Tompkins Solutions names Billy Carter Vice President of Sales
Tompkins Solutions, a supply chain consulting and material handling integration firm, today announced that Billy Carter has joined the company as vice president of sales. In this role, Carter will be responsible for delivering systemic solutions to help clients overcome their complex supply chain challenges. Carter has more than two decades of industrial engineering and logistics experience, with a proven track record of developing and implementing leading supply chain solutions for e-commerce fulfillment and retail distribution operations. Prior to joining Tompkins, Carter served as vice president of technical sales for Fortna, and held senior industrial engineering management positions with Kohl’s and H-E-B. “We are excited to welcome Billy to the Tompkins team,” said David Latona, CEO of Tompkins Solutions. “His demonstrated success and combination of experience on both the supply chain consulting side and the client side will make him an invaluable asset to our organization and help ensure our clients continue to receive the best possible solutions for their unique needs.”
Casey Equipment joins LiuGong North America Dealer lineup
Casey Equipment is the latest Midwest dealer to join the rapidly expanding LiuGong North America dealership network. Leaders of the third-generation family-owned business said joining the lineup has been a smooth, straightforward process because of stellar communication and planning from LiuGong. The initial launch of LiuGong products at Casey Equipment went “virtually flawlessly with all of their support.” “From day one, we knew exactly who to contact for our initial needs and requirements,” said Jim Cox, Casey Equipment President. “We also felt confident that everyone from their president and CEO on down was engaged in getting us started on the right foot.” Casey Equipment is headquartered in Chicago, Illinois with three dealerships in Arlington Heights, Lemont, and Rockford. The company has served the Chicago and northwest Indiana areas for more than 45 years. In addition, to support, Cox said machine and parts availability played a major role in joining the LiuGong dealership network. While competitors have struggled with supply chain issues, LiuGong has worked tirelessly to fill their customers’ orders. “LiuGong seems to have it figured out better than most of the competitors out there,” he said. “We can quote, take orders and more importantly deliver equipment timely for our customers.” Casey Equipment is a premier dealer of new and used heavy equipment in the construction, forestry, asphalt paving, mining, and agricultural industries. They provide construction equipment rentals, services, and parts for the brands they carry. LiuGong North America President Andrew Ryan said Casey Equipment has a stellar reputation as a heavy equipment dealer in the Midwest, and they are thrilled to work together and expand their offerings in the region. “We are incredibly grateful to add another great partner in Casey Equipment to our growing dealer network,” he said. “Their reputation for excellence in Illinois and Indiana will be integral to improving our reach in the region.”
KION North America announces new partnership with Advanced Material Handling Systems
KION North America has appointed Advanced Material Handling Systems as a dealer partner within the KION North America dealer network. Advanced Material Handling Systems is authorized to sell Linde Material Handling and Baoli brands within its three locations in Atlanta, Georgia; Suwanee, Georgia; and Augusta, Georgia. “We are incredibly proud to announce our new partnership with Advanced Material Handling Systems,” said Director of Dealer Development, Rick Schiel. “We have strategically sought out dealers to join our dealer network who are committed solutions providers focused on expansion and growth. We are thrilled to have Advanced Material Handling Systems represent the Linde Material Handling and Baoli brands.” Advanced Material Handling Systems represents over four decades of market-leading experience in the material handling industry. With this organization’s long history of being a trusted solutions provider for its customers, Advanced Material Handling Systems is proud to offer enhanced offerings of the Linde Material Handling and Baoli brands throughout Georgia. This deliberate focus includes establishing Advanced Material Handling Systems as a separate entity with dedicated sales management and salespeople representing the KION North America product portfolio at their sites.
Atlantic Lift Truck announces expansion of its Wholesale Forklift Division
As part of the Wiese USA family of companies, Atlantic Lift Truck (ALT) is expanding its Wholesale Division with the creation of a Western States Wholesale Territory. After 45 years in the industry, founder and past ALT CEO/President, Glenn Baer will be developing the new territory. According to Glenn, “I’m having too much fun to retire, and I want to keep my brain active. What better way to have fun than to help forklift dealers of all sizes increase their Used Equipment revenue and Gross Profit!”
EnerSys® 24-Hour Quick Ship Program makes Motive Power Battery models available for immediate shipment
EnerSys®, a global provider of stored energy solutions for industrial applications, has announced that its 24-Hour Quick Ship Program for its Motive Power portfolio now includes the most popular IRONCLAD Deserthog® flooded battery models. With a 24-hour turnaround in shipment from receipt of the purchase order, the EnerSys Quick Ship program will improve the Company’s customer service through enhanced delivery capabilities, streamlined product processing procedures, and faster order fulfillment. EnerSys developed the 24-Hour Quick Ship Program to help lift truck fleets cope with ongoing supply chain challenges and be better able to handle seasonal increases in product demand. The IRONCLAD Deserthog® batteries will ship from the recently expanded EnerSys Distribution Center (DC) in Richmond, Kentucky. “Running our 24-Hour Quick Ship Program through our Richmond DC allows us to store more inventory at one centralized location,” said Troy Baxter, Richmond, KY, Plant Manager at EnerSys®. “Thanks to our recent DC expansion, we can help our customers react to rapid changes in power demands to keep their fleets moving more efficiently.” EnerSys IRONCLAD Deserthog® batteries feature an industry-leading amp-hour capacity rating and are engineered to power fleets to lift and drive faster, last longer into the shift, and reduce maintenance costs. To take advantage of the 24-Hour Quick Ship Program, EnerSys customers should contact their local Technical Sales Rep representatives for assistance at 1-800-ENERSYS.
