Daily News Archive
Brought to you by Home Furnishings Business
March 5,
2007 by in UnCategorized 
By Home Furnishings Business in Accessories on March 2007
Martha Stewart Living Omnimedia, New York, reported a 36 percent gain in revenues during 2006 and predicted a strong 2007 thanks, in part, to new product programs that include a new home collection at Macy’s, a crafts products program at Michael’s and the rollout of Martha Stewart Furniture with Bernhardt in 60 Macy’s stores.
For the fourth quarter, Martha Stewart Living Omnimedia saw revenues rise 15 percent to $84.6 million and operating income increase to $14.6 million compared to $2.5 million during the same period of 2005. For the year, revenues increased 36 percent to $288.3 million. The company had a full-year operating loss of $2.8 million compared to a loss of $78.3 million in 2005.
In the merchandising category, which is comprised mainly of licensed products, fourth-quarter revenue increased to $35.2 million from $28.1 million a year earlier. In the company’s earnings release, officials said highlights of the programs include delivering more than 1,500 home-related products to Macy’s for an exclusive Martha Stewart Home Collection that will be launched in late summer. In late May, more than 900 Michael’s stores will introduce a line of 675 crafts and storage products. The statement said sales of Stewart’s Bernhardt line at Macy’s have been “robust” since being introduced in 60 stores.
“We are on track to deliver another strong performance in 2007,” said Susan Lyne, president and CEO of Martha Stewart Living Omnimedia. “This is an important year for us as we continue executing on our strategy to diversify our revenue streams and broaden our channels of distribution,” she said. “We have moved from a period of recovery to one of expansive growth.”
March 5,
2007 by in UnCategorized
By Home Furnishings Business in Retail Technology on March 2007
Retail technology vendor Storis Management Systems has launched Release 8.3, the latest version of its Windows-based product, Vision R8.
Doug Culmone, COO of Mt. Arlington, N.J.-based Storis said in a release that “8.3 is another indication of our strong commitment to delivering functionality requested by our customers, while delivering technology that gives our users a competitive edge.”
Enhanced 8.3 features include: a more intuitive and consistent overall structure, enhanced “smart” menus, a fully integrated shopping cart for customer order entry, enhanced regional and district distribution capabilities, an innovative vendor performance report, new WiFi hand-held bar-code capabilities, and more.
The new look and overall structure of 8.3 maximizes the screen area displaying the information retailers require to run an efficient business. Additionally, 8.3 offers improved navigation through a redesigned “smart” menu to give retailers information they need, and less of what they don’t. Various customer order entry screens such as the customer and system control settings, sales order, customer return, and exchange order entry have been redesigned for more intuitive user navigation.
The shopping cart feature for the sales order application replaces the previous method of entering and maintaining sales quotes, allowing for easy and flexible entry of “carts”--that is, quotes--into the system utilizing any of the three following options: Storis workstation within a retailer’s store, online through the eSTORIS Virtual Store, or through Storis’ portable, hand-held device, Mobile Vision. Fully integrated, the Shopping Cart allows for carts to be viewed systematically across all three options.
Otsuka’s Furniture and Appliances, located in Kapaa, Hawaii, was the beta site for 8.3. Evelyn Medina, Project Manager at Storis, said, “The amount of new functionality included in this release will greatly assist Otsuka’s operations in different areas, including Inventory Control with the new WiFi Hand Held Bar Code capability. Otsuka’s upgrade was very simple; the process was seamless.”
Release 8.3 is now available within Storis’ SaaS and Sever Business solutions, and will be demonstrated at the upcoming High Point Furniture Market.
March 5,
2007 by in UnCategorized
By Home Furnishings Business in High Point on March 2007
Merchandise Mart Properties Inc. and Market Square announced yesterday that local restaurateur Sammy Gianopoulos, owner of Gianno’s and Aquaria in High Point, will open Sammy G’s Steakhouse and The Boiler Room Bar & Grill during the upcoming Spring High Point Market.
“We are very excited to have a well-known local restaurant owner join our building,” said Tom Mitchell, MMPI senior vice president and general manager. “I know patrons will be very pleased with the incredible food and the fabulous service they will receive at both Sammy G’s Steakhouse and the Boiler Room.”
