LUMBERYARDS

Fastenal settles GSA dispute

BY HBSDEALER Staff

Winona, Minn.-based fastener distributor, Fastenal, announced it has sighed a settlement agreement in a case filed against it by the United States General Services Administration (GSA).

Under terms of the agreement, Fastenal will make an immediate one-time payment of $6.25 million.

According to the release, the company had a contract with GSA between 2000 and 2005. After conducting an audit in 2006, the GSA alleged Fastenal had not complied with certain pricing and product requirement provisions, and had potentially overcharged government customers under the contract.

Fastenal continues to believe they complied with their obligation under the contract, but felt a continuation of the dispute was not the best use of resources.

 

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MarJam expands into Alabama and Mississippi

BY HBSDEALER Staff

Brooklyn-based MarJam Supply Co., the 2010 Home Channel News Pro Dealer of the Year, acquired the assets of seven yards in Alabama and one in Mississippi.

The company’s website lists the new Alabama locations as Alexandria, Auburn, Birmingham, Huntsville, Montgomery, Pelham and Tuscaloosa. Additionally, MarJam added a unit in Gulfport, Miss.

MarJam Supply Co. was founded in 1979. Before the addition of locations in Alabama and Mississippi, it operated 22 locations in the Northeast and Florida — not counting door shops and storage areas. 

 

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h.david says:
Apr-20-2012 08:40 pm

It is hallmark to expand the
It is hallmark to expand the operations and adding more states. The good thing is that their way of adding all the locations, assist the general client in getting supply done in a simple way.greenhouses

h.david says:
Apr-19-2012 07:22 pm

Alabama and Mississippi will
Alabama and Mississippi will be a great challenging market for the MarJam Supply Co. But i am optimistic that soon it will sling a big market share slice.LED SHOP

h.david says:
Apr-18-2012 11:39 am

Amazed to see a company like
Amazed to see a company like MarJam Supply Co. operating locally at limited scale now spreading all over the state. Good move, it will definitely bring about a new market share for the company.hotel jobs

C.Repairs says:
Apr-06-2012 07:48 pm

The EEOC charged that a
The EEOC charged that a Marjam supervisor and other Marjam employees made unwelcome racial slurs and comments. The racially hostile workplace included repeatedly calling an employee the N-word, talking about the Ku Klux Klan and referring to burning crosses in front of African American employees. An employee who complained was fired, the EEOC’s lawsuit charged. Such alleged conduct violates Title VII of the Civil Rights Act. Toyota key replacement

kclark says:
Feb-07-2011 10:43 pm

BMW -- Building Materials
BMW -- Building Materials Wholesale Inc.

B.Grady says:
Jan-20-2011 03:14 pm

What company's locations did
What company's locations did they acquire?

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At IBS, credit availability subdues forecasts

BY HBSDEALER Staff

Orlando, Fla. — The International Builders’ Show has become an annual launching pad for housing forecasts, and this year’s numbers came with a healthy dose of guarded optimism. David Crowe, chief economist from event sponsor National Association of Home Builders (NAHB), predicted a 21% increase in single family housing starts in 2011, with 575,000 new units compared to 475,000 in 2010. Pent-up demand and new household formation will combine in 2012 to form 860,000 new single family units, Crowe said in a Jan. 12 press conference. 

A more conservative estimate came from Edward Sullivan, chief economist of the Portland Cement Association, who earlier in the day projected 492,000 housing starts in 2011. Sullivan expressed concerns over the availability of credit, too much housing inventory on the market, and home prices still in flux. These factors will delay a housing recovery until 2012, he said, and the pace will vary widely region to region.   

The most positive news of the conference may have come from a panel of multifamily builders who shared their plans — and their pain — during the Economic Forecast and State of the Industry for Apartments and Condos on Jan. 13. The general consensus was that the worst was behind them. 

Robert Greer, president of Michaels Development Co., built 4,000 rental units last year in 31 states and plans to double that number in 2011. Michaels Development, which employs tax credits for their affordable housing units, has had to find alternative sources of financing to replace Fannie Mae and Freddie Mac. Difficult though it was, Greer is happy to be free of both agencies and has begun doing much of his own construction lending as well. 

Jay Jacobson, a multifamily builder who specializes in apartments, plans to construct approximately 2,000 units this year, compared to 112 in 2009 and zero in 2008. “There’s an amazing amount of private equity around, looking to invest” in residential construction, Jacobson said. The catch is that the developer or builder must put up a considerable amount of equity, he added.

Two other builders, Bill McLaughlin of Avalon Bay Communities has nearly 800 coastal units in the pipeline and Steven Patterson of ZOM Holdings is looking at 1200 units in 2011. The NAHB’s Crowe pointed out that vacancy rates have been falling for a year and rents are going up. “This is a good sign that it’s time to start adding to the stock,” he said.

Crowe’s prediction for multi-family housing starts was a 16% increase over 2010, with 133,000 units, up from 114,000 in 2010. 

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