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Furniture|Today -- 06/26/2006
Bedding Today
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Gershaw's savvy made Therapedic global brand
It all started, as so many things do, with a big idea. Jerry Gershaw was thinking big when he founded a bedding company named Therapedic in 1957. Today, Therapedic is a Top 10 bedding brand, and Gershaw enjoys the unique honor of watching as his creation prepares to celebrate a milestone anniversary next year.
Editor's Desk
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Lessons from a bear marketer
If you missed the Kids/Today Conference, you missed a great event. While the focus naturally was on the infant, youth and tween market, a host of ideas applied to every segment of the home furnishings arena. A bevy of razor-sharp retailers — including Bombay Kids' Kristina Ventura, Jami Myers of Breuners Arizona, Leslie Hearn of JC Penny and Daniel Kron of specialty retailer Genius Jones ...
Industry Numbers
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Dorel working to turn around RTA segment
Montreal— Although its home furnishings segment has been a drag on performance in recent years, consumer goods giant Dorel Inds. intends to remain a force in ready-to-assemble furniture. Speaking at the annual shareholders meeting here, President and CEO Martin Schwartz said Dorel's RTA strategy embraces aggressive product development and a blend of domestic and offshore manufacturing to ...
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Illinois Tool Works acquiring CFC International
Chicago Heights, Ill.— Specialty coatings supplier CFC International said it has agreed to be acquired by an affiliate of Illinois Tool Works for $16.75 per share, a 48% premium over the closing price of CFC stock on Monday. Based on CFC's shares outstanding, the deal has an equity value of about $77 million.
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Spending ahead of 2005 pace
High Point— U.S. consumer spending on furniture and bedding slipped a bit from March to April but was still running ahead of the 2005 pace, according to the Department of Commerce's latest estimates. The annual rate of spending in April was down 0.6% from March but was up 5.5% from April 2005, continuing the positive comparisons the government figures have reflected all year.
Insider's View
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An upbeat market, and no worries about imports
Earlier this month, we attended NeoCon, the big office furniture show in Chicago. It was a blast because of the enthusiasm and confidence evident almost everywhere. After a three-year depression in office furniture, with sales declining a massive 39.3%, the industry is wrapping up its second year of double-digit gains.
News
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Legacy sets H.P. facility
High Point— Case goods importer Legacy Classic Furniture will build a 347,000-square-foot distribution center and corporate office complex in north High Point after the city agreed last week to provide up to $305,000 in incentives. Legacy President and CEO Kevin O'Connor said, "With our growth demanding an increase in space, we feel this move will benefit us greatly for many years to come...
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Baker relocating to N.C.
Hickory, N.C.— Baker Knapp & Tubbs is relocating its headquarters from Michigan to North Carolina to be closer to its manufacturing facilities. The full-line, high-end manufacturer will move 70 jobs when it closes its administrative offices in Grand Rapids, Mich., and moves into a 344,000-square-foot building in Hickory.
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Groups file suit over 'contraband' mahogany
New York— The Natural Resources Defense Council and two Peruvian groups have filed a lawsuit against the U.S. government and three importing companies, accusing them of allowing or bringing contraband Peruvian mahogany into the United States. Filed in the U.S. Court of International Trade here, the suit alleges that the wood, used largely in high-end furniture, is logged illegally.
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Uph. maker Paladin Inds. on Hot list at Entrepreneur
Irvine, Calif.— Upholstery maker Paladin Inds. of Hiddenite, N.C. has been named to Entrepreneur's magazine's list of the 100 fastest growing companies. The "Hot 100" is compiled from a list of more than 27,000 fast-growing companies from PricewaterhouseCoopers. Paladin was number 59. Paladin manufactures midpriced to high-end custom upholstery in fabric and leather and was founded in 200...
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Group promotes cooperation in hand-made rug segment
New York— The World Handmade Carpet Organization has been created to promote cooperation and understanding of the hand-made carpet industry among manufacturing and importing countries. Akhtar Nazir "Cooki" Khan, president of rug manufacturer Miaco in Lahore, Pakistan, has been elected to a three-year term as chairman of the organization.
