Briggs Reports Strong Sales Growth for Second Quarter of Fiscal 2011

MILWAUKEE, Jan. 27 -- Briggs & Stratton Corporation today announced financial results for its second fiscal quarter and first six months ended December 26, 2010.

Highlights:

• Second quarter fiscal 2011 consolidated net sales of $450.3 million increased $57.3 million or 14.6% from the second quarter of fiscal 2010. For the first six months of fiscal 2011, consolidated sales were $784.4 million, an increase of $66.8 million or 9.3% from the same period of fiscal 2010.

• Our second quarter fiscal 2011 consolidated net loss of $1.3 million, or $0.03 per diluted share, included a $2.2 million after tax charge, or $0.04 per diluted share, related to previously announced organization changes and $2.4 million after tax costs, or $0.05 per diluted share, associated with the refinancing of our Senior Notes.

• In December 2010, we issued $225 million aggregate principal amount of 6.875% Senior Notes due in 2020. Net proceeds were primarily used to redeem the remaining outstanding principal of the 8.875% Senior Notes that were due in 2011.

"Our second quarter results yielded sales growth for both our Engine and Power Products Segments," commented Todd J. Teske, Chairman, President & Chief Executive Officer of Briggs & Stratton. "While we continue to work towards our strategic plans, we are pleased with the progress we are seeing throughout the company despite continuingly challenging economic times. Our organization changes announced earlier this fiscal year demonstrate our commitment to improving the profitability of our Power Products business while making investments for long-term success. Further, the recent refinancing of our Senior Notes extends our maturity profile and enhances our liquidity during a favorable interest rate environment."

Consolidated Results:

Fiscal 2011 second quarter consolidated net sales were $450.3 million and the consolidated net loss was $1.3 million or $0.03 per diluted share. The second quarter of fiscal 2010 had consolidated net sales of $393.0 million and consolidated net income of $3.0 million or $0.06 per diluted share. The $57.3 million consolidated net sales increase was due primarily to higher international engine shipments as well as improved lawn and garden and snow thrower product sales volumes within our Power Products segment, offset by lower sales of portable generator products.

Included in the net loss for the fiscal 2011 second quarter was a $3.5 million pre-tax charge ($2.2 million after tax or $0.04 per diluted share) related to previously announced organization changes and $3.9 million of additional pre-tax costs ($2.4 million after tax or $0.05 per diluted share) associated with the redemption premium of the 8.875% Senior Notes and the write off of the related deferred financing costs. After considering the impact of items related to the organization changes and the debt redemption, adjusted net income for the fiscal 2011 second quarter was$3.3 million or $0.06 per diluted share, which was higher by $0.3 million or less than $0.01 per diluted share compared to the prior year second quarter net income of $3.0 million or $0.06 per diluted share. This increase was primarily due to higher shipment volumes and slightly increased engine pricing, partially offset by higher manufacturing spending, lower absorption on decreased production of portable generators and higher salaries and benefits expenses.

For the first six months of fiscal 2011, consolidated net sales were $784.4 million and the consolidated net loss was $9.4 million or $0.19 per diluted share. The first six months of fiscal 2010 had consolidated net sales of $717.7 million and a consolidated net loss of $5.7 million, or $0.12 per diluted share. The $66.8 million consolidated net sales increase was due primarily to higher international engine shipments as well as improved lawn and garden and snow thrower product sales volumes within our Power Products segment, offset by lower sales of pressure washers and portable generator products.

After considering the impact of the second quarter fiscal 2011 charges related to the organization changes and the debt redemption, the adjusted net loss for the first six months of fiscal 2011 was $4.8 million or $0.10 per diluted share, which was an improvement of $0.9 million or $0.02 per diluted share as compared to the prior year net loss of $5.7 million or $0.12 per diluted share. This improvement was primarily due to increased shipment volumes, improved engine plant productivity on higher production volumes and slightly increased engine pricing, partially offset by higher manufacturing spending, lower absorption primarily related to the decreased production of portable generators and pressure washers, and increased costs stemming from higher salaries and benefits expenses. The higher salaries and benefits expenses include an $8.4 million increase in pension benefits expense as well as a net increase in salaries and 401(k) company match benefits of $5.1 million, which were temporarily reduced in the first six months of fiscal 2010 and have since been fully restored.

Engines Segment:

Fiscal 2011 second quarter net sales were $297.8 million, which was $37.8 million or 14.5% higher than the prior year period. This increase from the same quarter last year is primarily due to higher international engine unit shipments to European and Asian OEMs, partially offset by slightly lower sales domestically as U.S. OEMs and retailers continue to focus on lean inventory levels prior to the spring selling season.