Episode 348: Fernish and Supply Chain Circularity
The New Warehouse podcast is excited to welcome Kristin Toth, the president and COO of Fernish. Fernish is a unique furniture rental service redefining the industry’s sustainability standards. They offer fast delivery and high-touch service, like putting everything together for customers and flexibility to swap things out or buy them outright if they fall in love with pieces. By leveraging a circular supply chain, they provide value for their customers with quality, convenience, and affordability. Kristin and Kevin discuss how Fernish came to be and how they are capitalizing on the opportunities in the business of furniture and home decor. You won’t want to miss this episode and Kristen’s career advice for anyone interested in pursuing a career in operations. Key Takeaways Like many of us, Kristin didn’t plan on a career in supply chain and logistics. After being interested in multiple fields, such as music, math, writing, etc., while studying at university, she developed a passion for e-commerce and technology. She felt the field opened up a world of opportunities to improve decision-making processes, such as creating more efficient, faster, more consistent, and more optimal solutions. This passion motivated her to build innovative solutions that could change how we process decisions. Throughout this journey, she found great joy in exploring and utilizing technology to discover new ways to solve complex problems. Kristin shares how they need to consider durability and the availability of parts for refurbishment when selecting what products they add to the Fernish catalog. Refurbishment requires skilled labor who understand materials and processes for restoring items like new again. The operations process is more complex than traditional companies due to used products coming back from customers that need inspection and quarantine before being restored. When researching other WMS solutions, the team at Fernish found they could only get them 20% of where they needed to be. Kristin explains how they never planned on building everything on their own, but this type of business’s complexities led them to develop their own WMS. She adds that creating a home-grown solution has unlocked valuable insights and data they wouldn’t have been able to find in other systems. Kristin discusses how Fernish plans the purchasing of new products with the uncertainty that goes along with utilizing customer returns. She jokes, like most forecasts, they are wrong, but as they learn, they are getting better and better at managing supply and demand. The New Warehouse Podcast EP 348: Fernish and Supply Chain Circularity
Portable Generator Manufacturers’ Association requests comments to upcoming ANSI/PGMA G300 Standard Revision
The Portable Generator Manufacturers’ Association (PGMA) would like to request a “Call for Members” for its BSR/PGMA G300-201x, Safety and Performance of Portable Generators (revision of ANSI/PGMA G300-2018) Standard which is currently under revision. The proposed revisions include adding additional requirements related to carbon monoxide safety concerns. “Members” will have an opportunity to vote as well as provide comments to the proposed revisions to the ANSI/PGMA G300 standard. PGMA is specifically seeking members in the “user” category, which is defined as: “Those who are predominantly interested in the use of the product, materials, or services. This category usually includes consumers, customers of product producers, distributors, retailers, etc., and may include regulatory agencies, safety associations, certification agencies, and similar organizations.” In 2018, PGMA released the ANSI/PGMA G300-2018 standard revision which was the first in the industry to address carbon monoxide safety concerns from the misuse of generators through CO-shut off technology which has been found to be 99% effective at eliminating fatalities. Significant industry adoption of the technology and the standard has occurred and PGMA continues to work on enhancements to the standard. The proposed revision of the standard will focus on revising the carbon monoxide shutoff system requirements to not only continue to eliminate nearly all fatalities, but also to reduce the risk of injury due to carbon monoxide poisoning associated with the misuse of a portable generator by operating it in an enclosed space. Please contact PGMA at [email protected] or by calling 216-241-7333 for more information and to participate in the comment period by no later than January 31, 2023. About Portable Generator Manufacturers’ Association The Portable Generator Manufacturers’ Association (PGMA) is a trade association that seeks to develop and influence safety and performance standards for the portable generator industry and its products. Formed in 2009, PGMA members include the major manufacturers of portable generators sold in North America including American Honda Motor Co., Champion Power Equipment, DuroMax Power Equipment, Firman Power Equipment, Generac Power Systems, Harbor Freight Tools, USA, JD North America Corp., and Yamaha Motor Corp USA and associate members, Figaro USA, Inc., GenTent Safety Canopies, and Nemoto Sensor Engineering Co. Ltd. PGMA is dedicated to the safe use of portable generators. Facts on portable generator safety include: CO SHUT-OFF. Start by purchasing a portable generator that meets ANSI/PGMA G300-2018 standard requirements, which includes a built-in carbon monoxide (CO) shut-off system. OWNER’S MANUAL. Upon purchase and before using a portable generator, always read the portable generator’s owner’s manual. It contains manufacturer-specific information about the safe operation. BE PREPARED. 1) Have a ready supply of gasoline stored in an EPA/CARB compliant container – while adhering to all recommendations for safe storage of gasoline. 2) Predetermine where your portable generator will have to be positioned so it is operated far away from your residence, doors, windows, vents, garages, and semi-enclosed areas including sheds, tents, or campers. 3) Then purchase extension cords long enough to extend from this predetermined location to appliances you will want to power. CO DETECTOR. Make sure your enclosure is equipped with a carbon monoxide detector. Test it regularly and keep extra batteries for it on hand. Watch a video on portable generator safety and access more information at www.TakeYourGeneratorOutside.com.
