World Fence News

July 2012

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WORLD FENCE NEWS • JULY 2012 • 23 Recently, we spoke with Pete Williams Sr. of Southway Fence Co. in Canton, Ohio, who told us that the season got off to a pretty good start be- cause they had a decent carryover of business from the preceding season and it has built up from there. The company carries a full product line with vinyl sales being strong and wood picking up. We were told that chain link is "dying" in his area. The normal servicing area used to be a 100 mile radius, but as of recently, has been expanding, necessitating travel. The company has been established since 1974, and has a business mix of 55% residential, 35% commercial and 10% DIY. The commercial type of projects that the company handles in- clude high security (such as a bio- chemical facility, which is a big ornamental job), a project for Marathon Oil in Columbus, Ohio, lots of schools and stadium upgrades and baseball fields at the University of Toledo, some 150 miles away. Additionally, they do work that in- cludes privacy, decorative, swimming pools, backstops, tennis courts, batting cages, outfield fences, indoor parti- tions, dog kennels, correctional facili- ties, oil refineries, and airports, along with gate operators, temporary fence, guard rail, etc. We then asked Pete what he thought the outlook was for the resi- dential market in his area for the cur- rent year as a whole. He told us that he felt that it looks good – good weather causes the phone to ring and that there were calls starting in December and January which set the tone early on for what has been a good residential sea- son to this point. We also asked if, during these re- cessionary times, the company had in- troduced any cost saving measures. We were told, not a lot, because the com- pany already owns all of its assets. We asked whether the company tries to sell additional supplemental items along with the fence jobs, and we were told "a little bit," and Pete added that, if the request is made, they will provide porch railings or pergolas or trellises. We asked Pete how the overall economy was in the area and we were told that oil and gas fracking is going well at Marathon Oil. Timkin Com- pany is putting on an extension and U.S. Steel is picking up production. On the downside, we were told that there are a lot of foreclosures oc- curring locally but that unemployment figures were normal relative to the na- tional statistics. Pete told us that the company has done some hiring, but they are experi- encing difficulty in finding quality FENCER'S FIELD REPORT A monthly column of industry bits & pieces Compiled by contributing editor Jim Lucci and the staff of World Fence News help. The company does drug testing, and that eliminates some potential can- didates, he noted. However, Pete pointed out that the program was set up in legal confor- mance following regulations, but that the paperwork created is a monster un- dertaking. We asked about the strategy im- plemented for 2012, and Pete said that they are reacting to what develops rather than creating a hard and fast plan. We spoke with Rich Smandra of Kenwood Fence Co. in Santa Rosa, California, who told us that the third and fourth quarters of 2011 produced record sales and, at the time we spoke, 2012 has also been doing very well. Rich was quick to point out that from 2006 through 2008 and 2009 there were some hard times. The com- pany has been in business some 26 years and their service area is some 12 counties in scope (approximately a 100 mile radius) and the work is gen- erated from one location, corporate headquarters where Rich is located. The company business mix is 70% residential and 30% commercial, at the time we spoke. On the commercial side, the scope of work includes schools and com- mercial buildings (including both county and state) which undergo reno- vation and retrofitting. On the residential side, private homeowners are retrofitting, espe- cially on recently acquired foreclosed properties and apartment rentals. The break point for this type of work is about $400,000. The company carries a full prod- uct line. Further, they own Kenwood continued on next page Avalanche Series™ Concealed Fastener Fence Yorktown Series™ 5/8" x 3/4" Picket Ornamental Fencing Glass Panel Railing Estate Gates Ornamental Railing ZipTrack™ Cantilever Gate Buy American, Be American™ u u u Chesterfield, MI Port Richey, FL Murfreesboro, TN AAMA 2604 COMPLIANT We are environmentally responsible

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