Net sales for the first six months of fiscal 2011 were $503.4 million, which was $37.4 million or 8.0% higher than the prior year period. This increase from the same period last year is primarily due to higher international engine unit shipments to European and Asian OEMs, partially offset by lower engine sales domestically and a reduction of intercompany sales of engines to our Power Products segment due to lower sales and production of pressure washers and portable generators.

The fiscal 2011 second quarter income from operations was $20.2 million, which included a $0.6 million pre-tax charge related to the previously discussed organization changes. After considering the impact of the organization changes, adjusted income from operations was $20.7 million, or $3.8 million higher than the income from operations of $16.9 million in the second quarter of fiscal 2010. Adjusted income from operations was higher due to increased shipment volumes, offset by higher materials costs, increased salaries and benefits including a $4.0 million increase in pension benefits expense and higher selling expenses driven by increased sales internationally.

Income from operations for the first six months of fiscal 2011 was $14.8 million. After considering the impact of the previously discussed organization changes, adjusted income from operations was $15.4 million, or $3.3 million higher than the income from operations of $12.1 million for the same period one year ago. This improvement in adjusted income from operations was due to increased shipment volumes and improvements to production efficiency, partially offset by higher salaries and benefits and higher selling expenses driven by increased sales internationally. The increase in salaries and benefits includes a $8.4 million increase in pension benefits expense and $3.6 million attributed to temporary reductions in salaries and 401(k) match implemented in the first half of fiscal 2010.

Power Products Segment:

Fiscal 2011 second quarter net sales were $186.4 million, which was $21.5 million or 13.0% greater than the prior year period. This improvement was due primarily to increased unit shipment volumes of snow throwers, ZTRs and pressure washers, offset by reduced shipment volumes of portable generators as a result of lower consumer demand and adequate channel inventories.

Net sales for the first six months of fiscal 2011 were $353.9 million, which was $23.2 million or 7.0% greater than the prior year period. This improvement was due primarily to increased unit production volumes of snow throwers and ZTRs, offset by reduced shipment volumes of pressure washers and portable generators as a result of lower consumer demand and retailers closely managing inventories in these categories.

The fiscal 2011 second quarter loss from operations was $14.1 million, which included a $3.0 million pre-tax charge related to the previously discussed organization changes. After considering the impact of the organization changes, the adjusted loss from operations was $11.1 million, or $7.3 million higher than the loss from operations of $3.9 million in the second quarter of fiscal 2010. The increased adjusted loss from operations between years was due to higher manufacturing spending and lower absorption primarily related to the decreased production of portable generators and pressure washers partially offset by increased shipment volumes of snow throwers and ZTRs. The higher manufacturing spending is attributed to higher material costs, manufacturing inefficiencies in launching new products, increased warranty expense, and increased freight expense.

The loss from operations for the first six months of fiscal 2011 was $19.3 million, which included the $3.0 million pre-tax charge in the second quarter of fiscal 2011 related to the previously discussed organization changes. After considering the impact of the organization changes, the adjusted loss from operations was $16.3 million, or $14.9 million higher than the loss from operations of $1.4 million for the same period one year ago. This decline in income from operations between years resulted from higher manufacturing spending, lower absorption primarily related to the decreased production of portable generators and pressure washers, as well as increased expenses related to salaries and benefits. The increase in manufacturing spending relates to transition costs from the closure of our Jefferson manufacturing facility, higher material costs, manufacturing inefficiencies in launching new products, increased warranty expense, and increased freight expense. The increase in salaries and benefits includes $1.4 million attributable to temporary reductions in salaries and the 401(k) match implemented in the first half of fiscal 2010.

Corporate Items:

In December 2010, the company issued $225 million aggregate principal amount of 6.875% Senior Notes due December 2020. Net proceeds were primarily used to redeem the remaining outstanding principal of the 8.875% Senior Notes due March 2011.

Interest expense was higher for the second quarter and the first six months of fiscal 2011 due to a $3.9 million redemption premium on the 8.875% Senior Notes and the write off of related deferred financing costs, offset by lower average outstanding borrowings.

The second quarter and first six months effective tax rate benefit for fiscal 2011 was65.3% and 40.7%, respectively, versus the 29.1% effective tax rate and 39.2% effective tax rate benefit in the same respective periods last year. The increase in the second quarter of fiscal 2011 effective tax rate benefit over the prior year was the result of recognizing the benefit of the research & development credit, which was extended by federal tax legislature enacted on December 17, 2010.

