0 39
Dec 2020 32 37 17 12 2 0 37

Posted April 1, 2021

Source: Institute for Supply Management® (ISM®)

Stein Fibers Ltd. Acquires J. E. Herndon Co.

CHARLOTTE, N.C. — March 31, 2021 — Stein Fibers, Ltd. is pleased to announce the acquisition of J. E. Herndon Co., previously based in Kings Mountain, N.C.

Established in 1928, J. E. Herndon specializes in the purchase and processing of textile mill fibers and by-products. Herndon’s finished blends are consumed globally in diverse applications such as industrial yarns and banknote paper.

Patrick Mullen, J. E. Herndon president and owner, has joined the Stein Fibers sales and marketing team, based in Charlotte, N.C.

According to Chip Stein: “The diversification and opportunities that J. E. Herndon will bring to our business will complement our core focus, as well as those brought by our recent acquisition of Consolidated Textiles. We are fortunate to have such well respected and successful businesses as a part of Stein Fibers.”

Posted April 1, 2021

Source: Stein Fibers, Ltd.

Motion Announces New Group Vice President – Automation

BIRMINGHAM, Ala. — April 1, 2021 — Motion Industries Inc. — a distributor of maintenance, repair, and operation replacement parts, and a provider of industrial technology solutions — is pleased to announce that Aurelio Banda will join the company as Motion’s new Group vice president of Automation, effective today.

“Aurelio’s extensive industry background in automation distribution and manufacturing, combined with his education and training, make him a perfect fit to lead our automation strategy and accelerate growth,” said Randy Breaux, Motion president. “We look forward towatching our automation business flourish under his leadership.”

Banda most recently served as president and CEO of PHD Inc., a global manufacturer of electric, pneumatic and hydraulic industrial automation actuators of various types in Fort Wayne, Ind. Prior to leading PHD Inc., he served as president and CEO – North America for Beckhoff Automation, a global manufacturer of industrial PCs, software, hardware, and a variety of other products, in Savage, Minn.

Banda was also the owner and president and CEO of Controls Plus Inc., an automation distributor in Noblesville, Ind. Additionally, he served as vice president, sales and regional sales manager for Motion Automation Inc., and a regional sales manager for Bosch Rexroth’s Electronic Controls & Drives.

A graduate of DeVry University with a degree in Applied Science in Electronics, Banda furthered his education with an MBA in Finance & Operations from Notre Dame and completed Harvard Business School’s General Management Program.

Posted April 1, 2021

Source: Motion

Heimtextil 2022: Trends Remain The Inspirational Heart Of The Fair

FRANKFURT AM MAIN, Germany — April 1, 2021 — How has the pandemic changed the way we live? This important question was tackled recently in a digital workshop by the Heimtextil Trend Council. The international trend experts set themselves the task of verifying the dominant design themes for the 2022/23 season. With this meeting, Heimtextil began planning the trends for the next edition of the fair in Frankfurt am Main from January 11-14, 2022.

“Even after the lean period, Heimtextil Trends will be at the heart of our fair and act as a central point for everyone looking for inspiration and wanting to update themselves on progressive design and the hottest furnishing themes of the coming season. Over three decades, the trends have become the international flagship and USP of Heimtextil. It is also a top priority in the planning of the upcoming Heimtextil,” said Olaf Schmidt, vice president Textiles & Textile Technologies at Messe Frankfurt.

The Heimtextil Trend Council discussed the latest design developments at its regular meeting at the end of March. Due to the pandemic, the workshop took the form of two online conferences. As many times in the past, the Trend Council comprised the three internationally renowned agencies, SPOTT Trends & Business (Denmark), Studio FranklinTill (UK) and Stijlinstituut Amsterdam (the Netherlands). Once again, Anja Bisgaard Gaede and her team from SPOTT Trends & Business is leading the project and will thus give the Heimtextil Trends for 2022/23 a Scandinavian flavor. In addition to preparing the content, the work of the Danish team includes the concept of the trend presentation during the fair in January. Every year, the meeting of the Heimtextil Trend Council in the spring marks the beginning of the preparatory work on the following year’s trade fair in January. At the same time, the trend experts offer an initial preview of the direction expected to be taken by interior-furnishing design in the coming season. In this way, the trend experts and the Heimtextil management lay the foundation for the global trend statement.

Heimtextil Trends: a guide for the international sector

The Heimtextil Trends remain a keystone of the overall Heimtextil concept and provide important content for all target groups within the worldwide sector. In this connection, Heimtextil remains true to its goals of spotlighting defining design developments within the framework of the larger context of lifestyle trends, as well as illuminating the product world of the Heimtextil exhibitors and identifying trends in the sector. Particular emphasis in this respect is given to sustainable aspects along the entire value chain. Thus, the ‘Future Materials Library’ will be further developed and enriched with new, sustainable materials and topics. In the ‘Future Materials Library’, which is curated by London’s Studio FranklinTill, Heimtextil presents a selection of innovative materials from all over the world.

How is the pandemic changing our furnishings?

One of the focal points of the coming season will be how the pandemic has changed our life and, therefore, the way we furnish our homes. In this connection, particular emphasis will be given to the mega-theme of ‘new work’, which will be viewed with new facets. “The Heimtextil Trend Council  have looked into the future trends from the longing for new and inspirational design trends over navigating new ways of communicating to continue our imperative track of sustainability through everything we do.  In addition to that looking into the scope of hybrid work in the future and focus on safety and protection in a Heimtextil context. All in all a Heimtextil trend concept 22/23 in tune with the spirit of the future and viable interior business“ said Anja Bisgaard Gaede, founder and CEO of SPOTT Trends & Business. The Heimtextil management and members of the Trend Council will offer initial insights into the trend themes of the 2022/23 season and provide further information about future design developments at the digital Trend Preview in September.

Heimtextil Trend Book 21/22: available online

Although the pandemic means there was no fair this year, Heimtextil can still offer the sector a plentiful source of ideas, designs and inspiration: the latest edition of the Heimtextil Trend Book provides insights into numerous design projects and is an orientation aid for the current trend season. Comprehensive visual material, colour palettes, exact color values, etc. — with content gathered from all around the world, the book is a creative tool that helps international textile manufacturers, interior designers and furnishing experts prepare their new collections and furnishing concepts. The 2021/22 Trend Book is available at the special price of EUR 37.50 from the online shop of Messe Frankfurt: www.heimtextil.messefrankfurt.com/trendbook

Posted April 1, 2021

Source: Messe Frankfurt

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