Construction Equipment Distribution magazine is published by the Associated Equipment Distributors, a nonprofit trade association founded in 1919, whose membership is primarily comprised of the leading equipment dealerships and rental companies in the U.S. and Canada. AED membership also includes equipment manufacturers and industry-service firms. CED magazine has been published continuously since 1920.

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SECTION: Midyear Business Survey Report

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Contact Kim Phelan at (800) 388-0650 ext. 340.

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Midyear Business Survey: Niche Strategy, Rentals, and Energy Keep Dealers Moving in The Industry's Game of Musical Chairs

By Kim Phelan

Many predict softer sales for second half of 2012 and boost rental fleet investments.

Even though most dealers attained higher revenues by this June than they collected at midyear 2011, far fewer anticipate new and used equipment sales to increase in the second half of 2012, and the majority who responded to CED's recent business survey (62.9 percent) predict the rental side of their business will increase for the remainder of the year – namely because their customers are cautious about the risks associated with owning iron. Fifty-six percent of dealers are benefiting from the energy sector, and pockets of homebuilding, scrap and demolition, agriculture, material handling and aggregates are keeping some dealerships busy – but consensus is strong that construction is just plain weak.

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Associated Equipment Distributors (AED) is an international trade association representing companies involved in the distribution, rental and support of equipment used in construction, mining, forestry, power generation, agriculture and industrial applications. AED member dealers are unique in that they are each authorized, via contract with an original equipment manufacturer, to inventory, sell and service new machinery in a given geography. More than 90% of AED's factory authorized dealers rent construction equipment as well. The Associated Equipment Distributors strongly adheres to and strongly advocates principles of integrity, ethics and fairness. The AED urges its members to conduct their businesses ethically and compatibly with the free enterprise system and the laws which govern it. Contractors can locate factory authorized construction equipment dealers at the MachineMart® web site.
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