Archive for February 24th, 2006
The Associated Press
LEXINGTON, N.C.
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A furniture plant that shut down in December will reopen as a factory for Kepley Frank Hardwoods, which expects to create about 200 jobs within the next three years, officials said.
Steve Googe, executive director of the Davidson County Economic Development Commission, unveiled the plans for Lexington Home Brands Plant No. 2 at a city council meeting Monday night.
As part of a city incentives package, the owners must invest $4.1 million in the plant, machinery and equipment. In return, the city of Lexington will grant the company more than $11,000 a year in incentives for five years.
Jimmy Kepley, president of the company, said his employees will earn about the same wages as former Lexington Home Brands workers.
Googe and Kepley planned to meet with Davidson County commissioners Tuesday night for another public hearing, where Kepley Frank Hardwoods may receive more incentives. The county is considering paying the company up to $11,070 per year in incentives for five years.
The company plans to use the factory to expand its lumber drying and distribution for domestic and foreign markets and to diversify its product mix, Googe said.
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Information from: The Dispatch,
February 24th, 2006
BY PAUL NOWELL THE ASSOCIATED PRESS
LEXINGTON, N. C. — Bob Stec works in a company town. A furniture town. A town so tightly tied to the business of making tables and chairs and sofas and beds that they share the same name.
But Bob Stec is an importer.
And that’s the only way he believes Lexington Home Brands, the privately held North Carolina company he heads, is able to survive. And despite the stigma attached to job offshoring and negative publicity of Stec’s decision to close more than a dozen plants and lay off thousands of workers since 1999, his company is a success.
“When the Titanic goes down, you try to save as many people as you can,” Stec said. “We used to be a 100 percent domestic producer and we were a financial disaster. Now we are importing and I’d put our financial health up against anyone.”
Stec was at the center of a recent spat with North Carolina artist Bob Timberlake, a pioneer in celebrity-branded furniture who has long insisted his signature collection of traditional furniture be made in America. But while keeping a “Made in the USA” tag on his furniture is important to Timberlake and a few others, it’s all but impossible today to furnish a home without buying something made overseas.
And consumers, according to analysts, retailers and industry executives, don’t much care.
“All they care about is the price and quality,” said Lin Brown, the manager of a Furniture Express store in Sterling Heights, Mich. “It’s not an issue at all.”
A decade ago, imports made up less than a third of all-wood furniture sales in the U. S. They are now at about 55 percent, and industry analyst Jerry Epperson predicts they will rise again this year to nearly two-thirds of allwood furniture sales. Last year, about 75 percent of all furniture sold in the United States was produced overseas.
It’s in the context of that evolving marketplace that Stec has tried to persuade Timberlake to allow Lexington to produce his signature furniture collection overseas.
Timberlake, who lives in Lexington, has long identified with the workers who once filled the city’s furniture plants and criticized companies that have moved production overseas. Since 2000, the industry has shed more than 20, 000 jobs — over 27 percent of total employment — in North Carolina alone, according to the U. S. Bureau of Labor Statistics.
While Timberlake has allowed some of the newer, lowerpriced furniture that bears his name to be made overseas, he has insisted his original line be made exclusively in America.
Lexington sold about $ 70 million worth of Timberlake-brand furniture in 2002, the most recent year for which sales figures were available. Sun Capital Partners Inc., which bought the company in 2002, does not disclose sales results. But the company shut down production in December, and when it resumes, Stec said it’s unlikely to be in Lexington.
Even companies that are proud of their continued commitment to domestic production are not 100 percent “Made in the USA.” Vaughan-Bassett Furniture Co. makes 96 percent of its furniture and other products at plants in North Carolina and Virginia, but there is that fraction that comes from plants overseas.
“We actually reduced the amount we imported in 2005,” said Doug Bassett, senior vice president of sales for the Galax, Va.-based company. “Maybe we’re the last man standing.”
To compete with importers, Vaughan-Bassett has worked to develop a reputation as one of the lowest-cost producers of wood bedroom furniture in the United States, while also focusing on speed of production and delivery. Instead of taking weeks and months, Vaughan-Bassett can deliver orders of some of its products to most retailers in the eastern half of the country within 10 days.
Ken Smith, a furniture analyst with BDO Seidman in High Point, said he doesn’t know how long Vaughan-Bassett will be able to succeed as a primarily domestic manufacturer.
He said “Made in the USA” tags don’t have a lot of marketing power, since the vast majority of consumers are mostly interested in price.
February 24th, 2006
Awards dinner and ceremony held in Pa.
