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Construction Equipment Distribution magazine is published by the Associated Equipment Distributors, a nonprofit trade association founded in 1919, whose membership is primarily comprised of the leading equipment dealerships and rental companies in the U.S. and Canada. AED membership also includes equipment manufacturers and industry-service firms. CED magazine has been published continuously since 1920. Associated Equipment Distributors
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Industry Beat

CED Magazine, July 2010

Article Date: 07-01-2010
Copyright(C) 2010 Associated Equipment Distributors. All Rights Reserved.


Iowa Distributors Rally with Message for Congress

AED and AEM continue building Start Us Up USA! momentum.

 
From Las Vegas to Chicago, Washington, D.C., to San Antonio, and now DesMoines, Iowa, AED and AEM have worked to keep up the momentum that the campaign has built since its inception in September 2009.  This summer, the campaign will reach out to candidates in competitive House and Senate races and help shape the way they’re thinking and talking about federal infrastructure programs.
 
In the latest Start Us Up USA! Rally held May 7, Iowa equipment distributors and manufacturers rallied at the Iowa state capitol building to urge Congress to pass a new multiyear highway law.  The event, organized by the Iowa-Nebraska Equipment Dealers Association (INEDA), is part of Start Us Up USA!, a national grassroots campaign by Associated Equipment Distributors (AED) and the Association of Equipment Manufacturers (AEM).
 
Will Rogers, director of government affairs for INEDA, was pleased with both the attendance and media coverage for the event. Twenty-one industry groups participated in the rally including the Asphalt Paving Association of Iowa, Associated General Contractors of Iowa, the Iowa Concrete Paving Association, Iowa Good Roads Association, Iowa League of Cities, Iowa Limestone Producers Association, Iowa Ready Mixed Concrete Association, Iowa State Association of Counties, Iowa State Association of County Supervisors, and Land Improvement Contractors of America.
 
“Our goal was to talk to two key legislators to show them the support for getting the highway bill done,” said Rogers. Speaking at the event were U.S. Representative Tom Latham (R-IA) and Leonard Boswell (D-IA) who will both have a key role in the next highway bill.
 
A few weeks after the event, Rogers was pleased to hear a media sound bite from the Iowa gubernatorial debate focusing on infrastructure. It gave him a sense that the needle is starting to move. “We are now shaping the debate,” said Rogers. “The media is beginning to say ‘this is an important issue we should be talking about.’”
 
The Iowa Start Us Up USA! event was covered by the Associated Press, Des Moines Register, as well as local TV stations and radio stations across the state. More information about the AED-AEM campaign is available at http://www.StartUsUpUSA.com.
 

Two Equipment Dealers Select e-Emphasys Technologies

Frank Martin Sons, Inc.
, a construction equipment dealer based in Fort Kent Mills, Maine, selected the eXtend enterprise solution by e-Emphasys Technologies, to meet its needs for a scalable and integrated business system. The implementation of eXtend was completed in only four weeks time frame. “We choose e-Emphasys technologies for our ERP implementation project because their eXtend solution is tailor-made for the heavy equipment dealer industry,” said President and CEO Steven Ouellette. “e-Emphasys has demonstrated their commitment and knowledge of best business practice during the project implementation to assist us in achieving our goal of streamlining processes, improving effectiveness, accurately tracking product profitability and financial reporting.”
 
e-Emphasys was also selected to provide a CRM solution to ASC Construction Equipment.  The Charlotte, N.C., Volvo dealer sought to improve sales force efficiency and response time to its customers through better systems and processes.
 
“During the implementation, e-Emphasys consultants were very proactive in providing optimum solutions to our needs,” said Jess Butcher, executive vice president of Sales, ASC Construction. “The user interface lived up to expectations; its simplicity and ease of use stimulated immediate interest and acceptance.”
 
e-Emphasys is an enterprise software and services company that provides industry specific ERP solutions and consulting services. For more information, visit www.e-emphasys.com.
 

AED Unveils New Health Insurance Program Exclusively for Members

Associated Equipment Distributors (AED)
has announced a new health insurance program exclusively for AED member companies. The program is being offered in partnership with Veritas Risk Services, LLC, (VRS). VRS has created a group medical captive exclusively for the benefit of AED members, and AED encourages all member dealers and manufacturers to submit their standard insurance information to VRS for a quote, either off-renewal or as part of their annual renewal.
 
The captive offers a combination of benefits not available elsewhere, including: (1.) Long-term significant cost reduction to the employer, who receives unused premiums back when they have good, low-claims years; (2.) Reduced risk to the captive’s collective pool of employers – each company is evaluated individually and priced based on history; (3.) The ability to offer a comprehensive insurance program to employees through a large nationwide network; and (4.) Participation in a wellness program to drive overall employee health up and claims costs down.
 
