Daily News Archive
Brought to you by Home Furnishings Business
September 27,
2006 by in UnCategorized 
By Home Furnishings Business in Furniture Retailing on September 2006
Cliff Oxford has been named vice president of stores for Designs Of The Interior, a 30-unit chain of home furnishings stores.
In his new position, Oxford is responsible for overseeing DOTI’s retail efforts in areas such as product development, store planning, personnel, and business development. Oxford will maintain relationships with more than 200 vendors in the areas of furniture, wall coverings, window treatments, floor covering, lighting and accessories to ensure that DOTI stores carry the highest quality and best selection.
Oxford will also work closely with franchisees to ensure implementation of the DOTI business model at the local level and will be relocating to Tampa to work.
Prior to joining the company, Oxford was with Oxford Contract & Design. Prior to that he has held a number of positions with Lowe’s Home Improvement Centers, LifeStyle Furnishings International and Maitland-Smith.
“Cliff brings a tremendous track record of people and product development within the home furnishings industry to DOTI,” said Jim Evanger, chief executive officer. “His leadership will be an asset as we move DOTI to the next level of growth.”
In addition, Frank Goldoni, formerly vice president of franchising, now assumes the title vice president of operations. Goldoni will continue to be instrumental in assisting current and future Design Store owners as DOTI expands. With the addition of Oxford, he will be able to focus more on operations. DOTI plans to add 15 to 20 new locations in 2007 and have 65 Design Stores open nationwide by the end of 2008 through a combination of single- and multi-unit ownership.
September 27,
2006 by in UnCategorized
By Home Furnishings Business in Las Vegas on September 2006
In addition to breaking ground on its third building Wednesday, the World Market Center in Las Vegas named Harvey Dondero chief executive officer of the Las Vegas facility.
A Las Vegas native and 32-year home furnishings industry veteran, Dondero most recently was chief executive officer of Furniture Brands International division Broyhill Furniture Inds. Prior to that, he was president and CEO of Universal. He also served as president and chief executive officer of high-end importer Maitland-Smith from 1994 to 1999.
Born and raised in Las Vegas, Dondero started his career with Wedgwood, and has traveled around the world leading a number of companies in all facets of the industry including furniture, decorative accessories, lighting, flooring, table top and giftware, both in the United States and overseas.
“We are extremely pleased and excited to have named Harvey as the CEO,” said Jack Kashani and Shawn Samson, WMC managing partners, in a release. “This is a significant milestone not only for the benefit of World Market Center but also for the benefit of the industry we serve. Having spent the last few years putting together the best team and talents for all aspects of World Market Center and Las Vegas Market, including leasing, marketing, operations, trade show management, construction and financing, the time is right to enlist a new team leader who will execute our vision as the founders and partners. Harvey’s many years as an exhibitor and buyer give him a unique insight as to how we can further enhance our Market for the benefit of the industry.”
Dondero said the World Market Center represents significant opportunity for the home furnishings industry.
“This is a total paradigm shift,” said Dondero. “I saw this opportunity as a way for me to make the greatest impact on the industry and be a facilitator of change. World Market Center presents an entirely new platform to address the new dynamics of the industry in the 21st century. The industry’s landscape has changed dramatically in the last couple of decades and buyers and manufacturers need an entirely new more productive and efficient platform.”
“World Market Center will become more than a market place; it will become the key to linking and empowering the creative, manufacturing, marketing, buying and selling processes,” Dondero said. “The opportunity is to put all of these pieces together and make this industry, which represent more than $100 billion in annual consumer spending, more robust and efficient. It is very exciting to be associated once again with Las Vegas, a vibrant, growing, dynamic and energetic international city. Las Vegas and its unmatchable infrastructure will be a key pillar of World Market Center’s becoming the Market to the world.”
September 27,
2006 by in UnCategorized
By Home Furnishings Business in on September 2006
Glenn Prillaman has been promoted to the new position of senior vice president of marketingand sales for Stanley Furniture Co. In this new role, he will assume the responsibility for both Stanley collections and the Young America youth program, reporting to Jeff Scheffer, Stanley Furniture chairman, chief executive officer and president.
“Glenn brings a wonderful combination of knowledge, energy, passion and clear thinking to this important position,” Scheffer said. “He understands the importance of developing products that address the needs and wants of today’s consumer as well as how to market them in an ever changing and hyper-connected world. We have total confidence that by combining these responsibilities into one position, Glenn will be able to successfully maintain our focus on both of our businesses while creating greater synergy between Stanley Furniture, its retailers and today’s savvy consumer.”
