Springs restructures biz components
David Perry -- Furniture Today, September 23, 2005
FORT MILLS , S.C. – Privately held Springs Industries is splitting into two companies by year-end, separating out its hardlines-oriented Springs Window Fashions segment to enhance each unit’s “strategic opportunities,” according to Crandall Bowles, chairman and CEO.
Asked whether such a move could conceivably make it easier for Springs to sell itself off in pieces, allowing the controlling investors to cash out, company executives said no.
"In no way does the press release suggest there is any interest in selling the company. It says there are several reasons to separate the company. But it does not say that Crandall, her family, or Heartland are at all interested in selling out," stated Tom O'Connor, Springs executive vice president and head of the home fashions business.
Springs Window supplies blinds, shades, specialty treatments and window hardware to retailers, distributors, decorators and commercial accounts. Soft window furnishings will apparently remain part of the textiles home furnishings group.
“The restructuring will allow each business to use its stock to make acquisitions, obtain equity financing, provide incentives to key management and pursue other growth strategies more effectively,” Bowles said.
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