Temple-Inland reports sales gains for full year and Q4
Austin, Texas-based Temple-Inland reported sales of building products for the fourth quarter were $146 million, up 12.3% from $130 million in the same quarter last year.
The building products and packaging company posted total 2010 earnings of $168 million, down 18.4% from $206 million in 2009. Excluding special items, net income was $100 million for the year, up from $78 million in 2009.
"In Building Products, despite housing markets that remained at depressed levels, we generated $22 million in EBITDA in 2010, an increase of $5 million compared with 2009," said chairman and CEO Doyle Simons. "We continue to benefit from our low-cost facilities, favorable geographic footprint and mix of products."
The Building Products division posted an operating loss of $19 million in 2010, compared with an operating loss of $27 million in 2009.
Building Products operating results improved in 2010 compared with 2009 primarily due to higher lumber prices and improved volumes for all products that were partially offset by higher input costs and lower gypsum pricing, the company said. Operating results declined in the fourth quarter of 2010 compared with the third quarter of 2010, due to lower gypsum prices and lower gypsum and lumber volumes.
Simon added that the company is focused on "generating cash and returning to profitability" in the building products division.
Total company sales for Temple-Inland were $952 million in the quarter and $3.799 billion for the year, increases of 12.7% and 6.2%, respectively.
BMC opens second Houston-area facility
BMC has opened an additional yard in north Houston. The new lumber and building materials facility will augment BMC’s existing lumber business presently located in Rosenberg, Texas, southwest of Houston, the company said.
“Our Houston market, already one of the strongest in the nation and growing, will be supported with the opening of this facility,” said Peter Alexander, BMC CEO.
The site includes an office and warehouse space of approximately 15,000 sq. ft. located on 11 acres at 7355 West Rd. that will serve as a point of distribution for lumber and building materials for construction activities in the north Houston market. The facility is served by rail.
The two lumber operations will allow BMC to serve production and custom home builders and repair and remodel contractors in the entire Houston market, the company said.
Show time in Orlando
The 2011 International Builders’ Show returned to Orlando, Fla., in 2011 — it was held here in 2008 — and it was a lot easier to get a taxi this time around. The residential construction industry was fresh off a year only slightly better than the record low of 2009, and the show’s contraction reflected the industry’s health.
Still, during four days in January, Orlando was indisputably the place for builders looking for suppliers and vice versa. If you were there, you know what you saw. If not, here are some highlights.
SIGN OF THE TIMES: The National Association of Home Builder’s 67th International Builders’ Show attracted 47,000 attendees, according to organizers. In the show’s peak years, IBS drew crowds in the six figures. As part of his welcome letter, NAHB chairman Robert Jones offered this message to the builders who ventured to Orlando: “If you are with us today, you are a survivor.”
CAN-DO ATTITUDE: Otho the Painter was one of several Behr paint can sculptures placed throughout the Orange County Convention Center and the outdoor IBS Show Village. Behr, Home Depot and Kilz hope to expand into the pro market with the launch of the Kilz Pro-X line made by MasterChem Industries. Both Behr and Kilz are part of Masco Corp. Initially the Kilz Pro-X line will offer 1,300 colors. Designed as part of Behr’s “Direct to Pros” program, the company hopes to begin with a February rollout and finish in May or June 2011, when all 2,000 Home Depots will have the program.
A GOOD CAUSE: Home Depot was well represented at the City of Hope Spirit of Life event, honoring Craig Menear, Home Depot’s executive VP merchandising. The event, which included a golf outing and reception in Orlando, raised $1 million for the Los Angeles-area cancer and diabetes research and treatment facility. Pictured here is Dan Dutton, chairman of Portland, Ore.-based Stimson Lumber Co., teeing off during the City of Hope fundraiser.
HOMECOMING: A village of show homes sprouted In the parking lot. Pictured here is the 2011 NextGen Show home — a modular home emphasizing four key themes: green, efficiency, safety and digital. A long list of suppliers, including Plastpro, DuPont, Kohler and Electrolux, contributed to the finished product, which is being moved to Tampa and donated to injured veteran Waldemar Alameda and his family.
HANDS-ON DEMONSTRATION: The Delta booth was one of the more elaborate, and one of the busiest on the show floor. Among the attractions were the latest faucet designs using the company’s Touch 2O Technology, allowing consumers to turn the water on and off by touching the faucet anywhere.
HANGING AT LOWE’S: Another booth blessed with strong foot traffic was Lowe’s. A carnival-like atmosphere included hands-on demonstrations, giveaways and a hang-time contest — pictured here, sponsored by Werner Ladder. The rules were simple: Whoever held on the longest won. Lowe’s and Sears carried the mass-market home improvement flag at the show this year, while rival Home Depot was not on the official exhibitor list.
ONE MORE SALE: One sign that 2011 is off to a good start: The New American Home (TNAH) was finished on time, and it was sold to real buyers before ground was broken. That’s a far cry from the 2010 TNAH program, when the show home wasn’t finished due to the financial struggles of its Las Vegas builder. This year’s house in downtown Orlando measures 8,500 sq. ft. and is described as “American Empire design with Greek Revival elements.” And that’s Indiana limestone on the exterior.
DECENT PROPOSAL: Weddings are the beginning of a major spending cycle, according to 1-800-Registry, which was looking to partner with home builders to participate in the loyalty program. The booth had an attractive proposition: 70% of its registered couples discuss owning a home of their own before their wedding.
BRICKYARD TO BRICKS: Four-time Indianapolis 500 winner A.J. Foyt signed autographs at the ABC Supply Co. booth, alongside ABC Racing driver Vitor Meira.