Archive for December, 2006
BY MICHELE BLOOMQUIST for The Columbian
Have you ever searched high and low for that just
right piece of furniture only to find everything on the market to be a few inches too wide, a few inches too tall, or a few inches too deep?
That’s the challenge many clients bring to Portland based Showcase Designs, says owner Grant Hamilton.
The solution? To have a piece of custom furniture made that’s just right, he says.
Exactly What You Want
A division of Showcase Furniture Gallery, Showcase Designs focuses solely on building custom furniture piece by piece.
“The beauty of custom furniture is you can get exactly what you want,” Hamilton says. “Not almost what you want.”
Shop manager Doug Wilson and a crew of 15 skilled carpenters build all of the company’s made-to-order furniture at a 30,000 square foot state of the art woodshop on Hayden Island.
Wilson says thanks to their computer aided woodworking equipment, it’s possible to replicate any piece of wood furniture, down to the smallest detail.
“It opens up a whole new world to what we can manufacture,” Wilson says of the equipment. “We can match any molding, profile, or other element exactly.”
Because each piece is custom built, fitting furniture into a space with unusual measurements or that awkward corner is no problem, Hamilton says.
“It’s perfect to convert that odd space that nobody knows what to do with into usable space, like putting a built in desk at the top of a landing,” he says.
From Dream to Reality
Working from a photograph, sketch, or from examples on file, Wilson and Hamilton help clients turn the vision in their mind into a working design.
Once everyone is satisfied, a work order starts the process of cutting and assembling the piece.
In most cases, a single craftsman makes the piece from start to finish, Hamilton says.
“We take a lot of pride in our work,” he says. “There aren’t many shops like ours in the United States anymore, much less in the Pacific Northwest.”
Still, Hamilton says he refuses to cut costs by outsourcing his worker’s jobs overseas.
“We’re competing against labor that’s 29 cents an hour,” he says. “But we feel we offer a much higher quality product, and one that’s American made.”
Built for a Lifetime
Every piece of furniture created at Showcase Designs comes with a 20 year manufacturer’s warranty, Hamilton says.
“Very few customers ever have to take us up on it,” he says. “But if a hinge comes loose or a drawer glide starts sticking years later, we’ll come out and take care of it. Our furniture is built to last a lifetime.”
Construction techniques such as glued and screwed face frames, tongue and groove joints, and extra thick rabbeted-in back panels provide rock solid stability.
Added touches like equalized ball bearing table slides and accuride ball bearing drawer glides make sure each piece functions effortlessly.
Picture Perfect
Showcase Design offers furniture made from a variety of woods including hand selected solid cherry, maple, birch, and oak.
Depending on wood choice, up to 12 different finishes can further customize the look.
“We have samples of every stain on every wood, so customers can see exactly what the finished product will look like,” Wilson says.
Stains are applied by hand with a five-step process, adding depth and color to the finished piece.
A wide selection of hardware — from simple to elaborate handles and pulls — add yet another custom touch.
Unlike mass produced furniture lines, which can change woods, details, and finishes from year to year, custom pieces can be purchased over time without fear that things will change.
For example, the company offers modular office furniture for commercial or home use. The 18 interchangeable options combine to fit any need or space. Over time, additional pieces can be added as a customer’s needs change or as their business grows.
This way, the expense can be spread over several years but the end results still match perfectly, Hamilton says.
“We can even match something we made 20 years ago,” he says. “You won’t find that in imported furniture.”
Choose Your Style
Another advantage of custom furniture is that is can be made in any style to match any architecture, Hamilton says.
Need an armoire that will fit up the stairs of your turn of the century Victorian? Want a built in hutch in the dining room of your Craftsman that looks like it’s always been there? Wish you had a sleek table to fit that nook near the doorway of your mid-century ranch? Not a problem, Hamilton says.
“If you can picture it, we can make it,” he says. “We literally start from scratch. We’re happy to walk our clients through the process every step of the way to make sure they get exactly what they’re looking for.”
