Glaziers Hope to Hold Steady in 2009, Survey Says
While expectations may not be for huge profit increases in the
year ahead, business continues for glazing contractors surveyed
by USGlass as part of its biannual glazing contractors survey.
The survey was conducted in September.
According to Vic Cornellier, president of TSI/Exterior Wall Systems,
a glazing contractor in Hyattsville, Md., that's because glazing
contractors still are working off of a backlog of work. "The
real question to ask is how and when you will be able to replace
that backlog given the apparent market conditions," he says.
"The real concern should be filling your backlog for 2010 and
2011, as today's lending problems will affect the delivery
of office buildings in those years."
Ken Smith, president of ASI Limited in Indianapolis echoes those
sentiments for 2008 and 2009. "Our current backlog is set with
contracts and projects currently under negotiation," he says.
"We see 40 percent growth [in 2009]."
"With the general economy suffering with low confidence, anxiety,
tightened credit and global uncertainty, we will most likely see
restrained or calculated spending," predicts Jim Vogelsberg,
president of American Glass and Metals Corp. in Plymouth, Mich.
"The health care and educational building areas seem to be
the market now and for the next year. Private work still appears
to be forthcoming, but will obviously depend on how the economy
progresses. The election may also have an influence on all of the
above. I would anticipate, at this time, a very similar year next
year as we are experiencing in 2008.
For 2009, glazing contractors are largely expecting their sales
and profit margins to hold steady-whether that's an optimistic answer
is yet to be determined. Nearly 40 percent of respondents are predicting
sales will stay at the same place next year as this year, while
52 percent are expecting profit margins to remain the same.
For the full survey results, look for the November issue of USGlass
Need more info and analysis about the issues?
HERE to subscribe to USGlass magazine.