Electrical distributors reported that demand was flat to slightly improved in the third quarter of 2010, compared with the previous quarter, that prices were sustainable or declining slightly and that inventory levels were essentially equal to demand, according to a new quarterly survey by KeyBanc Capital Markets, Cleveland, in partnership with Electrical Wholesaling magazine. Distributors' outlook for the final quarter of the year had almost half of the respondents slightly worried about new project opportunities — an outlook that may be tied to the industry's customary dip in early-winter demand — but many were cautiously optimistic.

KeyBanc and EW conducted the first in a planned series of quarterly surveys of conditions in the U.S. electrical distribution market. All responses were anonymous and have been aggregated in order to comprise what should be a clear and up-to-date picture of trends in demand, pricing, inventory levels and a sense of where things are headed overall in the electrical distribution market. Below are the results of the quarterly survey for June through September 2010, based on over 200 responses.

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Thank-you from the staff of Electrical Marketing.