January 21,
2010 by in UnCategorized 
By Home Furnishings Business in Bankruptcy on January 22, 2010
The owners of Moosehead Furniture Co. staved off an auction Thursday when they filed Chapter 11 bankruptcy proceedings.
The auction was stopped just before it was to begin, according to a report in the
Bangor Daily News.According to the newspaper, Steve Keenan of Keenan Auction Co. said the Moosehead owners will now file a reorganization plan with the U.S. Bankruptcy Court. If that plan fails, Keenan said another auction could be scheduled later.
Last month, Machias Savings Bank, Moosehead's primary lender placed the property and equipment up for auction after the company closed its doors because it didn't have needed working capital.
January 20,
2010 by in UnCategorized
By Home Furnishings Business in on January 21, 2010
The parent company of retailer Boyles Distinctive Furntire, Hendricks Furniture Group, Conover, N.C., announced Wednesday that its plan to emerge from Chapter 11 bankruptcy has been approved.
Hendricks filed Chapter 11 in the U.S. Bankruptcy Court's Western District of North Carolina last June. In February, Hendricks had announced it would close its two Norris Furniture stores, which served a Florida market hard-hit by the housing crisis that struck in 2008.
"We're grateful to be emerging from this difficult but necessary process," said HFG President Chad Hendricks. "Our company would not have survived without the patience and loyalty of our customers, the commitment of our employees and the support of our industry partners."
Hendricks reorganization focused on its profitable, Carolina-based Boyles stores. Retail stores in Hickory, Charlotte, High Point and Mocksville have operated without interruption during the reorganization.
January 20,
2010 by in UnCategorized
By Home Furnishings Business in on January 21, 2010
A judge in Bridgeport, Conn., sentenced Benjy Orbach, former vice president of operations at Raymour & Flanigan, Liverpool, N.Y., to a year in a half in prison for taking kickbacks from contractors, the Hartford Courant reported Wednesday.
Orbach also was ordered to pay $526,815.80 in restitution to Raymour & Flanigan, and $267,505.33 in back taxes, penalties and interest to the Internal Revenue Service for failing to declare the kickbacks as income.
Orbach collected kickbacks from a cleaning contractor he'd hired for Raymour & Flanigan. The cleaning company also paid Orbach's wife almost $62,000 for a "no-show" job. That income was never declared on the Orbachs' tax returns.
January 20,
2010 by in UnCategorized
By Home Furnishings Business in on January 21, 2010
A former employee at an Ashley Furniture HomeStore in Jackson, Mo., received 15 years in prison for "stealing by deceit" while he worked at the store, the Southeast Missourian reported Wednesday.
Aaron A. Evans was convicted for three instances of promising furniture delivery to customers, not delivering and then keeping the money. He received five years for each offense. The store has made restitution to the victims.
Evans already was on probation for felony stealing by deceit at a prior employer, and Prosecuting Attorney Morley Swingle is an example for companies' need to screen new hires.
"I'm sure Ashley Furniture Store would not have hired Aaron Evans had they checked Missouri Case.net and found out he had just been convicted of felony stealing by deceit," he said.
January 20,
2010 by in UnCategorized
By Home Furnishings Business in on January 21, 2010
La-Z-Boy Inc. (NYSE: LZB) has named Janet Gurwitch and Edwin J. Holman to its board of directors.
The appointments expand the company's board temporarily to 13 members until August when two long-term directors Rocque Lipford and Jack Thompson will no longer be eligible for re-election under the company's governance guidelines. Both Lipford and Thompson will retire upon completion of their current three-year terms.
Gurwitch is chairman of Gurwitch Consulting Group. She was the co-founder of Laura Mercier Cosmetics, a global brand of high-end niche cosmetics, which was later sold to Amway. Prior to founding Laura Mercier Cosmetics, Gurwitch was an executive vice president of Neiman Marcus responsible for $2 billion in sales.
She began her career in retailing at Foleys Department store, where she rose to the position of senior vice president of merchandising.
Holman has spent his entire career in the retail arena, working for many well-known companies. He is currently chairman of The Pantry, Inc., a Nasdaq-listed company and the
leading independently operated convenience store chain in the Southeastern U.S.
Previously, Holman was chairman and CEO of Macys Central, a division of Macys Inc. He was also the chairman and CEO of Galyans Trading Co., which operated a chain of sporting goods and outdoor stores, and, prior to that, Holman was the president and COO of Bloomingdales, a division of Federated Department Stores.
We are delighted Janet and Edwin have joined our board of directors" said James W. Johnston, La-Z-Boy chairman. "They are both high-caliber, seasoned retail executives and will bring significant expertise and perspective to our company as we continue to pursue our integrated retail strategy. Additionally, succession planning remains of paramount importance to La-Z-Boy Incorporated and, with two members of our board retiring in August, bringing in Janet and Edwin at this time will ensure a smooth transition.
Both Janet and Edwin are welcome additions to our board, and they will undoubtedly make a significant contribution to our company during a time of industry transition," said Kurt Darrow, president and CEO of La-Z-Boy. "In addition to Janets long history in retailing, her expertise in consumer products, marketing and growing brands uniquely positions her to provide insight into our consumer base and the fashion component of furniture purchases. At the same time, Edwin brings a wealth of experience from a career spanning more than 30 years in retailing. He has a proven track record of growing retail businesses and understands the dynamics of the marketplace.