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Transportation and logistics group celebrates 80th anniversary
Gardner, Mass.— The International Furniture Transportation and Logistics Council, one of the industry's oldest trade associations, celebrated its 80th anniversary on June 8. The organization was formed in 1926 as the National Furniture Traffic Conference to represent the interests of the furniture industry in the field of transportation before carrier rate bureaus, classification committe...
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Canada's Bad Boy is back
Toronto— The original Bad Boy of Canadian furniture retailing has come out of retirement, returning to his first love and the thing that first made him a household name: selling furniture and appliances. Mel Lastman, a flamboyant personality who served two terms as mayor of Toronto and six terms as mayor of North York before that, is honorary chairman of the newly renamed Lastman's Bad Boy.
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Aspenhome pops cork on Barolo
Las Vegas— Aspenhome will launch its first whole home collection at the July market here, marking the latest stage of the importer's merchandising strategy. Barolo, a 100-plus piece collection of bedroom, dining room, home office, home entertainment, occasional and leather, is named after a famous prize wine from northern Italy.
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Rug importer Patusan offers help to furniture stores
Blairsville, Pa.— Patusan Trading Co., an Oriental rug importer and wholesaler, has launched a consulting service aimed at assisting high-end furniture retailers who want to sell Oriental rugs. Services include on-site help in purchasing, hiring, training, promoting, gallery set-up and establishment of integrated Oriental rug merchandising programs, said President Bill McConnell.
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AmericasMart, ORIA to hold charity auction
Atlanta— The Oriental Rug Importers Assn. and AmericasMart Atlanta will co-sponsor a silent auction during the July rug market to support the ORIA Charitable Fund Benefiting Children. The auction will feature 20 to 30 high-quality hand-knotted rugs donated by ORIA members. Opening bids on these large-sized rugs will be much lower than wholesale value, according to ORIA and AmericasMart.
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Culp to freeze top managers' salaries
High Point— Still tightening its belt in an effort to return to profitability, fabric supplier Culp Inc. won't increase its top managers' salaries in fiscal 2007, the company said in a filing with the Securities and Exchange Commission. It did, however, approve discretionary bonuses of $10,000 each for three executives — Ken Ludwig, Iv Culp and Boyd Chumbley — for fiscal 2006,...
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Cooper to leave Hooker board
Martinsville, Va.— Robert M. "Mac" Cooper will resign from Hooker Furniture's board June 30 to focus attention on growing business and family demands, the case goods and upholstery maker and importer said. Hooker said a committee of its board is searching for a new director. "While we certainly understand Mac's decision, we are saddened at the departure of such an engaged young leader fro...
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Simmons set to debut new lines in Vegas
Atlanta— Simmons is introducing new bedding lines and features this summer as it seeks to maintain what company officials describe as its strong momentum. Among the intros, set to debut in Las Vegas next month: a high-end Beautyrest line and the addition of gel technology to its BackCare line. Simmons is kicking off its new luxury Beautyrest line, which it is calling Beautyrest Black, wit...
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Maitland-Smith promotes Carey
Cebu, Philippines— Maitland-Smith has named Edward Carey chief operating officer of Maitland-Smith Asia, a new position. Carey joined the company in 1988 as a foundry consultant in High Point. Two years later, he was promoted to foundry division manager in the company's factory in Cebu, the Philippines.
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Jofran plans to open warehouse in Vietnam
Ho Chi Minh City, Vietnam— Casual dining and occasional furniture importer Jofran said it will open a warehouse in Vietnam to support its growing source program from the country. The warehouse initially will hold 3,000 to 4,000 casual dining sets and should be operational by late August or early September, said President Bob Roy.
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Rosenbergs donate $3 million to health center in Hartford
Hartford, Conn.— Gene Rosenberg, co-founder of Top 100 store Bob's Discount Furniture and promotions specialist Planned Furniture Promotions, and his wife, Anja, have donated $3 million to the Hebrew Health Center here. The gift, the largest in the organization's current fundraising campaign, will be commemorated with the renaming of the main building on the center's campus as the Gene an...
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SLF forms Asia sourcing division
Dongguan, China— Case goods importer SLF has opened a sourcing division here called SLF Asia. The division's 3,000-square-foot office houses SLF's sourcing, product development, and quality control and supply chain management operations for product manufactured in China, Malaysia and Vietnam. The office, which opened earlier this year, has a look which is similar to SLF's showroom in High...