Women In Trucking Call for Nominations: 2023 Distinguished Woman in Logistics Award
Women In Trucking Association (WIT), Truckstop, and Transportation Intermediaries Association (TIA) are seeking nominations for the 2023 Distinguished Woman in Logistics Award (DWLA). The award started in 2015 to recognize outstanding individuals for their achievements and leadership in logistics. “Every year more women are entering the logistics industry, and this award will recognize and honor a leader who has demonstrated her passion for the supply chain as well as in advancing and empowering women along the way,” said Ellen Voie, president and CEO of WIT. Sponsored by Truckstop and TIA, the award is open to high-performing women in any field related to logistics, including supply chain management, third-party logistics, and trucking. “We at TIA appreciate the opportunity to recognize and empower women working in the 3PL industry and support the 2023 Distinguished Women in Logistics Award. We are looking forward to announcing the winner at TIA 2023 Capital Ideas Conference & Exhibition on April 19-22 in Orlando,” said Anne Reinke, president, and CEO of TIA. Previous DWLA winners are: 2022: Nicole Glenn, president and CEO of Candor Expedite 2021: Angela Eliacostas, president and founder of AGT Global Logistics 2020: Sue Spero, president of Carrier Services of Tennessee, Inc. 2019: Judy McReynolds, chairman, president and CEO of ArcBest 2018: Renee Krug, CEO of Global Tranz 2017: Andra Rush, chair and CEO of Rush Trucking Corporation, CEO and president of Dakkota Integrated Systems, and chair, CEO and president of Detroit Manufacturing Systems 2016: Shelley Simpson, chief commercial officer; EVP People and HR, J. B. Hunt Transport Services, Inc. 2015: Kristy Knichel, president of Knichel Logistics The award selection committee includes representatives from WIT, Truckstop, TIA and academia. “The Women In Trucking Association continues to be one of the most instrumental organizations for the advancement of women in transportation and logistics,” said Kendra Tucker, chief executive officer, Truckstop. “We are proud to support The Distinguished Woman in Logistics Award and look forward to highlighting the achievements of these inspiring leaders.” The winner of the 2023 DWLA will be announced during the TIA 2023 Capital Ideas Conference & Exhibition, on Friday, April 21 in Orlando, FL. Anyone may nominate a candidate by completing and submitting the nomination form at womenintrucking.org/distinguished-woman-in-logistics. Nominations are due February 20, 2023. For additional information regarding the nomination process, send an email to [email protected].
Manufacturing Technology Orders Total $436.5 in November 2022; Annual total value dips below 2021 for first time in 2022
New orders of manufacturing technology totaled $436.5 million in November 2022, according to the latest U.S. Manufacturing Technology Orders Report published by AMT – The Association For Manufacturing Technology New orders of manufacturing technology totaled $436.5 million in November 2022, according to the latest U.S. Manufacturing Technology Orders Report published by AMT – The Association For Manufacturing Technology. November 2022 orders were down 4.5% from October 2022 and down nearly 32% from November 2021. Year-to-date orders dropped below 2021 for the first time in 2022, dipping 3.7% below the total through November 2021. “After recording the highest level of orders in 2021, it was only a matter of time before 2022 fell slightly behind,” said Douglas K. Woods, president of AMT. “The fact that orders stayed above 2021 levels for 10 months really speaks to the continued strength in the demand for manufacturing technology. This demand has been spurred by the extraordinary economic challenges of the last few years, which has prompted expanded domestic manufacturing as well as foreign direct investment.” Although domestic capacity has expanded greatly over the last two years, the current economic environment is starting to take a toll on demand for manufacturing technologies in some sectors. In an environment of rapidly rising interest rates, home construction and renovation has slowed, and manufacturers of household appliances have continued to reduce their orders through November 2022. Likewise, declining investments in capital goods by manufacturers of HVAC and commercial refrigeration reflect slowing demand from commercial construction. While job shops remain the largest customer segment, their orders have continued to decline since peaking in September 2022. Interestingly, the average value of orders from job shops has been increasing, indicating continued demand for the more-automated, higher-value machinery. Order activity in this sector appears driven by application-specific needs rather than expanding capacity. “Despite some of the slowing orders, a number of our members remain confident in their 2023 projections because of the outstanding orders collected in 2022,” said Woods. “2023 will most likely be a balancing act. The manufacturing that has returned to the country will continue to spur economic activity, which may be tempered by rising interest rates and slowing demand.”