Because each piece is made to order by hand, custom furniture costs about 20 to 30 percent more than ready made and takes between 6 to 8 weeks to manufacture, Hamilton says.
“Custom made furniture is really for those people who know what they have in mind, have looked all over for it, and can’t find it anywhere,” he says. “That’s our niche.”
Resource List:
Showcase Designs Furniture
1107 N. Hayden Meadows Dr., Portland(503) 289-8364www.showcasefurnitureonline.com
December 22nd, 2006
Posted by Don Huff
Boston (AP) — One-half of the well-known furniture
selling team of Barry and Eliot is leaving the business for Hollywood.
Barry and Eliot Tatelman have been fixtures on radio and television, starring in quirky ads for their Jordan’s Furniture chain that often mimicked popular national ad campaigns.
Barry Tatelman is leaving the company to pursue show business interests and will help produce a Broadway show and a T-V series. His brother Eliot says the departure won’t affect the business that began with one store owned by their grandfather in Waltham and grew to a New England-wide chain.
Tatelman says Jordan’s is in “fine shape” and continues to grow. He says his brother Barry has always been a “frustrated actor.”
The brothers sold the company to investor Warren Buffett in 1999, but have continued to run the stores and star in commercials.
December 22nd, 2006
BOSTON One-half of the well-known furniture selling
team of Barry and Eliot is leaving the business for Hollywood.
Barry and Eliot Tatelman have been fixtures on radio and television, starring in quirky ads for their Jordan’s Furniture chain that often mimicked popular national ad campaigns.
Barry Tatelman is leaving the company to pursue show business interests and will help produce a Broadway show and a T-V series.
His brother Eliot says the departure won’t affect the business that began with one store owned by their father in Waltham and grew to a New England-wide chain.
Tatelman says Jordan’s is in “fine shape” and continues to grow.
He says his brother Barry has always been a “frustrated actor.”
The brothers sold the company to investor Warren Buffett in 1999, but have continued to run the stores and star in commercials.
Copyright 2006 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
December 22nd, 2006
By John Willman,Business Editor
While consumers are becoming increasingly
confident about going online to buy mass-produced products such as books and DVDs, buying designer furniture over the internet may require a certain leap of faith. The product is far from standardised - there is usually a variety of finishes and fabrics, and shoppers will want to see samples. Meanwhile, it costs much more to deliver bulky and fragile furniture than smaller items.
Yet Julie Edwards, a former investment banker, has created a thriving internet business selling upmarket Italian furniture. The reason, she says, is that “rip-off Britain” allows her Europe by Net business to sell expensive designer products online at prices consumers cannot resist.
The rest of this article is for FT.com subscribers only
December 22nd, 2006
By: Furniture World Magazine
According to a story in the Boston Globe, “Barry
Tatelman, one half of the famed Barry-and-Eliot Tatelman team that starred in Jordan’s Furniture ads, has left the company to pursue other interests…”
The complete story can be found at on the http://www.boston.com website.
December 22nd, 2006
By: Furniture World Magazine
The sixteenth floor of the World Market Center,
Building B, is stepping into the spotlight with the new location of the Western Home Furnishings Association (WHFA) Retailer Resource Center. Previously located on the second floor of Building A, the RRC now attractively boasts over 7,000 square feet of space featuring a spacious seminar room, Internet Café, Coffee Bar and Dining Bistro.
Free energizing and vitalizing seminars will be held in the seminar room daily in Building B, 16th floor, presented by innovative and dynamic industry speakers. Twenty-Seven topics will be geared to the experienced retailer as well as the person just entering the industry. You’ll explore creative ideas from the experts to stimulate thinking and action.
WHFA continues to expand its offerings through its satellite location in Pavilions 2, Space P23504. This location features over 40 breakthrough product and service experts, delivering informative and superior value.
Affordable meal options will be offered again this year. New to the RRC are the daily Panini breakfasts along with the returning themed buffet lunches. Advance reservations are required. Call WHFA today at (800) 422-3778 for more information and to register. Best value for the best food!