Financial Position:

Net debt at December 26, 2010 was $251.5 million (total debt of $283.0 million less $31.5 million of cash), an improvement of $62.9 million from December 27, 2009. Cash flows used by operating activities for the first six months of fiscal 2011 were $128.7 million, or $103.4 million higher compared to $25.3 million in the first six months of fiscal 2010. The increase in cash used for operating activities is primarily due to working capital requirements to replenish inventory from lower levels at the end of fiscal 2010 and due to timing of payments associated with accounts payable and accrued liabilities.

Outlook:

The company maintains its revised guidance that fiscal 2011 net income on a GAAP basis will be in the range of $57 to $68 million or $1.13 to $1.35 per diluted share. Consolidated net sales are projected to be approximately 2% to 4% higher than in fiscal 2010.

Engines Segment sales are forecasted higher on modest volume and pricing improvements while the Power Products Segment sales are forecasted higher primarily due to higher expected volumes of lawn and garden equipment. Demand for portable generators and the related engines due to landed hurricane activity have not been included in our fiscal 2011 sales forecast.

Operating income margins for fiscal 2011 are projected to be in the range of 5.0% to 6.0%, and interest expense and other income are forecasted to be in the range of $23 million to $24 million and $4 million to $5 million, respectively. The effective tax rate for the full year is projected to be in a range of 32% to 35%.

Poulan Pro Generators Recalled

January 20, 2011

The following product safety recall was voluntarily conducted by the firm in cooperation with the CPSC. Consumers should stop using the product immediately unless otherwise instructed. It is illegal to resell or attempt to resell a recalled consumer product.

Name of Product: Poulan Pro Generators

Units: About 600

Manufacturer: Husqvarna Professional Products Inc., of Charlotte, N.C.

Hazard: The carburetor can fail allowing gasoline to leak, posing a fire hazard to consumers.

Incidents/Injuries: The firm has received four reports of fuel leakage. No injuries have been reported.

Description: This recall involves gas-powered Poulan Pro Generators designed for residential use. Models included in the recall are: PP4300, PP6600, PP6600E and PP7600E, all serial numbers. The generator's model number can be found on the front of the fuel tank on the Serial Number Plate. The generators are black and marigold color, measure 21.5" H x 26.6" L x 21.3" range from 4.4 to 7.6 KW with two handles and two wheels.

Sold by: Poulan Pro and Husqvarna authorized dealers nationwide from July 2010 through September 2010 for between $600 and $1,000.

Manufactured in: China

Remedy: Consumers should immediately stop using the recalled generators and contact Husqvarna to arrange a free repair.

Consumer Contact: For more information or to schedule a free repair, contact Husqvarna toll-free at (877) 257-6921 between 8 a.m. and 6 p.m. ET Monday through Friday. Consumers can also visit the firm's website at www.husqvarna.us/december2010Alert

When Your Old Shovel Isn't Tough Enough

When Your Old Shovel Isn't Tough Enough, High-Tech Gear Is Easy On Driveway, Joints

The makers of the Snow Joe, the Sno-Thro, the SnoBoss, the Sno Wovel and a bevy of other products say clearing snow off the driveway doesn't have to be so darn hard.

From shovels and snowblowers to self-melting walkways, the latest ergonomic and low-maintenance gear is designed to ease consumer's backs and joints, be less taxing on the heart and less stressful to operate. Strong sales and heavy snowfall since Christmas have sent Toro Co. back into production for its plug-and-play electric snowblowers and its "Power Shovel," a $100 motorized vacuum-like device that sucks up and spits snow away, no lifting required.

"With a lawn mower, if it doesn't start you can put off cutting your grass," says Toro's Matt Medden, senior marketing director. "But if a snowblower doesn't start, you're late for work."

Home Depot Inc. says December sales of snow products were up double-digits at the retailer over the previous year, including strong demand for gas snowblowers with electric start buttons (no yanking cords in the cold) and heated hand grips. The company projects similar growth for January.

Removing snow safely is of mounting concern, particularly to the 76 million aging baby boomers. Shoveling snow places extraordinary demands on the cardiovascular system, raising heart rates to dangerous levels after only two minutes, and risks injury to soft tissue, according to a recent study in the American Journal of Emergency Medicine. One culprit: non-ergonomic shovels, the study finds.

For 75-year-old Walter Bearse, clearing snow off the driveway is a matter of pride. "I'm strong as an ox," he crows.

But recently Mr. Bearse's sons have been hounding dad to drop the shovel and invest in equipment less taxing on his heart and body. So he bought a $200 electric Snow Joe snowblower—it starts with the push of a button—and used it to clear his Toms River, N.J., property of more than two feet of winter mess left by recent storms.

