Issue link: http://read.dmtmag.com/i/255289
February 2014 | Construction Equipment Distribution | www.cedmag.com | 37 2014 AED Chairman equipment to jobsites around the world. For example, they supplied all the equipment to two major Italian contractors for large infrastructure projects in Iran, Colombia, and Venezuela – 100 to 200 pieces of equip- ment each, plus parts and technical support. Joe Watters was responsible for and grew the export side of the business, which saved the company's bacon when cranes and rigging died for them. "We reached out into the distribution business not because we wanted to sell machines into New Jersey and New York," said Tim Watters, "but because we wanted to have access to machines that we could export." They rode on that ticket till the collapse of the U.S. dollar in the 1980s, which also took their export business down with it; but the chameleon company simply donned a new focus on domestic distribution. Even so, Hoffman's roots were not abandoned, and export still remains a unique and profitable niche for the company today, adding about 15 percent annually to the bottom line. Watters bought Hoffman Equipment in 2002, and took the dealership through multiple waves of OEM relation- ships, including the five major lines he represents today. And the rest, as they say, is history. Business Conditions The market environment for Hoffman Equipment was favorable in 2013, and Watters exclaims it was the compa- ny's "best year ever," exceeding even 2007 results. Healthy construction in New York and New Jersey contributed to their record numbers, but the underlying reason, he says, was, "our export business had a phenomenal year." It's not a feat he expects to repeat in 2014, but Watters says traditional, domestic construction activity leads him to expect moderate growth in the region. Business mood is upbeat, he says, and a number of significant infrastructure projects will be getting underway and should drive the local economy for the coming year. They include the Tappan Zee Bridge, the largest infrastructure project in the country for the next three or four years; the Goethals Bridge from New Jersey into New York; the Bayonne Bridge that will be lifted to provide Panamax vessels access to the Port of New York and the Port of Elizabeth; and also the Kosciuszko Bridge that is part of the Brooklyn-Queens expressway. His big-picture outlook for the U.S. isn't quite as cheer- ful, though, and he predicts a mostly flat year. "If you don't have the exposure to the shale energy market your business is only so-so," he said, "but the housing market will ultimately provide some not-insignificant growth to our industry, finally." Although Watters is, frankly, a little worn out from hearing complaints about Washington, he admits that two of his company's biggest potential threats in 2014 will stem from federal policymaking: (1) Obamacare, which will certainly make their costs go up, and (2) the risk of the Highway Trust Fund running dry. "We can beat the drum and make noise about it," he said, "but worrying about it isn't going to solve anything." D e a l e r s h i p M a n a g e m e n t S y s t e m D e a l e r s h i p M a D e a l e r s h i p M a n a g e m e n t S y s t e m Hoffman Equipment's certified technicians perform a wide variety of repair and remanufacturing services at all five locations.