Forget about .40 for IPII earnings next quarter, that's what they did last year! It's going to be in the .60 to .80 range, that's just based on common sense.
Nice article found by JII on the RB board:
Roof Tile Manufacturers Strive to Meet Florida's Demand; Increasing production capacity is challenged by a shortage of raw material"
CHICAGO--(BUSINESS WIRE)--June 8, 2005--Many roof tile manufacturing plants in and around Florida are in overdrive. Florida's roofing contractors are busier than they have ever been. Yet because of a convergence of economic factors, including exceptionally high demand for new home building permits, thousands of residents still await new roofs following last year's devastating hurricane season.
The Tile Roofing Institute (TRI), the leading resource and proponent of concrete and clay tile roof systems, is working along with the Portland Cement Association (PCA) and the Florida Roofing, Sheet Metal and Air Conditioning Contractors Association (FRSA) to educate roofing contractors, building officials and local communities about supply conditions.
"The tile roofing industry regrets the extended lead time required to satisfy the needs of Florida's homeowners and contractors who are waiting for their roof tiles, and we're doing everything possible to increase manufacturing capacity," says Charles McGrath, managing director for TRI. "We are facing the same shortages as other building material companies, like those dealing in cement and plywood. The problem exists nationally, although Florida is one of the most highly affected states."
Exceptionally high demand, fueled by a sustained residential construction boom, is the largest contributor to building material shortages. Over the last year, this has led to an approximate 17.5 percent price increase for steel and a 10.5 percent increase for concrete, according to the U.S. Department of Labor.
"Concrete roof tile lead times, prior to the hurricanes, were already creeping up to about 12 weeks," says Steve Munnell, FRSA executive director. "Then the hurricanes arrived and 400,000 homes need new roofs or roof repair, and many of them require roof tiles."
In addition to high demand, concrete roof tile supply is also affected by the shortages facing the cement industry, the key ingredient of concrete. According to the PCA, cement shortages are widespread, but are more heavily affecting Florida and other states with heavy construction activity, such as California, Texas and Arizona.
"U.S. cement companies cannot meet the strong demand on their own," says Ryan Puckett, PCA spokesperson. "Nationwide, imports account for 25 percent of cement consumption, and Florida in particular, relies more heavily on imports."
