REPORTS

INDUSTRIAL DISTRIBUTION

The following are recent reports published by TRG. Please contact Chris White to request a copy.

July 2016

7/2
Post-Brexit Stock Reactions: Analyzing UK and European Exposure for 42 Unique Globally Based Distributors
7/2
MSM – Q3’16 Preview; Expecting Quarterly Revenue Shortfall, But Favorable Operating Cost Trends to Provide Offset

June 2016

6/13
GWW – May Month Daily Sales Growth
6/13
AXE – Updating Estimates from Significant EPS Model Reconfiguration; Company Remains Well-Positioned for 2016-2017
6/6
FAST – May Month Daily Sales Growth

May 2016

5/31
GPC – Segment Sales Outlook Differs from Guide, but EPS In-Line; Safety Zone Shows Commitment to Growing the Division
5/24
MRC – Refreshing Rig Count/Macro Assumptions
5/24
TRG's Brent Rakers a 2016 Thomson Reuters Award Winner
5/23
WCC – 2016 Line Item Review, Key Observations
5/18
GWW – Takeaways from 2016 EPG Presentation
5/17
Comparison Primer: SiteOne (SITE) and PoolCorp (POOL)
5/12
GWW – April Month Daily Sales Growth
5/5
FAST – April Month Daily Sales Growth
5/3
MRC – Q1’16 Earnings Snapshot
5/3
BECN – Dramatic Q2 Upside; Outlook Less Clear Given Potential Demand Pull-Forward, Texas Storms Offset
5/2
AIT – Q3 EPS Review; Announced Restructuring Actions Pro-Actively Addressing Cost Creep

April 2016

4/28
BECN – Q2 Preview; Significant Revenue Upside is Possible; Yes….Weather is Important to Roofing Industry
4/28
AIT – Q3’16 Earnings Snapshot
4/28
WCC – Q1’16 Earnings Snapshot
4/26
AIT – Q3’16 Earnings Preview; Peer Results Suggest Potential for Revenue Upside in Quarter and Year
4/26
AXE – Q1’16 Earnings Snapshot
4/25
AXE – Segment Reclassification Poorly Timed; 2016 Consensus EPS Decline Now Projected to be In-Line with Closest Peer
4/25
WCC – Q1’16 Preview; FX/Acquisition Should Boost 2016 Sales Guide, But EPS Question Rides on Gross Margins
4/22
POOL – Sizeable Weather Benefit Fuels Q1 Beat; 2016 Guidance Conservative Given Q1 Upside, Demand, Price and FX
4/21
GWW – Relative Pricing/Gross Margin Challenges Mask Attractive Cost Controls & Strong Other Segment Performance
4/21
POOL – Q1’16 Earnings Snapshot
4/19
GPC – Q1’16 Earnings Snapshot
4/19
Q1'16 Pool Industry Survey; Mild Winter Suggests Solid Early Season for Swimming Pool Business
4/18
GWW – Q1’16 Earnings Snapshot
4/15
GWW – Q1 Preview; Opportunity for 1st Quarter Revenue Upside, 2016 Sales Guide Likely to be Raised on FX Boost
4/13
FAST – Q1 EPS Modestly Disappoints; Soft March Sales at Leading Distributors Increases Short-Term Macro Concerns
4/12
FAST – Q1’16 Earnings Snapshot
4/11
MSM – 2nd Half Outlook Features Uncertain Revenue Picture, But a Multitude of Favorable Operating Cost Factors
4/6
MSM – Q2’16 Earnings Snapshot
4/1
MSM – Q2’16 Preview; EPS Upside Likely Given Attractive Peer Sales Trends and Favorable SG&A Nuances
4/1
FAST – Q1’16 Preview; Updated 1st Quarter Street Revenue/Margin Assumptions Appear Reasonable

March 2016

3/21
GPC – Significant FX Move and Closing of Covs Parts Deal Makes ‘16 Automotive Segment Sales Guide Seem Conservative
3/17
POOL – Macro Drivers Remain Attractive; Recovery in New Pool Construction Key to Intermediate Term Outlook
3/4
FAST - February Month Daily Sales Growth
3/3
WCC - 2016 Investor Day

