H&E Equipment Services, Inc.Baton Rouge, LA, United States (NASDAQ (GS): HEES)

Slowing Capital Investment - US companies continued to lease and finance capital goods in 2007, but slower than in years past. Leasing and financing capital goods rose 4 percent in 2007, down from the 6.1 percent average of the prior three years, according to a study by the Equipment Leasing and Finance Foundation (ELFF). The ELFF study indicates that demand was satisfied, and that most businesses were being cautious about the future due to the uncertain health of the economy. The study predicts that 2008 might see a shift from loans to leases, which bodes well for commercial equipment rental firms.

Interest rate Cuts Not Stimulating Equipment Leasing - The Federal Reserve's cut of the federal funds rate isn't expected to stimulate the equipment leasing market, according to experts. Interest rate cuts aren't enough to convince companies to lease capital equipment in the face of larger economic uncertainties; companies lease equipment when demand rises. Until the US economy gains better footing, industry experts expect increases in capital spending.

Construction Equipment Theft Rising Problem - Equipment theft costs the construction industry about $1 billion annually, according to LoJack's Construction Equipment Theft Study. The study says that eight professional theft rings are operating around the country, looking primarily for newer equipment since its resale value is higher. The equipment most often stolen includes skid steers, backhoes, generators, work trucks, and forklifts. The study notes that stealing construction equipment is relatively easy due to poor onsite security and record-keeping, and lack of product identification information.