BMR, Canadian Tire, and Home Hardware were among the retailer groups promoting their “made in Canada” pedigree last week, at the beginning of a threatened—then postponed—trade war.

U.S. President Donald Trump had reiterated Feb. 1 that across-the-board 25 percent tariffs—and 10 percent for energy products—would hit Canadian products heading south of the border on Feb. 4. Canada responded by slapping retaliatory tariffs, also 25 percent and also due to come into effect on Feb. 4, on $30 billion of products heading into Canada. This was to be the opening salvo from Canada—another $125 billion of product categories were to be announced in two weeks. Trump agreed to a 30-day timeout on the tariffs late in the afternoon of Feb. 3.

Hours before the eventual truce, BMR Group was one of the first retailers in this industry to take to social media to promote its Canadian status. “We’re proud to be the Canadian reference for your renos and to support Canada’s economy by offering you a wide range of Canadian quality products at competitive prices,” the company posted on LinkedIn.

Home Hardware used “Support Local” as the head for its post on LinkedIn. “Is supporting local on your 2025 resolution list? Home Hardware Stores Limited is proudly Canadian and the country’s largest dealer-owned and -operated home improvement retailer.”

But it was up to Canadian Tire Corp. to really dig into the issue directly. President and CEO Greg Hicks signed off on an impassioned post on LinkedIn, calling Trump’s tariff threat “an unjustified assault from our nation’s longest-standing ally.”

Hicks pledged, in the trade war that was expected to commence later that same day, to “absolutely prioritize Canadian partnerships. Although we value our U.S. suppliers and know they share our concerns, it’s our responsibility to pull every lever possible to protect our customers from these unnecessary and damaging American tariffs,” he stated.

“Locally owned and operated since 1992, we are proud to have the nation in our name. We are ‘Canada’s Store.’”

EvoX, the new buying group serving the Quebec market, brought dealers and vendor partners together on Jan. 29 at Montreal’s Hôtel Monville. They spent the day building relationships and sharing information.

The joint venture, which became official on Jan. 1, combines the national profile of Winnipeg-based Sexton Group and the regional strength of Évolution Distribution in Quebec. It unites all of Évolution Distribution’s current members and Sexton’s Quebec members.

During the day, they heard an update on the services offered by the buying group. In the evening, Hardlines was on the scene as Évolution Distribution head Geneviève Gagnon and Sexton Group president Eric Palmer (shown here with Hardlines Quebec editor Geoff McLarney, left, and Hardlines’ Michael McLarney, second from right) thanked the vendors who braved the winter weather to join EvoX’s team and member dealers.

The pair first announced the partnership back in October. At the time, Gagnon and Palmer, both in attendance at the 28th annual Hardlines Conference in La Malbaie, Que., explained that their respective companies “shared pretty key core values.”

The partnership “adds a lot of credibility in the Quebec market,” Shane McDonald, Sexton’s senior commodity wood manager, told Hardlines at the Montreal event. “Gagnon is very well known.”

“It’s been all positive for our dealers,” said Suzanne Walsh, director of business development at Sexton. “It’s pretty much cemented us in the province of Quebec and that’s just what we need.”

For Sexton’s existing Quebec members, she explained, the new alliance expands their options for local distribution and introduces them to new vendors, who in turn will enjoy access to a wider base of dealer customers.

Gagnon for her part expressed optimism about the collaboration. “The future will show us where this journey leads.”

Hardlines stopped to chat with Randy Martin, TIMBER MART’s vice-president of procurement, during the 2025 WRLA Showcase. “For us it’s about having a presence as a buying group and being here for our dealers,” Martin said. “And then, during the show, we also have the opportunity to go around and meet with all of our key vendors.”

Making in-person connections, meetings, and saying hello—just like Hardlines does when we stop by vendor booths. “Today, as an example, I’ve only been here for a couple hours, but I’ve probably met with three dealers and four vendors already. Typically, you’d have to work pretty hard to meet with those people in person,” he says.

At the show, Martin (shown here standing sideways, centre) looks for opportunities to finalize programs in person, instead of over the phone—then he adds a tip for exhibiting suppliers. “It isn’t the case in all cases, because a lot of vendors wouldn’t necessarily have their key personnel here. They would have their regional personnel.”

The reason that Martin and TIMBER MART head Bernie Owens prefer to be on the attendance roster is to ensure that connections are made. “Absolutely, we want to. Bernie’s the president and CEO. He wants to talk to the president and CEO. I’m vice-president of procurement. I want to talk to presidents or vice-presidents or national sales managers who are able to make decisions.

“And don’t get me wrong, I talk to a lot of local regional sales guys also. When we’re looking to solve opportunities for our dealers, the local guys can help with that big-time.”

Asked what he expects in the coming months that will affect this industry, Martin admits there are too many variables—from tariff threats and the weakness of the Canadian dollar to the uncertainty plaguing customers. “We basically, as an industry, have got to keep working at what we work at and do what we do and make sure that, from the buying group through the suppliers to the independent dealers, everybody’s working hard to satisfy the dealers and their end-customers.”

Uncertain U.S. trade policies will put pressure on the Canadian housing market, according to Canada Mortgage and Housing Corp.’s latest Housing Market Outlook, which provides forward-looking analysis into Canada’s national and major housing markets through to 2027.

The report noted that foreign trade risks add significant uncertainty to the outlook. The agency anticipates that tariffs, if implemented, could have a serious impact on the housing market here. Negative effects include investment uncertainty, an even weaker Canadian dollar, lower export revenues and resulting job losses. Higher inflation and a greater risk of recession are also key concerns.

Changes in Canada’s immigration patterns will also have a negative impact, as the influx of new Canadians is expected to continue to decrease through to 2027. CMHC anticipates that housing starts will slow down from 2025 to 2027, mainly due to fewer condominium apartments being built. But total starts will remain above their 10-year average. Meanwhile, rental apartment construction will remain high, though it is expected to slow into 2027.

The report notes that different regions will face varying conditions. For example, the housing markets in Ontario and British Columbia are now particularly unaffordable. CMHC expects sales in these markets to remain below their 10-year averages. Prices are forecast to grow more slowly in these provinces, especially through 2025 and into 2026.

Alberta and Quebec are cited as more affordable markets; they began recovering early last year. Sales in these provinces are expected to reach historically high levels, with prices growing faster than national averages during the first half of the forecast period.

There is some more good news in the report. Housing sales and prices are expected to rebound as lower mortgage rates and changes to mortgage rules unlock pent-up demand in the short term. CMHC believes the recovery will be uneven, with slower progress in less affordable regions and in the condominium apartment market.

As housing starts falter, the report expects that existing home sales will attract a larger share of renewed demand as they offer more options for financially constrained homebuyers. In addition, the length of new construction projects may limit developers’ ability to meet demand quickly.

“Millennials, many of whom are first-time buyers, are currently driving housing demand,” the report notes. “As remote work declines, we assume this group will prioritize being closer to jobs, boosting sales recovery in larger urban markets.”

Repeat homebuyers are also forecast to return to the market. Spurred by lower mortgage rates, the agency expects many current homeowners to look to upgrade.

PEOPLE ON THE MOVE

Sarah Hounslow, president of BMF (Burlington Merchandising & Fixtures), was honoured with a Business Excellence award at U.S. trade publication HBSDealer’s fourth annual Top Women in Hardware & Building Supply event. The mandate of the program is to recognize women in leadership who possess the traits of business excellence and the potential to make a difference in their companies and their communities.

Millwork manufacturer and distributor Metrie has announced several key promotions within its strategic leadership team. Christian MacDonald has been promoted from VP, marketing to the newly created role of chief marketing officer. Kevin Bartel has made the permanent transition to vice-president and general manager, U.S. Jon Dickinson has been named vice-president of sales while Elise Osier, vice-president of strategy and planning, will take on an expanded role that includes leading the financial planning and analysis team. Kate Vondette has been promoted to vice-president, corporate controller. Nicole Rocheleau has been promoted to vice-president of marketing.

DID YOU KNOW

…that the contractor side of the business is growing explosively? Here at Hardlines, we recognize that many dealers today have at least some of their sales going to trades or builders. That’s why we’ve launched PRO Dealer Business, a monthly newsletter to keep you informed about the news in the pro, GSD, and ICI markets. This e-newsletter is a companion to our Pro Dealer magazine, whose inaugural issue mailed in October. The first issue of Pro Dealer Business emailed last week—and it’s free! (Click here to subscribe to this important new e-newsletter.)

RETAILER NEWS

Matériaux Pont-Masson, which operates nine stores in Quebec and Ontario, is rejoining RONA’s network of affiliated dealers. It was previously a member from 1996 to 2021. “We were impressed with the recent changes that were made” at RONA, president Éric Bailey said in a release, “in particular its strong commitment to supporting and developing its network of affiliated dealers.”

Our favourite RONA rock-and-roller, Rob Faries, who has two stores in Moosenee and Moose Factory, on James Bay in Ontario’s far north, is also the lead singer for the Relic Kings. The band is making a rare appearance in the Greater Toronto Area next month, when they play at the Richmond Hill Centre for the Performing Arts. This is a great rock band that released a killer song last summer that tackles the tough issue of youth addiction and loss. (We encourage anybody who loves good rock and roll to check this out, March 11 in Richmond Hill, Ont. Click here for ticket info!—your air-guitar playing Editor.)

Canac opened its newest store on Jan. 24 in Rivière-du-Loup, Que., welcoming more than 5,300 people over its first weekend. Mayor Mario Bastille joined Canac leadership, including president Martin Gamache, for the occasion. The store, the chain’s 34th, boasts a 30,649-square-foot sales area, a lumber yard, a 35,157-square-foot building materials warehouse, and a pro department open on weekdays. Canac’s next store opening is slated for the spring in Salaberry-de-Valleyfield, just west of the island of Montreal.

Walmart Canada is making a $6.5 billion investment over the next five years as the company plans to further accelerate growth in Canada, the company announced in a release. The retailer will open five new Supercentres in Ontario and Alberta by 2027 including Port Credit Walmart Supercentre and Oakville Walmart Supercentre, both slated for 2025. Additional stores will open in Calgary, Edmonton, and Fort McMurray in 2027. Meanwhile, Walmart’s newest distribution centre, in Vaughan just north of Toronto, will open in the spring of this year.

IKEA Canada has released its 2024 annual report. Highlights include $2.8 billion in total sales for the year, down by 1.4 percent, and an $80 million investment in price reductions. Store traffic rose by 14 percent to 32.6 million customers. The retailer has increased its support of Furniture Bank to Combat Furniture Poverty, committing $300,000 to this cause. In addition, it committed $120,000 to further support Furniture Bank’s Sleep Well initiative, which is dedicated to providing children with essential sleep items.

W.W. Grainger reported Q4 sales of US$4.2 billion, an increase of 5.9 percent from a year earlier. Net earnings rose 20.3 percent to $475 million. For the full fiscal year, sales of US$17.2 billion were up 4.2 percent compared to 2023, while earnings increased by 4.4 percent to US$1.9 billion.

The largest retail and e-commerce event in the country is returning to Toronto next month. The 2025 edition of DX3 Canada will take place March 4 and 5 at the Sheraton Centre Toronto Hotel, just steps away from Toronto’s City Hall. Speakers include Robert Allan, Home Hardware Stores Ltd.’s director of paid media; Cynthia Wong, VP of digital technology at Canadian Tire Corp.; and Tanbir Grover, chief marketing and digital officer at Pet Valu. (Click here for information and registration!)

Purolator has acquired Livingston International, an international trade services firm that specializes in customs brokerage, global freight forwarding, and trade consulting, from Platinum Equity. The deal, worth an undisclosed amount, will allow Purolator and Livingston to provide increased breadth of capabilities to customers. Livingston International will now become a wholly owned subsidiary of Purolator, led by its existing leadership team managing its day-to-day operations.

Since 2024, rental housing supply has grown faster than new demand, but affordability remains a challenge. Lower immigration and an increase in first-time homebuyers is expected to continue to reduce rental demand through to 2027. Supply will continue to expand as new rental units are completed, leading to higher vacancies and slower rent increases. But affordability will take more time to improve. Some vacated units will adjust to market rents and renters’ incomes will catch up to previous market rent increases. (CHMC)

After news came out two weeks ago that Peavey Industries would close some of its stores under a major reorganization, the company confirmed on Jan. 27 that it had obtained creditor protection from the Alberta courts under the Companies’ Creditors Arrangement Act (CCAA) and was, in fact, closing all of its locations across Canada.

The Red Deer, Alta.-based farm and hardware retailer has 90 Peavey Mart stores and six MainStreet Hardware locations. Peavey Mart stores have already got “going out of business” sales signs in front of their stores. Calls by Hardlines to stores across the country confirmed that liquidation efforts had already commenced nationwide before Peavey issued its statement.

The company’s main goal now is to raise cash while looking for ways to keep the Peavey Mart name alive.

“This was a profoundly difficult decision, but one that allows us to explore the best possible alternatives for the future of the company,” said Doug Anderson, president and CEO of Peavey Industries.

