ST. JACOBS, Ont. — Home Hardware Stores Ltd. made two important additions to its merchandise team last week, as it continues to round out its buyers on both the hardlines and building materials sides.

Ron Krochuk was appointed merchandise manager of forest products, reporting to LBM Director Doug Shantz. The move becomes effective September 30. Krochuk (shown left) has 25 years of experience in forest products, including positions at Lowe’s and Home Depot as national lumber merchant. Most recently he worked on the vendor side as a product evangelist for Blueline Data, and before that as VP of sales and marketing for Solowave Design.

“We are excited to welcome Ron Krochuk to our team of exceptional merchandise managers at Home Hardware,” said Marianne Thompson, VP of merchandise LBM. “Ron brings a depth of knowledge in forest products and he will be able to assist our dealers with the ability to provide exceptional service to almost 1,100 communities across Canada.”

The hardlines team welcomed a new member, as well. Rob Szekszer has joined as director of merchandise hardlines. He reports directly to Joel Marks, VP of merchandise hardlines. Szekszer, who was previously with Canadian Tire Corp., will be responsible for leading the management teams in electrical, appliances, HVAC, automotive and general merchandise. He is one of three merchandise hardlines directors, along with Brian Straus and Dave Martin.

“We are thrilled to welcome Rob Szekszer to our team and are confident in his capabilities to successfully develop strategy and growth within his category,” said Marks said.

COLOGNE, Germany ― If you missed some of the cool new products and trends at the world’s largest garden, outdoor living and barbecue trade show, don’t worry: Hardlines was there.

Earlier this month, we trekked to spoga+gafa, the outdoor living show in Cologne, Germany, to be the eyes and ears for the Canadian market. It’s a good thing we were there, because new products and innovations were everywhere at this show. And, with a few exceptions, especially in the barbecue section, not many Canadians were there. However, the show managed to attract 40,000 people from around the world, and took over more than 2.5 million square feet of floor space in 11 different buildings.

We saw new products ranging from foldable patio units and children’s outdoor play sets to innovative garden products for small spaces and indoor living, as well as the latest grilling and outdoor cooking technology and accessories.

There were also lots of vendors with neat new products looking for distribution in Canada. (Click here to take a tour of spoga+gafa, courtesy of Hardlines!)

TROIS-RIVIÈRES, Que. — BMR Group, along with an existing BMR dealer, Pierre Naud, opened the first BMR Pro store in Quebec last week. The new concept store, the result of a $2 million investment, is located at 2250 Boulevard des Récollets in Trois-Rivières and will serve as a flagship store for the Pro network.

BMR opened its very first BMR Pro in Ontario earlier this year. Griffith Building Supply, in Greater Madawaska township, had a grand opening in May.

The Pro concept, part of a series of sub-banners for BMR to better define the offerings of its respective store formats, is aimed at handymen, contractors and heavy DIYers. It offers a range of building materials at very competitive prices, tailored to the quality needs of pros. The new store boasts a modern, industrial look that extends to the layout of the aisles, the design of the store and the entrance reserved for contractor customers.

Along with the owners, brothers Marc-André and Phillipe Lebel, on site for the store opening in Trois-Rivières were Jean Lamarche, mayor of the city of Trois-Rivières; Robert Aubin, member of parliament for the city; Pascal Houle, CEO of BMR Group; as well as Hugo Girard, strongman and BMR ambassador.

“We are very excited to unveil the very first BMR Pro in the province. This is a new concept that reasserts BMR’s expertise in the building materials industry. Simply put, our store is where contractors feel right at home,” says Houle.

The new format marks a new beginning for the Trois-Rivières Pierre Naud store. In September 2017, it was destroyed by fire only weeks after the completion of a major renovation. The Lebel brothers continued their business activities from a construction trailer while their store was being refitted.

OTTAWA — Home sales recorded via Canadian MLS Systems advanced for the sixth consecutive month in August, with a 1.4% month-over-month increase. According to the Canadian Real Estate Association (CREA), transactions are now running almost 17% above the six-year low reached in February, but remain about 10% below highs reached in 2016 and 2017.

Activity was up in slightly more than half of all local markets, although monthly changes were generally modest across most of the country. Actual (not seasonally adjusted) sales activity was up 5% from where it stood in August 2018.

