For Tyler Heavy Equipment, the slowing economy has taken its toll on revenues. And, with uncertainty hanging over more state funding for road projects, general manager Bruce Johnson said his company may need to extend its reach into other markets.

“Business will be very flat this year unless we go out of state,” said Johnson. “We are going to have to move farther outside to states such as Idaho and Montana where they seem to be having a lot more to offer with the amount of highway and road projects under way.”

Looking back on 2001, Johnson said sales of heavy equipment were slow because of the economy, but the rental business stayed strong. Slow heavy equipment sales were affected by the state’s “inability to let highway and construction projects in a timely manner,” he said. “I have seen a lot of problems with the contractors having troubles with banking, equipment financing and bonding.”

In addition to looking to states such as Idaho and Montana for additional work, Johnson said his company will continue to concentrate on rentals rather than sales, as he waits for more state projects in the pipeline.

With so much uncertainty about highway and road projects, he said it’s uncertain where the growth patterns will be for his industry in the near term. But, that should not affect staff levels.

“We will stay the same for now, and I see no immediate changes in staff levels for this year,” said Johnson.