Peavey stated in the release that its “immediate priority is to generate liquidity through the closure process while continuing to work with funders, partners, and stakeholders to explore potential opportunities to preserve the brand.”

The release cited the business conditions that forced it into bankruptcy protection. The Canadian retail industry is experiencing unprecedented challenges, it said, including record-low consumer confidence, inflationary pressures, rising operating costs, and ongoing supply disruptions along with a difficult regulatory environment.

Add to that Peavey’s uneasy alliance with Ace Hardware, whereby Peavey took over the Ace licence in Canada in early 2020 and began servicing some 90 Ace dealers across the country. The arrival of the Covid pandemic and the logistics of hardware distribution in Canada worked against Peavey, and the deal was terminated effective Dec. 31, 2024.

The company stated that its decision to seek creditor protection and close all stores was made after evaluating all available options.

“For nearly six decades, our customers’ loyalty, employees’ dedication, and the resilience of the communities we serve have been the cornerstone of our business,” Anderson continued. “We remain focused on working with our partners and stakeholders to preserve the Peavey brand and the value it represents.”

Don’t call it the WRLA show anymore—the Winnipeg-based association has renamed itself as Supply-Build Canada. The recent show was held January 23-24 at the Edmonton EXPO Centre—and Hardlines, of course, was there. On the second day of the show, the Western Retail Lumber Association unveiled the new branding. (See below for a separate report on the rebranding.—Editor). 

The show, which brought together hardware and LBM exhibitors to meet with dealers from across the West, was an opportunity to see peers and gain product knowledge—and for some, a first-time experience leading to expansion plans. “We’ve seen some growth. From the time that I’ve started to where we are now, every year we’ve been able to grow the event,” said Supply-Build Canada president Liz Kovach (pictured here at the show, left, with Rebecca Dumais, Hardlines editor).

Kovach noted that it was the biggest show to date during her eight years at the helm of the association. “Actually, it might even be the biggest from a vendor perspective. We had a wait list. We sold out.”

That expanded show footprint included some newcomers. BMR Group, which encompasses over 275 home renovation centres and hardware stores in Quebec, Ontario, and the Maritimes, had its first-ever presence at the show, exhibiting as a gateway to its expansion plans. “This is a very nice show,” said Simon Gouin, senior director, business development. “I’m impressed with the quantity of people that are here.”

He said it’s a way to connect directly with vendors and “create awareness, because a lot of people don’t know us. We’re finding out the hard way that some of the vendors don’t even know us here. So it’s a big learning curve, but it’s not a big hurdle. The fact that we’re members of I.L.D.C. and Spancan helps us.”

For TIMBER MART, the show is about “having a presence as a buying group and being here for our dealers,” said VP of procurement, Randy Martin. “And then during the show, we also have the opportunity to go around and meet with all of our key vendors.”

Networking and the chance “to shake hands and say hello to people, that’s more about what the show is for us,” he said. “Today, as an example, I’ve only been here for a couple hours, but I’ve probably met with three dealers and four vendors already, and typically you’d have to work pretty hard to meet with those people in person.”

From a retail perspective, the show has expanded each year, Kovach said. Along with products and swag, engagement was seen throughout the show floor. “I honestly get a ‘wow’ factor from the entire floor because we’ve had more vendors who want to partner with us on different things.”

The rebranding also opens up the possibility of holding a future show outside the association’s traditional turf, in keeping with Supply-Build Canada’s ambitions to expand its regional scope.

Saturday, Feb. 1 was a possible date for the across-the-board tariffs that U.S. President Donald Trump said he would impose on imports into the U.S. from Canada and Mexico. (Since the Hardlines Weekly Report is compiled before the weekend, we didn’t know at press time whether tariffs were imposed or not.—your time-travelling Editor!)

One thing has become clear to any neutral observer looking at the trade stats: Canada doesn’t have the ability to wound the U.S. economy by enacting retaliatory duties on their products.

Ottawa has said that it will impose “dollar for dollar” tariffs on U.S. imports coming into Canada, even if, as Trump has said, the U.S. tariffs are as high as 25 percent. There’s a problem with that thinking: the U.S. is a huge part of Canada’s export market (70 percent in 2023, according to the United Nations COMTRADE database) and Canada is a much smaller percentage of U.S. exports (17 percent in 2023). So “dollar-for-dollar” retribution will barely touch the U.S. economy.

Consider this. The United States’ gross domestic product in 2023 was US$27.36 trillion, making it the largest economy in the world, ahead of China with US$17.8 trillion. The U.S. exported to Canada around US$427 billion in 2022, according to U.S. Trade Representative (USTR) statistics. That means our share of the U.S. economy, in terms of goods and services shipped to Canada, is about 2.4 percent.

Hardlines is constantly in touch with industry leaders on both sides of the vendor-retailer divide. We have asked various executives about the tariffs issue over the past week.

Simon Gouin, BMR’s vice president of business development attending the recent WRLA show in Edmonton, said to us on the floor of the show that he doesn’t think tariffs are going to happen. “If it does, it’s going to be, excuse my language, a [expletive] ….” Gouin pointed out that BMR doesn’t sell in the United States, but the state of the Canadian consumer is his number one concern.

Randy Martin, vice-president of procurement for TIMBER MART, said at the same show: “Will there be tariffs? Probably. To what degree they actually affect our supply channel in Canada will have to be determined. There’s a lot of moving parts.”

Eric Daignault, divisional GM at Montreal-based Richelieu Hardware, concurred with Gouin that the biggest issue if tariffs are levied is the consumer, and this industry will undoubtedly feel the impact. “It’s not easy for retailers,” Daignault said. “They’re all fighting for a share of the market. And they don’t have the full force of consumer confidence to back them—with uncertainty in the U.S., high interest rates. So discretionary spending is not what it used to be. People are going to buy food before they’re going to paint the walls.”

The former Western Retail Lumber Association used its trade show, which took place in Edmonton in late January, as the platform for announcing a major rebranding initiative. After in-depth consultation with its members, board, and stakeholders, the association has been renamed as Supply-Build Canada.

The rebranding reflects a wider view of the industry, along with new alliances and a repositioning of its trade show.

“As the association expands its advocacy efforts and external partnerships, the Western Retail Lumber Association name became a misnomer,” says association president Liz Kovach. “The building supply industry encompasses building materials beyond lumber, and the association represents manufacturers, distributors, wholesalers, and other categories not represented by just retail.”

Because many of the association’s members, especially on the supplier side, have offices and production outside of the West, the new name intends to capture that, “making a wholesale change of name both necessary and timely,” Kovach adds.

The Prairie-based association’s trade show is one of only two general LBM buying shows in the country. The other is held by the Atlantic Building Supply Dealers’ Association. This year’s ABSDA Expo will be held in Halifax on March 5 and 6.

Along with the new name, Supply-Build Canada announced a partnership with the North American Hardware and Paint Association (NHPA) to access that organization’s extensive library of online and in-person training and educational programs. Supply-Build Canada will be the only licensed provider of NHPA’s educational and training programs Canada-wide.

PEOPLE ON THE MOVE

Paul Crawford, CEO and former president of King Marketing, is retiring after 35 years in the business. He got his start as a sales representative for King Marketing, eventually growing the national manufacturers’ agency from its Western Canadian roots into a national organization serving the hardware and home improvement industry. King Marketing’s current partners are Mark Travers, president; Stephanie Kainz, VP sales; Joel Broughton, pro sales manager; and Matt Jones, national accounts manager. Also at King Marketing: Jim Calce, a 14-year veteran of the company, has moved to the Atlantic Provinces as LBM and pro sales lead. Jeremy Ross is now pro account manager for Western Ontario and Kristy Hineline has taken over LBM sales for Western Ontario.

Robert Rozon has been appointed managing director of Évolution Structures, the Quebec-based building materials fabrication company. Rozon is moving over from the same role at sister company Gagnon – La Grande Quincaillerie, where he had been in place February 2023. The role will be full-time in order to support Évolution Structures’ growth.

NEW PRO DEALER PUBLICATIONS FROM HARDLINES

SELLING TO CONTRACTORS? OUR NEWEST PUBLICATION IS FOR YOU! The contractor side of the business is growing explosively, and most dealers today have at least some of their sales going to trades or builders. Hardlines is launching PRO Dealer Business, a monthly newsletter to keep you informed about the news in the pro, GSD, and ICI markets. The first issue goes out on Feb. 5—and it’s free! To subscribe to this important e-newsletter, please click here

DID YOU KNOW

…that we’ve marked down the 2024 Hardlines Retail Report? The Retail Report is our annual deep dive into the size of the retail market for hardware and home improvement sales in Canada. In this edition, we break down the industry’s sales by province, banner, and store type, and explore topics ranging from online sales and big box strategies for growth to the importance of private labels. Save even more with a Hardlines Premium Membership, and by purchasing the Retail Report in a bundle with our 2024 Market Share Report. Click here for more information and to place your order! click here

RETAILER NEWS

Canada’s newest buying group, EvoX, held a dealer information day Jan. 29 in Montreal for dealers and select vendor partners. The new organization is the result of a partnership between Winnipeg-based Sexton Group and Évolution Distribution in Quebec. Dealers in attendance represented both existing Sexton members in Quebec and Évolution Distribution members, who have all signed on to be part of EvoX.

Siderman Inc. in Guelph, Ont., has joined the ranks of Castle Building Centres. Owners John and Danielle Balfoort have served the area since 2008. They plan to expand their store’s product offering with the move to Castle.

The Globe and Mail reports that organized retail theft is becoming more brazen—and more violent. At a Toronto Shoppers Drug Mart location, an employee was pushed to the ground while following a group of seven people charging the exit with more than $8,000 worth of product in tow. “Retailers across the country are experiencing a rise in violent incidents, threats, and increasingly aggressive behaviour,” Darrell Jones, president of Pattison Food Group, told the newspaper.

The Home Depot in the U.S. has recruited two more outside suppliers to fulfill home deliveries from its stores south of the border. Now, customers can order certain products through Uber Eats and DoorDash. The service is in addition to Home Depot’s use of Instacart, another home delivery service that the retailer began using last summer. Same-day deliveries of orders can be made for thousands of the retailer’s best-selling items available online, as long as they are parcel-eligible. The retailer is catching up with its Canadian division, which has been using DoorDash to provide same-day and express deliveries here since 2020.

Tractor Supply Co., the Tennessee-based farm and hardware retailer, reported that fourth-quarter net sales were up 3.1 percent. For the full year, net sales increased 2.2 percent to US$14.88 billion, while comp sales increased 0.2 percent year over year. Net income was down 0.5 percent to US$1.10 billion.

The Bank of Canada has cut its key interest rate by 25 basis points to 3.0 percent. Governor Tiff Macklem said that monetary policy can do little to ease the burden on the Canadian economy if U.S. President Donald Trump levies tariffs on Canadian imports.

The latest instalment of our podcast series What’s in Store is now online. In this episode, we talk to retail veteran Bill Morrison, who was inducted last fall into the Canadian Home Products Trade Association’s Hall of Fame. Morrison, whose career includes tenures at TruServ Canada and Ace Hardware, shares his insights on what Canadian retail can expect in 2025. Sign up now to get updates about the latest podcasts in your inbox!

Normand Caissie, CEO of Imperial Manufacturing Group (IMG), has been invested to the Order of Canada. Caissie was named a Member in June 2023 and invested last month. He was awarded by Mary Simon, Governor General of Canada, at Rideau Hall in Ottawa (shown here).

The rank of Member, the first of three levels to the order, recognizes an individual’s contribution to a community or field of activity. IMG is a major manufacturer of HVAC and building products with some 13 facilities in North America and some 1,100 employees on both sides of the border. Its head office is in Richibucto, N.B.

Now a conglomerate, the firm had humble beginnings. At age 25, Caissie graduated from the Université de Moncton with a business degree. After trying his hand in the banking and distillery industries, in 1979 he set up his own company in Richibucto called Imperial Sheet Metal Ltd. Over the years, new products, like black matte stove pipe and flexible ducting, were introduced. By 1985, Caissie had set up an office in Toronto. Through a series of acquisitions, more products were added and in 1995 Imperial expanded into the U.S. with an office in Hamel, Ill.

More acquisitions required expanded facilities beyond the head office in Richibucto and a new facility was constructed in Dieppe, N.B., in 1999. Acquisitions and expansion continued and today Imperial’s product lines boast some 7,000 SKUs, including duct and pipe fittings, venting, stove maintenance, and steel studs.

Caissie was previously appointed to the Order of New Brunswick in 2017 and in 2010 was inducted into the Canadian Hardware & Housewares Manufacturers Association Hall of Fame.

The two leading home improvement retailers in the U.S. (and the world) are stepping up to provide aid to communities destroyed by wildfires in southern California.

The Home Depot Foundation has committed US$1 million to support immediate humanitarian and disaster relief efforts, as well as long-term recovery and future mitigation. In Los Angeles, The Home Depot’s associate volunteer force, Team Depot, is packing fire relief kits made up of safety goggles, cleaning supplies, trash bags, and utility tools for the foundation’s non-profit partners to distribute in stricken areas.