Based on current conditions, the CREA has updated its forecast for housing activity in the country. Strong economic fundamentals, previously unexpected declines in mortgage interest rates and stronger than previously expected housing market trends in British Columbia and Ontario have resulted in the CREA upwardly revising its home sales forecast in 2019 and 2020.

Nonetheless, the overall level of national sales activity this year and next is anticipated to remain below levels recorded prior to the implementation of the B-20 stress test.

National home sales are now projected to recover to 482,000 units in 2019, representing a 5% increase from the five-year low recorded in 2018. But they remain well below the annual record set in 2016, when almost 540,000 homes traded hands.

Notwithstanding the upward revision, the forecast for 2019 on a per capita basis remains the second weakest since 2001.

British Columbia, Alberta, Saskatchewan and Newfoundland and Labrador are all forecast to come in at or near multi-year lows for 2019. By contrast, Manitoba, Quebec and New Brunswick are expected to set new annual sales records. British Columbia is expected to continue to weigh on national figures in 2019, with a decline of 5.4% compared to 2018. This is expected to be more than offset by gains in Ontario (+8.3%) and Quebec (+9.7%).

Sales are forecast to continue to improve through 2020, albeit slowly. National home sales are forecast to rise by 7.5% to 518,100 units next year, with most of this increase reflecting a weak start to 2019 rather than a significant change in sales trends out to the end of next year. Indeed, an anticipated increase of 14.3% in British Columbia's sales brings activity back in line with the province’s 10-year average.

Claude Chalifour has been appointed national director of retail sales at MAAX Bath. He was most recently at Formedica as executive vice-president of sales and marketing, and before that served as national director of sales development at NAPA Auto Parts.

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BOUCHERVILLE, Que. — Four corporate RONA stores in the Outaouais region of Quebec handed over a $217,000 cheque to Moisson Outaouais as part of the 2019 Loto-Moisson campaign. The stores have supported the food bank since 2011, and in 2013, created the annual fundraising campaign, which raises thousands of dollars each year through the sale of tickets at the four stores and other points of sale. Since 2011, the Outaouais RONA corporate stores have presented a grand total of $1 million to the Moisson Outaouais.

MONTREAL — Dollarama Inc. reported a 2% increase in its profits for Q2 as net income rose to $143.2 million from $140.4 million a year ago. Sales rose by 9% to $946.4 million, compared to $868.5 million a year ago, while comparable store sales were up 4.7%. Operating income grew 2.7% to $221.6 million, or 23.4% of sales.

SUPPLIER NEWS

WASHINGTON — The planned withdrawal of the United States from the Universal Postal Union could drive up costs for Canadian businesses shipping to U.S. customers from third countries. The U.S. declared its intention last fall to exit the Swiss-based Union, which co-ordinates delivery between national postal services. It says the lower dues paid by countries categorized as developing, including China, give them an unfair advantage. Washington is prepared to suspend its departure, due to come into effect next month, if the UPU allows countries to set their own rates.

VANCOUVER — West Fraser Timber Co. says that five of its B.C. sawmills will move to variable operating schedules, slowing production by about 15 to 25%. The new schedules have gone into effect for sawmill and plywood operations in Chetwynd, Fraser Lake, Quesnel, Williams Lake and 100 Mile House. The company said the decision, which could reduce production by up to 100 million board feet, was driven by prolonged market and pricing weakness, combined with high log costs.

ECONOMIC CONDITIONS

U.S. retail sales rose by 0.4% in August, with automotive and apparel categories leading the growth. Excluding motor vehicles, sales were flat for the first time since February. Though consumer confidence remains strong, it has receded slightly in the face of the ongoing U.S.-China trade war. Online sales continued their surge, increasing by 1.6%. (U.S. Commerce Dept.)

Housing starts in the U.S. in August were at a seasonally adjusted annual rate of 1,364,000. This is 12.3% above the revised July estimate of 1,215,000. Single‐family housing starts reached 919,000, 4.4% above July’s rate of 880,000. (U.S. Census Bureau)

OVERHEARD

“Building a strong merchandise team is a result of our commitment to be Canada’s most trusted and preferred home improvement retail brand.” —Joel Marks, VP of merchandise hardlines, on the hiring of a new merchandise director for Marks’s team.