Home Back Issues April 2009 Deal Watch: Two water contracts keep Northwest Pipe on course

Deal Watch: Two water contracts keep Northwest Pipe on course

| Print |  Email
Archives - April 2009
Wednesday, April 01, 2009

Northwest Pipe Company president Brian Dunham says that during past recessions, the firm’s chairman has joked that they should have bought a company plane — if only so they could sell it and cut costs when times were tough.

“But we never bought the damn plane,” says Dunham, who’s been with the Vancouver company since 1990.

Still, Northwest Pipe, which manufactures steel pipe for use in industries like agriculture, energy, construction and municipal water transmission, has girded itself during this current economic crunch by trimming its discretionary costs. It’s also shuttered a plant in Utah and delayed bringing another facility in Louisiana fully online until the market rebounds.

Those steps in part helped Northwest Pipe end 2008 with record revenue and income of $439.7 million and $32.3 million, respectively. And the company is off to a solid start in 2009, with two water transmission contracts in February worth at least $9 million each.

The same month, Northwest Pipe’s majority-owned subsidiary in Singapore, Northwest Pipe Asia, acquired the Scottish company Byard Ltd, which makes spiral pipe mills. Dunham says the acquisition will be helpful in upgrading Northwest’s manufacturing equipment and, thanks to Byard’s “full Rolodex,” drumming up some new international business.

While Dunham says the water transmission side of Northwest Pipe’s business, which is driven by long-term city water projects and population demographics, is looking strong, its tubular business will likely lag in the coming year. That’s because those products — piping for fire sprinklers, irrigation, gas collection and highway signage — are tied much more closely to the immediate economic cycle. President Obama’s stimulus package may help a bit, but it’s still too soon to tell.

As a result, Dunham says Northwest will be playing a little offense in 2009 and a little defense.

“It’s just hard to be too optimistic right now,” he says.

JON BELL

"
MERGERS AND ACQUISITIONS
PRICE EXP. CLOSE BUYER / PARENT (HQ) SELLER / PARENT (HQ) ANNOUNCED
ND Q1 AgSource Cooperative Services (WI) Agri-Check (Umatilla) 2/11
ND Q1 Columbia Machine (Vancouver) Foster Equipment (CA) 2/25
ND Q1 Community Health Systems (TN) McKenzie-Willamette Med. Center/Cascade Health Solutions (Eugene) 2/18
ND Q1 Doug Morland (CO) Three dealerships of Lithia Motors (Medford) 2/18
ND Q1 Groove 11 (CA) Asterix Group (Portland) 2/2
ND Q1 Handmark (KN) FreeRange Communications (Portland) 2/5
ND Q1 HighJump Software (MN) Insight Distribution Software/Coaxis (Portland) 2/4
ND Q1 Imagine Graphics (Eugene) Phot-Oregon (Eugene) 2/16
ND Q1 M&K Acquisitions (Clackamas) Gleukos (Portland) 2/5
ND Q1 NW Pipe Asia Pte./NW Pipe (Vancouver) Byard(Scotland) 2/5
ND Q1 PACE Engineers (Oregon City) Peterson Consulting Engineers (WA) 2/24
ND Q1 Schnitzer Steel (Portland) Ponce Resources (Puerto Rico) 2/4
ND Q2 Visualant (WA) TransTech Systems (Wilsonville) 2/16
ND Q1 Washington Trust Bank (WA) Pinnacle Bank (Beaverton) 2/13


REAL ESTATE TRANSACTIONS
PRICE BUYER / PARENT (HQ) REAL ESTATE (LOCATION) / SELLER (HQ) ANNOUNCED
$24.5M Port of Vancouver (WA) 110 acres industrial (Vancouver)/Evergreen Aluminum (Vancouver) 2/10
$5.2M Woodburn Partners (Tigard) 128,600 sq ft industrial (Woodburn)/Universal Forest Products Western Division (MI) 2/11
$4.8M Greg and Dan Piantanida (WA) 48-unit apartment complex (Portland)/Hazelton Las Brisas (CA) 2/23
$3.85M Cooper’s Chase (Beaverton) Bristol Court Apartments (Milwaukie)/Harmony Court II (Portland) 2/16
$3.6M Eric Kasch (Vancouver) King’s Landing Apartments (Corvallis)/Charles Stevens (CA) 2/9
$1M Lair Hill Associates (Portland) Lair Hill Office Building (Portland)/Stan Crawford 2/2
$645,000 St. Vincent de Paul (Eugene) Seven lots (Veneta)/The Guilford Family 2/5
ND Dulcich Realty (Clackamas) 4.5 acres industrial (Clackamas)/Komfort Corp (Clackamas) 2/5
ND Fire Station No. 7 (Portland) 15,400 sq ft office (Portland)/ND 2/26
ND PremierWest Bank/PremierWest Bancorp (Medford) Two bank branches (CA)/Wells Fargo Bank (CA) 2/19


