MA E-newsletter July 2006

"Canada's leading publication providing industrial automation news and technology information aimed at the discrete and process industries."

In this issue

Schneider Electric Canada helps hurricane victims

JMP acquires Cougar Automation Technologies

RFID adoption moving at a modest pace, survey finds

FKI Logistex consolidates manufacturing and engineering locations

Product focus: Communications and networking

From the editor

Tax relief a relief to manufacturers?

Last month, Finance Minister Jim Flaherty made an announcement that could help Canadian manufacturers better compete in the global economy. Flaherty said that he will consider improving the tax treatment of capital assets, which will in turn help manufacturers invest in new technology. His announcement comes on the heels of a Statistics Canada report stating that manufacturing output in the country fell by 0.2 per cent in April, the third consecutive month in which output dropped. Another statistics Canada report indicates that April GDP growth underperformed for the month because of a slowdown in manufacturing.

Canadian Manufacturers & Exporters (CME) president and CEO Perrin Beatty said that the industry urgently needs relief. "Manufacturers are severely pressured by the high dollar, increasing interest rates and competition from low-wage countries," said Beatty. "They need a competitive environment today."

CME has urged the government to accelerate the Capital Cost Allowance on manufacturing and processing equipment to help manufacturers invest in new technology.

"Canada's manufacturers need new equipment to close the gap with their competitors," said Beatty. "We're pleased Jim Flaherty is considering our request for an accelerated Capital Cost Allowance. Manufacturers are prepared to do their part, but they require a competitive tax system, and they need it today."

Indeed, the industry could use all of the support and help it can get. But will improving the tax treatment of capital assets make a difference? Is there a more effective solution? Send me a note and let me know what you think. I look forward to hearing from you.

In the news

A team of Canadians assemble a home in hurricane-ravaged Louisiana as part of Habitat for Humanity's "Operation Home Delivery" program.

Schneider Electric Canada helps hurricane victims
TORONTO, Ont. — A Schneider Electric Canada employee recently travelled to the United States' Gulf Coast region to participate in Habitat for Humanity's "Operation Home Delivery" program. The program is the organized response effort by Habitat International to help those affected by Hurricanes Katrina and Rita.
To construct the houses, "Operation Home Delivery" relies on Habitat International's "House-in-a-box" initiative. Habitat affiliates across North America pre-fabricate the walls and trusses of a single house, and ship them down to the Gulf Coast region where they are assembled into complete houses.
The first Canadian "House-in-a-Box" was pre-fabricated earlier this year in Ottawa. In April, four teams of Canadians travelled, in relays, to the Gulf Coast to assemble it.
The house is located in the Terrebonne/Lafourche Parish area just outside of New Orleans, which saw 16,000 homes damaged or destroyed by Hurricanes Katrina and Rita.
Schneider Electric Canada is a longtime supporter of Habitat for Humanity. This year, the company's contribution will total $125,000 in electrical equipment donations and money to sponsor one complete house in the Toronto region.
www.schneider-electric.ca

JMP acquires Cougar Automation Technologies
LONDON, Ont. — JMP Engineering Inc., an industrial system integration company that specializes in the engineering and provision of automation, control and information solutions, recently acquired engineering firm Cougar Automation Technologies.
Katherine van Nes, president of Cougar Automation, will lead JMP's Manufacturing Execution Systems data division.
JMP's head office is in London, Ont., with branch offices in Barrie, Vaughan, Burlington, Cambridge and Windsor, Ont., and Livonia, Mich.
www.jmpeng.com

RFID adoption moving at a modest pace, survey finds
CHICAGO, Ill. — RFID adoption is moving at a modest pace, but there is reason to believe that growth may be on the way, according to the survey RFID: How Far, How Fast?, sponsored by NCR Corporation and conducted by Retail Systems Alert Group.
The survey results suggest that retailers are lagging far behind manufacturers in adopting RFID. Only nine per cent of retailers that responded to the survey have an RFID-implementation timeline, while 44 per cent of manufacturers have developed a timeline. Among those companies that have a timeline for RFID adoption, most respondents (both retailers and manufacturers) report that they have pilot distribution centres up and running.
According to the survey, although there still may be several challenges that are on the horizon in the adoption of RFID, the outlook is cautiously optimistic. The awareness level of RFID among C-level executives, directors and managers has significantly improved.
www.retailsystems.com
www.ncr.com

FKI Logistex consolidates manufacturing and engineering locations
ST. LOUIS, Mo. — FKI Logistex, a provider of integrated material handling solutions, recently consolidated two of its North American manufacturing and engineering locations within its airport, post and parcel division to take advantage of operational efficiency opportunities. Manufacturing in the company's Frederick, Md. factory will be transferred to its manufacturing facilities in Danville, Ky. and Cincinnati, Ohio, while engineering and support functions located in Dallas, Texas will be consolidated within the company's facilities in Louisville, Ky.
www.fkilogistex.com

People watching

Product focus: Communications and networking

Mark your calendars

Scientific Technologies, Inc. (STI) introduces their free 2006 Machine and Process Safeguarding Guide. This 850+ page guide is the most comprehensive machine and process safety product and technical reference guide available today. It includes 100+ pages of educational resource material, and features nearly 30 new products across a broad spectrum of safety technologies. The guide also comes in a CD-ROM version that contains the complete STI catalog, as well as Product Certificates and Declarations of Conformity, and downloadable CAD drawings.

***********************************************************************************************************************************************
Unsubscribe to the Manufacturing AUTOMATION e-newsletter.

If you are having technical problems, send an e-mail to Web Support.
Note: The message format in your email software must be set to HTML to view graphics in this e-newsletter.

Your email address will not be sold or passed on to any third party. It is only used for magazine-related purposes, such as renewing your subscription and this e-Newsletter. Please see our Privacy Policy for more details.

CLB Media Inc. disclaims any warranty as to the accuracy, completeness or currency of the contents of this e-Newsletter and disclaims all liability in respect of the results of any action taken or not taken in reliance upon information in this e-Newsletter.