PVC prices to rise significantly in 2014
According to PetroChem Wire’s PVC & Pipe Report, PVC is expected to rise by five cents per pound in the first two months of the new year.
Much of the increase can be attributed to the higher cost of ethylene, which is used in the manufacture of the plastic.
"PVC prices are usually under pressure during the fourth quarter as market seasonality kicks in and demand drops, but this year rising spot ethylene prices and strong export demand kept a floor under the market," said Donna Todd, senior editor for PVC & Pipe for PetroChem Wire.
PVC is the most commonly used plastic in construction and is often used in plumbing pipe and vinyl siding. Converters, and especially pipe manufacturers, are expected to be hit hardest by this change.
According to Todd, prices were down one cent per pound in October and were unchanged in November. Prices are expected to stay stable in December as well.
Hooker Furniture president to retire
Alan Cole, president of Hooker Furniture Corporation, has announced his plans to retire at the end of the company’s fiscal year on Feb. 2, 2014.
"The timing is as perfect as it could possibly be," said Cole. "We have been very intentional in our succession plans for an orderly transition, and we are exactly where we wanted to be at this time. It is gratifying to see that our organization is well positioned with good momentum and that important new initiatives have been launched and are moving forward. I don’t think we could have written a better scenario. The confluence of events over the last seven years has brought us exactly to the point we wanted to be as a company, and now I’m looking forward to turning my attention towards my family and a very active retirement."
Cole has been with the company since 2007, having stepped in as EVP of the company’s Upholstery Operations. Before taking the helm of the company, he also briefly served as president of Hooker Upholstery.
"We greatly appreciate Alan’s profound contributions to Hooker Furniture, Bradington-Young and Sam Moore," said Paul B. Toms Jr., chairman and chief executive officer. "The strategic vision and team-building he has brought to our organization, as well as the two new businesses he conceived and launched, will make this a stronger company for many years to come."
Cole will be succeeded by Michael Delgatti, who is currently president of Hooker Upholstery, as well as EVP sales for Hooker Furniture Corporation.
Home Depot says it’s ahead of financial schedule
The Home Depot reaffirmed its fiscal guidance for 2013, as well as updated its 2014 financial outlook, wherein the company now expects to meet a 2015 profitability goal a year earlier than expected.
The company had originally announced an operating margin goal of 12% in June 2012, as well as a 24% reutn on invested capital goal, for the end of fiscal 2015. According to the statement released Wednesday, Home Depot expects to reach these benchmarks by the end of fiscal 2014.
"Thanks to the hard work and dedication of our associates, we expect to meet the financial targets we set out in June of 2012 a year earlier than planned," said chairman and CEO Frank Blake. "We have set out a challenging new goal for 2015 and plan to continue to build on our company’s foundation of customer service, product authority and value creation."
Other expectations for the following fiscal year include sales growth of about 5%, eight new stores, share repurchases of approximately $5.0 billion and capital spending of $1.5 billion.
The retailer also reported projected sales increases of 5.6% for 2013, with diluted earnings-per-share up approximately 24% to $3.72.
The Home Depot’s updated fiscal outlook for 2015 now include an operating margin of 13% and a return on invested capital of 27%.