Over the past several days, stores in southern California have donated water, masks, and other essential supplies to non-profit organizations to support people in need. The Home Depot has co-ordinated with its supplier partners and distribution centres to deploy dozens of truckloads of supplies to The Home Depot’s stores in the area.

Lowe’s has its own Lowe’s Emergency Command Centre, which is managing a donation of US$2 million to support relief and recovery efforts in the region. Lowe’s donation is being directed to assist first responders and non-profits that are responding to critical needs, such as supporting evacuations, providing emergency shelter, and distributing urgently needed supplies of water, N95 masks, air purifiers, ash sifters, and storage.

“Our thoughts and prayers are with everyone in harm’s way and with the tireless first responders who are battling the fires around the clock,” said Marvin Ellison, Lowe’s chairman and CEO. “Lowe’s is here to help our resilient neighbours as they continue to face unprecedented destruction and begin the long road to recovery.”

Dealers in Canada have their share of challenges coming out of 2024. But the economic conditions that have dampened building, housing starts, and consumer confidence are not confined to this country.

Home improvement markets around the world have faced similar headwinds, according to John Herbert. He is the general secretary of the European DIY Retail Association (EDRA) and its umbrella organization, the Global Home Improvement Network (GHIN). He is based in Cologne, Germany.

Herbert confirmed to Hardlines that these have not been the best of times for the industry. “No, it’s not very optimistic,” he said. While reluctant to express outright pessimism, he did say conditions indicate a cautious outlook globally.

“Last year was down anywhere from three to five percent—and certainly here in Europe,” he said. “And I think that the year ahead could still be difficult, down two or three percent. (These numbers align with Hardlines’ own assessments of the Canadian market in 2024 and our predictions for 2025. —your ever-diligent Editor)

One factor that casts a pall over any hopes for an upturn this year is the political situation in the U.S. Herbert says the election of Donald Trump and the American threat of international tariffs—which would hit Canada particularly hard—also has European companies on the alert come Jan. 20, when Trump takes office.

“But the stock market seems to be going strong,” Herbert added. “Companies like Home Depot, Lowe’s, and Hornbach [a Germany-based big box with stores in nine European countries] seem to be holding up.”

While these factors, including unrest elsewhere in the world, may not signal good news for dealers, overall, Herbert remains hopeful. “The long term I see as more positive.”

Cloverdale Paint, the coatings manufacturer and retailer based in Surrey, B.C., has joined with Celanese Corp., a global specialty materials and chemical company, to manufacture paint with a smaller carbon footprint. Using Celanese technology called carbon capture and utilization (CCU), the process will provide Cloverdale Paint with new ways to manage emissions and offer more sustainable paint products.

 “Our Green Guarantee showcases our commitment to a greener economy and environmental accountability through utilizing sustainable materials, optimizing processes to minimize waste, and reducing our carbon footprint throughout every phase of the company’s operations,” said Darrin Noble, president and CEO of Cloverdale Paint.

Celanese Corp. is a Dallas-based chemicals company that offers products used in a range of sectors ranging from building materials and paint coatings to textiles and adhesives. A Fortune 500 company, it employs approximately 12,400 employees worldwide with 2023 net sales of US$10.9 billion.

Cloverdale is using a process developed by Celanese that involves converting waste emissions into renewable feedstocks through CCU. The technology takes industrial carbon dioxide emissions that would otherwise be emitted into the atmosphere and mixes them with hydrogen to convert the captured CO₂ into methanol. That chemical serves as a building block that makes up part of vinyl acetate-based emulsions used as a raw material in the manufacturing of paints.

Cloverdale Paint says its collaboration with Celanese leverages both companies’ commitments to sustainability and innovation. Broadly, this partnership is expected to utilize more than one million pounds of CO₂ emissions per year in products Cloverdale Paint manufactures.

“Our coatings are formulated not only for performance and longevity but also with a steadfast focus on sustainability, ensuring they actively contribute to environmental conservation,” Noble added. He views this collaboration as a significant step forward, not just for Cloverdale Paint, but for the entire paint industry.

PEOPLE ON THE MOVE

At The Peak Group of Companies, James Beckett will join as SVP, supply chain and global procurement, effective March 3. His career has spanned retailers such as The Home Depot Canada, Canadian Tire, and Staples. In his new role, Beckett will lead the company’s global supply chain and procurement teams and be responsible for global supply chain and procurement strategy, global manufacturing, and distribution.

The Western Retail Lumber Association has named Ken Crockett as the WRLA’s 2024 Industry Achievement Award recipient. With more than two decades of experience in the industry, Crockett is the vice-president of Star Building Materials Ltd., an I.L.D.C. member company with locations in Winnipeg and Calgary. A respected leader who focuses on continuous growth for both himself and his teams, he has modelled a philosophy of giving back to communities through his annual “Ride Through the Rockies” fundraising bike ride in support of Habitat for Humanity. He will be awarded at the 2025 WRLA Building & Hardware Showcase Award Reception in Edmonton on Jan. 23.

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RETAILER NEWS

Canadian Tire Corp. is bringing back its Ultimate Marketing Challenge. The program invites students from across Canada to the CTC head office in Toronto to pitch their marketing strategies. They get a chance to win $5,000 and a fast-track interview for CTC’s Emerging Marketers New Grad Rotational Program.

An eastern Ontario store has officially transitioned to the Home Hardware network under new ownership. Spearheaded by dealer-owner Dan Moulton, Kemptville Home Hardware Building Centre opened its doors to the community on Christmas Eve. The 49,000-square-foot store features 25,000 square feet of retail space and a 14,000-square-foot warehouse.

A lawsuit alleging that Home Depot shared customers’ data without their consent can proceed as a class action, the B.C. Supreme Court has agreed. The plaintiffs, who chose to receive receipts for their purchases by email, are claiming that the retailer shared information with Meta, the operator of Facebook and Instagram. Justice Peter Edelmann granted certification for the privacy action while dismissing other claims of breach of contract.

Grocer Farm Boy recently opened its 51st store in Toronto’s Leaside area, launching a new branding campaign called “Farm Boy Fresh with a Twist.” The roughly 40,000-square-foot location is the largest in the city and features enhanced product offerings, including household cleaning products as part of its “everyday essentials” aisle, and an expanded multicultural foods section.

SUPPLIER NEWS

The Canadian Home Products Trade Association has several new skills training courses on offer. Topics include implementing price changes, people management, branding, and digital marketing. (This is a solid program from the CHPTA. Click here for more details.)

The value of building permits issued by Canadian municipalities fell by $739.5 million, or 5.9 percent, to $11.7 billion in November. The residential sector led this second consecutive monthly decline, with permits down by $588.1 million (7.5 percent) to $7.2 billion. While the multi-family sector drove the bulk of that decrease, the value of single-family permits also fell by $65.8 million. (StatCan)

Sales of existing Canadian homes declined by 5.8 percent month-over-month in December. Actual (not seasonally adjusted) monthly activity came in 19.2 percent above December 2023. The number of newly-listed properties dipped by 1.7 percent month-over-month. (Canadian Real Estate Association)

The annualized rate of housing starts fell by 13.0 percent in December. Starts were down to a rate of 231,468 units, from 267,140 units in November. Urban starts recorded 16,531 actual starts in December, pushing the 2024 total up to 227,697. (CMHC)

The latest edition of Hardlines HR Advisor has hit subscribers’ inboxes. This issue explores the latest workforce research, how customer loyalty is earned, and an Outstanding Retailer Award-winning paint store’s secret sauce. HR Advisor is monthly and it’s free: click here to sign up today!

After a year of sluggish consumer confidence, the retail home improvement industry is expected to report that sales were down in 2024, for the second year in a row. Hardlines forecasts that our industry’s revenue will drop between 1.0 and 2.0 percent.

Examining the industry by store format, building centres are expected to be the strongest format in 2024, though their growth will be very small, at 1.3 percent.

Traditional hardware stores will hold their own as well. This will be due to their convenience factor as well as their role as a destination for many of the affordable home improvement projects, such as painting, that are more popular among consumers during inflationary times.

The big box format is expected to take a hit from cautious consumer spending throughout 2024. Canadian results will be in line with U.S. big box forecasts of negative 3.0 to 4.0 percent. Based on its results during the year, and its own forecasts for year end, Canadian Tire is expected to remain flat or experience negative sales of up to 3.0 percent as well.

Home Depot Canada will continue to ride out the soft spending environment. Its efforts to capture more pro sales should fuel its recovery in 2025. Home Hardware, Canada’s biggest group of independent dealers, represents both building centres and traditional hardware stores. Its growth will be a stable bellwether of the industry’s direction through the rest of 2024 and into the year ahead. It is expected to experience flat or slightly negative growth in 2024.

RONA, with its mix of building centres and big boxes, will feel softness from its large format stores, recently rebranded RONA+, while the smaller corporate stores and the affiliate, or dealer-owned, outlets will manage flat to slightly positive growth.

(We will begin surveying and researching for the 2025 Hardlines Retail Report soon. It will be available this summer. Meanwhile, you can access industry data that ranks the retail banners and groups by sales, store counts, and more when you order the 2024 Hardlines Retail Report! Contact Jillian and ask about our discount!)

Peavey Industries LP of Red Deer, Alta., has turned to a global asset management company to get new financing in order to fund growth. Gordon Brothers is a Boston-based financial services company that oversees corporate rationalization and restructurings, with a specialization in retail.

The package gives Peavey room to tap up to $155 million, which includes a $105 million first-lien revolving credit facility, a $30 million committed first-in-last-out (FILO) term loan, and a $20 million consignment program. The financing will also support Peavey’s ongoing borrowing needs.

Peavey Industries is a specialty farm and ranch retailer that operates 90-plus stores under the Peavey Mart and MainStreet Hardware banners. It has spent recent years on a track of growth, investing in the TSC chain in 2016 (it bought the farm and hardware chain outright a year later). It then assumed the licence for Ace Hardware in Canada in 2020. However, the impact of Covid, combined with the ongoing economic sluggishness post-Covid, drove the company to shed the Ace alliance at the end of 2024.

The move, as reported in a Hardlines interview with Peavey CEO Doug Anderson in mid-summer of last year, will give the company the chance to focus on its core businesses. That renewed focus comes with guidance from its new lender. As part of the deal with Gordon Brothers, Peavey will evaluate its underperforming locations for improvements.

The financing will enable Peavey to launch an approved inventory enhancement program. The company says this will mark “a key step in advancing Peavey’s operational improvement initiatives and reinforcing Peavey’s commitment to efficiency and growth.”

Gordon Brothers will leverage its expertise to support Peavey’s store rationalization efforts. This extensive program focuses on inventory management and real estate optimization, aligning with Peavey’s commitment to refining its store footprint and improving operational efficiency.

The Beauchesne group of companies, representing a major commercial dealer presence in the province of Quebec, has joined Castle Building Centres Group. The group has become a part of Castle’s commercial division.

Founded in 1964, Edouard Beauchesne inc. eventually grew to three locations around the Montreal area. It joined with Distribution Ste-Foy Ltée in 1978 to form Groupe Beauchesne. Distribution Ste-Foy has two locations in Quebec City.

Beauchesne was once part of a major commercial buying group presence in Canada as part of WSB Titan. The other members were Watson Building Supplies and Shoemaker Drywall Supplies (hence WSB). That group, under the leadership of Doug Skrepnek, was sold to Georgia-based Gypsum Management & Supply (GMS) in 2018. While Beauchesne stayed connected with the group on an affiliated basis, it was not part of the sale to GMS.

Skrepnek himself resurfaced in this industry last year as co-owner of Encore Drywall Material Supplies. The Encore name appears to be a reference to Skrepnek’s return to the industry. Encore operates two locations, in Vaughan and Trenton, Ont., which quickly became part of Castle’s commercial division.

Given his past connection with Beauchesne, Skrepnek has been involved in its signing with Castle. Skrepnek and the Leonard family, including Beauchesne president Carl Leonard’s late father, Robert, had been both business colleagues and close friends for many years. Bringing Beauchesne into the Castle fold made good sense, Skrepnek says. “I think we chose the right group for growth and we chose the right group for flexibility.”

Carl Leonard is equally enthusiastic. “We are excited with this new chapter as we team up with Castle,” he said in a release. “We believe the group is positioned for major growth through this partnership.”

In the same release, Castle CEO Ken Jenkins called the deal “a pivotal moment for

Castle in Quebec,” and Beauchesne “a powerhouse.” Jenkins further hinted at more big announcements to come in the year ahead.

Hardlines took a walk through The Buildings Show held recently in downtown Toronto. We found two major retailers exhibiting in the Home & Renovator Expo area of this, the biggest contractor show in Canada.

Home Depot Canada has been in attendance for many years at this show, said pro account sales associate Mitzie Rose at the retailer’s impressive multi-booth exhibit. Rose is based at the Heartland Home Depot store in Mississauga, west of Toronto.

Asked what’s new in the servicing of pros, Rose responded with three words: “Flatbed Distribution Centre.” Home Depot’s FDC, the first in Canada, which ships heavy and bulk materials direct to contractors’ jobsites, has been fully operational since early 2024. “I love the FDC,” said Rose. “We have moved from saying [to contractors] that you will get your goods tomorrow, to precisely when the shipment is going to arrive. That’s how good the FDC is.” Rose reported briskly increasing contractor sales from her store.

