GPD explodes in the last 4th quarter

The U.S. economy surged by an unexpectedly strong 5.7% annualized rate in fourth quarter, driven more by slower inventory liquidation than by consumer spending, says the Commerce Department in its first estimate of fourth-quarter gross domestic product (GDP). Excluding inventory changes, the economy would have grown by 2.2%, a smaller preliminary improvement from 1.5% in the third quarter.

The good news for buyers and suppliers is that, according to Wells Fargo Economics, GDP growth was driven by business spending on equipment and software, which jumped 13.3% in the October-December timeframe, more than forecast. It’s the second quarter in a row that business spending has increased, after six quarters of decline.

But what is driving that spending seems to be a point of concern. Brian Bethune, chief U.S. financial economist for IHS Global Insight, says 60% of the fourth quarter’s growth resulted from a sharp slowdown in the reduction of inventories as firms began to rebuild stockpiles depleted by the recession. He explains that a shift in the inventory cycle can make a big difference to economic growth, even if overall spending by consumers and businesses grows only modestly. That’s because an increase in inventories, or even just a much slower rate of decline, means that companies are producing more goods to fill orders, rather than drawing on their existing stockpiles.

Other analyses warn that inventory-driven growth is usually short-term. Len Blum, managing director at Westwood Capital, tells CNNMoney.com he’s skeptical of the heady expectations generated by the latest GDP report. “The positive results are from the government stimulus and the inventory cycle,” says Blum. “I don’t think growth will be sustainable without more government stimulus.”  The Associated Press also reports that the engine of late-2009 growth-companies replenishing stockpiles-is likely to weaken as consumers keep a lid on spending.

Still, some economists say the GDP report validates the Federal Reserve’s view that low interest rates are helping spur a recovery. The central bank has kept its key interest rate, the federal funds rate, near 0%, since December 2008. That rate is used as a benchmark for a broad range of business and consumer loans.

The nation’s economy declined 2.4% in 2009, the first annual decline since 1991 and the largest drop since 10.9% in 1946. However, a report from the Chicago Federal Reserve Bank that tracks manufacturing in five states shows that the Midwest Manufacturing Index dipped 0.3% in December, after rising 1% in November.

Tom Stundza — Purchasing 1/19/2010

What does it take to commit?

Every year I like to make a single resolution, something attainable, and certainly something that I can stick to. As we begin to wrap up the first month of the new year 2010, I’d like to redirect a bit more wind into our sails that may be already lacking from motivation/commitment from all the wonderful resolutions and promises we made almost 30 days ago.

First of all,  Jeffrey Gitomer is a fantastic writer whom I follow closely. In his latest letter, he shares 12.5 steps to help us all get committed to whatever it is we want to achieve this year, this quarter, etc….  I can hear some of you already saying, but I already lost interest, I can’t do it, I don’t have the time, maybe next year…and on and on.  I am certainly not exempt from this either, so hopefully we can all benefit from the following.

What does it take to make a commitment, and then follow through with actions that allow the goal to be achieved? Well, I don’t know that there is an actual formula, but let me share with you what’s  working for me.  keep in mind that making the commitment is part one.  Living up to it is part two through twelve point five.

1. Today, not tomorrow. Tomorrow never comes, especially where change or breaking a habit is concerned.
2. Develop a passion or an anger about your present situation. The only way to make the goal a reality is to get determined and create the inner energy.
3. Do it for the most important person in the world…YOU! Don’t do this for or against anyone but yourself.
4. Write down your exact plan. Detail both the actions you must take, and the rewards for achievement.
5. Set a time frame. The end is as important as the beginning.
6. Determine the daily dose. Just figure out what you need to achieve each day, and do that.
7. Look for substitutes (placebos or pacifiers). If you have to quit something, get a diversion to take your mind off of temptation.
8. Don’t quit just because you slip. If you fall off the (achievement) wagon, get back on.
9. Post your goals and achievements. Post-it note your goals on your bathroom mirror. After you achieve them, take them down and post them on your bedroom mirror. Look at your success every day.
10. It’s a day-by-day process. And if you do your daily bit-of-achievement, the passing weeks will bring you the prize.
11. Change other habits, so that one is not overpowering the other. Goals require change. Take the opportunity to make a few more.
12. Celebrate your victory. Ring bells, drink champagne from the winners cup, PARTY!
12.5 Grim reality is having a crisis occur that forces the commitment to be made. This can be anywhere from bombing the World Trade Center, to having a massive heart attack. Where crisis is not the best place to have commitment occur, it is certainly the best place to show how to take immediate action.

One of my resolutions that I have made is to get better organized and try to automate as much as possible sales and marketing cycle.  Let’s hear some of your stories.

So, are we ready to make it a better year?  You better believe it. Let’s dive right into it…

Cheers-

Andy

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IBC totes revisited- A guide to retesting of IBC totes

While preparing for this next entry, I came across a very interesting article that made me stop and think about YOU and how you are going to absorb the following information. Will it be just another lame post about what we have to offer, who we are, or perhaps the old hit and miss approach of throwing something on the wall to see if it sticks?

