PROVIDENCE – Nortek last week reported strong third quarter growth, announcing that its diluted per share earnings from continuing operations increased 53 cents to $1.70 from the $1.11 reported for the same period in 1998. Net sales for the period were $553 million, a 21 percent increase over the same period a year ago. Richard L. Bready, Nortek chairman and chief executive officer, said the just completed second and third quarters “represent the two strongest quarters in the history of Nortek.”
For the first nine months of 1999, diluted per share earnings from continuing operations increased 71 percent to $3.65 from $2.13 last year, operating earnings increased 49 percent to $145 million, net sales of $1.5 billion were 16 percent higher than the $1.3 billion reported last year. The first nine months of 1999 included $301 million of sales from recently acquired businesses, while the first nine months of 1998 included $169 million of sales from businesses subsequently sold.
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Nortek is a leading international manufacturer and distributor of high-quality, competitively priced building, remodeling and indoor environmental control products for the residential and commercial markets. per share earnings
JD American’s revenue up 37 percent
COVENTRY – JD American Workwear, Inc., announced gross revenues of $363,398 for the quarter ended August 31, an increase of 37 percent over the same period a year ago.
The company said its net loss for the period was $245,876, down from $315,854 reported for the same period last year.
“As we move forward we intend to find more ways to cut costs without sacrificing our sales efforts, product quality and customer service, so that we can continue our trend towards profitable operations,” said David DeBaene, company president.
Labor shortage to restrict New England’s growth
NEEDHAM, Mass. (AP) — The New England economy will continue to expand in coming years, but growth will be slowed by tight labor markets that restrict expansion, according to a report released by the New England Economic Project..
The low unemployment rate has already been a factor in restricting growth, but it is leading to higher wages for New England workers, according to the NEEP report.
“We have had a remarkable recovery since the early ’90s, and one issue now is that the unemployment rate in New England has gotten to record lows,” said Yolanda Kodrzycki, president of NEEP. “It is just very, very hard to find any kind of new bodies to put to work.”
The region’s unemployment rate for 1998 was 3.5 percent, and NEEP forecast it would drop to 3.2 percent for 1999. The business organization predicted unemployment would rise to 3.4 percent in 2000, and then up to 3.9 percent by 2003.
New England wages and salaries rose 8.5 percent in the first quarter of 1999 compared with the first quarter of 1998, the report said.
Maine and Rhode Island, which have the region’s highest unemployment rates at 4.2 percent and 4.3 percent, still have more room for expansion, but in Connecticut, Vermont and Massachusetts, tight labor markets will take their toll.
Chances are good that the current boom will end with an economic “soft landing,” the report said, but it also warned that the Federal Reserve Board will have to respond properly to growing inflationary pressures.
Manufacturing was the only sector to lose workers in the last year, suffering a 1.9 percent drop in its labor force in the 12-month period ending in August. But the report noted that New England exports have begun rising as economies bounce back in East Asia.
The region’s hot housing market — driven especially by the high-priced Boston metropolitan area — is expected to cool under the influence of rising interest rates.
The report said that from the second quarter of 1998 to the second quarter of 1999, housing prices rose 7.8 percent, with Massachusetts posting a 9.3 percent increase. But NEEP forecast that New England housing prices would grow more slowly in the coming years at 3.3 percent.
OSHA accuses Pratt & Whitney of hiding injuries
NORTH HAVEN, Conn., (AP) — A federal safety agency has accused Pratt & Whitney Aircraft of improperly documenting or failing to document injuries and is proposing a $155,000 fine against the jet-engine maker.
The U.S. Occupation Safety and Health Administration said the violations occurred at the Pratt Turbine Modular Center in North Haven.
Willful violations are those committed with intentional disregard of, or indifference to, the requirements of the Occupational Safety and Health Act and regulations.
OSHA says the violations involve the recordkeeping of workplace injuries and illnesses and the availability of those records to OSHA officials during inspections.
The agency says Pratt failed to fully report on a high incident of cumulative trauma disorders at the North Haven plant. Many of these injuries resulted in surgery and were not recorded, recorded without full lost work time, or referred to as earlier cases, according to OSHA. The agency said employees were discouraged from reporting signs and symptoms of cumulative trauma disorders.
Pratt has 15 working days to comply with the penalties or contest the allegations.