GM Equipment Rentals acquires Magnum Equipment
GM Equipment Rentals, an aerial and material handling company based in North Central Pennsylvania, has completed its acquisition of Magnum Equipment LLC., located in Hudsonville, Mich., near Grand Rapids. This acquisition now extends GM Equipment’s coverage area across Pennsylvania, New York, Ohio, West Virginia, Maryland, and Michigan. GM Equipment Rentals is a family-owned company. It offers a large array of aerial and material handling equipment, along with a line of dirt and support equipment. Customer service, prompt deliveries, and quick turnaround times are themes GM Equipment hangs its hat on. Its common saying is “We are a service company first, that happens to rent and repair equipment.” The GM Equipment Rentals team also strives to create a great working environment for its employees by offering excellent pay and benefits packages. As part of GM Equipment’s ongoing growth strategy, the addition of Magnum Equipment extends its service area, customer base, and infrastructure. The acquisition also aligns with its heavy arsenal of MEWP and material-handling equipment. The Michigan customer base will now be able to enjoy a variety of added benefits that GM Equipment Rentals has to offer, including the ability to quickly view their account information and on-rent reports through GM Equipment’s online portal. Z Rental Consulting represented Magnum Equipment in the transaction.
Serpa appoints Justin Neece as Vice President and General Manager
Customers can expect a smooth, seamless transition to Neece; company founder and previous General Manager Fernando Serpa remains with the company in a new role Serpa, a secondary packaging solutions manufacturer, has named Justin Neece as its new Vice President and General Manager, replacing Fernando Serpa, who is remaining with the company as its new Vice President of Technology Development. Neece is no stranger to Serpa, having begun his career 12 years ago with the company as an intern. From those early days, Neece steadily gained the trust of leadership, rising through the ranks to hold positions within Engineering and Operations. Throughout his career, he’s worked closely with Fernando – valuable time that has prepared him for this next role. “I joined Serpa straight out of college. I’m all Serpa,” Neece said. “I’m very excited about our direction and looking forward to continue carrying on the Serpa legacy with the same values established by Fernando.” “Justin is a very honest person. He’s very loyal to the people he works with. He is a good listener and keeps an open mind,” said Fernando Serpa of the reasons why he selected Neece to succeed him. “Justin has a very supportive wife and is a good family man. He is ready to go.” Fernando Serpa founded the company in 1985. Under Serpa’s guidance, Neece has developed key traits and skills in areas of customer service, engineering and design, and communications that will help him succeed in his new role. “Justin has an extremely strong work ethic. We are in good hands with Justin’s leadership,” Serpa said. “This is an exciting moment for Serpa; this is the first time someone else is in charge of the company since Fernando founded it,” adds Aaron Metzler, Director of Sales and Applications, Serpa. “Justin’s mechanical background and his level of creativity make him a great fit to lead Serpa forward.” Both Fernando Serpa and Metzler said they expect a smooth, seamless transition as Neece has been handling many of the General Manager duties throughout 2022. “Under Justin’s leadership, customers can expect the same five-star service that they’ve come to expect from Serpa,” Metzler said. “We have always been known for new technologies and bringing the latest cutting-edge innovations to the packaging industry, and undoubtedly that will continue to be a primary focus in 2023 and beyond. We are customer-first; that will not change.” Neece earned a bachelor’s degree in Mechanical Engineering from California State University in 2011. He and his wife, Kelsey, have two children. Serpa is one of 45 packaging and automation-focused companies of the ProMach family of brands. ProMach is a global leader with brands in categories including Systems & Integration, Filling, Bottling & Capping, Decorative Labeling, Flexibles & Trays, Handling & Sterilization, Labeling & Coding, Robotics & End of Line, and Pharma.