CAPITAL RAISING
PRICE (TYPE) COMPANY (HQ) / LEADERSHIP INVESTOR (HQ) ANNOUNCED
$82.6M (American Recovery and Reinvestment Act funds) State of Oregon U.S. Dept. of Housing and Urban Development 2/25
$41.4M (stock sale via TARP) Premier West Bancorp (Medford)/Jim Ford U.S. Treasury 2/18
$12.6M (loans) Oregon International Port of Coos Bay/Jeffrey Bishop Oregon Economic and Community Development Department 2/3
$9.5M (pipe order) Northwest Pipe (Vancouver)/Brian Dunham Antelope Valley-East Kern Water Agency (TX) 2/3
$9M (pipe order) Northwest Pipe (Vancouver)/Brian Dunham Los Angeles Dept. of Water & Power (CA) 2/5
$7M (venture investment) RNA Networks (Portland)/Clive Cook Menlo Ventures (CA), et al. 2/3
$6.7M (combat boot order) LaCrosse Footwear (Portland)/Joseph Schneider U.S. Army 2/26
$1M (gift) Willamette University/M. Lee Pelton Peter and Bonnie Kremer 2/25
$594,000 (refugee care funds) Medical Teams International (Tigard)/Bas Vanderzalm U.S. State Dept. Bureau of Population, Refugees and Migration 2/12
$100,000 (lottery loan) Port of Astoria/Jack Crider Clatsop County Commission (Astoria) 2/13
$40,000 (biodiesel testing contract) Gorge Analytical (Hood River)/Jeff Fetkenhour City of Portland Bureau of Development Services 2/23
ND (contract for seven helicopters) Carson Helicopters (Grants Pass)/Frank Carson Presidential Airways (NC) 2/19
ND (wind energy contract) Iberdrola Renewables (Portland)/Ralph Currey Snohomish County PUD (WA) 2/4
ND (cargo contracts) Port of Vancouver/Larry Paulson Vestas (Portland) and Siemens Energy (GA) 2/5
ND (waste hauling contract) Walsh Trucking (Troutdale)/William Walsh Metro 2/16

List researched by Jon Bell

Have an opinion? E-mail This e-mail address is being protected from spambots. You need JavaScript enabled to view it
 

More Articles

Tight and Loose

September 2014
Wednesday, August 27, 2014
BY JENNIFER MARGULIS

As schools implement more rigorous academic standards, holistic and flexible approaches to K-12 education flourish.


Read more...

Two sides of the coin

Contributed Blogs
Monday, August 25, 2014
0825 thumb moneyBY JASON NORRIS | OB GUEST BLOGGER

Ferguson Wellman’s investment views on the economy and capital markets.


Read more...

Two Sides of the Coin

Contributed Blogs
Friday, September 26, 2014
0926 iphone6-thumbBY JASON NORRIS | GUEST BLOGGER

This post focuses on the recent release of the new Apple iPhone as well as Alibaba's IPO, the largest U.S. IPO in history.


Read more...

Innovation: a critique

News
Wednesday, October 08, 2014
1008 innovation thumbBY LINDA BAKER | OB EDITOR

A Design Week panel discussion raises questions about how innovative we really are.


Read more...

100 Best Nonprofits announced

News
Thursday, October 02, 2014

100NP14logo4WebOregon Business magazine has named the sixth annual 100 Best Nonprofits to Work for in Oregon.


Read more...

The Diaspora

October 2014
Thursday, September 25, 2014
BY LEE VAN DER VOO

Former newspaper reporters move into brand journalism.


Read more...

Podcast: Turn Things Around with David Marquet

Contributed Blogs
Friday, October 17, 2014
davidmarquet thumbBY TOM COX | OB BLOGGER

How can you move from a command-and-control leadership model to one of true empowerment and accountability? David Marquet did, and he took notes along the way.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS