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Rental July-August 2013 Book Now! International Rental Conference P20 Interview: Riwal CEO Norty Turner P17 Dan Kaplan: Essential Rental Metrics P46

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Rental July-August 2013 Book Now! International Rental Conference P20 Interview: Riwal CEO Norty Turner P17 Dan Kaplan: Essential Rental Metrics P46 INTERNATIONAL www.khl.comwww.khl.com NEWS A KHL Group Publication Volume 13 Issue 5 rental July-August 2013 Book now! International Rental Conference p20 Interview: Riwal CEO Norty Turner p17 Dan Kaplan: essential rental metrics p46 Power generation products for rental and Altaaqa Global interview Power on p29 Official magazine of the ERA THE ONLY MAGAZINE COVERING THE GLOBAL EQUIPMENT RENTAL MARKET IRN 07-08 2013 Cover-MP-EDITED.indd 1 15/07/2013 09:24:07 The QAS range. Predictable Power. Atlas Copco brings Predictable Power to the on-site generator and power generation business: peace of mind with solutions that combine low cost of ownership, reliable performance and risk-free operation. Atlas Copco Portable Energy A Company Within the Altas Copco Group www.atlascopco.com Full page.indd 1 15/07/2013 09:25:27 3 COMMENT t NEWS July-August 2013 Volume 13 Issue 5 Editor Editorial Team Murray Pollok e-mail: [email protected] Staff Writers Tel: +44 (0)1505 850 043 businesses focusing Lindsey Anderson, commen Alex Dahm, Lindsay Gale, Sandy Guthrie, Laura most visibly in rental Hatton, Cristián Peters, D.Ann Shiffler, Helen the world report pretty significant Wright, EuanEditorial Youdale Director Paul Marsden Diversification coming ny business needs to diversify - whetherrental businessesgeographically of or by sector - if it is to prosper. A KHL SPECIAL REPORT KHL’s rental THE RENTAL Production Production Team and In recent years this impetus has been seen pportfolio REPORT Circulation Director INTERNATIONAL www.khl.comwww.khl.com Saara Rootes more on industrial customers, or, in other words, anything except general construction. NEWS A KHL Group Publication Volume 13 Issue 5 rental July-August 2013 A COMPREHENSIVE GUIDGUIDEE TO THE Book now! International 2011 GLOBAL RENTAL MMARKETSARKETS Rental Conference FROM INTERNATIONAL RENTAL NEWS A KHL SPECIAL REPORT p20 A Interview:ew: Riwaliwwaal CEO MANAGING e-mail: [email protected] Norty Turner Production Manager That has seen many of the bigger p17 RENTAL Dan Kaplan:a essentiall rentrrentalal Ross Dickson metricsmem increases in ‘industrial’ revenues. For example, Speedy Hire's 2012 annual results were the first p46 e-mail: [email protected] al businesses for a Power generationgeneration products for 10 YEARSEARSS OF RENTAL MMANAGEMENTANAGEMENT ADVICE FROFROMM rental and Altltaaqaaaqaq Global interview IINTERNATIONALNTERNATIONALTERNATIONALA RENTAL NEWS MAGAZINEAGAZ to see pure construction revenues dropping below the 50% mark. www.khl.com Design Manager owerower on INTERNATIONAL P p29 Tel: +44 (0)1892 786245 Officicial magazazinine of thhe ERRA THETHHE ONLYONLONNLYNL MAGAZINE COVERING THE GLOBAL EQUIPMENT RENTAL MARKET Jeff Gilbert NEWS This obviously begs the question as to what constitutes ‘industrial’. Capital works by utility IRN 07-08 2013 Cover-MP-EDITED.indd 1 1 A KHL GroupG Publication IRN100: 2004-2008 Designer rentalr INTERNATIONAL RankingRa Europe’s companies – water, power, transport – are often describedby as many non-construction, specialist rent even if, to the larrgest rental companies Gary Brinklow rental NEWS ERNE N 2004-200504-200 casual observer, construction is precisely what it looks like. IRNIR 10000 Ranking the world’s largest Pippa Smith IRN100 rental companies Production/Design Assistant Ranking the World’s top 100 Whatever the definition, the diversification strategy has been underway for many years, and rental companies 20004-2008 e-mail: [email protected] was given a very firm push by the financial crisis. Tel: +44Production (0)1892 786207Assistant Next on the agenda, at least for the world’s bigger rental companies, will be geographical Expanded version of the IRN100 published in Louise Kingsnorth the June 2013 issue of International Rental News diversification. That has been a strategy pursued / e-mail: [email protected] Tel: +44 (0)1892 786246 decade or more – Aggreko’s business is built on it, as is Algeco Scotsman’s and aerial platform www.khl.com/ Sales Team company Riwal (interviewed in this issue). The case of Riwal also illustrates that you don’t need information-store AdvertisementLynn Manager Collett to be a massive business to move into different continents – it just requires the desire and a e-mail: [email protected] lot of effort. Tel: +44 (0)1892 7862219 So far, however, the general rental market has seen less of that, with exceptions including Fax: +44 Products(0)1892 &786258 Services Directory Sales Loxam in Europe, Ashtead (UK and US), Hertz (in US, China, Saudi Arabia and Europe), and GAM Paul Watson (Latin America, eastern Europe and the Middle East). www.khl.com/rentalawards e-mail: [email protected] Other than Hertz it is notable that very few of the big US players have moved beyond their Tel: +44 (0)1892 786204 North American borders. United Rentals is the most obvious example, having in recent years