The verdict: "I found out there's an easy way of doing this," says Mr. Bearse, a former butcher and turnpike toll collector.

Joseph Cohen, CEO of Snow Joe LLC, said sales of both electric shovels and snowblowers are up 30% over last year.

One pitfall with some machines: the cord. Jon Hoch, who runs snowblowersdirect.com, notes that using extension cords in winter presents challenges. "It can freeze up, and trying to uncoil it is hard," he says. "But the bigger challenge is you are like a dog on a leash."

For those wanting to get unplugged, new this winter is the $1,499 battery-powered AMP Sno-Thro from Ariens Co. Fully charged, the snowblower handles snow up to 10-inches deep and runs for about an hour, the company says. Plus, there's no gasoline, oil or spark plugs involved, a selling point "for people heading to work who don't want fumes on clothing," says Ariens spokeswoman Ann Stilp.

Even the humble snow shovel has evolved. Today, many models are designed with deep scoops crafted from light polyethylene and curved handles for less back strain. Also popular: snow sleighs or "pushers" that can move large amounts of light, fluffy snow without lifting and tossing.

Take Ames True Temper's SnoBoss shovel, a deep dish, dual-handled device designed to push or shovel snow with less exertion. While the company has been making shovels, scoops and ice scrapers for the past century, the SnoBoss is its "most successful snow tool, period," says Joe Saffron, director of marketing and product development.

Barbara Krashnak of Mountain Top, Pa., recently bought seven $35 SnoBoss shovels—three for herself and four to give as gifts. The 68-year-old, who lives alone, says she has a gas-powered snowblower but finds it to be a "big pain in the neck" to operate. With a regular shovel, it took hours to clear her 200-foot long driveway. The SnoBoss, she says, accomplished the same task in 30 minutes. "I like to shovel, but as you get older, you get tireder."

For digging out the car, Ames True Temper just rolled out its AutoBoss, a two-pound folding yellow scoop with multiple hand positions that collapses to 13-inches and fits in a trunk. Oxo, the company known for ergonomic can openers and graters, this fall introduced a snow brush for cars that has an extension handle and rotating head.

And by month's end, Structured Solutions II LLC expects to be sold out of its $120 Sno Wovel—a shovel that uses a large wheel as a fulcrum to reduce body and heart stress.

For those wanting the true no-sweat route, self-melting driveways are a hot option these days. "You could call it a luxury item," says Bryan Morris, sales manager of Warmzone Management LLC of Salt Lake City, which sells the systems.

In a typical design, cables or tubing lie under the driveway and sidewalk and are heated by electricity or hot water. A typical setup costs between $14 to $24 a square foot to tear up an existing driveway and install a system. So a 500-square foot heated driveway would cost from $7,000 to $12,000 to install and about $1.85 an hour for the average homeowner in the Northeast to operate, Mr. Morris says.

Richard Silverstein of Chappaqua, N.Y., says he paid a "couple of hundred thousand dollars" to rip up his home's steep 8,000-square-foot driveway, the walkways and outdoor hot tub to install a Warmzone system. The 60-year-old neuro-ophthalmologist, who works out of his house, says he was concerned that patients and visitors might hurt themselves and wanted to be "stress free" during the winter.

Temperature and moisture sensors turn the system on automatically when it snows. "It looks like there was a blizzard all over—except where I live," says Mr. Silverstein, who used to depend on an armada of plows and snowblowers to clear his property.

"Now I go to sleep and watch TV and don't think about it."

Those craving cheaper alternatives sometimes turn to electric stair and walkway mats, such as those sold by HeatTrak LLC of Patterson, N.J. The stair mats ($39.95 per tread), and walkway mats ($99.95 per five-foot swath) connect with cords but have shut-off protection if punctured.

Now is when outdoor tool merchants typically turn to warmer weather products, but many are mindful of last year's pre-Valentine's Day "Snowmageddon" blizzard. Says Ames True Temper's Mr. Saffron: "We could be chasing snow into February."

Stihl Sets Up Power Tools Facility in India

MUMBAI – January 18 -- Germany-based STIHL Group, a manufacturer of outdoor power tools has set up a new, facility at Chakan, Pune which includes warehouse, administrative block, a training centre, engine testing and a service facility.

STIHL started India operations in the year 2005 by setting up a wholly owned subsidiary, Andreas STIHL Pvt Ltd and was operating from its premises in Wagholi. The company has targeted to appoint 500 dealers across India in next three years.