We are all so overexposed to junk Email, spam, and unsolicited requests.  So I stopped for a second to think about how important it is for me to feel like you have gained something from this entry, to walk away with information that is actually useful and valuable to YOU, and available anytime at no cost to you whatsoever. (This is the reason for this blog by the way).

“ We make a living by what we get, but we make a life by what we give”

So, in me telling you that we have several IBC totes available for sale here in Houston, considered ‘overstock’ equipment, and for which we can make you a good deal; …….just doesn’t resonate well with me.  Instead, let me give you a bit more.  Follow me:

1)  What is an IBC tote? An IBC tote is a common term used in the industry to describe an Intermediate Bulk Container. Whether handling bulk liquids, viscous products or dry flowables, IBC totes or portable bulk containers can meet transportation and handling requirements for corrosives, flammables, food and beverages, custom chemicals, lubricants,  pharmaceuticals, in a safe and cost effective way. The most common sizes are 350 and 550 gallon capacity.

2.) Do you have a need for IBC totes? If you find yourself interested in purchasing IBC totes, you will need to answer a few basic questions:.  1) Will this equipment be used  for a  hazardous or flammable product?, 2) what size works best ?, 3) Do you require Carbon Steel, Stainless Steel , new or used, and finally 4) Quantity of IBC totes required.

3.) IBC totes offered carry the following designation:

DOT UN31A permits the shipment of flammable and combustible liquids authorized by Title 49 CFR.

Allowable modes of transportation: motor vehicle, rail freight, cargo vessel, or air freight. NMFC Item 41032, Sub 1, Class 125. (per DOT)

Those are basics, as most of you already know and understand.  Following on that note, have you come across the situation when you need to re-test these IBC totes?  I get lot of questions on re-certification.  For those of you who may be looking to see what it takes, how to do it, and where to begin; we have put together a manual to give you point by point instruction when the time comes to re-certify your IBC totes.  Why do you need to this?  Per DOT regulations, these totes must be maintained within a current inspection period of every 2 1/2 years.

So, when you find it’s time to re-certify your IBC totes, perhaps you have purchased totes from us in the past, or hopefully you are in the market to purchase a few, feel free to email me andyd(at)tank service(dot)com to request a copy of the “Guide to Retesting of Intermediate Bulk Containers”.

As always, feel free to ask any questions, and post them here so that we can all gain from each other.

ISO Tank Container Retesting requirements

This is a popular question, when do I need to retest  these ISO tank containers?

There is lengthy techincal description over at the ITCO website, but I believe the tank guru has done a much better job a summarizing for all of us.

The original came in as follows:

How often and what are the procedures for retesting an ISO container? (Pressure and thickness)

The tank guru fires back: ” Hazardous materials may only be carried in tank containers (ISO tanks) that have a valid, current 5-year or 2.5-year test certificate. A 5-year periodic test is required 60 months after the date of the original hydrostatic test, or the most recent subsequent 5-year test.  The scope of the test must include a hydrostatic pressure test at the tank’s full Test Pressure, usually 150% of the Maximum Allowable Working Pressure.  It will also include a visual interior inspection of the tank barrel, and exterior inspection of the container to ensure structural integrity of the frame and safety items such as the catwalk.  Read the rest of the story here….

Need retesting? We can manage that for you !

Intermediate Bulk Container- IBC Tote

IBC’s seem to be a commodity these days, but if you are looking for same day pick up in Houston, we stock used 304 stainless steel 550 gallon IBC totes and some 350 gallon IBC totes in our La Porte Terminal.
For your convenience, we also have a surplus amount of “unused” 350 gallon IBC totes on the ground and ready to move.

Last, these IBC totes can be fitted with tracking devices, heating elements, insulation jackets, and other accessories…. Are you looking for a turn-key package? Don’t hesitate to request information on our line of pumps, filters, hoses, and nozzles.

Application for IBC containers: Chemicals/petrochemicals, waste disposal/recycling, food industry, paints/lacquers, plant construction, Biodiesel, and much more.

These Intermediate Bulk Containers (IBC totes) have the following specifications:
1. DOT UN31A (new builds) permits the shipment of flammable and combustible liquids authorized by Title 49 CFR.
2. Per DOT, allowable modes of transportation: motor vehicle, rail freight, cargo vessel, or air freight.

Call for availability and specifications…

Intermediate Bulk Container 350 gal

Intermediate Bulk Container 550 gal

Intermediate Bulk Container 350 gal

Intermediate Bulk Container 350 gal

Intermediate Bulk Container 350 gal

Picture of IBC tote bottom valve

Food grade ISO tanks

Food grade tanks have been an item that a lot of you have had on your radar.  Unfortunatley, past history tells that these tanks have been very limited in supply.  While we have had dedicated food grade tanks available for sale, there have not been many but rather a handful of units.