Stahlin® Enclosures introduces new interior mounting solutions for ultimate flexibility and strength
Stahlin® Enclosures, manufacturers of high-performing non-metallic electrical and industrial enclosures announce the availability of its new side panels and weight distribution shelves which aid in interior mounting and support of heavy equipment. These innovative mounting and support solutions are designed for OEMs and installers and are used with Stahlin polycarbonate enclosures to add installation flexibility, increase mounting space, and solve challenges during customer installation of heavy components in non-metallic enclosures. These exciting new products can be purchased as stand-alone SKUs and shelves can be shipped kitted with Stahlin polycarbonate enclosures! “We are pleased to provide the ultimate in flexibility and strength for installing equipment in non-metallic enclosures,” says Craig Mitchell, President of Robroy Industries Enclosures Division®, the parent company of Stahlin Enclosures. “This is another example of how Stahlin is leading the way in enclosure products and accessories innovation.” The new Stahlin side panels and weight distribution shelves are ideally suited for diverse markets and applications including: Non-hazardous industrial and commercial OEM design and manufacturing market segments. Industries such as Oil & Gas, Electrical Control, Water Wastewater, Manufacturing, Communications, and Telecommunications. Stahlin polycarbonate enclosure aluminum Side Panels have been designed for flexibility of equipment installation and allow for mounting of components on the enclosure walls (either on the long or short side) and provide added mounting space which allows customers to use smaller enclosures in applications requiring tight spacing. They are available in 9 SKUs designed for use with our polycarbonate enclosures sizes from 6”x6” to 24”x24”. Corrosion-resistant slot nut hardware is included. These panels are easy to install using common tools. Simply install, position, and secure the side panel using the provided slot nuts which fit perfectly in the innovative polycarbonate enclosure t-slots. Additional benefits of the new Stahlin Side Panels include: • Increased customer installation flexibility. Equipment can be mounted on multiple sides of the enclosure, in addition to the traditional enclosure back wall. • Lower installed costs made possible by reducing the need for customers to increase the enclosure size for added equipment mounting space. • Reduced engineering labor because enclosure mounting footprint is maintained. The new, innovative Stahlin Weight Distribution Shelf provides an extremely rugged support system when adding heavy equipment in non-metallic enclosures. It is ideal for support when adding a power supply, battery, or heavy equipment, and reduces potential replacement costs by providing an alternative solution vs. adding weight on the bottom wall of the enclosure. Among the many beneficial features of the Stahlin Weight Distribution Shelf: • Robust, thick aluminum shelf supported by enclosure side walls reduces the risk of deflection of the enclosure bottom wall due to increase weight load. • Available in 7 SKUs designed for use with our polycarbonate enclosures sizes from 10”x10” to 24”x24”. • Simple and easy installation utilizing the enclosure’s built-in t-slots. • Constructed from strong, lightweight, corrosion-resistant aluminum. • Available as standalone SKUs or shipped included with enclosures for added ordering and receiving convenience. Stahlin Enclosures offers the most extensive selection of non-metallic enclosures available for meeting the needs of diverse industries, interior and exterior applications, appealing aesthetics, and physical property performance standards including NEMA 4X and NEMA 6P integrity.
How VRCs are giving dealerships and its vehicles a lift
VRCs help maximize existing space, while also costing less than dealership expansion It’s no surprise that constructing a new dealership is an expensive endeavor. From purchasing the land, material prices, equipment expenses, architectural fees, labor to get the build completed, and planning for any cost overruns that may occur, that dealership comes with a hefty sticker price before the door is open for business. However, one area of design that does offer tangible cost savings is selecting a material lift instead of an elevator. More new dealerships are opting for this route, as a material lift, otherwise known as a vertical reciprocating conveyor (VRC) can take as much as 75% less to install versus a personnel elevator. For dealerships with a second or third floor, a VRC is a must to vehicles and parts. The VRC Value Transporting vehicles, not to mention bulky parts, back and forth to elevated levels can be a time-consuming task, not to mention a cumbersome safety hazard for employees that could lead to injury and costly worker’s compensation claims. That’s where VRCs prove their worth. VRCs are a cost-effective, safe, and easy way to move vehicles and parts from one level to another. When it comes to parts, they are safer than using manpower or a forklift, and less costly to operate and maintain than elevators. In fact, the total cost of VRC ownership can be up to three times less than an elevator and can be installed in a fraction of the time. VRC Installation Recently, Custom Industrial Products (CIP) completed another successful VRC installation at a Florida-based luxury automotive dealership that opened in 2022. One of the first steps to engineering the right VRC for the job is communicating with the architectural firm and general contractor to understand the overall scope of the application. This involves learning the weights and dimensions of vehicles that will be moved, the available space for the VRC, and other related information. For this application, the VRC was an FP Series, Four-Post Lift that had a dual purpose: carrying vehicles up to the third floor for display, while also moving parts such as bumpers, tires, engines, pallets, and other items to the second-floor storage area. The FP Series is designed for moving larger, heavier loads up to 30,000 pounds, enabling it to easily carry a vehicle. This VRC comes with a carriage size of up to 30’ x 30’ and a travel height of up to 60’. The Case for VRCs When it comes to the expansion of existing dealerships, it’s becoming more commonplace for businesses to look up rather than out. The reason is simple: cost. A general rule is that it’s always going to be more expensive to expand the footprint of an existing facility. Even if you own the land, expansion means architectural costs, expenses related to pouring slabs of concrete, building materials, a longer timeframe to complete the expansion, along with numerous other costs. For many dealerships, newfound space can be created through a VRC and mezzanine. Often, these two items can be designed and installed in a matter of weeks at a fraction of the cost of new construction. They are engineered to meet industry standards for local, state, and national building codes, and are custom-built to a customer’s exact specifications for optimal performance and functionality. Moving items with a VRC is much more efficient and safer than having employees carry parts upstairs or using a forklift to hoist pallets to a second floor. Forklifts require a certified driver, at least one spotter during use, and another person on the second floor to lift the gate and receive the pallet. VRCs are more economical to operate and demonstrate a strong ROI in short order. When vehicles need a lift or space becomes an issue, remember, don’t look out for answers – look up.
