10/29/2009
NEWS BRIEFS
Lawson OEM Margins Improve

Lawson Products Inc. reported sales, including fasteners, dropped 24% to $95.1 million during the third quarter of 2009. Gross profit declined 20% to $56.4 million, though margins improved on better OEM performance. Q3 net income fell 51% to $1.5 million.

“By implementing a number of cost reduction initiatives earlier this year, primarily in the MRO segment, we have succeeded in establishing a much lower fixed cost structure to support our future operations,” stated CEO Thomas Neri.

Sales for the first nine months of 2009 dropped 23% to $289.5 million, with an operating loss of $2.7 million and a net loss of $2.6 million, compared to a net loss of $22.2 million for the first nine months of 2008.

Lawson’s OEM segment includes Assembly Component Systems, which provides fasteners and components to durable goods manufacturers, and Automatic Screw Machine Products Co., which manufactures and distributes components, fasteners and fittings for use by OEMs. ©2009 GlobalFastenerNews.com

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