WHFA’s Retailer Resource Center as well as the Pavilions location will be open for business during the January 2007 Las Vegas Market from January 29-February 2. For more information contact Cindi Williams, at WHFA, at (800) 422-3778.
December 22nd, 2006
ERIE, Pa. — Bush Industries Inc. plans to cut about
90 of the 270 jobs at its suburban Erie facility in February, the company said Wednesday.
The maker and seller of ready-to-assemble furniture plans to consolidate some of its operations to its headquarters in Jamestown, N.Y.
“As economic conditions change, so must all successful businesses, and Bush Industries is no exception,” said James L. Sherbert, company president and CEO. “We continue to expand our manufacturing and supply chain in Asia and Europe, which requires us to consolidate some domestic operations.”
All distribution and logistics operations will remain in Erie, along with certain manufacturing operations, the company said.
December 22nd, 2006
By Zuraimi Abdullah
THE Malaysian Furniture Industry Council (MFIC)
leadership tussle appears to have ended, with the resulting new office bearers pledging to “fast-track” MFIC’s merger with the Malaysia Furniture Entrepreneurs Association (MFEA).
At a press conference after MFIC’s extraordinary general meeting (EGM) yesterday, newly-elected president Richard Lee and MFEA president Cha Hoo Peng said they would now work “very quickly” to merge the two entities.
“We are willing to merge with MFIC in order to strengthen the whole furniture industry so that it can grow 10 per cent yearly,” Cha said.
Lee and Cha said exports of Malaysian furniture this year should be higher than the RM7 billion registered in 2005.
“In the first nine months of the year, the value stood at RM6 billion. We are confident that last year’s figure will be breached,” Cha said.
Industry officials said furniture manufacturers have been facing a crisis of profit erosion for the last two years due to higher oil prices and rubberwood shortage.
However, lack of a united front to represent the industry has hampered efforts towards addressing these challenges facing the sector.
The MFIC-MFEA merger was mooted about two years ago. MFIC has more than 400 member companies, while MFEA has over 2,000 members.
A group led by Datuk Yong Seng Yeow had earlier failed to get a court injunction to stop Lee from organising yesterday’ s EGM. The meeting proceeded with an attendance of 148 members, way above the minimum 46 quorum needed for it to go ahead.
Lee, who was elected president at the MFIC Governing Committee (GC) meeting on June 14 this year, was removed from the post at another GC meeting on October 10. Yong was appointed in his place, along with a new line-up of MFIC office bearers.
Lee said now that the new office bearers have a strong mandate, they can work on merging with MFEA on a “very fast track”.
December 22nd, 2006
ZEELAND — Herman Miller Inc. posted its largest
earnings per share ever Wednesday, another sign the office furniture industry is back to full strength.
Like Grand Rapids rival Steelcase Inc., which also announced its best quarter in nearly six years this week, Herman Miller’s success stems in part from strong growth in its international sales.
The company’s sales in Asia rose 50 percent, Mexico was up 30 percent and Europe increased 50 percent, Herman Miller spokesman Bruce Buursma said.
Still, international was not the only driver. North American orders grow 20 percent over the prior year, according to Chief Financial Officer Beth Nickels.
The Zeeland office-furniture maker posted profits of $36.6 million or
56 cents a share, an increase of 31 percent compared to the $27.9 million the company made in the same period last year. It is the highest per share profit the company has recorded.
Sales were $499.1 million for the quarter ended Dec. 2, an increase of about 14 percent over the same time last year.
Orders were $529.1 million for the quarter, a 22 percent increase from the prior year and a 5 percent bump from the prior quarter.
“Orders were over $500 million for the second consecutive quarter,” Nickels said. “This represents our highest level of orders in six years.”
The company’s operating income of 11.8 percent for the quarter exceeds Herman Miller’s goal for 2010.