February 2016

2/28
GWW - When Grainger’s Perceived Current Challenges Become Future Opportunities…
2/24
MRC - Sharp 2016 Guidance Reduction as Soft January-February Demand Weighs, Though Margin Outlook Seems Conservative
2/22
MRC - Q4’15 Earnings Snapshot
2/19
MRC - Q4 Preview; Adjusting 2016 Expectations Given Severity of Drilling Declines and Intermediate Term Midstream/Downstream Uncertainty
2/18
POOL - Q4’15 Earnings Snapshot
2/17
ESND - Q4’15 Earnings Snapshot
2/16
GPC - Q4’15 Earnings Snapshot
2/10
AIT - Crisp Margin Execution Continues; Reduction in 2016 Sales Guide Feels like an Overshoot
2/8
BECN - Q1 Shows Return of Distributor Pricing Power; Our Model Reflects D&A Consistency in 2016-2017
2/5
BECN - Q1’16 Earnings Snapshot
2/4
FAST - January Month Daily Sales Growth
2/3
AXE - Q4 a Dud for Power Solutions…An Anomaly?
2/2
WCC - Gaining Comfort in 2016; We Believe Multiple 2016 EPS Downside Backstops are in Place
2/2
AXE - Q4’15 Earnings Snapshot

January 2016

1/29
TRG Announces First Annual Construction and Industrial Conference – April 5, 2016 – NYC
1/29
AXE - Q4 EPS Preview; Updating 2016 for Copper, FX and Macro Pressures, and Review of Recent 8-K Filing
1/28
AIT - Q2’16 Earnings Snapshot
1/28
WCC - Q4’15 Earnings Snapshot
1/27
GWW - Solid Q4 Performance, Dec.-Jan. Sales Upside, Unchanged 2016 Guidance…Why the Muted Stock Reaction?
1/26
FAST - Attractive 1H’16 Cost Visibility; January Month Daily Sales Should Provide Significant 2016 Macro Insight
1/26
GWW - Q4’15 Earnings Snapshot
1/25
AIT - Q2 Preview; Continued Energy and Industrial End Market Softness Suggests Reduced 2016 Guidance
1/21
WCC - Q4’15 Preview; Expect a 200-300 bps Reduction in 2016 Sales Outlook, But EPS Guidance Largely Protected By Dramatic Share Count Adjustments
1/20
GWW - Q4 Preview; Favorable Holiday Timing Aids Dec-Jan, But We Still Expect a $0.50 2016 Guidance Reduction
1/14
FAST - Q4’15 Earnings Snapshot
1/12
FAST - Q4’15 Preview and Look Ahead to 1st Quarter; Cautious on Q4 Sales/Margins, But a More Optimistic View of Q1 Sales
1/12
MSM - Explaining Holiday Timing, the Real Implications of a 53rd Week, and the Winding Down of J&L Amortization
1/6
MSM - Q1’16 Earnings Snapshot
1/5
MSM - Q1’16 Preview; Comfortable with Q1 View, But Expect Sales Uncertainty / SG&A Conservatism to be Reflected in Q2 Guide

December 2015

12/16
Top Stock Ideas Going Into 2016
12/15
WCC - Issues Initial 2016 Guidance
12/14
FAST - Updating Forecast for Weaker Macro Environment; Addressing Q4’15 Sales/Operating Costs Estimate
12/11
GWW - Reports Solid Core November Sales; Reducing 2016 View to Reflect Macro Adjustments
12/10
WCC - Lowering Estimates in Advance of Tuesday’s “2016 Outlook” Conference Call