STIHL is now looking at entering the consumer segment with the introduction of electric and battery powered tools. Speaking on the occasion Hans Peter Stihl, chairman of the supervisory board of STIHL AG said, "India with its large size and diversity offers excellent market development potential for STIHL products in future and we continue to view India as one of the important emerging markets. We are looking for opportunities to expand our product program in India and our investment in new facility is one step in this direction."

Peter added that the company is planning to start its own manufacturing unit in India within two years. While sharing the details of the new facility Pramod Wadpally, Country Manager, Andreas STIHL said, "The new warehouse is double the size of our earlier facility and is installed with the new pallet racking system for bigger and better storage of equipments. With this we aim to offer ex stock delivery of more and more products, accessories and spare parts along with shortening of delivery periods."

STIHL products have been very well received in the agriculture segment and are already a part of agri equipments subsidy programs of many states of the country. STIHL equipment are being used by municipal corporations like Mumbai, New Delhi, Nagpur and Chennai in healthcare segment.

The STIHL mist blowers were used by the Indian Defense, the Indian Railways and the Mumbai Municipal Corporation in fighting diseases like dengue and malaria during last monsoon.

http://www.business-standard.com/

E-Z-GO, a Textron Company, Partners with OPEESA Member Dixie Sales Company

E-Z-GO Partners With Dixie Sales Company to Offer Outdoor Power Equipment Dealers Exclusive Sales and Service Growth Opportunity

Browns Summit, NC January 10, 2011

E-Z-GO, a leading US manufacturer of golf cars, utility and personal transportation vehicles, has partnered with OPEESA member Dixie Sales Company, an independent, full service, value added distributor established in 1914, to offer qualified outdoor power equipment (OPE) dealers across the United States the opportunity to become an E-Z-GO Authorized Sales and Service Center.

Once qualified, an E-Z-GO Authorized Sales and Service Center can provide OEM E-Z-GO parts and accessories and vehicle service for hundreds of thousands of E-Z-GO cars and Cushman utility vehicles in use today. And have the opportunity to sell new and remanufactured E-Z-GO cars.

“This is an unprecedented opportunity for our U.S. OPE Authorized Service Center customers who qualify and become E-Z-GO Authorized Sales and Service Centers,” said Mike Rounsavall, President of Dixie Sales Company. “Every golf course, utility, industrial plant, distribution center, resort or hotel, retirement community, or personal E-Z-GO car user is a potential customer, offering nearly unlimited growth potential to our qualified OPE service centers. The selection of Dixie Sales Company by E-Z-GO is further acknowledgement of the value and quality of our authorized OPE service center relationships and network, established across the United States and nurtured over the past 97 years.”

Outdoor Power Equipment dealers and service centers interested in becoming an E-Z-GO Authorized Sales and Service Center, and who believe their company has the business and financial strength, and quality service reputation to qualify, should contact Dixie Sales Company at  ezgo@dixiesales.com or call the Dixie Sales Company E-Z-GO Hot Line at (877) 405-5320 to request an E-Z-GO Authorized Sales and Service Center Information and Registration Packet.

ABOUT DIXIE SALES COMPANY

Dixie Sales Company, established in 1914, is an independent, full service, value added distributor that enhances end-user experiences with consumer products in the United States and Canada, utilizing key core-competencies in customer service, integrated distribution and logistics, product-support service networks, and return product management.

Dixie Sales Company has three distribution centers in Greensboro, NC, Memphis, TN and Toronto, Canada, as well as two call centers that handle over one million calls a year with customer support in English, French and Spanish.

Long established relationships with dozens of manufacturers and multiple-store retailers has enabled Dixie Sales Company to create a network of thousands of service centers across the United States and Canada that provide exceptional service support for many types of consumer products.

Manufacturers and their retailer partners trust Dixie Sales Company to provide innovative and cost-effective product-support solutions to enhance their customers’ product experience.

ABOUT E-Z-GO

E-Z-GO, founded in 1954, became a Textron Inc. company in 1960, and is now a leading world-wide manufacturer of golf cars, utility and personal transportation vehicles. E-Z-GO builds hundreds of thousands of vehicles each year in its 650,000-square-foot world headquarters in Augusta, GA. More than 40 different vehicle models are produced under the E-Z-GO and Cushman brands for a variety of applications and industries.

Products under the E-Z-GO flagship include golf course fleet cars, shuttle and luggage carrying cars for the hospitality and retirement industries, industrial and commercial cars to move people and material around factories and distribution centers, turf maintenance cars with hauling capabilities up to 1200 pounds, and the new 2Five car, street legal on most roads with up to 35 mph speed limits. E-Z-GO also produces the Cushman® line of heavy-duty material carriers.