PHILADELPHIA — Diamond Furniture has been named 2005 Retailer of the Year by the Tri-State Home Furnishings Assn.
The award is given to the retailer who best exemplifies the highest standards of business practices, resulting in an outstanding reputation for integrity and customer service. TSHFA consists of about 200 furniture retailers from Pennsylvania, New Jersey and Delaware.
The awards dinner and ceremony took place late last year in Plymouth Meeting, Pa. Gary Diamond, owner of Diamond Furniture, accepted the plaque. The retailer earlier this year opened its first store in Delaware, bringing its total to seven.
February 24th, 2006
Jeff Linville — Furniture Today
More retailers expected to arrive today
TUPELO, Miss. — Opening Day at the Tupelo Furniture Market began slowly Wednesday but picked up in the afternoon.
Market officials moved the official opening day from Thursday to Wednesday this year. At midday Wednesday, exhibitors were concerned that they weren’t seeing many buyers, and some feared that the Las Vegas market last month had drastically cut the traffic here.
However, as the day progressed, more and more people arrived. The busiest time of the day was 3 p.m. to 5 p.m. for occasional importer Ultimate Accents, said Vice President Ray Steele.
Even though the market changed its official opening day, many retailers stuck with their pattern of traveling Wednesday morning, said V.M. Cleveland, market board chairman. Those buyers began to arrive in the afternoon and evening, he said, adding that today could be the busiest day for registrations.
February 24th, 2006
NEWSWIRE
Charlotte, NC - Clubfurniture.com, a leading online retailer of high-quality, handcrafted, North Carolina-manufactured furniture and accessories, announced today that its furnishings will be featured on the upcoming season of The Apprentice, which premieres February 27, at 9/8c on NBC. Clubfurniture provided 14 twin-size Mercer micro-suede headboards with metal bed rails, and two twin-size Mercer micro-suede beds for the contestants’ Trump Tower suite.
“We wanted The Apprentice suite to reflect the Trump lifestyle, so we were looking for refined, upscale furnishings from fresh, unique designers,” said Kelly Van Patter, production designer for The Apprentice “Clubfurniture.com offers exactly what we wanted, plus they were able to meet our unique needs regarding quantity and a pressing deadline. Since Clubfurniture is an online retailer, I was able to easily and efficiently review their products, and when the furniture arrived it exceeded my expectations.”
In season five of The Apprentice, 18 international candidates, with backgrounds ranging from Ivy League graduates to self-made entrepreneurs, endure the scrutiny of Donald Trump and his associates George Ross and Carolyn. The last candidate standing wins the title of The Apprentice and will be given a high-level job within The Trump Organization, with a starting salary exceeding six-figures.
“We are excited to be involved with The Apprentice, which has become such a significant part of American culture and with Donald Trump, whose name is synonymous with excellence,” said, Darrin M. King, president of Clubfurniture.com. “We want this opportunity to be about more than just our furnishings and accessories, so we will be auctioning the furniture used on the show with proceeds donated to The Breast Cancer Research Foundation.”
The auctions will begin on February 27 and will be hosted on eBay. 12 Mercer micro-suede twin headboards and two complete twin-size Mercer beds will be available in auctions (for more information go to: www.clubfurniture.com/comingsoonbeds.html). 100% of all proceeds from the auctions will be donated to The Breast Cancer Research Foundation.
“We are truly dedicated to curing breast cancer within our lifetime, and we appreciate Clubfurniture contributing to our effort through this auctions,” said, Robbie Finke director of Marketing and Corporate Sponsorships for The Breast Cancer Research Foundation. “We hope that this will not only aid our efforts through the donation from the auction, but will further enhance the recognition for a need for prevention and a cure for a health issue that effects millions of Americans.”
The mission of The Breast Cancer Research Foundation is to achieve prevention and a cure for breast cancer in our lifetime by providing critical funding for innovative clinical and genetic research at leading medical centers worldwide, and increasing public awareness about good breast health.
About clubfurniture.com
Founded by brothers Darrin and Jeff King in 1998, clubfurniture.com is a leading retailer of Internet and catalogue home furnishings. Clubfurniture.com offers leather, fabric and slipcover upholstered furniture and accessories that are handcrafted by skilled artisans, who have hundreds of years of combined experience in creating truly exceptional pieces. Each piece is built to order and shipped directly from our North-Carolina manufacturers.
Clubfurniture.com and its products have been featured by numerous leading media, including NBC’s “The Apprentice,” Fine Living Network’s “Catalogue This,” Inc., Entrepreneur, New York Spaces and AliBarone.com. For more information go to www.clubfurniture.com.