November 2015

11/30
BECN - Attractive Q4 Margin Profile, But RSG Accretion Guidance Remains in Flux
11/24
BECN - Q4’15 Earnings Snapshot
11/23
BECN - Q4 EPS Preview; Updating Estimates to Include RSG---Deal Accretion Should Jump in 2017
11/19
MRC - Estimate Update; Revisiting Previous Downturn
11/16
Reminder of TRG Coverage European Exposure
11/13
GWW - 2015 Analyst Day Review: We View ‘16 Sales as Realistic (Although Others Won’t), but SG&A Appears Conservative
11/11
AXE - Takeaways From 2015 Investor Day
11/6
MRC - Q3'15 Earnings Snapshot
11/5
GWW – 2015 Analyst Day Preview; We Expect the 2016 EPS Guide to be $11.70-$12.90 with (0.5%)-7.0% Sales Growth
11/2
MRC – Q3 Preview: Upstream Challenges Continue
11/2
GPC – 2015 Guidance Suggests Unfavorable Q4 Margin Accruals; Q4 Outlook Conservative or Signaling 2016 Challenges
11/2
MSM – Reviewing Sales and Cost Trends/Outlook

October 2015

10/29
AIT – Impressive Q1 Margins; 2016 Sales Guide Now Realistic, But Margin Uncertainty Weighs in Outlook
10/27
AXE – Q3 EPS Review; 2015-2017 EBITDA Estimates Raised, but EPS Reduced on Higher Interest Expense
10/28
AIT – Q1’16 Earnings Snapshot
10/27
AXE – Q3’15 Earnings Snapshot
10/26
MSM - Q4'15 Earnings Snapshot
10/26
POOL – Reports Solid Q3; High Valuation Supported by Predictable 3-5 Year Cyclical/Growth Story
10/23
WCC – Q3 Upside Surprise, But Our EBITDA Views Largely Unchanged; Shares Jump 10%
10/22
WCC - Q3'15 Earnings Snapshot
10/22
MSM – Q4’15 Preview; Macro Challenges Rising, Uncertainty Surrounds FY2016 Guidance Framework
10/21
AXE – Q3 EPS Preview; Updating Numbers for Power Solutions Deal, End Markets Offer Some ‘15-‘16 Earnings Protection
10/21
ESND - Q3'15 Earnings Snapshot
10/19
GPC - Q3'15 Earnings Snapshot
10/19
WCC – Q3’15 Preview; Macro Conditions and Peer Results Suggest Downside Risk to Revenue Views
10/19
GWW – Industrial Recession Increasingly Evident in 3rd Quarter Results; Sales Disconnected with Historic Macro Drivers
10/16
GWW - Q3'15 Earnings Snapshot
10/16
ESND – Q3 Preview; SG&A Concerns Drive Cautious View
10/14
GPC – Q3 EPS Preview; Industrial Environment and Currency Creating Risk to 2015 Guidance
10/14
FAST – Soft September Signals Deepening Industrial Recession; Market Share Gains Key to Refreshed Strategy
10/13
FAST – Q3’15 Earnings Snapshot
10/8
FAST – Q3 Preview: Despite Unfavorable Environment, EPS Growing Faster Than S&P 500; Macro Ugly, But Bottoming?
10/8
GWW - Q3 Preview; Cromwell Protects Sales Guidance, Year EPS Keys on Other Businesses, Investment Spending

September 2015

9/21
AIT - Cautious on 2016 Guidance
9/14
GWW - August Month Daily Sales Growth
9/11
AXE - Information Learned From HDS Results
9/3
FAST - August Month Daily Sales Growth
9/3
BECN - Building Materials Distributors Seeing Significant Consolidation; Synergies/Cyclical Timing Favorable

August 2015

8/24
AXE - Acquistions/Divestiture Reshape Company; Refreshed Look at 2015 Identifies Positive Relative Organic Trend
8/18
MRC - Gross Margins Below 2009 Trough & Sales Declines Similar; Fundamentals Near Bottom Amid Current Backdrop
8/4
BECN - Q3'15 Earnings Snapshot