Section 1202: Small Business Stock Capital Gains Exclusion
Selling your business? What if I told you that you could exclude up to $10 Million from the sale of your business if you meet certain parameters? It is important business owners take note of the requirements as they are very important in order to qualify for the exclusion. Section 1202 of the Internal Revenue Code is a very beneficial tool and the exclusion and easily be applied to your sale. Section 1202 is known as the Small Business Stock Capital Gains Exclusion. This section can only be applied to qualified small business stock acquired after September 27, 2010, that is held for more than five years. Within the Protecting Americans from Tax Hikes (PATH) Act in 2015, one tax benefit, made permanent by the Obama administration, was the Small Business Stock Capital Gains Exclusion found in Section 1202. The intention of this section in the Internal Revenue Code was to provide an incentive for non-corporate taxpayers to invest in small businesses in the United States. Before February 18, 2009, Section 1202 allowed up to 50% of capital gains to be excluded from gross income. The American Recovery and Reinvestment Act then increased the exclusion rate from 50% to 75% for stock purchased between February 18, 2009, and September 27, 2010. This was done in order to stimulate the small business sector. The latest revision to Section 1202, where we are today, provides for 100% exclusion of any capital gain if the small business stock was acquired after September 27, 2010. The capital gains exempt from tax are also exempt from the net investment income (NII) tax applied to most investment income at a rate of 3.8%. The limit upon the amount of gain a shareholder can exclude is limited to either $10 Million or 10 times the adjusted basis of the stock. Any taxable portion of the gain from selling small business stock has an assessment at the maximum tax rate of 28%. Keep in mind, not all small business stocks qualify for this tax break. Some very stringent requirements must be followed regarding small business stock. These requirements are: It was issued by a domestic C-corporation other than a hotel, restaurant, financial institution, real estate company, farm, a mining company, or business relating to law, engineering, or architecture. Can also be applied to an LLC taxed as a C-Corporation. It was originally issued after Aug. 10, 1993, in exchange for money, property not including stocks, or as compensation for a service rendered. On the date of the stock issue and immediately after, the issuing corporation had $50 million or less in assets. The use of at least 80% of the corporation’s assets is for the active conduct of one or more qualified businesses. The issuing corporation does not purchase any of the stock from the taxpayer for four years beginning two years before the issue date. The issuing corporation does not significantly redeem its stock within two years beginning one year before the issue date. A significant stock redemption is redeeming an aggregate value of stocks that exceed 5% of the total value of the company’s stock. If you own a business that satisfies these requirements, then start celebrating. Whenever you go to sell your business, you should be able to exclude all or almost all your federal capital gains tax. Keep in mind that state taxes differ from federal taxes. If your state taxes conform to federal taxes, you could also exclude capital gains from your state taxes. Since all states do not correlate directly, taxpayers should seek guidance on how their states will treat the gain from the sale of qualified small business stock. Looking at an example, consider a single taxpayer with normal taxable earnings of $600,000. Due to their income, they are subject to the highest tax rate. When they sell the eligible small company shares, they bought on September 30, 2010, they get $60,000 in realized profit. Since the person may deduct all their capital gains, no federal tax is owed on the profits. Assume the Investor bought the stock on February 9, 2009, and traded it for a gain of $60,000 after five years. The amount of federal tax owed on capital gains is 28% × 50% x 60,000, or $8,400. About the Author: Business owners must check immediately with their business broker, accountant, or legal counsel regarding their business structure. This is especially true for those who plan to sell within the next couple of years. If you are looking into selling your business and have any questions about the Small Business Stock Capital Gains Exclusion, reach out to the professionals at The Center for Financial, Legal, and Tax Planning, Inc at our website, www.taxplanning.com or by phone at (618) 997-3436.
Hy-Tek Intralogistics acquires Winchester Industrial Controls
Hy-Tek Holdings (Hy-Tek), a portfolio company of Dunes Point Capital, LP (DPC), has acquired Winchester Industrial Controls LLC (“Winchester”). Winchester, located in Bristol, CT, is a provider of control systems and installation for automated material handling systems. Hy-Tek, doing business as Hy-Tek Intralogistics, is a material handling automation integrator serving clients in diverse end-markets and applications, including eCommerce, third-party logistics, and parcel. The acquisition was announced by Hy-Tek’s CEO, Sam Grooms. “Hy-Tek’s acquisition of Winchester Controls broadens our offerings as the predominant player in material handling. With the addition of Winchester Industrial Controls’ highly experienced team, Hy-Tek further enhances its ability to execute concurrent large-scale projects in support of our enterprise logistics platform, ” said Grooms.