The third largest home improvement retailer in Canada, RONA, was also exhibiting at The Buildings Show. Hardlines talked to Basil Sealy, a pro services sales representative in the Greater Toronto Area. Sealy said he was enjoying success reacquainting contractors with RONA’s new branding, now that Lowe’s has disappeared from the Canadian scene (having sold its RONA, Lowe’s Canada, and Dick’s Lumber holdings to Sycamore Partners, a private equity group in New York City, in 2023).

RONA has converted most of its big boxes to RONA+ since the sale, while its affiliate (independent) stores have been offered a new independent-oriented store identity program.

PEOPLE ON THE MOVE

Stéphane Gaumond has rejoined AD Canada as director of business development. He is working alongside VP Paul Williams and Dave Kellam, director, business development. Gaumond previously held this role in 2023-2024 before briefly joining Groupe Beauchesne as vice-president.

Wolseley Canada, the Burlington, Ont.-based plumbing and HVAC wholesale distributor, has announced three appointments. Kevin Fullan will return to the company as general manager, Ontario. He previously spent seven years at Wolseley leading the Ontario and Atlantic regions. Tom Mackenzie will take on a new role as head of HVAC strategy. Alex Nahvi will take on a new role as head of plumbing strategy.

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…that the latest edition of Hardlines Dealer News has hit subscriber inboxes? In this issue, we explore the battle against organized retail crime, one young retailer’s digital marketing efforts, and how RONA is using AI to help customers search for products online. Hardlines Dealer News is monthly and it’s free: click here to subscribe now!

RETAILER NEWS

Ryan and Julie Buck, dealer-owners of Buck’s Home Building Centre in Bridgewater and New Germany, N.S., have acquired Chester Home Hardware in Chester, N.S. The 11,000-square-foot store sits on 2.5 acres of land. Over the coming months, it will be remerchandised and rebranded as a Home Hardware Building Centre, with the addition of a lumber yard and a dedicated entrance and sales area for contractors.

Toys ‘R’ Us Canada says it will close five locations and “rationalize” its inventory to make room for more stores-within-stores. The affected locations are all in Ontario: London, Thornhill, Mississauga, Sudbury, and Hamilton. The retailer is also looking to expand its Wonderlab interactive play concept and add sales areas for the retail entertainment banner HMV. Both companies are owned by Putman Investments.

Tractor Supply Co., the U.S. farm and hardware retailer, has finalized its acquisition of Allivet, a privately-held online pet pharmacy. The deal was announced in October 2024. Founded in 1992, Allivet’s online pet and animal pharmacy services are licensed throughout the U.S., supported by three distribution centres that provide home deliveries as quickly as next day. The terms of the deal were not disclosed.

Ace Hardware garnered top ranking on the Forbes’ 2025 Best Customer Service List in the home improvement category. This is the second year in a row the company has been named number one on the Forbes list. “To be recognized again by Forbes for our customer service is a tremendous honour and a true reflection of our dedication to customers,” said Kim Lefko, chief marketing officer at Ace Hardware, in a release. (No Canadians were contacted for this survey.—Editor)

PayMore, a U.S.-based tech buy-back retailer, has officially expanded into Canada with the opening of its first two stores in Ontario. The company operates based on a buy, sell, and trade model of used electronics. There are over 500 locations in development worldwide, with plans to open 120 locations in Canada.

SUPPLIER NEWS

Forest products producer Marwood Ltd. has announced that it has agreed to purchase all of the assets of Fraser Specialty Products Ltd., operating as Fraser Wood Siding. Fredericton, N.B.-based Marwood said in a release that the acquisition will add a ninth manufacturing site to its network. Fraser, headquartered in Edmundston, N.B., manufactures and paints solid wood siding, trims, and shingles. The transaction is expected to close on Jan 31.

Nicholson and Cates Ltd. has added Cape Cod Finished Wood Siding to its product portfolio. The Burlington, Ont.-based LBM supplier can now provide its customers with Cape Cod’s natural exterior wood cladding. Cape Cod is one of North America’s specialists in prefinished wood siding, trims, and colour-matched accessories. This product line will replace N&C’s distribution of Fraser Wood Siding.

The estimated investment in U.S. building construction reached an annualized rate of US$2.15 trillion in November, up 1.0 percent from October. Spending on private construction was at a rate of US$1.65 trillion, 0.1 percent above the revised October estimate. The annualized rate of residential construction spending was US$906.2 billion in November, also an increase of 0.1 percent. (U.S. Census Bureau)

A recent survey conducted by Ipsos on behalf of HSBC shows two-thirds of independent businesses don’t have a succession plan, The Globe and Mail reports. Proactive planning is key to a smooth transition, and a business owner’s heirs may not be the best candidates to buy them out. “If the kids take over, they may have to take on debt,” explained Tony Maiorino, VP, director and head of family office services at RBC Wealth Management. “Business owners who sell to their kids [may] receive a slightly smaller part of the proceeds than selling to a third party.”

We kick off each new year with our Year in Review feature, looking back at some of our most-read stories of the previous year. Here’s what captured your attention—and imagination—in 2024

Personnel stories are perennial reader favourites, and RONA had a banner year in 2024 for executive staff changes. The retailer began the year with the announcement that Jean-Sébastien Lamoureux was departing after seven years with the company. As senior vice-president of affiliate dealers, wholesale, and public affairs, Lamoureux had championed the place of the independent dealer in RONA’s business strategy. At the Hardlines Conference in Whistler, B.C., in 2023, he said, “Our new ownership understands the value and potential of our RONA affiliated dealer network.”

RONA’s personnel changes didn’t end there. In June, Jean-Philippe (J.P.) Towner was named CEO and president. He took over from Andrew Iacobucci, who had joined the company a year earlier, just a few months before Towner came aboard as CFO.

Towner’s promotion created a vacancy in the CFO position, which was filled in October by Sylvain Girard. He came to RONA from Resolute Forest Products, where he had been serving as senior vice-president and CFO.

RONA wasn’t the only major player to announce a CEO turnover in 2024. At the May annual general meeting of Home Hardware Stores Ltd., CEO Kevin Macnab announced his intention to retire. At the time, neither a timeline for the transition nor a successor was announced, but in November the company made it known that Ian White would take the helm later that month.

Like Macnab, whose CV spanned tenures at Marks & Spencer and Toys ‘R’ Us, White is an outside recruit. He was most recently president of Parkland Canada. The Calgary-based firm operates gas stations under banners including Esso, Ultramar, and Chevron. It also holds the rights to the On the Run network of convenience store franchises across Canada and most of the U.S.

Meanwhile, in a coda to one of the previous year’s top personnel stories, Jeff Kinnaird was appointed in September to lead Peak Group. Kinnaird made waves in 2023 when The Home Depot announced he had “decided to leave” the business. The former president of Home Depot Canada had moved to Home Depot’s Atlanta head office in October 2020 as executive vice-president of merchandising.

Peak began as a Vancouver-based start-up selling fasteners for four-by-four posts. In 1998, as a newly-minted store manager, Kinnaird played a major role in its early growth. Looking for a product that could withstand West Coast weather, Kinnaird reached out to Peak, placing a $50 order. From there, Peak evolved into a major vendor-partner of Home Depot, which is the exclusive North American retailer of its home reno and outdoor living products.

In addition to personnel changes, 2024 also saw the emergence of one new retail group in Canada and the withdrawal of another from the country.

In October, Sexton Group and Évolution Distribution announced they were teaming up to form a new buying group in Quebec. EvoX, named after the two founding companies, commenced operations on Jan. 1, 2025. It takes advantage of Évolution head Geneviève Gagnon’s expertise and gives a fresh footing in the province to Sexton, whose national profile in turn will boost Évolution’s business.

On the other side of the coin, Peavey Industries announced in June that it would end its relationship with Ace Hardware International by the end of the calendar year. It had acquired the licence for the banner in Canada in 2019. It was previously held by Lowe’s Canada.

Peavey CEO Doug Anderson told Hardlines at the time that the move would allow the company to focus on its core business, namely its network of corporate stores.

The announcement left dealers anticipating that they would be serviced by Ace International, but the latter was slow to comment on the development. Only in late October did it break its silence, and the news was not good: Ace would not be picking up the Canadian dealers when their relationship with Peavey ended on Dec. 31.

“Despite significant efforts, we have not been able to find a suitable replacement for Peavey to provide support and products to your stores,” Ace wrote to dealers. Nor was it prepared to service them directly.

Pouring salt in the wound, it offered Ace Canada dealers a choice: pay a licensing fee to retain the name, rebrand and convert all store signage by the new year, or face serious daily fines for using the Ace name.

Meanwhile, RONA undertook a less tempestuous rebranding venture of its own, consolidating more stores under the RONA+ banner. The Quebec-based retailer, which was marking its 85th anniversary in 2024, announced in March the “sunset” of the Lowe’s brand in Canada, at the same time it said it would convert two more Réno-Dépôt stores to RONA+.

By the end of the year, Réno-Dépôt’s demise had also been announced: in October, RONA stated that the last of those stores would become RONA+ locations. Likewise, in December RONA said it would convert its 15 RONA L’Entrepôt stores to the new banner. Stores operating in English Canada under the RONA Home & Garden brand similarly made the move.

South of the border, True Value announced in the fall that it was seeking a buyer. In an Oct. 1 letter to vendors, CEO Chris Kempa wrote: “We have active, competitive offers for our business, and we are working tirelessly to finalize a purchase agreement.”

Two weeks later, the company issued a press release stating that it had initiated voluntary proceedings in a U.S. bankruptcy court while entering an agreement for acquisition by Indiana-based Do it Best Corp. At the end of the month, True Value reached a deal with lenders to allow the transaction to proceed. It closed in November.

Finally, on the manufacturing side, Saint-Gobain announced in April that, through building materials subsidiary CertainTeed Canada, it would acquire The Bailey Group of Companies.The family-owned Bailey consisted of Bailey-Hunt Ltd. and its subsidiaries, including Bailey Metal Products.

(Hardlines will continue to keep you on top of the industry’s news in 2025, here in the pages of Hardlines Weekly Report as well as our companion newsletters, podcasts, and magazines. Watch this space!)

Canac has unveiled plans for its 36th and largest-ever store, and its first in Laval, Quebec’s third-largest city, on the north shore of Montreal. The family-owned business held an event at Laval’s Grand Times Hotel last month to announce the project. The store is scheduled to open in January 2026.

The store will occupy a 45,000-square-foot property—a 30,000-square-foot sales area, a 12-000-square-foot garden centre, a 41,500-square-foot covered warehouse, an outdoor lumber yard of more than 83,000 square feet, and 250 parking spaces.

Marketing director Patrick Delisle said that Canac has poured “a lot of love and energy” into creating a store environment that appeals to customers. Its focus is on high-quality, Quebec-made products, rather than on providing an exhaustive selection.

The Laval store will fill a gap in the local retail landscape: Mayor Stéphane Boyer, who was in attendance, mentioned that when remodeling his home recently, he had to drive up to half an hour to buy supplies.

With the new opening, Canac, which already has locations on Montreal’s south shore, will begin to encircle the Island of Montreal itself. CEO Martin Gamache explained to Hardlines that an entry into the island itself, with its higher density, would require the company to adapt its traditional large-surface format.

“The Island of Montreal is more complex for us because we have to develop an urban store concept. Our current urban store concept is not ready for Montreal. Maybe, eventually—perhaps something on two levels—but we’re not there yet.”

The retailer also eschews sales and promotions in favour of an everyday-low-price model. While other retailers go all in on events like Vendredi fou (Black Friday, literally “Crazy Friday”), Delisle boasted that “our prices are ridiculous every day, on everything!”

Charles Laberge, senior development and construction manager, confirmed that the company is continuing its strategy of erecting two new stores per year. The site of the 37th Canac store has not yet been announced.

The year 2024 is one many retailers will be glad to have behind them. The year was slow for the industry overall, continuing a trend that emerged in 2023, when consolidated sales at retail fell almost 4.0 percent (source: the Hardlines Retail Report), weighing in at $58.6 billion.

Efforts to rebound post-Covid dragged for two years in a row, with the industry remaining sluggish throughout 2024. The publicly traded majors (The Home Depot and Lowe’s in the U.S., Canadian Tire in Canada) all announced their results throughout the year as being consistently flat or once again down by as much as 4.0 percent.

Their numbers reflected the continued economic downturn as consumers slogged through the post-pandemic malaise of higher interest rates, consequently slowed housing markets, and inflation. Those trends persisted through 2024, sharply curtailing consumer spending—all factors that had a direct impact on sales for independents.

Regionally, there are several strong areas in Canada showing growth, including Western Canada, especially Alberta, and in Atlantic Canada. But Ontario, which contains almost 40 percent of Canada’s GDP, is a major exception to that trend. That province, which accounts for fully one-third of retail home improvement sales in Canada, is slower, and it’s suppressing statistical growth for the entire country. Quebec, as well, remains soft.

