CURRENT ECONOMIC CONDITIONS

12 Months Ended

Dec. 28, 2013

CURRENT ECONOMIC CONDITIONS

CURRENT ECONOMIC CONDITIONS

12. CURRENT ECONOMIC CONDITIONS

Construction activity in along the Southern Front Range of Colorado continued to improve during 2013 although construction levels remain well below prior, more robust periods. Local economists believe the construction market along the Southern Front Range of Colorado will continue to improve during 2014. Pricing in the CACS segment has been and is expected to remain sharply competitive. Local cement suppliers have announced price increases and fuel prices are always an uncertainty. It is difficult to predict the timing and magnitude of any further recovery of the construction markets in Southern Colorado.

The markets for the products manufactured or fabricated by the Heating and Cooling segment, the Evaporative Cooling segment and the Door segment are expected to remain somewhat static although fan coil sales in the Heating and Cooling segment are expected to improve due to an anticipated more robust construction spending level in the lodging industry. As has historically been the case, sales of all segments, other than the Door segment, are somewhat weather sensitive.