Located on the first floor of Historic Market Square, Sammy G’s Steakhouse will feature a new twist on the traditional steak and seafood restaurant, serving breakfast, lunch, and dinner during Market. Reservations will be accepted. Set among the building’s one-of-a-kind antique boiler system located on the ground and mezzanine levels of Historic Market Square, The Boiler Room Bar & Grill will give market-goers the opportunity to relax and enjoy lunch and drink specials daily.
When asked why he chose Market Square for his new restaurant location, Gianopoulos replied, “I have been serving Market visitors in my restaurants in High Point for years, so I know how important it is for them to get great food at a fair price which is exactly what they will get in these two new restaurants. And, you can’t beat the atmosphere in this historic repurposed building that showcases the workings of the original factory like the old boilers in the Boiler Room Bar & Grill.”
Gianopoulos comes from a long line of restaurant owners. His father, uncle, and his brother all are in the business. He began helping in his father’s restaurant when he was 10-years-old.
For more information about catering or reservations, please call (336) 889-4485.
March 4,
2007 by in UnCategorized
By Home Furnishings Business in Case Goods on March 2007
Jeff Cook has resigned his position of president and chief executive officer of case goods and occasional importer Magnussen Home Furnishings to become president of Furniture Brands International’s Broyhill Furniture division.
“We’re sad that Jeff is leaving our team and we are going to miss him,” said Magnussen Chairman Richard Magnussen in a statement on Cook’s leaving the company. “We wish him the very best in his new position. One of the greatest legacies that Jeff is leaving Magnussen Home is our strong management team. We have some of the industry’s strongest and most creative leaders and together we are well equipped to continue with our strategic plan for aggressive growth.”
Prior to joining Magnussen, Cook had been CEO of Sumter Cabinet Co. and held executive positions at Lea Inds., now part of La-Z-Boy Inc.
March 4,
2007 by in UnCategorized
By Home Furnishings Business in Case Goods on March 2007
Bassett Furniture Inds. plans to close its 323,000-square-foot wood manufacturing factory in Bassett, Va.
The closing will commence over the next 60 to 90 days and will impact about 280 employees, or 15 percent of the company’s work force.
In the announcement this afternoon, the company said it plans to source the majority of the products currently produced at this facility from overseas suppliers, to continue to produce certain custom bedroom products domestically and to discontinue providing certain slower selling items.
The company attributed the closing to the shift in demand from domestic product to imported wood products.
During the last few years, like most of the U.S. furniture industry, Bassett has continued to experience a shift in demand from domestically produced wood products to imported wood products.
“Closing this plant has been the most difficult decision we have ever had to make,” said Robert H. Spilman Jr., president and chief executive officer. “We regret the effect that this will have on the many fine employees who work at our largest hometown plant. We recognize that they have worked hard to meet the company’s goals and this decision is in no way a reflection upon them.”
Spilman called the decision a “needed step in our transformation from being primarily a domestic furniture manufacturing company to a retailer, manufacturer and marketer of branded home furnishings.”
The move will allow the company to focus on its retail and product development strategies to increase sales at its Bassett Furniture Direct stores, Spilman said.
Bassett will continue to operate two domestic manufacturing facilities which allow it to provide custom furniture solutions in both upholstery and wood within.
The closing is expected to improve operating income by $3 million to $4 million per year after factoring in an expected sales reduction this year.
In connection with the closing, the company plans to record a first quarter pre-tax impairment charge of approximately $3 million to $3.6 million, all of which will be non-cash, and an estimated second quarter pre-tax charge of approximately $1 million for one-time severance benefits.
With the closing of the Bassett facility, the company will employ approximately 1,500 people and operate one wood furniture plant, one upholstery plant and one supply plant, all located in Virginia and North Carolina.
To aid in the transition of those employees affected by the closing of the plant, the Company will work closely with the Virginia Employment Commission to provide outplacement and other employment assistance.
Bassett also announced today that its first quarter earnings will be negatively impacted by lower sales levels and reduced margins, compared to the year ago period. First quarter sales for the three month period ended Feb. 24 are expected to be approximately 16 percent to 18 percent below the same period last year and approximately 5 percent to 6 percent below the fourth quarter of 2006.
The company attributed the shortfall to soft furniture retail conditions which have impacted both retail sales and wholesale shipments. The decline against the same period last year was also partially due to a decline in year over year wholesale shipments to the Army/Air Force Exchange and to the sale of the company’s Weiman operation at the end of April 2006.