As a result, the forecast remains sluggish for the sales performance of the Canadian retail home improvement industry in 2024. There will be a slight increase expected in 2025, as housing starts gradually pick up and interest rates keep dropping, though at a slower rate than previously anticipated.

(We will begin surveying and researching for the next Hardlines Retail Report early in 2025, for release in the summer. Meanwhile, access industry data that ranks the retail banners and groups by sales, store counts, and more when you order the 2024 Hardlines Retail Report!)

PEOPLE ON THE MOVE

Orgill has announced the appointment of Clay Jackson as EVP and COO, effective Jan. 20. He joins Orgill after over two decades at Tractor Supply Co., reporting to CEO and president Boyden Moore.

At Ace Hardware Corp., Dale Fennel has been appointed president of Ace International (AIH). Fennel will report to John Surane, Ace Hardware’s EVP and chief growth officer. He previously served as corporate VP of merchandising operations. According to Ace, Fennel will “oversee the development and execution of international strategies to help existing Ace International retailers reach their full potential, expand into new and emerging markets, and provide ongoing retail support aimed at increasing sales and market share.”

DID YOU KNOW…?

…that the latest edition of Hardlines HR Advisor is now available? This issue looks at TIMBER MART’s commitment to hiring from within, IKEA’s investment in employee care, and how Home Hardware told its story to support recruitment. HR Advisor is monthly and it’s free: click here to sign up today!

RETAILER NEWS

RONA inc. and its owner, private equity firm Sycamore Partners, have announced their acquisition of All-Fab Group, a Manitoba-based manufacturer of building components. All-Fab provides the light construction industry with engineered structural building components, building material supply packages, and construction projects for custom buildings. It operates 18 business units from the Pacific Coast to the U.S. Midwest. Terms of the transaction were not disclosed.

Geneviève Gagnon, the head of the Gagnon Group and Évolution Structures, has acquired Matériaux de Construction Létourneau (MCL), a family business with two locations in Quebec, in Sherbrooke and Waterville. The stores, which have been in business for 50 years, operate under the MCL banner. They serve pros and builders in Quebec’s Estrie region, and represent some 750,000 square feet of retail and warehouse space, with a fleet of more than 20 trucks. The business had been owned by brothers Jocelyn and Gaétan Létourneau.

Home Hardware isn’t playing games with its new 60th anniversary edition of Monopoly. The bilingual board features place names that reflect the history of the company, including Hachborn Street, Sittler Way, and St. Jacobs Distribution Centre. Chance and Community Chest cards refer to familiar industry conundrums such as “A mild winter led to excess shovel inventory. Pay $100” and “You were caught shopping at a competitor’s store. Go to Jail.” The currency features founder Walter Hachborn’s image while the board pieces include Hachborn’s trademark bow tie.

Party City Holdco, a U.S.-based company entirely separate from the Canadian Tire Corp.-owned Party City Canada, has filed for Chapter 11 bankruptcy south of the border. Its approximately 800 U.S. stores will remain open, but the company has said they will commence going-out-of-business sales. This is the second Chapter 11 filing for Party City Holdco. Its last one, in early 2023, wiped out US$1 billion of its US$1.7 billion debt. This time, it has a reported debt of US$800 million. A Canadian Tire spokesperson told CBC News that Canadian operations would continue.

A new Princess Auto store is set to open in the southern Ontario city of Burlington in summer 2025. It will be the chain’s 21st store in Ontario. Based in Winnipeg, Princess Auto has over 50 stores across the country.

RONA affiliate dealer Adam Barrett, owner of Terraine Capital, has opened a new store in Moncton. It’s the fifth location opened this year by Terraine, which continues to pursue growth in Atlantic Canada. The store spans 50,000 square feet with a drive-through lumberyard along the Trans-Canada Highway.

Canadian Tire Corp. has completed a strategic review of its Financial Services division. The giant retail company has decided not to sell off its banking business, choosing instead to use it to help drive Canadian Tire credit card purchases that tie in with the CTC’s Triangle Rewards loyalty program. That includes broadening Triangle to brands outside Canadian Tire.

SUPPLIER NEWS

Toronto-based Courage Inc., a boutique ad agency, has been named agency of record for RONA inc.’s English Canada marketing communications, according to Little Black Book online, an ad industry news service. Since its recent founding in 2022, Courage Inc. has worked with, among others, CIBC, KFC Canada, Taco Bell Canada, Nestlé, Skip the Dishes, and the North York General Hospital.

The annualized rate of housing starts rose by 8.0 percent to 262,443 units in November. Urban starts were 9.0 percent above October’s rate, at 245,083 units. Actual starts in urban areas came to 210,912 units year-to-date. (CMHC)

Sales of existing homes rose by 2.8 percent (seasonally adjusted) in November. On an unadjusted basis, monthly activity was 26.0 percent above November 2023. The number of new listings edged down by 0.5 percent month-over-month. (Canadian Real Estate Assoc.)

Investment in building construction fell by 1.1 percent, or $243.3 million, to $21.4 billion in October, after a 2.6 percent increase in September. Year over year, construction spending grew by 3.4 percent in October. Investment in the residential sector declined by 2.1 percent to $14.9 billion, but single-family spending was up 1.6 percent to $7.1 billion. (StatCan)

Housing starts in the U.S. declined by 1.8 percent to 1.289 million units in November. Building permits for the month rose by 6.1 percent. In the single-family residential sector, starts were up 6.4 percent to 1.01 million, while permits edged up 0.1 percent to 972,000. (U.S. Census Bureau)

Canadians are making paying down debt their top financial priority in 2025, according to CIBC’s annual Financial Priorities poll. Seventeen percent of Canadians said paying down or eliminating debt, is their top goal, while 16 percent said they want to keep up with bill payments. A further 66 percent said inflation and rising household costs are their top financial concern. Additionally, 28 percent said they are worried about high interest rates and 65 percent are concerned about a recession. Just 59 percent said they are prepared for an unexpected financial event or hardship.

President-elect Donald Trump’s threatened 25 percent tariff on Canadian and Mexican goods entering the U.S. is causing concern throughout the industry.

Economists warn that the measures could trigger a recession and drive up prices on both sides of the border.

“As an exporting nation, with over 75 percent of our exports destined for the U.S., new tariffs could hit the Canadian economy hard, impacting jobs, household incomes, and thereby reducing affordability for retail goods,” said Diane Brisebois, president and CEO of the Retail Council of Canada.

She added the tariffs could spark retaliatory measures, triggering a trade war between Canada and the U.S.—something that should be avoided “at almost any cost.”

This is a concern shared by Sam Moncada, CEO of the Canadian Home Products Trade Association (CHPTA). The threatened tariffs are triggering concern among manufacturers and brand owners. Moncada said the tariffs would be detrimental to both Canadian and American interests, leading to increased prices and potential retaliation.

“The organization is forming an advisory committee to communicate with Canadian ministers, particularly [federal finance] minister Freeland, to highlight the industry concerns,” he said. He added that the CHPTA is advising its members to avoid speculation at this time.

Moncada noted that 60 to 70 percent of the organization’s members would be impacted by the tariffs. “Trump could be using this as a negotiating strategy,” he said, adding that the impact of tariffs would require business adjustments from all his members.

For businesses, the fear of retaliatory Canadian tariffs in an industry that relies heavily on material imports from the U.S. is worrying.

“We’re concerned, though there’s no clarity on what it’s going to mean,” said Michelle Chouinard-Kenney, president and CEO of Aurora, Ont.-based Gibson Building Supplies, a dealer with eight outlets.

If this country responded by retaliating with tariffs on U.S. products entering Canada, she said, the fastener industry would take a hit, too. “A significant amount of our fasteners come from the U.S.”

With the year-end deadline looming for Ace dealers in Canada to exit their banner—or pay licence fees to keep it, without supply from Ace in the U.S—competing banners and wholesalers have been eager to try to sign the approximately 80 Ace dealers north of the border.

The year-end scramble comes following the announcement last summer by Peavey Industries that it would end its licence agreement with Ace Hardware Corp. in the U.S., effective Dec. 31.

Peavey had been managing the banner and supplying product to Ace-bannered stores in Canada since 2020. Those dealers had expected Ace International to continue supporting them in 2025 and beyond. But Ace stayed silent, waiting until the middle of October to send a letter to the dealers informing them that they would receive no supply after the end of this year.

The Ace dealers in Canada have obviously been looking for options. One of them is Orgill, the hardware wholesaler based in Collierville, Tenn., which has been making gains with some Ace dealers up here. (Read more on this in the latest edition of our sister publication, Hardlines Dealer News. Click here to subscribe at no charge!—Editor)

Hardlines has since learned that any Canadian dealers flying the Ace banner after the Dec. 31 deadline will be fined $5,000 each day the brand is used without licence. Ace Hardware Corp. in the U.S. would not confirm whether the fine would be charged in USD or Canadian dollars.

That latest indignity has further opened doors for other retail groups. RONA inc. recently announced it has welcomed a former Ace store in Lumby, B.C., to its network of affiliated dealers. Alex Day is co-owner of the business along with partner Wade Tearne. The store will be expanded to add 3,000 square feet to its interior and exterior retail space, allowing it to showcase RONA’s ECO line of green products and accommodate up to 750 new SKUS in key areas including building supplies, appliances, kitchen cabinets, flooring, and irrigation.

“Wade and Alex are familiar faces at RONA,” said Alain Ménard, SVP of RONA affiliated dealers, “as they used to operate their store–rather remarkably–under the Ace Canada banner, which used to be part of RONA’s banner portfolio.”

Last week, BMR Group revealed it has partnered with the Eidt family in Ontario, owners of three Ace Hardware locations in Mitchell, Exeter, and Arthur (shown here). The signing, effective Jan. 22, is expected to increase sales and logistics efforts for other BMR dealers in the region.

“As we leave Ace, we are thrilled to join the BMR family and see our family business grow with a major partner that shares the same human values and vision for growth in the Ontario market,” said store owners Doug Eidt and Barry Eidt. (Barry distinguished himself in 2023 as our Outstanding Retailer of the Year recipient of the Young Retailer of the Year Award. —your detail-oriented Editor).

“We are very proud to welcome the Eidt family and their business and expand our dealer network in Ontario,” added Simon Gouin, vice president of business development at BMR Group. “This will help us better meet the needs of our customers in this region and promote our growing brand.”

The effective implementation of AI to bolster sales and improve customer experience has been the biggest challenge for many retailers. Adam Powell, chief digital officer at RONA inc. (pictured) believes this relationship can be improved starting at the search function of the company’s website.

Recently the company implemented a new AI search feature which improves search functionality and provides more precise search results. RONA partnered with Constructor, a product search and discovery platform, which has worked with other larger retailers including Sephora, Petco, and Target Australia. By adopting this technology into its search functionality, RONA was able to integrate advanced AI capabilities and agility to adapt its product catalogue.

“Fifty percent of customers will abandon a site if they deem the search results unsatisfactory,” Powell said, adding that customers now expect AI will be used to provide them with the right product information. Results have to be more relevant and personalized to the customer’s needs. “As a result, the search functionality has to evolve to meet the demands of current customers,” he added.

The new RONA website moves away from traditional search and keyword functionality. The data collected helps make recommendations and learns from customer inputs to provide a more precise product result. Powell said the results are therefore more relevant and “not based on our opinion.” The technology learns from past results and puts the recommendations into the hands of the consumer, reflecting trends and changes in buying patterns.

Investment money is pouring into pro businesses. Just look at the industry’s biggest retailer, Home Depot, which has made two massive bets on pros recently.

Since January 2020, the giant retailer has opened 17 Flatbed Distribution Centres (FDC) across North America. And the first Canadian FDC was fully operational, near Toronto Pearson Airport, this past summer. These are massive facilities. The Toronto one (shown here) measures 600,000 square feet. The purpose of the Home Depot FDC is to ship contractors’ jobsites directly. The Atlanta-based retailer has said it will build 40 FDCs in North America.

That’s just for starters.

The other huge bet that Home Depot has placed on pros takes the form of its acquisition of SRS Distribution, of McKinney, Tex., in a deal announced earlier this year. The purchase price was US$18.25 billion—the largest acquisition, by far, in Home Depot’s history. SRS is the fastest-growing building products wholesaler in the U.S., with 2023 sales of US$9.6 billion from 750 locations across 45 U.S. states.

The contractor business is also attracting the attention of private equity (PE) investors. The lead story in The Wall Street Journal on Oct. 14 was titled “Private Equity Pours Millions Into HVAC, Plumbing Trades.”

“You don’t need to go to Silicon Valley to have a successful career and opportunities,” said Brian Rassel, a partner at Detroit-based Huron Capital. The WSJ article was filled with tales of contracting firms being bought out by PE firms throughout North America.

Then, on Oct. 17, PPG sold its architectural coatings business in Canada and the U.S. to a PE firm, American Industrial Partners, headquartered in New York City, for US$550 million. That division of PPG had revenues of US$2 billion in 2023, just over 10 percent of PPG’s total worldwide sales.