So, what does the industry offer if you need to purchase a food grade tank?  Tank Service Inc is now offering a new application at refurbishing a used tank and getting it ready for your app.  We do this by intalling a new interior liner that meets the following certifications:

Qualifications
USDA – Incidental food contact
FDA – Direct food contact
APIRP1631 – Underground Tanks
MSC/COMSCINST 4750-2 Saltwater ballast, sanitation,
petroleum cargo
DOD-P-23236 Type I
DOD-P-23236 Type IV
NSF Standard 61* – For use in drinking water (CLD 23);
*For NSF application information, please visit our website at
www.ameroncoatings.com/usa/nsf

Email us for further details…..Tanks are available.

Food grade ISO Tank

Used ISO Tank IMO7 Cryogenic available

Dear valued customer and friend-
Thank you for all the inquiries, I am always available to answer any questions regarding availability, technical, or referring you to the correct party.
Historically, Cryogenic ISO tanks IMO7 / T75 have been a rare request, simply because of their highly specialized nature. I am happy to share with you that we can offer you a handful of Used ISO Tank Container IMO7 Cryogenic units available in Houston.

Below is a sample spec of the IMO7 ISO Tanks,feel free to email me for full details:
andyd (at) tankservice (dot) com or call me at +1-713-665-3001
www.tankservice.com

ASME Code Section VIII Div. 1
• Material: SA-240 GR 304
• MAWP: 145 PSI
• Water Capacity: 5,350 Gallons/20,252 Liters
• Design Temperature:
Design Code: ANSI B.31
• Material: SA-312 GR 304
• Liquid Line/Drain: 2”
• Top Fill: 1-1/2”
• Safety/Vent: 2”
• Instruments: 3/8”
• PB: 1”

These IMO7 ISO Tank Containers are good for LOX, LIN, LAR, LNG and N2O.

Used Cryogenic ISO Tank IMO7

Used IMO7 ISO Tank

OPTIMISM—If you are willing to look really, really hard.

OPTIMISM—If you are willing to look really, really hard.

This past weekend I downloaded Time Magazine to my Kindle and found a very unusual article. I say unusual because the author puts a positive spin on what is going on in these tough economic times. I have completely stopped watching media coverage because, well, I am burned out of all the negativity being tossed around. Justin Fox , the author, writes four positive points that we can all learn from.

1. The stock market is no longer overpriced.. The Dows’s descent below 7,000 for the first time was greeted with much wailing on Wall Street and the media. That is understanding, the market’s fall reflects a growing consensus that the current recession will be nasty and long. In addition, if you own stocks, you cannot sell them for nearly as much as you could previously. But the recent fall in stock prices also means that are now, by just about every possible measure, fairly priced or downright cheap. It does not mean prices won’t go even lower. It does mean there is no longer a huge, unsustainable overhang of overvaluation weighing on the market and the economy. House prices may not have reached this point yet, but they are getting there. The great turn of the millennium asset bubble has finally deflated. This is going to teach us that buying and selling houses and financial instruments do not bring lasting prosperity. What brings prosperity is work.

2. Consumers are adjusting to the new economic reality and fast. The simplest explanation of what led to this financial mess is that too many American consumers spent more than they earned. That is ending in dramatic fashion: consumer spending dropped in the fourth quarter at the fastest rate in 29 years. After skidding along near zero from 2005 through 2007, the savings rate hit 5% in January, the highest since 1995. This rapid retrenchment is the main reason we sank so quickly into a deep recession. But as long as the consumer pullback doesn’t spiral into an economic shutdown, it is a healthy medium and long term development. For the long term, as long as spending remains moderate, the US economy will be on a much more sustainable path.

3. Reinvention and change are what the US is all about. The financial and real estate sectors got too fat in the 2000’s. They are shrinking rapidly, and our economy needs to find new drivers of growth and prosperity. That is not going to be easy, but it certainly helps that switching gears is something of a national specialty. We Americans are willing to move thousands of miles from home, to change careers, to strike out on our own, if that is what it takes to get by. This is far less true in most other countries in the developed world. This isn’t just because we are an adaptable lot; it has much to do with the inherent advantages of having the dollar as the world’s reserve currency.

4. The Government is on the case. Don’t laugh. The Treasury Department and the Federal Reserve and the White House and Congress really are all working to fix this mess. They are making lots of mistakes. They are doing some things too quickly and many things too slowly. A political climate increasingly hostile to bailouts is tying their hands. But the recession to the current crisis has been infinitely smarter and more forceful than that of the early years of the Great Depression.

These four points may all be exercises in finding silver linings in a really bad time, but I believe that faith will pull us through. Let’s not forget that it is exactly when the news is most discouraging and most gloomy that recoveries begin. Please do share your comments. AD

rupture disc burst pressure

Here is the latest intro from the Guru…the original question came in as “What is the correct burst pressure for a 4 bar tank?  Should we install a 4.4 bar rupture disc”

read the answer here…The Tank Guru answers back

IT issues- a quick update

Good morning folks, our main websites are still down due unexpected IT issues but currently working to get us back on line.  Email is up and running now for your convenience.  Thank you for your patience.

A.

andyd @ tankservice . com