About The Apprentice
Donald Trump and his associates George Ross and Carolyn Kepcher are back to test a brand new crop of candidates on their business skills. This season 18 candidates will endure the scrutiny of George, Carolyn, and of course Mr. Trump, as they embark on the job interview of a lifetime. These candidates come from varying backgrounds, ranging from Ivy League graduates, to self-made entrepreneurs with no more than a high school education.
Each week two corporations made up of candidates face off against each other in a series of various business oriented tasks. These tasks challenge the candidates to use innovative thinking, superior people skills, and good old-fashioned hard work to be successful. The corporation that wins enjoys a spectacular reward, but the losers go to the boardroom where Mr. Trump grills them on their mistakes. With input from George, Carolyn, and other surprise boardroom guests, Mr. Trump determines who did the worst job and utters those two infamous words “You’re fired!”
February 24th, 2006
By: Furniture World Magazine
The World Market Center reported in their post-show report that six months after the debut of the highly successful inaugural Las Vegas Market, which was the largest show launch in U.S. trade show history, all eyes in the international home furnishings industry were focused on the second Las Vegas Market, held January 30 – February 3.
Cooler temperatures welcomed the Winter Las Vegas Market, but that didn’t stop World Market Center and its 1,200 exhibiting companies from having another red-hot showing. With more than 50,000 buyers, designers and exhibitors in attendance from 83 countries and record-setting order writing, exhibitors and buyers universally say Las Vegas Market lived up the promise and proved to be even brighter the second time around.
Attendees widely praised Las Vegas Market commenting that the January show proved to be a better Market at every turn. Buyers and exhibitors alike hailed improvements stating their experience at all three Market venues was greatly enhanced over July. Attendees cited a number of enhancements at this show, including enhanced organization and product presentation at the temporary venues, expanded shuttle service, more food options at World Market Center, bolstered signage and marketing programs, and improvements to the Market logistics program overall.
Developers and Co-managing Partners Jack Kashani and Shawn Samson comment on the success of the January Market: “The January show surpassed our expectations and has once again captivated the industry to new heights of excitement, fulfillment and productivity. Evidenced by the quality of the Market experience, unprecedented sales activity and the rapid expansion of the entire campus, World Market Center has reached a critical mass of attendance and commerce that has definitively proven to be sustainable in the long term. We are deeply gratified with the level of support we have received, and will continue to serve the needs of the industry for many successful Markets to come.”
Kashani and Samson, along with their partners Marty Burger and Ron Wackrow of The Related Companies, say these results are backed by an avalanche of positive news reports and supporting endorsements by buyers and exhibitors alike as well as the significant demand for additional space by existing and new tenants.
Dave Palmer, World Market Center’s General Manager also commented: “Our team spent a great deal of time evaluating the results of the many surveys we conducted and soliciting feedback from buyers, exhibitors, vendors and our Advisory Board based on their experiences from the July Market in an effort to raise the bar for January. We put this feedback into action, making improvements and enhancements across the board, and came out a better show for it. Responding to the needs and wants of our exhibitors and attendees is what Las Vegas Market is all about, and we believe the industry is equally responsive to marketplace that truly listens. Listening to the industry will continue to be a hallmark to our operating philosophy as we evolve.”
Market officials say improvements are already in the works for July 2006 show. For starters, attendees can expect to see a revamped plan and process for on-site registration.
World Market Center’s Chief Operating Officer Gerry Sawyer says: “We have a first class operations team and among the most experienced registration companies in the trade show industry. Recognizing that Las Vegas is all about service and efficiency, we are already exploring new avenues in order to make the registration process easier and more convenient for buyers. This is in addition of course to other facets of the Market that we will continue to re-evaluate to ensure that we exceed the needs and expectations of our attendees and exhibitors.”
JANUARY PROVED TO BE AN ORDER WRITING MARKET
A “fun Market for serious buyers” was the tone that echoed at the January Las Vegas Market. While July was a record-setting show for a number of exhibiting companies, virtually all exhibitors reported that order writing was significantly up this January, as much as 50 percent or more according to many.
“Business was up 50 percent from the last market,” said Bill Sibbick, senior vice-president of Pulaski Furniture. “In July, people were just looking, but at this market, people planned to buy.”
“I’m positively amazed with the written orders from this market,” said Jeff Cook, president of Magnussen. “We surpassed what we did in July.”
Andrew Cohen of Interactive Health, a temporary exhibitor at the Pavilions said: “We are blown away with the attendance. It’s better than we expected in terms of new business, Top 100’s, and the amount of order writing.”