(Hardlines has responded to these significant marketplace changes with the launch of PRO Dealer magazine last fall. This new magazine has a circulation approaching 7,000. It’s free to pro yards and any dealer selling to contractors. It’s chock-full of information about the world of pro sales. To sign up today, simply click here!)

PEOPLE ON THE MOVE

Right here at Hardlines, we are very proud to announce a host of new appointments and promotions to support the company’s recent growth. Michelle Porter has been promoted to the role of Senior Manager of Marketing and Events. Porter started with Hardlines in 2017 as our office manager. She then moved to marketing and events manager in 2020, until her latest promotion to the senior role. She reports to Michael McLarney, President.

Jillian MacLeod has been promoted from an administration role to the position of Client Services Manager. She is in charge of classified ads and subscriptions to our family of information products, as well as production of our Hardlines Podcasts. MacLeod reports to Michelle Porter.

Shannon MacLeod has joined Hardlines in a newly created role of Account Manager. She is providing counsel to clients on advertising sales and sponsorships. She reports directly to David Chestnut, Vice-President and Publisher at Hardlines Inc.

A number of changes have occurred within the Hardlines editorial team, as well. Steve Payne has been promoted to Editor-in-Chief. He will also edit Hardlines’ new Pro Dealer magazine. A seasoned business journalist and editor, he joined Hardlines Inc. as editor in 2022, after 25 years as editor and publisher of two trade magazines, Hardware Merchandising and Canadian Contractor. He reports to David Chestnut.

New to the Hardlines Team, Rebecca Dumais has joined as Editor. She comes to us from West of the City and Niagara Life magazines, lifestyle publications under the Metroland umbrella. She will oversee our print publication, Hardlines Home Improvement Quarterly, as well as our monthly online newsletters, Hardlines Dealer News and Hardlines HR Advisor. She reports to Steve Payne.

Sarah McGoldrick has joined in the newly created role of Digital Editor. She has a strong background as a journalist and editor, and will manage our digital presence and social media accounts. Sarah is also a retailer in her own right as proprietor of The Clifford Country Store, providing a bricks-and-mortar venue to showcase the wares of local artisans; and she is the founder of the Life Outdoors Show in Clifford, Ont. She reports to Steve Payne.

Finally, Geoff McLarney, our Quebec editor, has been named Features Editor in addition to his existing duties. McLarney literally grew up with the business, and formally joined the Hardlines team in 2011. His latest promotion reflects his expanded editorial role within our family of publications. Based in Montreal, he reports to Steve Payne.

DID YOU KNOW…?

…that the latest instalment of our podcast series What’s In Store has gone live? In this episode, you’ll hear a selection of conversations held at the 28th Hardlines Conference. We talk to Young Retailer of the Year Phylip Savard-Tremblay, alias Phyl Liquide; AQMAT president and Well Made Here founder Richard Darveau, who discusses the importance of buying Canadian; and Jason Tasse, the insightful president of Lee Valley Tools. Sign up now to get updates about the latest free podcasts in your inbox!

RETAILER NEWS

RONA inc. has announced it will convert 15 of its big box stores in the province of Quebec to the RONA+ banner by May 2025.

The Cape Breton community of Port Hawkesbury, N.S., is getting a Home Hardware Building Centre, SaltWire reports. The MacDonald family, dealer-owners of HHBC locations in Port Hood and Whycocomagh, is opening a third next spring. Port Hawkesbury has been without a Home Hardware since the closure of a previous store in 2014.

Gypsum Management & Supply has announced financial results for the second quarter of its fiscal 2025. Net sales rose by 3.5 percent to US$1.5 billion, buoyed by recent acquisitions. Earnings fell by 33.9 percent to $53.5 million, from $81.0 million in the comparable period of 2024.

Lee Valley Tools set up four pop-up stores across Ontario for the holiday shopping season. The locations in St. Laurent Shopping Centre in Ottawa, Devonshire Mall in Windsor, and Toronto’s Centerpoint Mall and Scarborough Town Centre are “designed to bring a curated selection of our products closer to local communities,” offering a hybrid shopping experience with the most popular and distinctive Lee Valley Tool items. The pop-ups will operate until Dec. 26.

Home Hardware Stores Ltd. has concluded its 2024 PRO Road Shows, held in Ontario (Chatham and Barrie), Quebec (Drummondville), Nova Scotia (Dartmouth), and Alberta (Edmonton). The four-hour events combined brought together over 3,000 contractors. They included networking opportunities and challenges for pros in attendance.

Dollarama says its Q3 earnings came to $275.8 million, up from $261.1 million a year earlier. Sales rose by 5.7 percent to $1.56 billion, with comp sales up 3.3 percent. At the same time, the discount retailer announced it will acquire a property in the Calgary area that will serve as a new logistics hub for western Canada.

The Home Depot has teamed up with FIFA ahead of the 2026 World Cup as the soccer association’s official home improvement retail supporter in North America (Canada, Mexico, and the U.S.). The partnership will include on-site “Built by The Home Depot” experiences at FIFA stadiums.

Loblaw Cos. has made its first foray into the U.S. with the opening of a T&T Supermarkets store in Bellevue, Wash. T&T is the grocery giant’s Asian grocery chain. The 76,000-square-foot location is in a former Walmart in the Seattle area. Loblaw has 36 T&T stores in Canada.

Castle Building Centres Group raised $5,250 for Ronald McDonald House Charities Alberta at its Western Buying Expo back in June.

Influencers and media were invited to a breakfast meeting at the Etobicoke IKEA store in Toronto’s west end last month. There, company representatives, led by IKEA Canada CEO and chief sustainability officer Selwyn Crittendon, presented its annual Sustainability Report, which promotes the retailer’s values of togetherness, cost consciousness, caring for people, and leading by example.

The Lawrie Group recently added Mary Lake Home Hardware Building Centre to its umbrella of companies. The store is expected to open again in early January. Rob and Joanne Lawrie, owners of The Lawrie Group of Cos., are based in Annapolis Royal, N.S., and own seven other Home Hardware stores, all located across southwestern Nova Scotia.

Canadian Tire Corp. has signed on as a founding partner of the Northern Super League ahead of its inaugural season of women’s pro soccer in April 2025. The partnership includes the Home Field Advantage program, which will support players as they put down roots in new homes and communities across Canada.

SUPPLIER NEWS

Orgill continues its development of its new Concept Centre. The state-of-the-art 50-acre campus is located adjacent to the company’s corporate offices in Collierville, Tenn. Sectioned into areas including retail services, offices, meeting spaces, Tech Team, and Cyber room (online security), meeting rooms, and line rooms to house vendor sets, the facility will be used to support businesses with forward-thinking ideas. (The latest update is posted on Orgill’s YouTube channel.)

B.C.-based Cloverdale Group, owner of Rodda Paint south of the border, has announced Rodda’s acquisition of Miller Paint. A deal was reached on Dec. 2 to integrate Miller and its employees into Rodda. The total price for the acquisition has not been made public. The merger will double Rodda’s and Miller’s combined footprint in the Pacific Northwest.

Decking and railing manufacturer Trex is teaming up with Alexandria Moulding to expand its Canadian distribution network. The companies say the partnership will bring Trex’s products to a wider audience of Canadian retailers, homeowners, and contractors.

Metrie, the Vancouver-based moulding and millwork producer, has acquired eden Inc., a pre-finished millwork producer based in Knox, Penn. Eden’s products include mouldings, pre-hung doors, and specialty items. Dan Hurrelbrink, eden’s vice-president and COO, will join Metrie’s manufacturing leadership team. This is Metrie’s seventh acquisition in five years, adding to the company’s integrated millwork portfolio and “offering a wider range of pre-finished moulding and door products that can meet the needs of current and future customers,” according to a release.

Investment in U.S. construction rose by 0.4 percent in October. Residential construction spending spiked by 1.5 percent, including a 0.8 percent increase in the single-family sector. On a year-over-year basis, total investment was up 5.0 percent in October. (U.S. Commerce Dept.)

More than half of all Canadians find buying gifts a stressful blow to the pocketbook. According to the 2024 Holiday Survey released by Spring Financial, an online lending company in Canada, spending anxiety runs high among 56 percent of Canadians. Hardest hit are Gen Z (66 percent) and millennials (64 percent). They find the financial strain of buying gifts as the most stressful part of the holiday season. Meanwhile, 38 percent of Canadians are feeling more financial stress about buying gifts this year than last year, up from just 13 percent in 2023!

The Canadian Home Products Trade Association and the Canadian Office Products Association held their 2024 joint conference last week at the Richmond Hill Country Club, just north of Toronto.

The event culminated in a celebratory lunch and the induction of two new members of the Canadian Hardware & Housewares Industry Hall of Fame. They are Hardlines’ own founder and president Michael McLarney and industry veteran Bill Morrison, past president of TruServ Canada and Ace Canada.

In accepting the honour, Morrison urged “everyone in this room” to reflect on the significance of the industry they represent. “We’re unique in that we impact the most important thing in Canadians’ lives: their homes.” He noted that the audience included people “who compete not only with each other but also with every choice Canadians have for spending, so we work hard.”

McLarney recalled the origin story of Hardlines, which began when he traded the high-rise digs of Hardware Merchandising magazine for a home office in his family’s midtown Toronto basement, which he soon dubbed the “World Headquarters” of Hardlines.

While he had arrived at Hardware Merchandising with a background in trade publications, he knew little about the home improvement industry specifically. But as he told the gathering in Richmond Hill, he learned early on that “all the business strategies and all the business plans don’t matter if you don’t get that it’s about telling the stories of the people in this industry.”

In a post-conference interview, McLarney named several mentors and supporters whom he identified as key to the growth of Hardlines. They include Walter J. Hachborn, Barrie Sali, Bernie Owens, Leon Lapidus, Steve Buckle, Bill Wilson and fellow inductee Bill Morrison.

The Hall of Fame celebration capped off a program of speakers invited by the CHPTA and COPA to share their insights on consumer behaviour. Throughout the morning, members and guests of the two organizations heard presentations from TD economist Rishi Sondhi, market researcher Brian Lamar of OpenBrand, and Michael Scida, VP of business development at Environics Canada.

Groupe Patrick Morin, the Quebec building centre chain, has acquired four building centres from P. Bonhomme Enterprises.

Bonhomme has three Ontario locations (in Rockland, Carleton Place, and Limoges) operating under the Bytown PRO banner, while the fourth store, in the Hull district of Gatineau, Que., is known as Bonhomme PRO. The move marks Patrick Morin’s entry into the National Capital Region, and its first stores outside of its home province of Quebec. The value of the purchase was not disclosed.

P. Bonhomme had been a legacy member of Independent Lumber Dealers Co-operative (I.L.D.C.). Founded in 1898, the business once consisted of 10 stores. In recent years, it reduced its store count, rebranded, and sharpened its focus on contractors.

“After months of discussions, we are extremely pleased that Mr. Paul Bonhomme has chosen Patrick Morin to take over this company that has been deeply rooted in the Ottawa-Gatineau landscape for over 125 years,” said Louis Turcotte, president of Groupe Patrick Morin. “We are well aware of the strength of the Bytown PRO and Bonhomme PRO brands, which are highly regarded by the region’s professional clientele, and that’s why we intend to maintain the presence of these well-known and appreciated banners in the local market.”

Turcotte, through his company Groupe Turcotte, which operates stores under the Home Hardware banner, bought up the Patrick Morin chain in 2021. At the time, Home Hardware Stores Ltd. was involved in the acquisition, representing an unknown investment in the Patrick Morin deal. The addition of the Bonhomme stores brings Patrick Morin to 26 locations.

Turcotte intends to retain all the Bonhomme and Bytown stores and make new investments at certain stores, with the aim of expanding the services. P. Bonhomme president Paul Bonhomme (pictured centre, flanked by Patrick Morin VP and operations manager Daniel Lampron, left, and president Louis Turcotte) will continue on with the business, along with his current leadership team, to ease the transition.

“To us, it was important to find an acquirer who shares the same values of proximity and excellence in customer service, and who is committed to offering our loyal customers top-quality materials and products at the best prices,” said Paul Bonhomme.

TIMBER MART has appointed Kurt Norlen to the national buying group’s top lumber procurement job. Norlen has been named director of forest products trading. He was formerly national procurement manager. In his new role, Norlen will be responsible for the management of the lumber trading arm of the group.

He’s also filling a void that will be left by the departure next year of the group’s vice-president of distribution and trading, John Morrissey. In the interim, Norlen will work closely with Morrissey to ensure a smooth transition and continue to work with the procurement team until the transition is complete. Norlen will work along with Jeff Campbell, who was appointed vice-president of distribution for TIMBER MART back in July, when Morrissey first announced his pending departure.

Norlen has over 30 years of experience in management and building material sales. He has worked on both the dealer and supplier sides of the business, including stints at Nelson Lumber, Moulding and Millwork (now Metrie), and Gunther’s Building Centre.

In 2013, he joined TIMBER MART and since then has held a variety of roles within the company, including building materials manager for Western Canada, hardware procurement manager, and building materials trader for Ontario and Western Canada.