National nonprofit Wreaths Across America announces new theme for 2023
Each year, millions of Americans come together to REMEMBER the fallen, HONOR those that serve and their families, and TEACH the next generation about the value of freedom. This gathering of volunteers and patriots takes place in local, state, and national cemeteries in all 50 states – most recently at 3,702 participating locations – as part of National Wreaths Across America Day. Each year, a new theme is chosen to help volunteers and supporters focus their messaging and outreach in their own communities. Today, the national nonprofit announces the theme for 2023 is “Serve and Succeed.” The inspiration for this year’s theme came while discussing the significance of 2022’s theme, which was “Find a Way to Serve,” and the need to continue to stress the importance of service and the positive ways it can impact lives. Wreaths Across America plans to focus on the storylines of veterans and military families who have found success through their own service, while also highlighting local volunteers across the country and the success that comes from serving their communities. The organization will continue its commitment to supporting and bringing attention to the needs of our veteran community while also showcasing the continued contributions of those who serve. “There are many ways to serve your community and country, and just as many definitions of success,” said Karen Worcester, executive director, Wreaths Across America. “We hope through focusing on those stories of success we will help change the dialogue around what it means to serve your country.” In 2022, more than 2.7 million veterans’ wreaths were placed by volunteers on headstones at 3,702 participating locations around the country in honor of the service and sacrifices made for our freedoms, with each name said out loud. Wreaths Across America volunteers work year-round to ensure military laid to rest are remembered, their families and living veterans are honored, and the next generation is taught about the value of freedom. This year, National Wreaths Across America Day is Saturday, December 16, 2023. It is a free event and open to all people. For more information on how to volunteer locally or sponsor a wreath for an American hero, please visit www.wreathsacrossamerica.org. To follow stories throughout the year from across the country focused on this theme, please use the hashtag #ServeAndSucceed.
Women In Trucking Association launches 2023 WIT Index Survey to collect Gender Diversity Data
The Women In Trucking Association (WIT) is encouraging companies in transportation to complete a survey that collects data on gender diversity in the industry. The data will be used to develop this year’s version of the WIT Index, which is the official industry barometer to regularly benchmark and measure the percentage of women who are professional drivers, in corporate positions, and serve in leadership roles. WIT is requesting for-hire trucking companies, private fleets, transportation intermediaries, railroads, ocean carriers, equipment manufacturers, and technology companies to report the percentage of women in various roles in their workforce include. Data reported will be kept strictly confidential and data will be reported only as aggregate totals of respondents. Individuals completing the survey must be an authorized respondent from the company. Interested participants can report their data via the live survey through April 21, 2023, at womenintrucking.org/index. Participating companies in the survey will receive an executive summary of the 2023 WIT Index at no cost, which will enable them to benchmark their gender diversity practices against other companies in transportation. Monitoring gender diversity in a male-populated industry like transportation is critical so that statistically valid data can be used to evaluate progress made in this area. “Since 2007, when the Women In Trucking Association was formed, the percentages of women in the industry have been rising significantly. In order to track these advancements, we created the WIT index to annually monitor the increase in female drivers, technicians, safety directors, managers, and even directors,” said Ellen Voie, president and CEO of WIT, who spearheaded the launch of the first WIT Index in 2016. “Your participation in this important survey will help us accurately track these efforts and provide benchmarking opportunities for everyone working toward a more gender-diverse workforce.” Last year, the 2022 WIT Index found that the percentage of professional drivers who are female increased to 13.7%, an uptick of more than 3% since 2019. Additionally, the report found that women make up 33.8% of C-suite executives in transportation companies, 40.5% of safety professionals, and 74.9% of human resources and talent management roles.
Dorner appoints new Regional Sales Manager
Jon Doughty has been appointed Regional Sales Manager covering the Northeast portions of the United States for Dorner. Doughty will be working with sales channel partners and key accounts to grow the company’s industrial, automation, and sanitary conveyor business within his region. Doughty comes to Dorner with more than 25 years of material handling experience, holding various sales, engineering, and project management titles. He is a graduate of the University of Delaware. “I’m very excited about the opportunity to join a world-class organization like Dorner,” Doughty said. “Dorner has an unparalleled reputation throughout the industries it serves and I’m looking forward to working with our customers and channel network throughout the Northeast.”
Fraza Sister Company Material Handling Group USA acquires Liftec Inc.
Fraza, a material handling equipment and solutions provider headquartered in southeast Michigan, announced its sister company, Material Handling Group USA (MH Group USA) has acquired Liftec, Inc. as a new dealer/location on the East Coast. Liftec is a proud dealer for Linde Material Handling, Baoli, Doosan, and UniCarriers. “An important strategy for our business is diversification, and geographic expansion is part of that strategy,” said Fraza and MH Group USA CEO and Owner Roger Runyan. “Bringing Liftec on board aligns with our mission to be the best service organization, period. This acquisition allows us to strengthen our relationships with key vendors and provide a greater support network to our customers. We also look forward to the expertise and knowledge their team will bring to our organization.” This expansion takes Fraza and MH Group USA’s operations outside of Michigan for the first time. The newly acquired business will continue operating as Liftec, but the team of 35 employees is now under the leadership of Runyan. Liftec has been in business for over 45 years serving the New York, New Jersey, and Pennsylvania metro areas with high-quality forklifts and material handling products and services. The Liftec acquisition also diversifies Fraza and MH Group USA’s market outside of automotive and into chemical manufacturing, which currently leads all industries, as well as major distribution centers for national and worldwide companies. Liftec’s diverse customer base will allow Fraza and MH Group USA to expand their market share of class I, II, and III material handling products.