For the past three years, Prillaman has served as senior vice president of sales and marketing for Young America. In addition to introducing award-winning product, he has been instrumental in developing best-in-class catalogs as well as other in-store programs such as the Young America Signature Shop. He also has played a leadership role in the development of Web-based marketing and sales efforts, including retailer mini-Web sites and the company’s new sales management system.
In his nine years with Stanley Furniture, Prillaman also has served as vice president/product manager and product manager for Young America. He began his career at Stanley as a sales representative.
September 26,
2006 by in UnCategorized
By Home Furnishings Business in Furniture Retailing on September 2006
The American Stock Exchange has give The Rowe Cos. written notice that the company does not meet one of the continued listing standards of the AMEX.
The exchange requires that the company submit a plan by Oct. 23 that outlines actions Rowe has taken or will take to comply with listing requirements or be delisted.
The company is in non-compliance with AMEX’s Section 1003(a)(iv) of the exchange’s company guide. “Based on the company’s voluntary commencement of Chapter 11 proceedings, the company has sustained losses which are so substantial in relation to its overall operations, or its financial condition has become so impaired that it appears questionable, in the opinion of AMEX, as to whether the company will be able to continue operations and/or meet its obligations as they mature.”
Rowe has not determined how it will respond to the notification.
The company, and its two subsidiaries Rowe Furniture and retailer Storehouse, filed Chapter 11 earlier this month.
September 26,
2006 by in UnCategorized
By Home Furnishings Business in Furniture Retailing on September 2006
Bassett Furniture Inds. reported third-quarter 2006 sales of $77.6 million, down 6.3 percent from the period last year; and net income of $0.4 million, or $0.04 per share, compared to net income of $1.9 million, or $0.16 per share, in the third quarter of 2005.
The period, which ended Aug. 26, included a $1.1 million o after-tax charge related to the acquisition of seven Bassett Furniture Direct stores in Atlanta and upstate New York.
Year-to-date, Bassett’s sales of $251.7 million are still 2.1 percent ahead of the prior year. Gross margins increased 3.6 percentage points as compared to 2005. Year-to-date net income of $5.6 million also remains ahead of last year, when Bassett netted $5.3 million through nine months. The company attributed increases in sales and gross margins from 2005 to a greater number of company-owned stores and an improved mix of imported product.
The Bassett Furniture Direct retail store program had 135 stores (109 licensed and 26 company-owned) in operation at the end of the third quarter. Licensees opened three stores during the quarter and closed two. As previously announced, two company-owned stores were closed in the quarter. Also, Bassett expects to open one new company-owned BFD store in the fourth quarter of 2006.
“This was a tough quarter for the Company,” said Robert H. Spilman, Bassett president and chief executive officer. “As we previously released, retail conditions continue to be challenging and our focus remains on improving the store program and building the Bassett brand. Last month, we launched our first-ever catalog targeted directly toward consumers. The 84-page book was shipped to 1.2 million households. In addition to the catalog, the Company has several other marketing and merchandising initiatives underway including a new quick delivery program, new product introductions centered around the Company’s core middle price point category and the development of a new store prototype to open in the spring of 2007. The combination of these initiatives should drive more traffic into our stores and better position us for future sales growth.”
On a wholesale basis, Bassett’s net sales were $67.2 million for the third quarter of 2006, 8.3 percent below the same period last year. For the third quarter of 2006, 72 percent of wholesale shipments were to BFDs compared to 68 percent in the third quarter of 2005; and imports accounted for approximately 44 percent of wholesale shipments, compared to 35 percent last year. Upholstery operating earnings continued to improve due to the retail acceptance of our custom programs and the new fabrics introduced over the past several years.
Retail sales for the third quarter of 2006 were $20.1 million, basically flat with third quarter of 2005. For the year, sales were $62.9 million, up $16.2 million from 2005. The increase in sales for the first nine months of 2006 is due to the stores acquired during 2005.
Bassett’s 26 corporate stores continued to experience relatively soft conditions at retail and incurred an operating loss of $3.8 million for the third quarter of 2006, compared to near break-even results for the third quarter of 2005 when Bassett’s retail segment included only 20 stores. The third quarter 2006 losses relate primarily to the 15 stores acquired from three licensees in 2005. During the second quarter of 2006, Bassett made the decision to close two of its corporate stores, one in Texas and one in Georgia. Clearance events conducted at these stores during the third quarter of 2006 negatively impacted earnings by approximately $0.9 million.
Net sales and margins were lower than planned primarily due to the overall soft retail conditions, selling of selected products at clearance prices in order to prepare for the arrival of new products and featured catalog products, and the discounting related to the clearance events at the two stores that were closed. As previously discussed, changes being made to drive more traffic, improve staffing, standardize pricing and streamline operations are taking longer than anticipated to implement.