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FHFRA honors veteran retailer White
St. Petersburg, Fla.— The Florida Home Furnishings Representatives Assn. has honored Arthur White of Summerfield, Fla.-based White's Furniture as its 2006 Distinguished Retailer of the Year. Reps, retailers, manufacturers and guests spoke at a luncheon honoring White, telling stories of his nearly 50 years in the furniture business.
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Goldberg named ABC merchanding VP
New York— Veteran retailing executive Steve Goldberg has joined retailer ABC Carpet & Home here as vice president, merchandising. He most recently was chief merchandising officer for Le Gourmet Chef. Prior to that he was president of the Bryland Home Lifestyles Group, and earlier in his career was president of the home fashions group at Hanover Direct and later president of Hanover's ...
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Value City goes upscale with Mich. concept store
Kent, Mich.— Top 100 chain American Signature has opened a new concept store here, replacing a nearby Value City showroom. Rooms Today, in a former Target location at Kentwood Town Center, is "a step above the quality level that Value City Furniture carried because the market really asked for it," American Signature President David Thompson told The Grand Rapids (Mich.
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Millenia promotes Summers to marketing post
Hickory, N.C.— Solid-wood bedroom and dining room importer Millenia USA has promoted Jason Summers to the newly created post of vice president of sales and marketing. Millenia USA imports bedroom and dining room furniture from its affiliate P.T. Millenia in Indonesia, marketing solid-wood product under the Legacy Traditions brand.
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ISPA sets FR seminars for Minn., Los Angeles
Alexandria, Va.— As mattress producers are gearing up to meet a new federal flammability standard to take effect next year, the International Sleep Products Assn. and its Sleep Products Safety Council are conducting seminars to help companies prepare. Two Flammability Shoptalk seminars were held this month in Charlotte, N.
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Vegas CHR course on tap
High Point— A popular training course for industry sales representatives will be offered in Las Vegas for the first time in August. The International Home Furnishings Representatives Assn. hopes the Certified Homefurnishings Representative course will attract many West Coast reps with its convenient location, said IHFRA Executive Director Kathy Parks.
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Importer sets Mt. Vernon rugs
Colts Neck, N.J.— The Mount Vernon Ladies Assn. has licensed Due Process Stable Trading Co. here to market antique reproduction rugs inspired by the famed Virginia home of George Washington and his family. Due Process said it would design a high-end Oriental rug and carpet program. The company, a Ferolito & Gerhard property, imports hand-made rugs, and antique and reproduction furnitu...
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Carolina Mills creates CM Logistics subsidiary
Maiden, N.C.— Yarn supplier Carolina Mills has formed a subsidiary called CM Logistics and is partnering with trucking and logistics specialist CHTL to develop regional distribution, warehousing, sourcing and international logistics services. Steve Dobbins, president of Carolina Mills, said the company, which sold its upholstery fabric business to the Chatham division of Interface Fabrics...
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DeLand promoted to CIO at La-Z-Boy
Monroe, Mich.— La-Z-Boy has promoted Daniel F. DeLand to chief information officer. He has been with the company since 1999 and most recently was director of technical business solutions. He reports to Otis Sawyer, who had been chief information officer from 2004 until his promotion earlier this year to a new position, senior vice president of corporate operations.
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MGM moving in Calif.
Pico Rivera, Calif.— Specialized home furnishings transportation services company MGM Transport is moving into a larger facility with a 25,000-square-foot warehouse in this Southern California city. The new distribution center has "more warehousing capacity and additional services to better serve the expanding needs of our importer and regional distribution customers," said Edward Massood...
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ICFF attendance up 8%
New York— Attendance at the International Contemporary Furniture Fair here last month came to 23,177, an increase of 8% over the 2005 edition, according to show organizers George Little Management. The event in the Jacob K. Javits Convention Center covered 145,000 square feet and had 597 exhibitors, including 269 at the show for the first time and 294 from outside the United States.
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Correction
A story about a Henredon store on page 30 of last week's issue incorrectly identified one of the manufacturing sources in two Robb & Stucky stores. Those stores carry furniture mostly from Henredon and Hickory Chair.