July 2015

7/31
BECN - Q3 Earnings Preview
7/30
MRC - Q2 Earnings Preview
7/29
POOL - Weather Challenges Weigh on Q2; 4th Straight Year these Headwinds Have Pressured Key Quarter
7/29
AXE - Strong Q2 Results, High Underlying EPS Quality & Guidance; Most Complete Release this Earnings Season
7/28
AXE - Q2'15 Earnings Snapshot
7/27
WCC - Q2 EPS Disappoints; Reducing 2015 Estimates to Low-end of Updated Company Sales & EPS Guidance
7/27
ESND - Q2 Organic Growth Remains Challenged but Progress on Strategic Plans Continues
7/27
BECN - Announced Pending Acquisition of Roofing Supply Group
7/23
POOL - Q2'15 Earnings Snapshot
7/23
WCC - Q2'15 Earnings Snapshot
7/23
ESND - Q2'15 Earnings Snapshot
7/22
AXE - Q2'15 Earnings Preview
7/22
Home Depot Announces Acquisition of Interline Brands - Re-enters Industrial Distribution Eight Years After Selling HD Supply
7/22
WCC - Q2'15 Earnings Preview
7/21
GPC - Q2'15 EPS Review: Today's Industrial Production Restatement Spotlights Heavy Manufacturing's Challenges
7/20
GPC - Q2'15 Earnings Snapshot
7/20
GWW - Gross Margin-SG&A Tradeoff Challenging Historical Modeling Approach, but Soft Sales Remains Primary Hurdle
7/17
GWW - Q2'15 Earnings Snapshot
7/17
FAST - Estimates Unchanged Following Q2; Profitable Growth Being Showcased in Many Different Backdrops
7/17
AXE - Announces Strategic Acquisition of HD Supply-Power Solutions; Deal is a Strategic Game Changer for Anixter
7/14
FAST - Q2'15 Earnings Snapshot
7/10
GWW - Q2'15 Earnings Preview
7/8
MSM - Reversal in Freight Trends & Heacount Controls Create SG&A Fueled Q3 Upside Surprise
7/6
E-Commerce Industry; Amazon Still Not a Major Threat to Distributors, But Analysts Misinterpreting Significance of Shift from AmazonSupply to Amazon Business

July 2015

6/12
GWW - May Month Daily Sales Growth
6/3
FAST - May Month Daily Sales Growth

May 2015

5/29
Industrial Distribution Challenges Remain Uniquely Cyclical
5/22
MRC - Announces Preferred Stock Issuance
5/20
GWW - Takeaways from EPG Presentation
5/19
MRC - Announces Preferred Stock Issuance
5/18
MSM Field Trip on June 16, Charlotte, NC
5/13
GWW - April Month Daily Sales Growth
5/12
BECN - Pricing Power Demonstrated in Complementary; Roofing to Behave Similarly in Normal Conditions
5/8
BECN - Q2'15 Earnings Snapshot
5/6
BECN - Q2 Preview; Roofing Glass Half Full
5/5
FAST - April Month Daily Sales Growth
5/4
MRC - Q1 Exectuion, Higher 2015 Cash Flow guidance, and Gross Margin Confidence Drive Stock Gains; Hurdles Still Wait
5/1
WCC - Our 2015 EPS is at Low End of Guidance, but Pending Acquisiton and Favorable FX Not Factored In
5/1
MRC - Q1'15 Earnings Snapshot

April 2015

4/30
AIT - Q3'15 Earnings Snapshot
4/29
AXE - Q1'15 EPS Quality Higher Than Headline; Suprised by Stock Reaction in Light of Peer Distributor Challenges
4/28
USTR - We Expect 2015 Line Items to Look Meaningfully Different Than Street Models
4/28
AIT - 2015 EPS Guidance at Risk on Energy Sector Challenges and Macro Concerjns
4/28
AXE - Q1'15 Earnings Snapshot
4/28
POOL - Attractive Trends Entering the 2015 Pool Season, After Back-to-Back Years of Weather Challenges
4/23
POOL - Q1'15 Earnings Snapshot
4/22
GPC - Q1'15 Revew: 2015 Guidance Intact After a Challenging Q1
4/22
AXE - Updating Estimates for Discontinued Operations, Macro Pressures; YTD Weakness Presents Opportunity
4/21
GPC - Q1'15 Earnings Snapshot
4/20
WCC - Q1'15 Preview: Comfortable with Q1 EPS Outlook, But 2015 Year EPS Likely to be Lowered Modestly
4/20
GPC - Q1'15 Preview: Industrial Peers Showcase Demand Challenges
4/16
GWW - Q1'15 Earnings Snapshot
4/15
FAST - Balancing Growth Spending & Margins
4/14
FAST - Q1'15 Earnings Snapshot
4/10
GWW - Q1'15 Preview: Expect Significant 2015 Sales Guidance Reduction, But More Modest EPS Change
4/10
FAST - Q1'15 Preview: Operating Leverage in Focus
4/9
MSM - Results Confirm March Macro Pressure, but Stable Gross Margins Attractive and SG&A Better Than First Look
4/8
MSM - Q2'15 Earnings Snapshot
4/6
Braoder Implications of Soft Jan-Feb. Sales at Four Leading Distributors
4/6
MSM - Q2'15 Preview: Distributor Peer Results Raises Uncertainty for Quarter & Guidance