A better marketed and more organized temporary show held at Mandalay Bay Convention Center also produced winning results off-site. Mandalay Bay and Interior Lifestyle USA, its “show within show,” opened to brisk traffic on Tuesday, which continued steady all week long as more than 500 exhibiting companies there reported strong order writing this market than July.
“We’ve had an unbelievable Market at Mandalay Bay and are very pleased with the quality of the traffic we saw there. Our sales were up,” said Keith Feuerhaken of Alan White. “We’re particularly impressed with the number of international buyers attending. The Canadian presence is dramatic.”
NEW BUYERS AND BIGGER BUYERS TURN OUT FOR JANUARY MARKET
Nothing has a better ring to it than when businesses expand their dealer base and woo new customers. That is exactly what many manufacturers reported at the January Las Vegas Market. Exhibitors were particularly pleased with the Market’s ability to attract international customers who haven’t attended long-standing other markets.
“We’ve hosted some major accounts that we’ve not seen at other markets. In casino parlance, we’ve seen some whales,” said George Noonan, sales operations director for Kathy Ireland Home by Standard. “We’ve waited years to meet with some of these buyers we saw in Las Vegas.”
Indeed, retail decision makers showed up to January’s Las Vegas Market with an increase in both the Top 100 and Top 200 buyers over the July show. 65 percent of the Top 200 U.S. Retailers attended, in addition to a surge of new U.S. dealers and designers, and almost twice as many Canadian and overseas buyers that the Market saw in July. In all, more than 10,000 new buyers registered for January’s Las Vegas Market and this translated into new accounts and incremental business for the 1,200 exhibitors that showed at Market.
Dale Tiffany, a California-based lighting company, hosted buyers from several large chains, including Target.com, Linens & Things and Front Gate, a leading catalogue retailer. Executive Vice President Ken Kallett estimated 75 percent of the customers he saw at January Market were new. That follows July’s Market when 85 percent were first-timers.
Hershel Alpert, CEO of Massachusetts-based Alpert’s Furniture Showplace, who is a Top 200 Retailer and was named Retailer of the Year by National Home Furnishings Association, says: “World Market Center has done an exceptional job trying to make the buyer feel comfortable. You have gone a long way to make it a buyer friendly Market.”
LAS VEGAS IS A NEW PRODUCT MARKET
Las Vegas Market is undeniably a venue where virtually every exhibiting company has chosen to make their major introductions. A pre-show poll conducted by World Market Center indicated that more than 95 percent of Las Vegas Market exhibitors planned new product introductions at January show, which paid off with both buyers and media alike. More than 350 members of the media attended January’s Las Vegas Market, representing both trade and consumer press from around the world, and gave positive reviews on the amount of new product at Market.
First time exhibitor, Sealy Inc. took advantage of World Market Center’s January show to relaunch its flagship Sealy Posturepedic brand. “The January show was perfect timing to unveil Sealy’s consumer-inspired products and completely redesigned consumer experience. The visibility we received with our dealers and the media helped create outstanding momentum behind our Sealy Posturepedic launch,” said David Evans, Vice President, Sealy Marketing Communications & Consumer Insights.
World Market Center officials say that new product introductions and attracting international media go hand in hand and supporting new product introductions among all exhibitors will be a cornerstone to the Las Vegas Market year after year.
A GROWING, GLOBAL MARKETPLACE EMERGES IN LAS VEGAS
Emerging as a major player in the global home furnishings trade while displaying strong political support at home, project officials were joined by Nev. Gov. Kenny Guinn and Las Vegas Mayor Oscar B. Goodman at an opening day news conference to reveal the exciting developments surrounding future markets and the 12 million square foot campus build-out, as well as to underscore the many benefits World Market Center brings to Nevada and the Las Vegas economy.
Gov. Kenny Guinn said, “World Market Center has created thousands of new jobs, both at the Center itself and indirectly through business that will support the Market’s needs. This means continuing prosperity for our citizens and additional tax revenues to help Nevada keep up with the needs of our expanding population.”
“World Market Center has been a tremendous success and news that the second phase is ahead of schedule and nearly leased is especially exciting, not just for future attendees, but for the entire city of Las Vegas,” said Las Vegas Mayor Oscar B. Goodman. “Not only has World Market Center changed the face of downtown with its visual grandeur, it has brought in a completely new industry and tourist base to our great city.”