In his new role, he will report directly to TIMBER MART’s president and CEO, Bernie Owens, and continue to be based out of TIMBER MART’s office in Calgary.

“In the 12 years Kurt has been with us, he has held various purchasing roles where he’s developed valuable vendor relationships and competitive buying programs for our members,” says Owens. “I’m confident that with Kurt’s knowledge of our members’ procurement needs, leadership ability, and progressive experience within the industry, he will lead our trading team to accomplish great feats in the name of our members’ business success.”

RONA inc. held a grand opening celebration last week, but not for a new store. It was for the launch of one department in an existing RONA+ location. The corporate store played host to company execs and local dignitaries to inaugurate a new line of workwear.

In a new partnership with RONA, Tilley Endurables Inc. has launched a new line of heavy-duty workwear, Tilley Tuff Workwear. The line is available on an exclusive basis at 100 RONA and RONA+ stores across Canada and includes technical work pants, work shirts, outerwear, and versions of the trademark Tilley hat. It’s the brainchild of retail guru Joe Mimran, whose legacy includes Club Monaco and Loblaw’s apparel banner, Joe Fresh. He’s also the chairman of Tilley Endurables.

The Tilley partnership “allows RONA to provide our pro clientele and DIY customers with great innovation, quality, and value in workwear from a trusted Canadian brand,” Doug Young, RONA’s chief merchandising officer, said in a release.

“We launched the RONA+ brand over a year ago with the objective of offering a differentiated experience for our pro and DIY customers. Our enhanced brand experiences and expanded ‘shop in shops’ are among the plusses available at this new banner,” he added.

The store-within-a-store concept has been appearing in other stores as they’ve rebranded with the RONA+ signage. They include the RONA+ Waterdown store in the Dundas district of Hamilton, Ont., which include stores-within-the-store for DeWalt that targets contractors and the Bouclair furniture brand. Eleven RONA+ stores in Ontario have adopted the store-within-a-store model, tying in with the banner’s one-year anniversary.

The conversion of this store is another step towards RONA’s goal of standardizing its big box stores under one cohesive banner.

“As for what the future holds,” Young continued, “we have more exciting experiences to come and are always looking for opportunities to better serve our pros and [DIY] Canadians and meet their needs.”

PEOPLE ON THE MOVE

TIMBER MART has appointed Carolanne Olivier to the position of national advertising manager, effective immediately. Formerly bilingual account manager at TIMBER MART’s advertising agency, Sims Advertising, she replaces existing account manager Geoff Fleming, who is retiring by the end of the year after two decades at the national buying group. Olivier has been on the TIMBER MART account at Sims Advertising for the last seven years and has formed solid relationships with many TIMBER MART members and vendors, while helping to enhance a number of the group’s marketing programs. In her new role, Olivier will be responsible for TIMBER MART’s corporate advertising and marketing programs at the dealer level. She reports directly to Jon Irwin, the company’s vice-president of member services.

DID YOU KNOW…?

… that the latest edition of Hardlines HR Advisor is now out? This issue looks at IKEA’s success in reducing staff turnover both in Canada and worldwide, insights shared at the latest Hardlines Conference by leadership expert Pierre Battah, and tips from Lee Valley Tools president and COO Jason Tasse. HR Advisor is monthly and it’s free: click here to sign up today!

RETAILER NEWS

Castle Building Centres Group has signed a new member, Competitive Building Supply Inc., in Brockville, Ont. The founder of this “venture into retail home improvement” is Cody Watkins, who for over a decade has run a contracting firm called Competitive Renovations Inc.

Canadian Tire Corp. has announced it will sell a 90-acre industrial property in Brampton, Ont., for $258 million. The transaction follows a North America-wide competitive bid process initiated in the first quarter of 2024. The company says it no longer needs the site, which includes 1.5 million square feet of industrial real estate, as a distribution centre.

The Maada’oozhgamig Castle Building Centre located in Nipigon, Ont., recently celebrated one year of operation. General manager Marlo Beaucage and yard supervisor Ian Brennen recognized their commitment to the Red Rock Indian Band community by presenting the chief and council of the First Nation with a cheque in the amount of $58,443.

Lowe’s Cos. reported its third-quarter sales of US$20.2 billion, compared with US$20.5 billion in the 2023 quarter. Comp store sales were off 1.1 percent, “driven by continued softness in DIY bigger-ticket discretionary demand, which was partly offset by storm-related sales and positive comp sales in pro and online,” the company said in a release. The company got a boost from “a $54 million pre-tax gain associated with the 2022 sale of the Canadian retail business” (RONA, Réno-Dépôt, and Dick’s Lumber).

SUPPLIER NEWS

Registration is open for the Western Retail Lumber Association’s 2025 Building and Hardware Showcase. Experience new product launches, the latest tech, trends and topics hitting the LBM industry, and connect with some of the best pros in the field. Join the WRLA at the Edmonton Expo Centre on Jan. 23 and 24 for hundreds of networking and business opportunities. Click here to register!

The annualized rate of housing starts rose by 8.0 percent in October to 240,761 units, from 223,391 units in September. In urban areas, there have been 188,567 actual housing starts year-to-date in 2024. This compares to 187,722 for the same period in 2023, meaning actual year-to-date housing starts are statistically unchanged so far this year. (CMHC)

Sales of existing homes surged by 7.7 percent, month over month, in October. Actual monthly activity (not seasonally adjusted) stood 30.0 percent above the previous October. New listings posted a 3.5 percent month-over-month decline in October, although that followed on the heels of a 4.8 percent jump in September, so new supply remains at some of the highest levels since mid-2022. (Canadian Real Estate Assoc.)

At the recent Hardlines Conference, held in the Charlevoix region of Quebec, Hardlines president Michael McLarney spoke with AQMAT president and Well Made Here founder Richard Darveau about the importance of buying Canadian. Darveau highlighted the contributions buying Canadian makes to the overall success of the economy. Check out the interview here!

BMR Group is continuing its focus on expansion in Central and Eastern Canada, while also pushing an emphasis on private label products, its CEO told Hardlines at the group’s annual buying show this month.

“From Ontario east, we want to be everywhere,” Alexandre Lefebvre said at the event, held just days after BMR signed a dealer in the Halifax area. “There will be more to come in the next few weeks.”

Moreover, he boasted, “once again we have not lost a single dealer” during the year.

Lefebvre explained that BMR had just concluded its four-year strategic planning meeting.

“We’ve identified our three different business areas: retail, pro, commercial,” he added.

“In the pro market, we’re a definite number-one and we want to consolidate that position.”

To that end, the company joined the European-based A.R.E.N.A. Alliance last year, combining strengths with international partners. (Here in Canada, Kent Building Supplies also signed on to the alliance this year.) Similarly, private-label offerings are a big part of BMR’s strategy.

“We’re launching 600 new private-label products this year and 800 more next year,” said Lefebvre.

He points to the co-operative ownership model as another aspect that sets it apart. “That’s huge–our owners are BMR dealers.”

Another distinctive asset is BMR’s Agrizone business. This banner caters to farm, rural, and pet markets with a related line of products.

“That’s something that makes us a bit unique–once you get out of those big urban areas, you need that offering. It’s part of our DNA.” Dealers typically offer Agrizone as a store-within-a-store, he explained, but a handful of standalone Agrizone retailers also exist.

For Lefebvre, the affiliation with A.R.E.N.A., the push for growth outside BMR’s home province, and its outreach to pro customers all serve to grow the company’s overall footprint in the years to come.

“We want to bring our business by 2028 from $1.5 billion to $2 billion.”

Did you know that:

• the retail home improvement industry suffered a net loss in sales for only the second time in 10 years in 2023?
• four retail groups account for almost two-thirds of all retail hardware and home improvement sales in Canada?
• one province represents one-fifth of the market in this country? (And that’s not even the largest one!)
• just two retail banners represent more than half the market in New Brunswick?
• Home Depot has twice as much market share in British Columbia as it does in Saskatchewan?

This is the kind of information you’ll find in Hardlines’ annual Retail Report and Market Share Report. Both these studies provide data on the size of the industry, how much it’s grown year over year, and which regions are gaining and which are losing ground.

Based on research and surveys conducted in the spring of 2024, it’s all exclusive to Hardlines. This information is proprietary to Hardlines and not available anywhere else.

You’ll also find detailed market share info on each of the retail home improvement banners in Canada. The Retail Report breaks out how the various banners are inter-connected (it’s crazy complicated, actually!—your deep-thinking Editor).

Get the competitive information you need to plan for 2025. Learn the strategies of the key retail players so you can sell smarter to them—or against them. Plus: a closer look at the top trends affecting dealers—and driving the industry—now and in years to come.

(The 2024 Hardlines Retail Report  and the Hardlines Market Share Report are both available. Click here for more info and order details. As a Premium Member you will save big with a bundled discount when you buy both Reports together!)

The charitable arm of The Home Depot Canada has released an update on its achievements raising money and awareness to support at-risk youth and those facing homelessness in Canada.

The Home Depot Canada Foundation announced it’s on track to raise over $11 million by the end of 2024 in support of the organization’s mandate to support youth experiencing homelessness. Doug Graham is vice-president of e-commerce and marketing at Home Depot Canada. He’s also the board chair for the foundation. “Our efforts are focused on supporting this growing yet still under funded issue that affects 35,000 to 40,000 youth in Canada annually,” he said. “We remain committed to this cause and will continue to raise awareness and educate Canadians on the issue, aiming to slow down the cycle and provide the necessary support to youth and families.”

This year, the foundation has seen momentum in fundraising results through the support of partners, internal associates, and communities. Programs like the annual spring Orange Door Project campaign, supported by store staff and customers, as well as events such as the Spring Gala and Charity Golf Classic, backed by the retailer’s vendor partners, managed to bring the organization closer to its goal of raising $125 million by 2030.

The Home Depot Canada Foundation has aligned its Team Depot volunteer program to support organizations dedicated to preventing and addressing this critical problem. Through an internal group called Team Depot, store staff participate in community projects to refresh and repair shelters, housing units, and centres for vulnerable youth. In collaboration with customers and associates, The Home Depot Canada Foundation invests over $10 million annually in 186 youth-serving charities across Canada.

Through to Dec. 22, Home Depot customers can donate to The Orange Door Project Campaign, which supports local youth-serving charities across the country. And for the first time, The Home Depot Canada Foundation will match total donations made on Giving Tuesday, Dec. 3.

As part of the campaign, the foundation has partnered for the fourth year with another national organization, Raising the Roof, to combat youth homelessness through sales of its signature toques. Funds raised will provide community grants to renovate affordable housing units for at-risk youth. Donations can be made at any Home Depot Canada store or online at OrangeDoorProject.ca.

Consumers were slow to dig into their pocketbooks in the last quarter, a trend which has affected Canadian Tire Corp.’s latest results. Consumer confidence was at “the lowest we’ve seen in a long while, said CEO Greg Hicks. “Although we’ve experienced multiple interest rate cuts this year, consumers remain understandably cautious.”

On an earnings call to analysts, Hicks noted, however, that the company was ready for the slowdown. “Our supply chain and in-stock positions are strong,” with capital investments made in automation at its Calgary and Montreal distribution centres. In addition, Canadian Tire continues to make investments in low prices and product innovation.

The company reported net income of $200.6 million in its latest quarter, reversing a loss of $27.8 million a year earlier. Revenues declined by 1.4 percent to $4.19 billion, while comp sales were 1.5 percent below the comparable period of last year.

Canadian Tire Retail’s sales were down 2.0 percent while comps were down 2.2 percent. Revenue for the namesake banner was down 1.0 percent. Essential lines and discretionary products all fell, even as CTR’s automotive business was up. That business was driven by auto maintenance, which jumped a healthy 7.0 percent, as cash-strapped Canadians spend more on servicing aging vehicles.

DID YOU KNOW…?

The Canadian Home Products Trade Association (CHPTA) will honour two new inductees to the Canadian Hardware & Housewares Industry Hall of Fame this week? Hardlines president Michael McLarney will be recognized alongside industry veteran Bill Morrison, former president of Ace Canada and TruServ Canada. Click here for more information and to register for the Gala Luncheon!

RETAILER NEWS

Home Depot reported Q3 earnings of US$3.65 billion, down from $3.81 billion a year earlier. Sales rose by 6.6 percent to $40.22 billion. Same-store sales fell by 1.3 percent, including a 1.2 percent drop in the U.S.

BMR Group held its annual buying show at Quebec City’s Centre des congrès earlier this month, attracting dealer-members from across Quebec, the Maritimes, and Ontario. This year’s product offerings included 600 new private-label products. The event concluded Nov. 8 with a gala dinner featuring veteran strongman and company spokesman Hugo Girard, who was fresh off presenting at the 28th Hardlines Conference in the Charlevoix region of Quebec.

Canac has begun its largest construction project ever, a 625,000-square-foot building at its Drummondville, Que., distribution facility. The company, which is celebrating its 150th anniversary next year, will invest more than $100 million in the project, expanding the campus’s footprint to about 1.2 million square feet.