The U.S. Plastics Industry in 2022 in seven charts
The U.S. plastics industry continued to grow in 2022 against the backdrop of weaker domestic and global economic growth. Data shows that the U.S. economy’s output contracted in the first half of 2022 and was followed by what appears to be a tepid output growth rate in the second half of 2022. The manufacturing sector—plastics industry included—continued to adjust to domestic and global economies that have started to downshift into a lower gear this year. Seven charts explain how the U.S. plastics industry, throughout the supply chain, performed in 2022. This includes PLASTICS’ projections of end-of-year monthly data that has not been released at the time of writing this article. All told, demand for plastics and plastic products stayed stable in 2022. 1. Industrial Production of Plastic Products Manufacturing Plastics production increased the most in February based on the Industrial Production Index on plastic products manufacturing. It increased 3.9% in February from January—a 5.7% increase from February of last year. However, production slowed thereafter, falling to 1.8% in November. Weaker plastics production is consistent with lower economic growth. The U.S. economy had two consecutive quarters of negative output growth in the first half of 2022. Persistent high inflation rates, rising interest rates, and lower disposable income caused a pullback on consumer spending, particularly on interest-rate-sensitive goods. Given that a significant portion of plastics production ends up in nondurable goods consumption, which remains stable regardless of where the economy is in the business cycle, it can be expected that plastics production could increase by as much as 1.0% in December, which is equivalent to a 1.5% increase from December 2021. 2. Plastics and Rubber Shipments The monthly shipments of plastics and rubber fluctuated this year between $22.1 billion and $22.5 billion. It peaked in April and decreased thereafter. Based on the latest data from the U.S. Census Bureau, shipments were virtually unchanged in October from the month prior. Healthy demand for manufactured goods, against the backdrop of lingering supply chain issues, caused manufacturers’ inventories to sales ratio to decrease to 1.45 in October from 1.50 a year earlier. To replenish inventory, shipments of plastics and rubber most likely increased by an estimated 0.4% in November. Although shipments likely decreased marginally by 0.1% in December, at this rate, 2022 closed with plastics and rubber shipments higher by 2.0% compared to December of last year. 3. Plastics Manufacturing Employment The economy’s labor participation rate improved somewhat from a 61.7% rate in 2021 to 62.2% in 2022. Still, the U.S. plastics industry continued to experience labor supply constraints in 2022. Some open positions remain unfilled this year. Hiring in plastic products manufacturing rose steadily in the first half of 2022 to 614.4 thousand as estimated by the U.S. Bureau of Labor Statistics but slowed in the second half of 2022. It is unlikely that hiring increased significantly in November, with the plastics and rubber manufacturing unemployment rate up 3.1% in November from 2.0% in October. It can be expected that plastics manufacturing employment will be virtually unchanged in November (613.2 thousand) from October (613.4 thousand) and could see a 0.2% uptick in December to 614.5 thousand. 4. Molds for Plastics Trade The exports of molds for plastics fluctuated monthly between $36.7 million in February to $54.3 million in August. Exports are usually the lowest during the summer months, however, exports of molds for plastics peaked in August before they decreased in the two months that followed. It is estimated that exports in November and December could top $43.7 million and $41.5 million, respectively. All told, exports of molds could average $45.8 million monthly in 2022, which will be higher than $44.5 million last year. While export orders may have increased, lingering supply chain issues have caused longer production lead-time causing export shipments to slow. Moreover, a strengthening U.S. dollar this year through November affected U.S. export growth. 5. Producer Prices in Plastics Material and Resin Manufacturing Plastics material and resin prices peaked in June this year based on the Producer Price Index on plastics material and resin manufacturing from the U.S. Bureau of Labor Statistics. It continued to fall as supply eventually caught up with rising demand. Plastics converters enjoyed a respite from the double-digit increase in resin prices in 2021. It is projected that the price index could decrease by 1.6% in December—an 8.6% decrease from December 2021. With rising capacity and softening demand, it can be expected that the monthly percentage change in the Producer Price Index on plastics material and resin manufacturing will be less volatile. 6. Industrial Capacity in Plastics Material and Resin Manufacturing The industrial capacity in plastics materials and resin manufacturing in the U.S. has been increasing this year. However, capacity is expected to have increased by 1.9% in 2022—lower than the 7.1% capacity increase in 2021. Lower growth rates in industrial capacity this year, against the backdrop of falling resin prices, suggest that there is sufficient plastics material and resin supply. This could explain the decrease in the capacity utilization rate in plastics material and resin manufacturing from February to October. The capacity utilization rate could increase to 81.0% in November and December 2022 to cover lower inventories. Latest data from the U.S. Census Bureau shows manufacturers finished goods inventories in plastics and rubber products decreased in the last three months ending in October. Any improvements in inventories would most likely be minimal in November and December. 7. Plastics Machinery Imports It is expected that imports of U.S. plastics machinery in 2022 will be less than in 2021. The latest data from the U.S. International Trade Commission show that imports increased in October by 0.2% from September. Since March, however, the underlying trend in U.S. plastics machinery imports has been downward sloping. If this trend continues, 2022 imports could average $150.3 million per month, which would be 51.5% lower than last year’s monthly average. Demand for plastics machinery has softened in 2022—a reversal from the robust demand in 2021. The value of U.S. plastics machinery imports