BREAKING NEWS

GAWDA Suppliers Predict Another Good Year

Welding & Gases Today's Annual Business Forecast polled GAWDA members from across the nation about their success strategies for the coming year. While most in our industry indicated that 2006 was a growth year, most also believe that we can maintain the pace we enjoyed last year, or even better it.

In Part II of GAWDA Connection's two-part series, many GAWDA manufacturers and suppliers, content with the growth their companies experienced in 2006, were hesitant to predict 2007 sales activity. Those who went out on the proverbial limb suggested that if their companies did not reap the benefits of growth ranging from 2-50%, with an average predicted sales increase of 13%, they would at least remain level.

To be sure, many are introducing new products and new technologies. All are listening to their customers, seeking to provide solutions that will support their long-term growth. In an environment in which increased efficiencies are the buzzwords, it is no surprise that most suppliers and vendors are focused on removing unnecessary costs from their operations and pointing to new products, training programs and facility expansion, all with the goal of removing unnecessary costs from the transaction.

Read the full report in Welding & Gases Today, in print and online at www.gawda.org.

Resolve to Sharpen Your Edge

The January 2007 issue of GAWDA Edge, the association's official publication for Young Executives (and executives who think young!), is now available for download at www.gawdaedge.org. Discover the skills every young leader needs to be a successful manager, learn how to put together an effective marketing plan for 2007, and find out how your new year's resolutions match up with those of the GAWDA Board of Directors! And don't forget to check out the GAWDA Edge Forums to connect with other GAWDA members and start the year off right.

SAFETY & COMPLIANCE NEWS

Posting OSHA Form 300A • Don't forget, you must post the OSHA 300A Summary of Work-Related Injuries and Illnesses by February 1 for calendar year 2006. A company executive must certify the form as being accurate, and it must be posted from February 1 through April 30, 2007, at each location that is required to comply with the OSHA record-keeping requirements.

Advisory: Unauthorized Marking of Compressed Gas Cylinders • Please be aware of the CGA Regulatory Alert (RA-43) available on www.gawda.org regarding the Pipeline and Hazardous Materials Safety Administration's (PHMSA) Safety Advisory Notice concerning Unauthorized Marking of Compressed Gas Cylinders. The Safety Advisory was published in the Federal Register on December 26, 2006. A copy of the Federal Register notice is also available on the CGA Web site.

Emergency Planning and Community Right-to-Know Act (EPCRA) • An owner of bulk installations at a customer site has a duty under EPA regulations (Section 312) to notify the customer of their obligation to file Tier Form reports for each hazardous chemical that meets or exceeds the threshold planning quantities. The reminder must be mailed to an appropriate customer representative by February 15, 2007. The supplier must document its efforts to notify its customers of these requirements.

NEW MEMBERS

GAWDA welcomes new Associate Member Welding Alloys Inc. of Florence, KY.

INDUSTRY BEAT
(what people are talking about)

Tate Hallahan

Hallahan Joins General Welding Supply Company (Denver, CO) • Tate Hallahan joined General Welding Supply Company as a customer service representative. Hallahan brings four years of experience in the welding industry to the position.

Berger Named Customer Service Rep (Plymouth, IN) • All American Welding Supply Inc. named Brandon Berger as customer service representative January 1. The position was created in response to the company's recent growth. Berger previously worked in the medical industry.

Joe Almand (l) and Vern Lewis

Vern Lewis Welding Supply Expands (Avondale, AZ) • Vern Lewis Welding Supply merged with Yavapai Welding Supply (Prescott Valley, AZ) January 1. The new company will operate under the name Vern Lewis Welding Supply. Former Yavapai Welding Supply Owner Joseph A. Almand will remain with the company as director of operations for Prescott Valley.

WDPG Merges with The Horton Group (Nashville, TN) • The Sayle & Tidwell Agency/WDPG Business Insurance Office merged with The Horton Group this month in order to order to concentrate all of its efforts in the welding distribution industry. The company's non-welding supply distributor business was sold to another Nashville-based agency. "This important move will allow us to maintain a high level of customer service and access to insurance companies that provide the best possible coverage," says The Horton Group Senior VP Ken Tidwell. Phone, fax and e-mail contact information for WDPG remains the same.

Dusty Yantis

Yantis Promoted to Executive VP (Bellville, TX) • Western International Gas & Cylinders promoted Dusty Yantis to executive VP. In the new position, Yantis will promote Western's standards for Safety First, customer satisfaction, and production and efficiency. Yantis brings 10 years of experience with the company to the position.

Lincoln Electric Featured on Biker Build-Off (Cleveland, OH) • Lincoln Electric is serving as the official welding partner of Leroy Thompson Choppers and co-owner Scott Webster as they compete on the Discovery Channel's Biker Build-Off program in an episode scheduled to air in early February. Each episode of Biker Build-Off pits two custom shops from different parts of the country against each other to showcase their skills as they build a custom bike.

Michael Stoddard

Stoddard Named ALNET Director (Houston, TX) • Air Liquide America L.P. appointed Michael (Mike) Stoddard as director of ALNET Distributor Network January 1. Stoddard will lead a team of sales managers, business managers and support personnel, replacing Richard Murphy, who recently assumed new responsibilities within the Air Liquide Group. Stoddard brings nearly 30 years of experience in the industrial gas business to the position and most recently served as president & CEO of Aeriform Corporation.