Ariens, CPSC Recall Snowthrowers Due to Injury Hazard

The following product safety recall was voluntarily conducted by the firm in cooperation with the CPSC. Consumers should stop using the product immediately unless otherwise instructed. It is illegal to resell or attempt to resell a recalled consumer product.

January 11, 2011

Alert 11-714

Name of Product: SnoThro 30LE Deluxe Snow Thrower

Units: About 1,040

Manufacturer: Ariens Company, of Brillion, Wisc.

Hazard: Users trying to clear the collector or discharge chute while the machine is operating could be at risk of a finger or hand injury hazard.

Incidents/Injuries: No reports of injuries have been received.

Description: The snow thrower is painted orange and black. The model number is 921020 and serial numbers range from 000101 to 001229 and are located on a label at the rear of the unit next to the right tire. The Ariens logo is placed on the front of the control panel.

Sold at: Home Depot and local Ariens authorized dealerships from October 2009 to January 2010 for about $1,500.

Manufactured in: United States

Remedy: Ariens Company has fixed about 600 of these units prior to their sale. To determine if your unit has been repaired contact Ariens. If your unit has not been repaired, Ariens will assist you in scheduling an appointment for a free repair with an Ariens authorized dealer in your area.

Consumer Contact: For more information, contact Ariens Company toll free at (888) 927-4367 between 7 a.m. and 4:30 p.m. CT Monday through Friday or visit the company's website at www.ariens.com

Ariens, CPSC Recall Snowthrowers Due to Injury Hazard

The following product safety recall was voluntarily conducted by the firm in cooperation with the CPSC. Consumers should stop using the product immediately unless otherwise instructed. It is illegal to resell or attempt to resell a recalled consumer product.

January 11, 2011

Alert 11-714

Name of Product: SnoThro 30LE Deluxe Snow Thrower

Units: About 1,040

Manufacturer: Ariens Company, of Brillion, Wisc.

Hazard: Users trying to clear the collector or discharge chute while the machine is operating could be at risk of a finger or hand injury hazard.

Incidents/Injuries: No reports of injuries have been received.

Description: The snow thrower is painted orange and black. The model number is 921020 and serial numbers range from 000101 to 001229 and are located on a label at the rear of the unit next to the right tire. The Ariens logo is placed on the front of the control panel.

Sold at: Home Depot and local Ariens authorized dealerships from October 2009 to January 2010 for about $1,500.

Manufactured in: United States

Remedy: Ariens Company has fixed about 600 of these units prior to their sale. To determine if your unit has been repaired contact Ariens. If your unit has not been repaired, Ariens will assist you in scheduling an appointment for a free repair with an Ariens authorized dealer in your area.

Consumer Contact: For more information, contact Ariens Company toll free at (888) 927-4367 between 7 a.m. and 4:30 p.m. CT Monday through Friday or visit the company's website at www.ariens.com

Torotrak Announces New Licensing Arrangement

LONDON – January 7 - Shares in gearbox designer Torotrak motored ahead after it reported that its outdoor power equipment joint venture with US group MTD has been replaced with new licensing arrangements, including an additional $1.6m (£1m) in payments to Torotrak.

Snowstorms Boost 2010 Snowthrower Sales

January 7 -- In the 12 months ending November 2010, 38 million outdoor power equipment units were sold in the U.S., valued at $5.5 billion, according to NPD’s Consumer Tracking Service. Snowthrowers were the top-growing outdoor power equipment category, up 24% in units and 14% in dollars during the 12-month period ending November 2010, compared to the same time the previous year.

The market research firm said the East/South Central region of the U.S. showed four times the sales of snowthrowers compared to the previous 12-month period. The West North Central, South Atlantic, Middle Atlantic, and New England regions all experienced double-digit growth in snowthrower sales.

“Much of the snowfall of the early part of 2010 came unexpectedly, and seemed constant in some places, driving consumers to get that snow blower they had been putting off, particularly the aging boomer population. With storm after storm, there’s only so much shoveling and back pain we can endure,” said Peter Goldman, president of NPD’s home division.

The outdoor power equipment category, as tracked by NPD, includes chain saws, trimmers, mowers (walk-behind and riding), leaf blowers, pressure washers, and snowthrowers.

www.appliancemagazine.com

Ariens Begins $3.8M Plant Expansion

BRILLION -- January 7 -- Outdoor power equipment manufacturer Ariens Co. said it is investing $3.8 million to expand its office and research and development facilities in Brillion.