“AED recognizes that the problem of ever-increasing health insurance premiums creates for most employers the second largest expense on the bottom line, not to mention the great uncertainty that these increases cause our members in budget planning year to year,” said Toby Mack, AED’s CEO and president. “We’ve studied the captive program from Veritas and concluded that this is the right time for this product. There’s a strong likelihood that it can save AED members a lot of money.”
 
Broker commissions are eliminated through the captive, and insurance company profit is also removed, said Doug Truax, CEO of VRS, which means AED members retain those profits and reduce their costs over time.
 
“Your current health care broker will lose his commission if you switch to Veritas,” said Truax. “They may tell you the captive is not legal, that it can’t work, and that it’s made up of ‘losers’ who drive rates up. None of these are true – employers are leaving a lot of money on the table, and the AED captive program is a legitimate and profitable solution to the unpredictable health insurance albatross that dealers and manufacturers are carrying.”
 
Garry Bartecki, AED vice president of Finance, adds that even larger dealer and manufacturer organizations stand to benefit from the captive plan, noting that the larger pool provides lower, dividend-eligible, stop-loss premiums along with lower administrative expense. “Even if there is only a 5 to 7 percent additional savings, when you’re talking about these as percentages of the total health care cost, you are talking about very material dollars.”
 
The VRS captive is endorsed by AED, and members are urged to obtain a quote from Veritas. Call Joe Zamzow at VRS at 630-734-3500, or e-mail joe_zamzow@veritasrs.com.
 

Whayne Supply Seeks Distributors for Mirenco Products and Services

Whayne Supply, a Caterpillar
dealer with locations in Kentucky and Southern Indiana, has taken on the role of national distributor of Mirenco products and diesel combustion testing and is establishing distributors throughout the North American Caterpillar dealer network. MacAllister Machinery, the Caterpillar dealer for northern and central Indiana is the first to sign on.
 
“We began our relationship with Mirenco in 2006 as we were trying to find solutions for one of our underground quarry customers who was having emission gas issues in their quarries,” said Richard Scott, vice president, sales and marketing.
 
“They were not meeting MSHA standards. After installing the Mirenco product in several of their underground machines, their air quality improved, falling below MSHA standards. During the past four years we have piloted the Mirenco products in various heavy equipment applications and found significant savings in fuel burn and emission gas reduction by using these products.”
 
According to Scott, the Mirenco product was recognized by the Department of Energy in 2000 with the coveted Energy 100 Award, identifying it as one of the 100 best scientific and technological accomplishments of the century.
 
Whayne Supply will be encouraging dealers to conduct an exhaust gas test (MDEP) about every 2,000 hours of operation on all machines, preferably becoming a routine maintenance procedure. Payback times range from a few months to 1.5 years, depending on the condition, age and horsepower of the machine. “The higher the horsepower, the quicker the payback,” said Scott.
 
“In today’s highly competitive marketplace it is imperative the dealer provide value added products for our customers,” said Scott. “We feel Mirenco, and other products we will be introducing shortly, do just that.”
 
For more information on becoming a Mirenco distributor call Whayne Supply Co. at 1-800-4Whayne.
 

In the News

Butler Machinery Company
is pleased to announce the addition of a 12th location in Hoople, N.D. Hurtt Equipment, Inc. will be joining the Butler Machinery family while continuing to serve the agricultural industry in North Dakota’s northeastern territory. Hurtt Equipment, founded in 1964, is a family owned AGCO and Gleaner dealer. Hurtt Equipment recently expanded their service facilities and has a local, national and international customer base. Butler Machinery Company is a third generation family-owned Caterpillar dealer for North and South Dakota, and Clay County, Minn.
 
Great Southern Equipment Company (GSE), with locations in Tampa, Ft. Meyers, Ft. Lauderdale, Orlando and Jacksonville, Fla., is now is now a Sennebogen distributor. GSE specializes in serving commercial construction, road building, logging and mining markets.
 
Equipment Web Services, a division of Dominion Enterprises, has partnered with Dynapac USA (Dynapac), part of the Atlas Copco Group, to increase and enhance the presence of Dynapac dealers on the Web. EWS will provide participating Dynapac dealers with a Web site solution designed to facilitate and improve communication between dealers and their prospective buyers.
 