Airgas Acquires CFC Refimax (Randor, PA) • Airgas, Inc. acquired CFC Refimax (Atlanta, GA), a full-service refrigerant supplier and reclamation company, integrating it into Airgas Specialty Products. The company includes 50 employees and generated about $21 million in annual sales in 2006. "This acquisition will advance our strategy to expand our refrigerants business and to broaden our product offerings and capabilities," says Chuck Broadus, president of Airgas Specialty Products.

Select-Arc Completes Facility Expansion (Fort Loramie, OH) • Select-Arc, Inc. completed its latest facility expansion, adding 30,000 sq. ft. to the company's Fort Loramie, OH, headquarters. The new space was built to extend Select-Arc's manufacturing production and warehousing capabilities. This new construction is the most recent of five expansions to the Select-Arc plant since the company's inception in 1996.

Jerry Aarsby In Sympathy Gerald H. (Jerry) Aarsby, 75, co-founder of Gases Plus (Gillette, WY), passed away on December 9. Mr. Aarsby went to work with L & H Welding & Machine in 1968 and became a partner as accountant/business manager. In 1989, as a result of mergers and diversification, the company became Gases Plus Corporation, of which Mr. Aarsby's son, Larry, now serves as president. Mr. Aarsby enjoyed spending time with his wife, Nat, woodworking, golfing with buddies, fishing with his son and friends, remodeling homes and building commercial buildings. Mr. Aarsby always devoted time to church and civic activities and was known for maintaining a great attitude no matter what he faced. A memorial has been established for the building fund at First Evangelical Free Church in Rapid City, SD.

GAWDA NEWS

GAWDA 2007 Profit Survey • It is time to start producing some real profits. The economy is demonstrating real sustained growth. With the benefit of sales growth, every firm should be producing much higher profits. Unfortunately, higher profits are not automatic; they must be earned. To ensure that you reach your full potential, you need some realistic financial benchmarks. The best source for financial benchmarking information in the industry is the PROFIT Report. Attention GAWDA Active (Distributor) Members! Watch your e-mail for the GAWDA 2007 Profit Survey and plan to participate. Remember: Only members who participate in the survey will receive the final Report. Nonparticipating members WILL NOT be allowed to purchase the Report.

Profit Improvement Report Prepared for GAWDA • For most of the last decade, GAWDA members have taken a strong cash-flow orientation to their operations. The rallying cry has been "Profit is fine, but cash is king." There is now strong evidence that the king is in exile. A proponent of the cash flow perspective would argue that both inventory and accounts receivable are cash traps that must be drained. However, reducing these onerous investment factors has the potential to lower sales volume. A new report, "Avoiding Investment Myopia," prepared for GAWDA by Dr. Albert D. Bates, president of Profit Planning Group, examines the implications of lowering the investment in inventory and accounts receivable. Read full article at www.gawda.org.

GAWDA 2006 Membership Directory Available for $25 • Don't miss this opportunity. Complete this order form and fax it in to 215-963-9785 or contact Malvenia Avery at 215-564-3484 ext. 2233. Note that the new issue will be printing in May 2007.

Clearinghouse Updated • The GAWDA Clearinghouse has been updated for January. For more information, visit www.gawda.org.

WORKSHOPS, WEB CONFERENCES & SEMINARS

Negotiation Strategies
Monday, January 29, 11:00 a.m. ET
Join Joe Ellers for this teleconference to learn how to prepare for each type of "sale," what questions to go armed with and which ones to anticipate and prepare for, and the rules you must follow if you want to succeed more often. Follow this link to learn more or to register.

University of Industrial Distribution Update • The University of Industrial Distribution, taking place March 4-7, 2007, in Indianapolis, is currently sold out.

The Habit of Selling
March 20-22, Dayton, OH
This seminar, presented by Don Buttrey, is co-sponsored by GAWDA with AEA to offer a sales training opportunity for distributor salespeople and sales managers. Learn while networking with distributor salespeople from a variety of industries. Cost is $895 per person (includes 2 1/2 days of sales training, work binders, tools, worksheets and most meals). Download the program details and the registration form here.

2007 GAWDA University Compliance Update Seminar
March 27-30, Indianapolis, IN
GAWDA University announces its 2007 Compliance Update Seminar. This year's session features a new seminar on crisis management and emergency planning, as well as our industry-leading compliance update training. Space is limited, and the last two seminars have sold out completely, so register early to reserve your space. Online registration is available at this link. Program details and the registration form can also be found at www.gawda.org

The GAWDA Connection is distributed on the 8th and 23rd of each month to all GAWDA members as
a membership service of GAWDA, the Gases and Welding Distributors Association, 100 N. 20th Street, 4th Floor, Philadelphia, PA, 19103. Neither GAWDA nor Data Key Communications, LLC, their officers, directors, members and staff are responsible for contents or opinions other than those concerning Association activities.

GAWDA HEADQUARTERS
100 North 20th Street, 4th Floor
Philadelphia, PA 19103-1443
phone 215.564.3484 - fax 213.963.9784
gawda@fernley.com