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Guangzhou show draws 16% more
Guangzhou, China— Show organizers reported an increase in domestic and international buyer attendance at the China International Furniture Fair in March. Buyer attendance of 115,089 was up 16% from the 99,134 who attended in March 2005. Of those, 89,768 were from China, up 17% from last year, while 25,321 were from 117 other countries, an increase of 13%.
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Unfinished furniture market on tap
Columbus, Ohio— The Unfinished Furniture Assn. holds its 15th annual National Convention and Trade Show July 15-18 here at the Greater Columbus Convention Center. This event is dedicated to unfinished furniture, accessories and related products. Education Day on July 15 will feature money-saving, business-building strategies to help retailers better run their businesses.
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Pulaski's passion for lean plumps up dealer service
Pulaski, Va.— Pulaski Furniture says it has cut inventories, improved delivery times and reduced waste as part of a new emphasis on lean manufacturing. Lean manufacturing has become a buzzword for domestic companies seeking to remain competitive with importers. Pulaski, however, does both, importing case goods but maintains a 415,000-square-foot curio operation here.
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Pier 1 chief: We're victim of our own success
Fort Worth, Texas— Pier 1 Imports, which hasn't seen a profit in more than a year as same-store sales have declined, may be paying the price for looking good a few years ago. "We probably are a little bit of a victim of our own success," Pier 1 Chairman and CEO Marvin Girouard said at the Fort Worth-based retailer's annual shareholders meeting here last week.
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Bank sponsors needed
Atlanta— The home furnishings industry has launched "600 in '06," a first-ever campaign to recruit 600 sponsors to open new furniture banks and support existing ones. The non-profit National Furniture Bank Assn. represents almost 70 furniture banks nationwide. These organizations collect used home furnishings to donate to the needy, including survivors of natural disasters, women and chil...
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Robinson & Robinson honors Bosches with Summit Award
San Diego— Upholstery producer Robinson & Robinson has honored sales representatives Melly Bosch and Carlos Bosch with its inaugural Robert Norman Robinson Summit Award. The award is named in memory of the late father of brothers Noel Robinson and Peter Robinson, who operate the company's LeatherTrend, SofaTrend and EasyTrend divisions.
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JCPenney adds Dubois, Lintner to design staff
Plano— JCPenney said it is expanding its product development and design team because of the growth of its private-label JCPenney Home Collection. The company has hired Renee Dubois and Brian Lintner as designers in hard home goods. Each previously had a design company, and Lintner also worked with CKK Home Décor, Target, The Bombay Company and Swarovski.
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Lane, Yu Wei saluted as top JCP suppliers
Plano, Texas— JCPenney named Lane Home Furnishings and Yu Wei as its leading furniture suppliers at the retailer's Supplier Summit here last month. Suppliers are honored based on a range of criteria, including sales, margin performance, fill rate, innovation, track record for bringing new ideas to JCPenney first, quality and compliance.
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GS Furniture offering mixed containers
Mira Loma, Calif.— Dining furniture and curio cabinet importer GS Furniture said an agreement with its key Chinese supplier will allow customers to order mixed containers and receive quicker shipment. Dana Steele, GS general manager, said the company will be able to use more than 100,000 square feet of warehouse space at the plant in Tianjian, China.
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Dormez-vous expanding
Montreal— Dormez-vous, the Quebec arm of specialty bedding retailer Sleep Country Canada, has launched its expansion effort, opening three stores here. The new stores — at 4226 boulevard St. Laurent, 550 rue Sherbroke Ouest and 2029 boulevard Rolland-Therrien Ouest — bring the Dormez-vous store count to 10.
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Nourison building new warehouse
Calhoun, Ga.— Nourison Rug Corp. is building a 300,000-square-foot warehouse here, with completion set by the end of the year and full operation in 2007. The facility will support the rug importer and manufacturer's rapidly expanding broadloom carpet operations, said Vice President Andrew Peykar.
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Koehler gets La-Z-Boy sales post
Monroe, Mich.— La-Z-Boy has hired Havertys veteran David Koehler as regional vice president of sales in the newly created South Central region, covering all or parts of seven states. Koehler most recently was Texas regional manager and Dallas stores general manager for Atlanta-based Havertys. He spent 21 years at the retailer in posts including general manager of Washington, D.