The project includes the addition of a geothermal heating and cooling system to replace an outdated boiler system. The geothermal system, similar to one installed at Ariens' plant in Auburn, Neb., will pump heat from the ground or into the ground depending on the season. Dan Ariens, president and CEO, said the system is expected to be efficient enough to recover its costs in 12 years, compared with a 40-year lifespan of the firm's previous "inefficient" boiler system.

The expansion project is slated for completion in July. Performa Inc. of De Pere is the architectural firm for the building project. Miron Construction Co. Inc. of Neenah is the general contractor.

Ariens also announced that economist Brian Beaulieau, a principal and managing partner of ITR Capital Partners, has joined the Ariens board of directors. Beaulieu is a principle and CEO of the Institute for Trend Research (ITR) where his focus is research into using business cycle analysis and forecasts to increase business profits.






www.bizjournals.com

CPC Settles Lawsuit with Oregon Parts Company

Janesville, WI -- January 4 -- Certified Parts Corporation (CPC) announced the settlement of its patent infringement case against Blount Industries, the owner of Oregon Parts Company. The lawsuit accused Blount of selling certain carburetors covered by patents owned by CPC as part of its purchase of certain assets of

TecumsehPower Company. The litigation sought an immediate stop sale and damages from Blount for sales of the infringing carburetors.

Under the terms of the settlement, Blount (Oregon) has agreed to immediately stop sale of the carburetors and destroy all inventory in the distribution channels and at their facilities. Financial terms of the settlement were not disclosed.

“We are pleased this case was settled in our favor,” stated James Grafft, CEO of Certified Parts Corporation. “We will vigorously pursue any case of illegal use of our intellectual property. The patents and designs we own are a vital part of our efforts to re-introduce engines previously manufactured by TecumsehPower to the market.” The engines Grafft referred to will be produced under the original Lauson brand name which dates back to 1895, making it America’s Oldest Engine Company.

Certified Parts Corporation purchased certain assets of TecumsehPower Company in 2009, and provides production engines and parts for TecumsehPower (Lauson) engines. In 2010, CPC purchased the assets of Hoffco/Comet and has restarted production in their Wisconsin facilities. CPC is also a large supplier of vintage parts for the recreational vehicle industry.

Organizations Ask Court To Overturn EPA Approval of E15

WASHINGTON, Jan. 3, 2011 -- NPRA, the National Petrochemical & Refiners Association, today joined with two organizations to ask a federal appeals court to overturn a recent decision by the Environmental Protection Agency that authorizes the sale of gasoline with 50 percent more ethanol for late-model vehicles.

Organizations joining NPRA in the legal challenge to EPA are the International Liquid Terminals Association and the Western States Petroleum Association.

EPA's Oct. 13 decision boosted the amount of ethanol permitted in gasoline used by cars and light trucks in the 2007 model year and later from the current 10 percent (E10) to 15 percent (E15).

NPRA and the other organizations today filed a petition asking the U.S. Court of Appeals for the District of Columbia Circuit to review and overturn the EPA decision, contending EPA violated the Clean Air Act and the Administrative Procedure Act.

The lawsuit by the groups will argue that EPA does not have authority under the Clean Air Act to approve a partial waiver that allows the use of E15 in some engines but not in others.

In addition, the lawsuit will contend that EPA based its partial waiver decision on new data submitted to the public rulemaking docket on the day before EPA announced the partial waiver, providing no time for the stakeholder review or meaningful public comment required under the Administrative Procedure Act.

NPRA and the other organizations will file more details and written arguments regarding their lawsuit in coming weeks.

"NPRA is taking this action because our members are committed to consumer protection and providing safe, efficient, affordable and reliable fuel to the American people," NPRA President Charles T. Drevna said. "The organizations challenging EPA's decision believe the agency has acted unlawfully in its rush to allow a 50 percent increase in the amount of ethanol in gasoline without adequate testing and without following proper procedures. As a result, we had no choice but to take this issue to court."

NPRA and other groups have previously raised concerns about engine damage in cars, trucks, motorcycles, boats, snowmobiles, and outdoor power equipment such as lawnmowers and chainsaws that might be caused by E15.

The groups have said that while E15 is not recommended for anything but 2007 model vehicles and later under the EPA decision, many consumers will inevitably use E15 in other engines, a problem known as misfueling.

American Honda Recalls Snowblowers Due to Fire Hazard

WASHINGTON, DC -- December 29 -- The US Consumer Product Safety Commission, in cooperation with the firm named below, today announced a voluntary recall of the following consumer product. Consumers should stop using recalled products immediately unless otherwise instructed. It is illegal to resell or attempt to resell a recalled consumer product.