March 2015

3/31
POOL - Takeaways From Marketing Trip
3/27
Non-res Revisited; Non-res Recovery is Gaining Strength
3/27
Resi Roofing Shingle Checks Point to Limited Pre-Buy Ahead of April Price Increase
3/23
Broader Implications of Soft Jan-Feb Sales at Four Leading Distributors
3/17
BECN - Takeaways From Marketing Trip
3/12
GWW - February Month Daily Sales Growth
3/6
WCC - 2015 Investor Day Review
3/5
WCC - 2015 Guidance Update
3/4
FAST - February Monthly Daily Sales Growth

February 2015

2/23
MRC - 2015 Guidance Review: With Uncertainty, Management Suspends Outlook, Details Conservative Slant
2/19
MRC - Q4'14 Earnings Snapshot
2/18
GPC - Q4'14 Review: Attractive Q4 Result; 2015 Guidance Highlights Industry Leverage & Currency Challenges
2/18
MRC - Q4'14 Preview: Depressed Tubular Margins & Legacy Cost Rationalization Program Buffers 2015 EPS Downside
2/16
USTR - Q4'14 Earnings Snapshot
2/13
POOL - Q4 Upside, But Difficult to Extrapolate Gains; 2015 Pricing Upside Hurt by Lack of Chemicals Inflation
2/12
GWW - January Month Daily Sales Growth
2/12
AXE - Announces Agreement to Sell OEM Supply Fastener Division
2/12
POOL - Q4'14 Earnings Snapshot
2/10
POOL - Q4'14 EPS Preview: Favorable Revenue & Margin Trends Expected for 2015-2016
2/10
BECN - Understanding the Sensitivities
2/6
BECN - Q1'15 Earnings Snapshot
2/4
AXE - Report Q4 EPS Shortfall on Soft Gross Margins; 2015 EPS Provisions from Higher Pension Costs and Tax Rate
2/4
BECN - Q1'15 Preview; Waiting on Clearer Spring Demand Indications and Focused on Asphalt Materials Pricing
2/4
FAST - January Month Daily Sales Growth
2/3
AXE - Q4'14 Earnings Snapshot
2/2
AXE - Copper, Currency, and Non-U.S. Exposure Drives 2015-2016 Estimate Reductions
2/2
AIT - Energy Acquisition Upside Dominates Q2 Headline, but Sector Challenges Present Forward Risk

January 2015

1/30
WCC - Guidance Oddities Don't Distract from Q1 Upsid,e Favorable Construction and Related End Markets
1/29
AIT - Q2'15 Earnings Snpashot
1/29
WCC - Q4'14 Earnings Snapshot
1/28
WCC - Q4'14 Preview: $0.20-$0.30/share Guidance Risk, but Reflected in Stock Price
1/28
AIT - Q2'15 Preview: Q2 Offers UPside Potential, but Energy and Currency Risk Impair Outlook
1/27
GWW - Following Q4 EPS & Guidance Update, Grainger's Challenge and Opportunity
1/26
GWW - Q4'14 Earnings Snapshot
1/22
GWW - Q4'14 Preview: 2015 Guidance Tweak Likely on Unfavorable Currencies, But Comfortable with Street Estimates
1/16
FAST - Expect Favorable Leverage Story to Continue
1/15
FAST - Q4'14 Earnings Snapshot
1/14
FAST - Q4'14 Preview: Likelihood of Mixed Q4 Line-Item Performance, But Attractive Opex Drives our Favorable View
1/14
MSM - 2H'15 Fundamentals at a Crossroad
1/7
MSM - Q1'15 Earnings Snapshot
1/6
MSM - Q1'15 Preview: Expect Q1 Upside on Opex and Solid December Month Sales to Start Q2
1/5
Top Stock Ideas Going Into 2015