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Smith is Weiman merchandising VP
Christiansburg, Va.— Cathy Smith has joined contemporary upholstery maker Weiman Furniture as vice president of merchandising, a new position. She reports to Carl Philips, president of Interlude Home, which recently bought Weiman. Smith, formerly director of textiles and merchandising for Los Angeles-based Lazar Inds.
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RTG taps Kirschman's liquidator
New Orleans— Rooms To Go has hired Great American Group to liquidate four of the five Kirschman's stores that RTG acquired earlier this month. Sales will begin within two weeks and run six to eight weeks at Kirschman's three New Orleans-area stores in Metairie, Gretna and Covington, La., as well as at the Baton Rouge, La.
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A/P Digital expands into video production
Las Vegas— Commercial photography studio A/P Digital has expanded into video production. High Point-based Atlantic Photographics launched A/P Digital here last year, largely to serve its home furnishings clients showing at the Las Vegas market. Jim Hulin, one of the company's owners, said video is a natural addition for the company, which also offers studio room scene and seamless shots, ...
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How the list was compiled
High Point— Furniture/Today's exclusive report, Beyond the Top 100, lists 100 independent furniture stores that are significant players in their respective markets. This list is by no means comprehensive. Many more than the 100 furniture stores listed here are strong retailers within their communities.
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La-Z-Boy honors top-performing stores
Monroe, Mich.— La-Z-Boy honored its top-performing dealer-owned La-Z-Boy Furniture Galleries stores at an awards ceremony during the April High Point market. The awards were based on 2005 shipments. "These top-performing stores are crucial to our distribution and overall success, so it's only natural that we recognize and thank some of the people that help make our company one of the most...
- Our Community
La-Z-Boy teams up with Quilt project
Monroe, Mich.— Furniture manufacturer La-Z-Boy is teaming up with The Quilt: A Breast Cancer Support Project to help raise money and support for breast cancer survivors and their families. The company has signed on to host traveling exhibits of 120 quilts at a dozen La-Z-Boy Furniture Galleries stores in Canada through Oct.
- Our Community
University Loft sells building to nonprofit for less than value
Indianapolis— When case goods producer University Loft vacated its 60,000-square-foot plant in Morristown, Tenn., it also made a charitable contribution to the local community. University Loft sold the building for $200,000, well under its $600,000 appraised value, to a not-for-profit agency called Central Services, which runs programs such as Toys for Tots and Food Box Christmas.
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Comfort Designs closing
Wilkes-barre, Pa.— Comfort Designs, a high-end contemporary upholstery and metal furniture source, said last week it was shutting its doors after 34 years, citing the rising cost of raw materials, competition from imports and a flat business environment. "I have decided to close the business and liquidate in an orderly manner before things get too far along and we have no moves left to us...
Opinion Today
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Feed the beast! (But the beast has left the country)
Two weeks ago, I visited Lowell, Mass., a cradle of the U.S. textiles and carpet and rug industries. A teen-aged Erastus Bigelow (1814–1879), the inventor of the first power loom for carpets, was an employee of The Lowell Mfg. Co., which began making hand-woven carpets and rugs in 1828. Textiles disappeared from Lowell about 50 years ago.
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Behind the current shakeout at retail
There's lots of talk about today's furniture retailing scene, much of it not especially positive. We seem to be going through a shakeout, especially among smaller specialty stores. It's similar to the late '70s and early '80s, when small stores disappeared by the gazillions. Back then there also was a lot of wringing of hands and tearing of hankies.
People Today
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Edwards retires at Broyhill after 41 years
Lenoir, N.C.— With 41 years and 16 days under his belt at manufacturer Broyhill Furniture Inds., O'Brien Edwards began his retirement in April with a reception in his honor held in the Broyhill market showroom. Edwards joined Broyhill in April 1965 as a sales trainee in eastern North Carolina, and eight months later was assigned a sales territory in South Florida.
- People on the Move
People on the Move
Marketing/Sales Lane Home Furnishings Tupelo, Miss. — Lane Home Furnishings has promoted several people, all of whom report to Mike Gregory, vice president of dealer services. Kirk Biddle has been promoted to manager of strategic accounts, supervising a work team for sales and customer service functions for a number of major dealers.