Crown Building Supplies, which opened its third location in Burnaby, B.C., in September, has won an award from the local Surrey Board of Trade. At the association’s recent Business Excellence Awards Gala, Crown won in the category of Employer Over 41 People.

Drivers for Walmart’s Surrey, B.C., store have won interim certification from the Canada Industrial Relations Board. The move allows them to form a bargaining committee and work with representatives of Unifor, Canada’s largest private-sector union, to negotiate their first collective agreement with Walmart. The Surrey drivers follow on the success of workers at Walmart’s Mississauga, Ont., warehouse, which in September became the first of the company’s Canadian DCs to unionize.

Matériaux SMB, a member of BMR Group, has acquired Matériaux R. Mclaughlin of Huberdeau, Que. Owned by Alexandre Lapointe, Matériaux SMB operates two stores in the municipalities of La Minerve and Nominingue.

Third-quarter sales at Taiga Building Products amounted to $423.9 million, down from $456.6 million in the comparable period of last year. Sales fell by $32.7 million or 7.0 percent, a decline attributed to a reduction in commodity products sold. Net earnings decreased to $14.3 million from $21.4 million.

Doman Building Materials Group Ltd. reported Q3 revenues of $663.1 million, an increase of 3.0 percent from $643.9 million a year earlier. The gain was attributed to the company’s acquisition of two lumber pressure treating plants from Southeast Forest Products during the quarter. Net earnings for the quarter amounted to $14.6 million.

The Montreal Port Authority (MPA) is sounding the alarm on the severe economic consequences of a prolonged labour disruption at the port. The Port of Montreal has locked out 1,200 longshoremen, amplifying already strained relations between the Maritime Employers Association (MEA) and the Port of Montreal longshore workers’ union CUPE Local 375. Shipping lines are already diverting their vessels to other East Coast ports.

The total value of building permits in Canada increased by $1.3 billion or 11.5 percent to $13.0 billion in September. Gains were led by Ontario, where construction intentions grew by $1.2 billion or 25.0 percent to $5.9 billion. Construction intentions for the residential sector rose by $540.7 million (7.5 percent) to $7.7 billion, with the single-family component up by $35.1 million. (StatCan)

Top buyers representing the breadth of the industry sat down at the recent Hardlines Conference for a panel discussion exploring the trends, challenges, and opportunities home improvement retail is facing over the coming year.

Sherri Amos, Home Hardware Stores Ltd.’s dealer support director, moderated the panel. It consisted of Natacha Laurin, category director for home décor at RONA; Shawn Ettinger, TIMBER MART’s national hardware procurement manager; Alex Burcham, senior category manager at Orgill; Kelvin Johnston, Castle Building Centres Group’s senior buyer for commodity lumber and panels; and Rabia Dhanani, merchandise manager for millwork at Home Hardware.

Among the panel’s observations were the growing importance of loyalty programs and the potential for harnessing the data those programs generate. “Everybody likes getting something back,” Ettinger noted.

But the benefits go both ways: the programs, said Dhanani, allow retailers to “curate a more personalized experience and program” for customers. “With [our] program [Scene+], we’ve actually seen an increase in traffic,” she added. “It gives us a lot of insight into who [customers] are, how they shop, and it gives us the ability to get them back in there.”

The group also discussed the potential–and limitations–of owned brands. “Private-label products give us the ability to grow our profitability and reach in a market,” said Dhanani. “It also lessens the load on some of the national and regional brands we offer. It’s how we differentiate ourselves,” in terms of building materials, she added.

RONA’s Laurin agreed that customers are becoming “more trusting” of private-label brands, but maintained that “national brands are really key to our success,” as well as being key sources of innovation.

Burcham, from Orgill, agreed: “Private label is not going to be the place to take a risk on something. There are people who have done that before and been burned.”

Chicago-based True Value Co. reached an agreement with its lenders on Oct. 31 that will allow it to avert liquidation and hasten bankruptcy proceedings. True Value had declared bankruptcy on Oct. 14 and also announced that it planned a sale to its dealer-owned rival, Do it Best Corp., of Fort Wayne, Ind.

True Value’s legal representative told the courts on Oct. 31 that the company would deliver to the lenders, led by PNC Financial Services, a net pay-down of US$163 million in cash.

“Failure to achieve that net pay-down will give the lenders a right to terminate the DIB sale and commence a liquidation, subject to a liquidation budget that is acceptable to the lenders, the debtors, and the committee,” said attorney Robert D. Drain, of the New York City-based law firm that represents True Value.

He added that True Value would also pay up to US$45 million in administrative expense liabilities.

The “stalking horse bid” from Do it Best Corp., for US$153 million in cash, required approval of the courts to proceed to closing. Do it Best says that the deal, if completed, will create a combined independent dealer network of about 8,000 locations—some 4,500 independent stores from True Value and 3,350 dealer-owned stores from Do it Best.

Reports indicate that the current schedule for the sale is Nov. 22. True Value Corp. is 70 percent owned by Acon Investments, a private equity firm that took it over in 2018.

Bernie Marcus, who with Arthur Blank founded The Home Depot, has died at the age of 95. Marcus and Blank made the most of their dual firing from Handy Dan Home Improvement Centres in California in 1978 when they started the upstart big box retail concept. With others such as Ron Brill, Pat Farrah, and Ken Langone, they grew The Home Depot into the largest home improvement retailer in the world. It currently has some 2,300 stores.

Marcus was born in 1929, the son of Russian Jewish immigrants. He grew up in a tenement in Newark, N.J. He dreamed of becoming a doctor. When his family couldn’t afford medical school, he enrolled in pharmacy school and received a degree from Rutgers University. He would cut classes to sell freezers door to door.

Jim Inglis, who was executive vice-president of strategic development at The Home Depot in its formative years, wrote about Marcus in his bestselling book, Breakthrough Retailing: How a Bleeding Orange Culture Can Change Everything!

“Bernie’s management style was MBWA (Management by Wandering Around), which gave him keen insight into what was going on in the business,” Inglis wrote. “Listening was one of Bernie’s greatest talents… People felt comfortable sharing their true thoughts and feelings because he was never defensive and always appreciative.”

When it came time for a new leader at Home Depot Canada in 1996, after a slow start, Marcus took a chance on a young woman from Cape Breton who had brought Michael’s, the arts and crafts chain, to Canada. He remained a strong supporter of Annette Verschuren during her 15 years as president of the Canadian division. Verschuren, with Marcus’s steadfast support, grew The Home Depot Canada from 19 stores to 179 as annual revenues went from $600 million to $6 billion.

Marcus was a major philanthropist. With his wife Billi, he funded the Georgia Aquarium and established The Marcus Institute, which today is the Marcus Autism Center, a not-for-profit subsidiary of Children’s Healthcare of Atlanta that treats more than 5,500 children with autism and related disorders each year.

Marcus’s net worth was about US$11 billion, according to estimates by Forbes.

View The Home Depot’s tribute video to Bernie Marcus here.

Explaining the factors affecting the economy—and your business—is something Peter Norman does with great ease. As vice-president and chief economist at the economic consulting firm Altus Group, Norman is a regular fixture at the annual Hardlines Conference. His presentation at the latest conference, held Oct. 22 and 23 in Quebec’s scenic Charlevoix region, once again provided insight and clarity for Hardlines delegates.

Norman presented a half dozen factors that are affecting Canada’s economy. Demographics was at the top of the list. Immigration over the past five years has netted 1.2 million new Canadians. They impact the economy by adding to the temporary work force, filling the ranks of foreign students, and driving demand for housing. Expect all three to be severely reduced by new government regulations. Norman warned to expect “dramatically lower immigration, more like in the 400,000 to 500,000 range in the next four to five years.”

In terms of housing demand, he expects the next 10 years to see a rise in demand from young and aging millennials who move from rentals to become first-time home buyers, with single family homes having the greatest demand.

Another factor to watch, Norman pointed out, is the direction of interest rates. While the Bank of Canada has been lowering its prime rate since the second half of last year, mortgages have been much slower to follow suit. Nevertheless, they are coming down, though not yet to pre-Covid levels.

As rates stay stubbornly high, housing affordability remains strained, making the purchase of a house a hardship for young people. Housing starts across the country are generally healthy (with the exception of Saskatchewan, Manitoba, and British Columbia), but the national average has been brought down almost single-handedly by the condo market in the Greater Toronto Area, which has stalled. In fact, GTA condo starts had, in the past, clocked in as high as 40,000 units but have fallen to half that, and are forecast to fall as low as 10,000 in 2024.

While this metric has skewed the national average, Norman said, “Housing starts are holding up pretty well, actually.” They remain on track for about 240,000 starts for 2024, “pretty much on track with last year.”

PEOPLE ON THE MOVE

At Rockwool, Mike Goyette has been promoted to the role of vice-president, sales, at its ceiling tile division, Rockfon North America. He’s been with Rockwool for 15 years, and as national sales director since 2019. Scott Debenham, currently Rockfon business unit manager in Canada, is being promoted to replace Goyette as director of sales, building insulation, Rockwool Canada. He joined Rockfon in 2013. Both appointments take effect Jan. 1, 2025.

Brandi Switzer has joined Liteline Corp. as regional sales manager, Pacific and Rockies. Switzer brings nearly a decade of experience in the electrical industry working with contractors, distributors, electrical engineers, interior designers, and architects. She will oversee growth across the British Columbia and Alberta markets.

DID YOU KNOW…?

… that the 2024 Hardlines Retail Report is now available? This massive research breaks out the size and growth annually of the industry, identifying which retail sectors and which banners are winning and losing from year to year. Click here for more info and order details—and remember, as a Premium Member (if you are subscribing to this newsletter, you are one!) you will get a big discount on the price—including a bundled discount when you buy its companion research, the Hardlines Market Share Report!

RETAILER NEWS

Dartmouth, N.S.-based LumberMart is the latest dealer to join BMR Group. Effective Nov. 26, the store will be rebranded as LumberMart BMR Pro. In business for over 40 years and now under its third generation of owners, LumberMart is dedicated to garage, shed, deck, kitchen, and fence packages, and commercial and residential building packages. It serves communities ranging from Metro Halifax to Cape Breton, Annapolis Valley, and Nova Scotia’s South Shore.

Canadian Tire Corp. has reported Q3 net income of $200.6 million, reversing a loss of $27.8 million a year earlier. Revenues declined by 1.4 percent to $4.19 billion. Comp sales were 1.5 percent below the comparable period of last year but higher than in Q2. Canadian Tire Retail’s comp sales were down 2.2 percent.

Got Wood Building Supplies, a Castle dealer in Geraldton, Ont., has been acquired by Ne-Daa-Kii-Me-Naan Inc. The First Nation-owned enterprise was established in 2012 by seven member nations to promote sustainable forest management. Got Wood general manager Deanna Hoffman and her team will hold a grand opening event later this month.

RONA has released the timing for its affiliated dealer gathering in the fall of next year. In 2025, RONA Connexia will be held the week of Oct. 14 at the Centre des congrès de Québec (Quebec Convention Centre) in Quebec City. Independent RONA dealers will come together for a few days of presentations and workshops. There will also be another vendor trade show. The event will close with an awards gala.

AD reports that member sales in the first nine months of 2024 increased by 6.0 percent to a record US$61.0 billion across its 14 divisions and three countries. Same-store sales increased by 3.0 percent in total, including 2.0 percent each in the U.S. and Canada in their respective local currencies.

Jeld-Wen Holdings posted third-quarter revenues of US$934.7 million, a 13.2 percent decline from a year earlier. The company’s net loss of $73.0 million, follows earnings of $16.9 million in the previous Q3. “Market conditions continue to deteriorate, which has significantly impacted volume/mix in the near-term,” CEO William J. Christensen said in a release.

Koelnmesse has formed a joint venture with dmg events that will see the German-based trade show organizer expand into Saudi Arabia. The International Hardware Fair Saudi Arabia will take place annually at the Riyadh International Convention & Exhibition Center, with the first edition scheduled for June 16 to 18, 2025.

Western Forest Products reported a net loss of $19.6 million in Q3 of 2024. That was compared with a net loss of $17.4 million a year earlier and a net loss of $5.7 million in the previous quarter. Revenues of $241.7 million were up from $231.1 million in Q3 of 2023 but down from $309.5 million in Q2.

Richard F. Royce died suddenly on Oct. 31 from a heart attack. Royce was a well-known figure in the Canadian building materials industry, in which he spent his entire career. He started out with Canfor before moving to MacMillan Bloedel. His CV also included tenures with Great West Timber, CanWel, Weyerhaeuser, and Jager Industries. He was most recently president of industry consulting firm RFR Resolutions. Royce is survived by his daughter Andrea and son Adam. A celebration of life for Rick will be held at a later date.

ECONOMIC INDICATORS

Residential building construction costs increased 0.9 percent in the third quarter, following a 1.0 percent increase in the previous quarter. This marks the slowest quarterly growth since the second quarter of 2020 for residential building construction costs. The biggest growth in residential construction costs was in Calgary, followed by Winnipeg. Non-residential building construction costs rose 0.5 percent. Year over year, construction costs for residential buildings rose 4.0 percent, while non-residential building construction costs increased 3.9 percent. (StatCan)