December 2014

12/17/14
WCC - 2015 Outlook Rooted in Conservatism
12/15/14
WCC - Raising to Buy; Comfort Entering 2015 EPS Guide, Stock Pressure On Oil Exposure Concerns is Overdone
12/10/14
AXE - Takeaways From Investor Visit to Headquarters; Attractive Play on Corporate Spending & Tri-Ed Synergies
12/3/14
FAST - November Month Daily Sales Growth

November 2014

11/28/14
BECN - Difficult 2014 Should Not Be of Focus; 2015 Opportunity Ahead
11/25/14
BECN - Q4'14 Earnings Snapshot
11/24/14
BECN - Reiterate Buy; Long-term Thesis Driven by M&A, Normalized Weather & Housing Up-Cycle
11/14/14
AXE - OEM Supply Fastener Division Rumored to be Marketed for Potential Sale
11/13/14
GWW - 2014 Analyst Day Review: EPS Guidance Consistent with TRG View, but Composition Materially Differs
11/12/14
MRC - Q3'14 EPS Review: Impressive Market Share Gain Visibility; Reiterate Buy
11/10/14
GWW - 2014 Analyst Day Preview; We Expect the 2015 EPS Guide to be $13.10-$13.80 with 3-9% Sales Growth
11/7/14
MRC - Q3'14 Earnings Snapshot
11/5/14
FAST - October Month Daily Sales Growth
11/4/14
AIT - Narrative Pivots Toward Sustaining Growth Progress
11/4/14
AXE - Raising to Buy Rating; FX/Copper Stabilizing, Q3 Uncertainty Removed; Attractive Demand Picture

October 2014

10/30/14
MSC - Management Lowers 2015 Margin Guidance Citing Industry-Wide Gross Margin & Pricing Challenges
10/29/14
AIT - Q1'15 Earnings Snapshot
10/28/14
AXE - Q3'14 Earnings Snapshot
10/28/14
MSM - Q4'14 Earnings Snapshot
10/27/14
USTR - Q3'14 EPS Review: Gross Margin Challenges Linger
10/27/14
WCC - Slower October Sales, Lingering SG&A Questions Create Hurdles for Management's Q4 Guidance
10/27/14
AXE - Q3'14 EPS Preview: Q3 Earnings Likely Address Near-Term Uncertainties
10/27/14
MSM - Q4'14 Preview: Key on Multi-Year Margin Guidance, Catalog Pricing, & October Demand Trends
10/23/14
WCC - Q3'14 Earnings Snapshot
10/23/14
USTR - Q3'14 Earnings Snapshot
10/21/14
GPC - Q3'14 Review: Attractive Sales Momentum, but Leverage Concerns Remain
10/21/14
WCC - Q3'14 Preview: 2014-2015 Views Feel Reasonable
10/20/14
POOL - Q3'14 Review: Results Showcase Gross Margin Stabilization; Inflation Increasingly Likely in 2015
10/20/14
GWW - September-October Months Show No Sales Step-up but Street EPS Reductions Lower Investor Day Risk
10/16/14
GWW - Q3'14 Earnings Snapshot
10/16/14
POOL - Q3'14 Earnings Snapshot
10/15/14
POOL - Q3'14 Preview; Focus Shifts to 2015 Upside Opportunity
10/15/14
GWW - Q3 EPS Preview; Comfortable With 2014 EPS Guidance, September/October Month Sales Hint at 2015 Guide
10/14/14
FAST - Q3'14 Review: A Missed Opportunity, but 2015-2016 Sales/EPS Likely Provides Fastest Industry Growth
10/10/14
FAST - Q3'14 Earnings Snapshot; EPS In-Line with Consensus, but TRG Leverage Thesis in Question
10/6/14
Industrial Distribution: Sector Transitioning to Better Times Ahead