The Real Opportunity Begins When a Product Fails.

Investors usually look for companies that sell more products. I look for companies that benefit when products wear out. Every worn-out bearing, damaged cable, expired fire extinguisher, contaminated water filter or old transformer creates demand that cannot be postponed. That's a different kind of business. It doesn't depend on consumer sentiment. It depends on the installed base. Companies like $SKFINDIA , $TIMKEN , $CONTROLPR, $CASTROLIND and $KIRLOSBROS quietly participate in this replacement economy. Growth stories come and go. Replacement demand rarely does.