December 22nd, 2006
By: Furniture World Magazine
Herman Miller, Inc., announced results for its second
quarter ended December 2, 2006. Strong sales growth, coupled with improved financial leverage, drove the highest quarterly earnings per share ever recorded by the company. Sales for the quarter increased 13.9% and orders increased 22.1% from the year-ago period. Operating earnings expanded to 11.8% of sales based on improvements both in gross margin and operating expenses as a percentage of sales. Net earnings were $36.6 million, or $0.56 per share, an increase of 31.2% over net earnings of $27.9 million for the same period in the prior year.
he company’s consolidated sales, orders, and backlog all reflected year- over-year and sequential growth. Sales for the quarter were $499.1 million, up 13.9% from the same period a year ago and up 11.0% sequentially from the previous quarter. Orders were $529.1 million for the quarter, increasing 22.1% from the prior year and 5.2% from the prior quarter. Backlog was $323.9 million, up 21.3% from the same period a year earlier and up 10.2% sequentially from the previous quarter.
“Orders were over $500 million for the second consecutive quarter,” said Beth Nickels, Chief Financial Officer. “This represents our highest level of orders in six years. Our North American orders grew 20% over the prior year, and orders outside of North America once again led the way with growth of almost 40% for the quarter.”
Gross margin as a percentage of sales improved by more than a full percentage point to 34.1% compared to 32.8% for the same quarter last year. On a sequential basis, gross margin also improved from the previous quarter’s 33.9%. Gross margin was positively affected by the leverage gained from additional volume, improvements in direct labor efficiency, and the favorable impact of the company’s prior price increases. These gains were partially offset by continued increases in raw material costs.
Operating expenses for the quarter totaled $111.7 million, or 22.4% of sales, compared to $99.8 million, or 22.8% of sales, for the same period in fiscal 2006. The increased spending was primarily driven by continued investments in research and development costs for new products, higher variable-selling costs associated with the increased revenue, incremental employee compensation, and increased benefit costs.
Nickels concluded, “Thanks to focused efforts from everyone at Herman Miller, we were able to drive operating income of 11.8% of sales for the quarter, which exceeds our 2010 goal. It’s particularly noteworthy that we’ve accomplished this while continuing to invest in our business. We invested both in new markets, including the new Convia infrastructure technology, and in new geographies, notably China.”
The company’s ending cash position was $52.7 million. Cash flow from operations for the quarter totaled $30.6 million compared to $44.2 million for the same period last year. Capital spending for the quarter was $10.2 million compared to $11.6 million for the same period last year. The company also repurchased approximately 0.9 million shares of its stock for $30.7 million at an average price of $33.77 per share during the quarter.
Looking forward, the company expects another strong quarter with third quarter fiscal 2007 sales to be in a range of $480 million to $500 million. This represents a 13% to 18% increase over the prior year. The company estimates earnings per share of $0.50 to $0.54, an increase of 52% to 64% over the prior year. This estimate includes a projected favorable earnings per share impact of $.01 related to the extension of the U.S. Research Tax Credit.
Brian Walker, Chief Executive Officer, stated, “The key economic factors that drive the contract furniture industry continue to remain positive. Our business remained solid and we continued to implement our strategic focus on new products, new markets, and new geographies. With the strong response to our newest furniture systems, the launch of the Convia electrical infrastructure business, continued progress in our international strategy, and still more innovations in the queue, we’re on pace to achieve our objective to double our business to $2.6 billion in revenue by 2010.”
Herman Miller helps create great places to work, heal, learn, and live by researching, designing, manufacturing, and distributing innovative interior solutions that support companies, organizations, and individuals all over the world. The company’s award-winning products, complemented by furniture- management and strategic consulting services, generated $1.74 billion in revenue during fiscal 2006. Herman Miller is widely recognized both for its innovative products and business practices. The company is a recipient of the prestigious National Design Award for product design from the Smithsonian Institution’s Cooper-Hewitt, National Design Museum. In 2006, Herman Miller was once again cited by Fortune magazine as the “Most Admired” company in its industry and is among Business Ethics magazine’s “100 Best Corporate Citizens.” The company trades on the NASDAQ’s Global Select Market under the symbol MLHR. For additional information visit http://www.hermanmiller.com/ .
December 22nd, 2006
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