Developers also proudly announced that Building Two is ahead of schedule and fully leased to more than 300 home furnishings manufacturers and will open January 29 – February 2, 2007 for Las Vegas Market. With the opening of the second building, World Market Center will be home to 10 of the Top 25 U.S. furniture manufacturers and importers.
Approximately 17 showroom expansions were also announced on opening day of Market. World Market Center tenants are demonstrating their commitment to the Market by expanding and relocating their showrooms to accommodate more new products and to meet the growing buyer demand. 10 of these companies are relocating to Building B when it opens next year and are increasing their showroom size by an average of 13,899 square feet or 289%.
Ron Wanek, Chairman of Ashley Furniture, the largest showroom holder at World Market Center slated for 2007, comments on his expansion plan: “The first Las Vegas Market was a tremendous success. We had more people come to this market than any other market ever. The second Las Vegas Market was even stronger. Not only are we keeping our 20,000 square foot showroom in the first building, but the new showroom in Building Two is 65,000 square feet, for a total of 85,000 at World Market Center. We believe this heightened presence at World Market Center will be an effective marketing strategy for Ashley. Our customers and their spouses love coming to Las Vegas, and we strongly support World Market Center and believe the future here is very strong.”
About World Market Center Las Vegas
World Market Center is an integrated home and hospitality contract furnishings showroom and convention complex in Las Vegas. When fully built, at 12 million square feet in 8 buildings, World Market Center will be the largest trade show complex in the World. The 12 million square foot campus will be complete by 2012 and will showcase furniture, decorative accessories, lighting, area rugs, home textile and related segments, as well as a Design Center open year-round to the trade. The second building is under construction and will open in January 2007; officials are now leasing the third building to a broad cross-section of the home furnishings industry.
The next Las Vegas Market will be held July 24-28, 2006 at World Market Center and Pavilions, and will also run July 25-July 28 at Las Vegas Convention Center. Discounted hotels for Summer Market are now available on-line and attendees are encouraged to book early while availability and rates are at their best. July Market registration will open in March.
For more information on Las Vegas Market, and to find out about leasing or exhibiting opportunities, visit the website or call 888-WMC-SHOW (962-7469).
February 24th, 2006
By: Furniture World Magazine
The Muscular Dystrophy Association (MDA), a voluntary health agency working to defeat more than 40 neuromuscular diseases, has recently recognized American Furniture Warehouse’s President and CEO, Jake Jabs, for his continued support and dedication.
Jabs, who has served as National Vice President of MDA for the last seven years, has been actively involved with the organization for decades. Over the years, Jabs has provided MDA with financial support, including donating a portion of sales each Labor Day Weekend to MDA. He has also volunteered his time by serving as a host for fundraising efforts such as Jerry Lewis’ annual MDA Telethon. He initially became involved with MDA due in large
part to his desire to give back to the community and because of his strong interest in supporting organizations that help those living with disabilities, like the MDA.
At a ceremony held this week at American Furniture Warehouse’s corporate office in Englewood, 19-year-old Nikki Bishop of Parker, a former MDA Goodwill Ambassador, presented Jabs with a plaque of appreciation.
“On behalf of the MDA and kids like me everywhere with neuromuscular diseases, I thank you from the bottom of my heart for all of your love, your donations and your support,” Bishop said. “It is with tremendous gratitude and thanks that I present you with this token of our appreciation. Since the time I met you when I was 11-years-old, I have known you are amazing person. You have been a real inspiration to me and to kids like me everywhere.”
Jabs accepted the honor and said that the presentation couldn’t be nicer. “You wouldn’t believe all that I get out of it too,” Jabs added. ” I’ll be there every year - you can depend on me.”
About American Furniture Warehouse: Headquartered in Englewood, Colorado, American Furniture Warehouse is Colorado’s largest furniture company. Founded in 1975 by entrepreneur Jake Jabs, the company has grown year-over-year to become one of the top furniture retailers in America and one of the largest privately held businesses in Colorado. With ten locations in metro Denver, Colorado Springs, Fort Collins, Glenwood Springs and Pueblo, American Furniture Warehouse provides quality, stylish and affordable home furnishings and accessories to customers throughout the state. American Furniture Warehouse is actively involved in the community and the company contributes time, monetary support and in-kind donations to hundreds of non-profit organizations each year. The company and Jabs have received numerous awards and honors including Colorado’s Top Company Award, the National Home Furnishings Association Retailer of the Year, Colorado Easter Seals’ Champion Award and Muscular Dystrophy Association Humanitarian Award, among many others. For more information, visit www.jakejabs.com. For more
information about MDA, go to www.mdausa.org.
February 24th, 2006