News and Trends

• Patterson Q2 net income drops, misses analyst estimates
  Patterson Cos. reported net income of $46.9 million for its fiscal second quarter ended Oct. 25, a 13% drop from $53.7 million in the same quarter last year. The distributor to the dental, veterinary, and rehabilitation supply markets said it plans to implement a hiring and salary freeze amid the lower-than-expected earnings. RTT News (11/20) , Forbes/The Associated Press (11/20) , American City Business Journals/Raleigh/Durham, N.C. (11/20)

• Grainger to consolidate Lab Safety and Industrial Supply businesses
  W.W. Grainger has announced plans to merge its Lab Safety Supply and Grainger Industrial Supply businesses. The broad-line MRO distributor expects to realize cost savings of between $20 million and $30 million over the next 18 months from the consolidation. Modern Distribution Management (11/20) , Industrial Distribution (11/19)

• Canadian suppliers wary of renewing contracts with Detroit
  Canadian suppliers to Detroit's Big Three automakers are nervous about renewing contracts amid concerns that one of the automakers may go bankrupt. Tool makers in Ontario are said to be wary of taking on new work from the Big Three after reportedly being informed recently that new contracts no longer will be insured by Export Development Canada if they supply Chrysler; the Canadian agency also is said to be keeping a close eye on Ford and GM. Modern Distribution Management (11/19)

• Other News

• Report: More freight sent by rail in Q3 due to high fuel costs
  Fleet Owner (11/19)

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Best Practices

• Marketing in an uncertain environment
  It's time to focus on the things you can change about your business in the midst of tumultuous economic times, Terry Brock advises. Think about your customer first rather than your product: Anticipating customers' needs will help other priorities fall into place. Brock also recommends that businesses focus on direct marketing and that they get in front of new trends. American City Business Journals (11/17)

• Act boldly in times of crisis
  In his new book "Think Again," management guru Sydney Finkelstein identifies four internal biases that often lead to poor management decisions: inappropriate prejudgments; inappropriate experience; self-interest; and attachments. Times of crisis can provide opportunities for managers to exercise bold decision-making. "People are more willing to accept change during a crisis. This means it's an opportunity to make hard changes that you need to make that may have been resisted before," Finkelstein says. BusinessWeek (11/14)

Download the 2008 CFO Research Report. To see how other mid-sized companies are using corporate cards and other strategies to control expenses, register to download the Sixth Annual CFO Research Report, prepared by CFO Research Services, in collaboration with American Express.

Sales

• Boost holiday sales by making the right offer
  As consumers prioritize their spending in tough economic times during this holiday season, a marketing expert says offering individual savings promotions and coupons is a wise move, as is adding value by bundling products and services as well as making sure all offers are clearly communicated. Entrepreneur (11/2008)

Hot Topics

Top five news stories selected by NAW SmartBrief readers in the past week.

• Economic downturn expected to catch up with industrial distributors (Reuters)

• HD Supply CEO looks to infrastructure sector for relief (Modern Distribution Management)

• 5 reasons many leaders fail to have lasting impact on employees (Manage Smarter)

• From turkeys to time off: Let staff know you care during downturn (Manage Smarter)

• Wolseley announces additional layoffs after Q1 profit drops (Industrial Distribution)

• Results based on number of times each story was clicked by readers.

Small Business Manager

• Cost of health insurance challenges economic growth
  The size of a business is a good indicator of whether its workers are covered by life insurance, according to a 2007 Small Business Association report that indicated 60% of the uninsured are in families where the primary wage earner works for a small firm. Small-business owners have to make a tough choice between investing their profits in growth -- which improves the economy -- or in health coverage, says North Carolina's Partnership for a Healthy Durham. The Herald-Sun (Durham, N.C.) (free registration) (11/20)

	The Buzz(CORPORATE ANNOUNCEMENTS) Improve product flow and streamline operational efficiency. Franklin University's new, analytics-driven Operations & Supply Chain Management major can better equip your employees to maximize operations and navigate today's fast-changing global business environment. Learn about OSCM at Franklin. Interested in learning more about advertising in NAW SmartBrief? Contact Henry Murphey at (202) 737-5500 ext. 245 or hmurphey@smartbrief.com

Executive Life

• Shrinking portfolios put retirees on edge
  Retirees are coping with huge stock market losses and wondering if they have enough to carry them through. Although retirees are often advised to limit stock market investments, millions have done just that. "People are grieving," said Barbara Goldsmith, a semiretired psychotherapist who counsels fellow residents of the Gleneagles Country Club, a gated community in Delray Beach, Fla. "There was a death. Their money died." The New York Times (11/12)

• BlackBerry gets touchy with new Storm
  A review of Research in Motion's new BlackBerry Storm compares its features with those of its iPhone and G1 rivals, including the Storm's "SurePress" keyboard feature and lack of a Wi-Fi connection. Reuters (11/20) , The Wall Street Journal (free content) (11/20)

NAW Insider

• Billion Dollar Company Roundtables -- peer groups like none other
  NAW's Billion Dollar Company Roundtables provide a unique networking experience. Join your peers to speak in a noncompeting atmosphere about the issues and topics that affect your business today. Join the groups and learn more about the upcoming events here.

• Distributor Success Stories: Profiting Despite the Difficult Economy
  The 2009 NAW Executive Summit focuses on the most important issue facing you in the coming year: the economy. We know your time is valuable, so we won't tell you what you already know -- that "the economy is challenging." Instead, we'll tell you what other distributors are doing to succeed despite difficult economic conditions. Register at the early-bird discount.

Weekly Poll

• What is the best part of the holiday season?
  After voting once, check out the real-time poll results on NAW's All Access page as often as you'd like.

	The giving nature of the season
	The time off work
	The food and festivities
	All of the above

Supply Chain Manager Piedmont Plastics, Inc. Charlotte, NC Corporate Procurement Manager Gas and Supply Baton Rouge, Louisiana Supply Chain Solutions Systems Analyst PetSmart, Inc. Phoenix, AZ

SmartQuote

Without leaps of imagination, or dreaming, we lose the excitement of possibilities. Dreaming, after all, is a form of planning." --Gloria Steinem, journalist and women's rights advocate