Fax: +44 (0)1892 786258 focused on its home market and in partricular the integration of RSC. FinanceFinancial Team Controller United's market share is still less than 15%, so there is obviously room to grow in its home Paul Baker IRN recently, investors will start to agitate for movement www.ireshow.com market. However, that would still leave it almost 100% reliant on the US economy. Tel: +44 (0)1892Financial 784088 Assistant There are some in Europe who are anticipating that United – and others – will have no choice Gillian Martin but to expand their global coverage, especially if they find themselves limited by slower growth e-mail: [email protected] Credit Control in the US. As one European CEO told Tel: +44 (0)1892 786248 www.khl.com/rentaltracker Josephine Day sooner or later. e-mail: [email protected] So watch out for acquisition activity in the coming years. The precise ‘when’ is anybody’s Tel: +44 (0)1892 786250 guess, but it will happen. www.khl.com/enewsletter/ CirculationCirculationTheresa Team Manager Fox Murray InternationalPollok Rental News www.khl.com/enewsletter/ e-mail: [email protected] Editor, Tel: +44 (0)1892 786238 CirculationHayley Executive Gent IRN JULY-AUGUST 2013 Tel: +44 (0) 1892Office 786233 Manager Clare grant , Southfields, Southview Road, Wadhurst, East Sussex, TN5 6TP, UK. CorrespondenceIRN or comments should be sent to: 15/07/2013 09:28:43 The Editor, Business DevelopmentPeter Watkinson Director Tel: +44 (0)1892 784088 Publisher James King Fax: +44 (0)1892 786257 e-mail: [email protected] The paper in this magazine originates from timber that is sourced from sustainable forests, managed to strict environmental, social, and economic standards. The manufacturing mill has both FSC & PEFC certification, and also ISO9001 and ISO14001 accreditation. www.khl.com IRN 07-08 2013 Comment-MP-EDITED.indd 3 «Lighting towers to light up prrojects that help the world grow» Full page.indd 1 15/07/2013 09:26:55 CONTENTS 5 KHL Head Office UNITED KINGDOM Southfields, Southview Road, Wadhurst, East Sussex TN5 6TP, UK Tel: +44 (0)1892 784088, Fax: +44 (0)1892 784086 e-mail: [email protected] www.khl.com USA OFFICE KHL Group Americas LLC, 3726 E. Ember Glow Way, Phoenix, AZ 85050, USA Tel: +1 480 659 0578, Fax: +1 480 659 0678 e-mail: [email protected] CHINA OFFICE Beijing Representative Office …inside Room 768, Poly Plaza, No.14, South Dong Zhi Men Street, Dong Cheng REGULARS FEATURES District, Beijing, P.R. China Tel: +86 10 6553 7678, Fax: +86 10 6553 6690 NEWS & KHL.COM ROUND-UP 6 INTERNATIONAL RENTAL 20 e-mail: [email protected] HSS makes access acquisition; RentalTracker results; HKL helps CONFERENCE, BEIJING LATIN AMERICA OFFICE with flood relief; Coates Hire ownership confirmed; Nationwide IRN previews the first International Rental Conference (IRC), KHL Group Americas Los Militares 5620, of. 909 Platforms’ investment plans; plus other news from the world’s being held in Beijing, China, on 14 October, 2013, with speakers Las Condes, Santiago, Chile rental sector. including Gérard Déprez and Michael Kneeland. Tel: +56 2 2885 0321 e-mail: [email protected] KEVIN APPLETON COLUMN 11 PRODUCT FEATURE: 23 KHL Sales Offices Private equity firms are interested in rental because it is an LIGHTING TOWERS UK/IRELAND Lynn Collett, UK head office, immature and fragmented sector and promises good cash Manufacturers are taking differing approaches address as above generation. Kevin Appleton casts his eye over an increasingly to the technology of lighting towers, Tel: +44 (0)1892 786219 e-mail: [email protected] important player in the rental industry. with LED lamps, solar power and hybrid FRANCE/BELGIUM energy solutions crowding in on Hamilton Pearman Tel: +33 (0)1 4593 0858 ERA/IRN RENTALTRACKER 13 the traditional metal halide, diesel e-mail: [email protected] Europe’s rental industry remains cautious and is not seeing any powered towers. GERMANY/AUSTRIA/ dramatic upturn in demand, according to the latest ERA/IRN SWITZERLAND/EASTERN EUROPE Simon Battersby RentalTracker ssurvey for the second quarter of the year. SECTOR FEATURE: 29 Tel: +44 (0)1892 786 232 POWER GENERATION e-mail: [email protected] TURKEY INTERVIEW:IN 17 The generator set market is Emre Apa NORTYN TURNER, RIWAL becoming increasingly crowded as Tel: +90 (0)532 324 36 16 e-mail: [email protected] Riwal’sR CEO Norty Turner wants the company to traditional genset manufacturers ITALY be at the forefront of developing the access increasingly see competition from Fabio Potestà Tel: (010) 570 4948 rental market around the world. He spoke to engine OEMs. Plus, an interview with e-mail: [email protected] Murray Pollok. new IPP rental player, Dubai-based JAPAN Akiyoshi Ojima Altaaqa Global. Tel: +81 (0)3 3261 4591 INTERVIEW: 40 e-mail: [email protected] CHINA MORIAKI KADOYA, MARKET REPORT: 34 Cathy Yao HITACHI EUROPE CATERPILLAR, RUSSIA Tel: +86 10 6553 7678, IRN asks Moriaki Kadoya, president/ Russia and the CIS territory offers e-mail: [email protected] KOREA CEO of Hitachi Construction rich potential for rental, and it is a CH Park Machinery (Europe), for his views on market opportunity that Caterpillar Tel: +82 (0)2 730 1234 e-mail: [email protected] the rental market.
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