Modern Machinery

Specialty: Machine sales, rental, parts and service for heavy construction, mining, forestry and municipal markets
Management: Jim Hassebrock, division manager
Year founded: 1971
Location: Kent

Although weather usually slows business down for Modern Machinery in the winter, the company had a “very robust” fourth quarter of 2003, according to Jim Hassebrock, division manager in the Kent office.

Actually, the pick-up in business goes back to late summer of 2003, he said, when the company experienced strong demand in the contractor and forestry market.

President Bush’s tax cuts boosted sales, due to a bonus depreciation for capital investment, Hassebrock said. The accelerated depreciation program means that businesses can acquire new machinery and depreciate more of the capital investments. “It was a big boost to smaller companies,” he said. “Bigger depreciation led to purchases.”

The company has seen sales of large and small hydraulic excavators surge in the last year. In addition to the tax break, sales have increased because of innovations in design in 2003 and 2004 models, he said.

Machinery manufacturers, such as Komatsu, have optimized fuel usage and ergonomics. Cabs are situated on oil-filled viscous mounts, have low noise levels and ergonomic handles that reduce fatigue, he said. “They handle like a luxury car.”

Modern Machinery also sells machines by Wirtgen, one of the world’s largest suppliers of road construction equipment.

Modern Machinery purchased the machinery sales/rental company Pacific North in 2002, and improved Modern Machinery’s economy of scale, according to Hassebrock. The company has 10 offices and serves the Pacific Northwest and eastern Russia.

Copyright ©2004 Seattle Daily Journal and DJC.COM.
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