Name of Product: Honda snowblowers

Units: About 18,500

Importer: American Honda Motor Co. Inc., of Torrance, Calif.

Hazard: The fuel tank joint and O-ring located on the underside of the fuel tank can seep or drip fuel over time, posing a fire hazard.

Incidents/Injuries: Honda has received 90 reports of fuel either seeping or dripping. No fires have been reported.

Description: This recall involves Honda snowblowers with model numbers and frame serial numbers listed below. The snowblowers are red and black. The frame serial number is located on the rear of the machine just below the engine. The name Honda and the model number are located on the side of the front scoop.

Model	Frame Serial Number
HS724	SZBE-1037913 through 1046577
HS928	SZAS-1151080 through 1169012
HS1132	SZBF-1018734 through 1025998

Sold at: Honda Power Equipment dealers nationwide from April 2005 through November 2010 for between $2,000 and $3,400.

Manufactured in: Japan

Remedy: Consumers should immediately stop using the recalled snowblowers and contact any Honda Power Equipment dealer to arrange for a free fuel tank joint and O-ring replacement. Registered owners of the recalled snowblowers will be mailed a notice.

Consumer Contact: For additional information, contact Honda at (888) 888-3139 between 8:30 a.m. and 5 p.m. ET Monday through Friday, or visit the firm's website at     www.hondapowerequipment.com

Riding Mower Sales Predicted Up For 2010

We plant it, water it, fertilize it, cut it, stuff it into bags and then throw it away.

It's called grass. It is one of the least productive crops we grow. And we are increasingly doing it the easy way, on riding mowers.

Janet Shim, an analyst with Santa Monica, Calif.-based industry research publisher IBISWorld Inc., forecasts sales of riding mowers will be up 9.8 percent to $896.6 million in 2010.

She recently tripped across this little noticed trend while researching home improvement stores, such as The Home Depot and Lowe's.

She expects this retail group, overall, to post a 2.3 percent decline in sales for 2010. But one bright spot has been riding lawn mowers.

"People have been viewing riding mowers as an investment," Shim explained. "It adds curb appeal to their homes. It's an easy way to increase home values."

Indeed. Nothing says "I'm not making my mortgage payments anymore" like an overgrown lawn. The bank-owned home down the street can get away with it, but not you.

Shim speculates many Americans have gotten rid of their gardeners, landscapers and lawn servicers amid the sluggish economic recovery.

But they soon find out that mowing themselves is hard work. So they run to a home improvement store and plop down anywhere from $700 to $5,500 or more for a new riding mower.

Sales of push mowers, or walk-behind mowers, meanwhile, remain on the decline, Shim said.

"Baby boomers are driving this trend," Shim said. "They are seeking comfort while they mow the lawn."

Aging Baby Boomers are caught between distinct generations: Their parents, who once had to cut lawns with motor-less push mowers; and their children, who do not even know what a lawn mower is because operating one has yet to be effectively simulated by a popular video game.

Meantime, the grass keeps growing and someone has to cut it.

Marketers learned long ago that Baby Boomers will do anything if it somehow can be considered cool or artsy.

Riding mower maker John Deere leveraged this strategy perfectly in an advertising campaign during the March Madness college basketball season this year. It was dubbed "What will you create?"

The campaign featured South Carolinian Pearl Fryar who turned his lawn into a world renowned topiary garden by logging 1,200 hours on his John Deere lawn tractor.

Then there was former executive Larry Carlson of Bridgehampton, N.Y., who turned a five-acre potato field into "a work of art, complete with beautiful rustic gardens and a labyrinth."

Carlson looked like a guy who could afford to hire a landscaper, but he was doing it himself for his love of the art, you see.

The message: Time to get back in touch with the earth. Get yourself a cushy riding mower and cruise the rolling greens of your gated suburban spreads — if you haven't lost them to foreclosure, that is.

"Lawns are a status symbol," Shim said. "People judge your wealth or status by your lawn."

And where else can a man be free — to text and drive, to rage and drive, to drink and drive — than on his own lawn?

Where else can a woman — barefoot, pregnant and mowing the lawn — find more glamour and sophistication than on a Husqvarna?

There's nothing more invigorating than revving a Briggs and Stratton engine, buzzing the open space of your own backyard, smelling the fresh-cut grass, wind in your hair, sun on your back, whirling blades beneath your feet. The nation's unemployment rate be damned.

In a sluggish economic recovery like this, this could be the closest many of us will come to owning a yacht.

Al Lewis   www.denverpost.com