JLG Industries, Inc., an Oshkosh Corporation company, has announced the retirement of Craig Paylor as president of JLG and executive vice-president Oshkosh Corporation. Wilson Jones, Oshkosh Corporation executive vice president and president of Oshkosh’s Fire and Emergency segment has been named to succeed Paylor as president of JLG and executive vice-president of the Access Equipment segment of Oshkosh Corporation. Craig Paylor will step down on July 1, 2010. Jim Johnson has been promoted to executive vice president and president of the Fire & Emergency segment and president of Pierce Manufacturing, replacing Jones.
 
Strongco Income Fund recently announced it has been appointed by Volvo Penta Canada as its industrial engine service dealer for the province of Ontario.
 
The Safety Department of Dawes Rigging & Crane Rental committed 25 employees to a National Commission for the Certification of Crane Operators (NCCCO) Signalperson Certification course. Obtaining certification through the course will not only enhance the safety of Dawes’ employees and customers, but also will keep Dawes ahead of the crane industry’s new Occupational Safety and Health Administration (OSHA) rule that will be in effect later this year.
 
Rocky Mountain Dealerships Inc., a Canadian network of full service agriculture and construction equipment dealerships, has been granted the distribution rights for New Holland Agriculture and New Holland Industrial equipment in the region west of Edmonton, Alberta.  The company also announced a new distribution agreement with Scania U.S.A. Inc., for exclusive distribution of Scania industrial engines in Alberta, Saskatchewan, Manitoba and the Northwest Territories.
 
John Van Ruitenbeek, previously with Briggs Construction Equipment, has been appointed as vice president sales and marketing of Sennebogen.
 
Tom Coble, president of Coble Trench Safety, Inc. is a finalist for the Ernst & Young Entrepreneur of the Year 2010 Award in the Carolinas, marking the second year he has received this acknowledgement.  According to Ernst & Young LLP, the awards program recognizes entrepreneurs who demonstrate extraordinary success in the areas of innovation, financial performance and personal commitment to their businesses and communities.
 
Tim Conover of Ditch Witch Midwest in Carol Stream, Ill., was honored with the Ditch Witch Lowell Highfill Award for 2009. This prestigious award is given to the most outstanding performance by a Ditch Witch salesperson in promoting and marketing Ditch Witch products with professionalism, knowledge, integrity and service to our industry. Conover has been a salesman for Ditch Witch Midwest, Inc., for more than 15 years.
 
Mark Frey of Ditch Witch of Montana in Billings, Mt., was honored with the Ditch Witch Service Manager of the Year for 2009. This prestigious award is given in recognition of the superior leadership of a dedicated Ditch Witch service manager who promotes the highest level of product support to his customers and co-workers. Frey has been a service manager for Ditch Witch of Montana for more than 15 years.
 
Hyundai has announced that Hyundai Construction Equipment U.S.A., Inc. (HCEUSA) has changed its corporate name to Hyundai Construction Equipment Americas, Inc. In December 2009, HCEUSA’s parent company, Hyundai Heavy Industries expanded the HCEUSA’s operational reach to cover all of North, Central and South America.
 
Michael Robert Sill, former president of AED, passed away May 28, 2010, at the age of 78. Sill grew up in Duluth, Minn., and graduated from Duluth Central High School, and the University of Minnesota Duluth. He served in the United States Air Force from 1951-1953. He then went to work for Road Machinery & Supplies Co. (RMS) that his father had started in 1926.
Sill is survived by his wife of 51 years, Barbara; daughters Debra Williams (Hunt III) and Patricia Sill; sons Michael (Mary) and Douglas (Kris) and six grandchildren. His son Michael Sill II, is the third generation president of RMS.
 
Caterpillar Inc. has announced that Progress Rail Leasing Corporation, a wholly-owned subsidiary of Progress Rail Services, a division of Caterpillar, has acquired FCM Rail, Ltd. (FCM), Fenton, Mich., a leading lessor of maintenance-of-way (MOW) equipment in the U.S.
 
Naperville, Ill.-based West Side Tractor Sales Co. will carry Atlas Copco’s full line of construction equipment products at each of its locations in Naperville, South Holland, Rockford, Wauconda and Rockdale, Ill. West Side Tractor Sales is expanding its equipment lines to include a complete line of compact commercial work site products.
 
Deere & Company will expand its John Deere-branded properties to include a tourist attraction in Waterloo focused on the history of tractor and engine design and manufacturing. Construction on the John Deere Waterloo Tractor and Engine History Museum will begin later this year.
 
Doosan has named Executive Director Oh Saewook to executive managing director, and appointed him as the chief of a new corporate social responsibility team, which will oversee practical matters of the group’s social responsibility campaigns.
 
Indy Equipment has purchased the power buggy product line from Terex and has resumed manufacturing in its Independence, Ohio, facility. New units will be marketed under Indy Equipment’s new brand, “The Power Buggy.”

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