Special Report
- Beyond the Top 100
Beyond the Top 100
Abide Furniture Home base: Bentonville, Ark. President: Matt Abide Total stores 2005: 3 Est. 2005 total sales: $5 million to $9.9 million Family-owned retailer, founded in 1995. Operates one store each in Springdale and Bentonville, Ark., and Greenville, Miss. Plans to expand its Springdale store by 30,000 square feet this summer.
- Beyond the Top 100
Compass works to restore business
High Point— The main challenge many stores face involves opening up a new location. For Billy Rippner, president of Compass Furniture in New Orleans, the challenge went way beyond what he had ever imagined. New Directions, a casual lifestyle store, was supposed to open last August, joining the Compass main store and a Compass For Kids store, both of which had been open for some time.
- Beyond the Top 100
Independents overcoming obstacles
High Point— If anything, the challenges for the nation's medium-sized furniture retailers are greater than they are for the 100 biggest stores, given that the smaller you are, the less room there is for error. The good news for these retailers is that they are finding a way to succeed, despite daily challenges.
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Diversification is buzzword as youth draws new action
High Point— Diversification is the buzzword for furniture producers these days, and that trend is especially evident in youth. At both the International Home Furnishings Market in High Point in April and the Juvenile Product Manufacturers Assn. show in Orlando, Fla., in May, many exhibitors either jumped into the youth segment or expanded their existing youth programs as they hunt for inc...
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Transportation industry faces challenges
High Point— Life on the transportation end of the furniture industry continues to be a challenge defined by the laws of supply and demand in two key areas: Fuel is expensive. And drivers are getting harder to find. "The cost of fuel and driver availability are really the two paramount issues that face any transportation company at this point," said Michael Caldiero, vice president of sale...
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Local delivery companies feel the pinch
High Point— Challenges in transportation aren't limited to those companies that drive big trucks on long runs down the interstates. Companies that specialize in delivering furniture from local warehouses to customers' homes also are feeling the pinch. Patrick Cory, vice president of strategic planning for Cory Home Delivery Service, said that business is down somewhat, partly because the ...
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Trucking plays a key role for each link in supply chain
High Point— Furniture gets built and furniture gets bought. But most of all, furniture gets carried from one place to another — from the time it is a raw material until it is delivered to a customer's home — and the transportation challenges are seen in both retail and manufacturing.
- Beyond the Top 100
Staying competitive requires change
High Point— Sometimes, being in retail means changing — a lot. That's the way it is for a pair of retailers in the South: Braden's Fine Furniture & Interiors in Tennessee and Colfax Furniture in North Carolina. Braden's has historically been the model of high-end retail in downtown Knoxville, with lines such as Stickley and Henredon.
- Beyond the Top 100
Fast facts ...
- Fashion Report
Behind the Design
In fashion, it's the details that take a classic silhouette from good to great. We absorb the finer points, even when we are not aware of it. Our brain quickly calculates the value added by every additional tuck of fabric or jeweled embellishment. We see luxury, innovation and exclusivity, then decide we are worth it! Fashion in furniture and clothing has never been so interrelated.
Store Openings
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Kincaid opens first metro Washington dedicated store
Ashburn, Va.— Solid-wood furniture manufacturer Kincaid has opened its first metro Washington Kincaid Home Furnishings store in the Ashbrook Commons Plaza here. The full-line store features a variety of bedroom, dining room, upholstery, entertainment and occasional furnishings, and an in-store design center.
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Klaussner's 1st dealer-owned Sofa Express is in Miss.
Hattisburg, Miss.— Top 25 furniture manufacturer Klaussner Furniture has opened its first licensed Sofa Express and more store here. The 28,000-square-foot store carries the full line of Klaussner products and accessories and features a 5,000-square-foot Dick Idol and World Vineyards gallery, including hardwood floors and stone fireplace.
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Berkline/BenchCraft gallery installed at Fla.'s Sims Furniture
Leesburg, Fla.— Sims Furniture here has installed a 15,000-square-foot Berkline/BenchCraft/Natural Elements Comfort Gallery in its 80,000-square-foot store. The gallery offers a full selection of Berkline, BenchCraft and Natural Elements product. The manufacturer is based in Morristown, Tenn.
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