Issue Date:1/2/2002
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Issue Date:1/2/2002
Hardwood Floors E-News
From Hardwood Floors magazine and NWFA
Wednesday, January 2, 2002
Issue 174
Next issue published January 14
Deadline for items January 10
Send news to [email protected]
Piedmont Files for Chapter 11 Reorganization
Unfinished hardwood flooring manufacturer Piedmont Hardwood Flooring (Macon, Ga.) filed for Chapter 11 reorganization in United States Bankruptcy Court on Dec. 17, 2001. Company President Jason Delves commented that “since joining Piedmont in July of 2001, I and the rest of the management team identified significant non-company related cash outflows that occurred over the last year. These outflows and the resulting negative effects on the company’s daily operations have substantially reduced Piedmont’s profitability.” In connection with its Chapter 11 filing, Piedmont filed a motion to approve the sale of almost all its assets to an affiliate of Harbinger Acquisition LLC, a subsidiary of Harbinger Mezzanine Partners, L.P. Based in Nashville, Tenn., Harbinger has been Piedmont’s junior lender since January 2001 and has agreed to loan Piedmont an additional $750,000 to stabilize Piedmont’s Chapter 11 operations. If the proposed sale is approved by the court, Piedmont will continue to be run by its current management team and operate under its existing trade name. “Piedmont’s management team and its employees are confident that this sale and the anticipated infusion of capital along with the many steps we have taken and those we expect to take in the near term will position the company for substantial growth and increased profitability,” Delves said.
NOFMA Adopts New Certification Program, Name and Grade Names
The National Oak Flooring Manufacturers Association (Memphis, Tenn.) has outlined a Certified Flooring Inspector program and is planning to offer the inaugural course next year in Memphis. The program targets floor covering inspectors and home inspectors to serve as Certified Flooring Inspectors. To become certified, an inspector must have a high school education, two years of college and at least three years’ experience as a floor covering inspector, wood flooring distributor, wood flooring manufacturer, wood flooring contractor, remodeling contractor or builder. Successful completion of the NOFMA/NWFA Hardwood Flooring Installation School is also necessary. Prospective inspectors must enroll in the five-day Inspector Certification Course, which carries a $2,400 tuition fee, and pass an examination. Finally, candidates must complete a probationary period before they may become certified. The certification will be effective for two years, after which it must be maintained by continuing education and practice in the flooring inspection field. For more information, see www.nofma.org or contact NOFMA at 901/526-5016 or [email protected].
In other NOFMA news, the association voted in December to change its name to NOFMA, The Wood Flooring Manufacturers Association. The new name was selected to more accurately describe its current membership base. NOFMA has also updated its logo, as well as that of its sister organization, now known as the Wood Flooring Institute (formerly the Oak Flooring Institute). Additionally, NOFMA voted to change the names of all NOFMA-certified flooring grades to simplify flooring specification and to ensure quality control standards. The grade name changes, effective immediately, will include “NOFMA” as part of each grade name in order to distinguish NOFMA member product from non-member product in the marketplace.
By the Numbers
The National Association of Home Builders’ Housing Market Index rose eight points in December to 57. This is the largest monthly increase in the HMI since 1998.
Nationwide housing starts climbed 8.2 percent in November to a seasonally adjusted annual rate of 1.65 million units, the Commerce Department recently reported. Permits for new housing also increased substantially, by 5.3 percent overall to a 1.56 million-unit rate.
People News
Erickson’s Flooring and Supply (Ferndale, Mich.) announces Dave Powell has rejoined the company as the merchandising manager, as well as the information technology director, a newly created position.
Aacer Flooring LLC (Peshtigo, Wis.) has named Edward R. McRoy as its southwest regional sales manager. His territory will include Hawaii, California, New Mexico, Nevada, Arizona, Wyoming and Colorado.
Manufacturer News
Bona SrL (Bolzano, Italy) is incorporating the Italian company, Framakemi S.a.S. (Bolzano, Italy), as of Jan. 1, 2002. Framakemi has been the only agency selling Bona’s waterborne coatings in Italy since 1961. Alberto Massimo will be responsible for sales and marketing at the Bona SrL Italian office.
Dri-Eaz Products Inc. (Burlington, Wash.) donated 100 percent of the proceeds from its DriZone Applied Structural Drying School in December to the American Red Cross. The benefit class raised more than $13,000 for ongoing relief efforts in the wake of the terrorist attacks of Sept. 11.
Commonwealth Plywood Co. Ltd. (Ste-Therese, Quebec), manufacturer of Husky-brand products, recently built a hardwood strip flooring plant, which is now up and running. The company’s sales will be handled by Joel Eaton, formerly with Madawaska Hardwood Floors, and Alain Charest, formerly with HFI. Eaton will cover Ontario, Western Canada and the United States, and Charest will cover Eastern Canada and the United States. Eaton can be reached at 613/622-5897, 613/622-5835 (fax), or [email protected]. Charest can be reached at 514/894-3890, 514/276-1723 (fax), or [email protected].
Distributor News
Harris-Tarkett Inc. (Johnson City, Tenn.) has appointed five distributors to market its products on the West Coast, in the Southwest and the South. With its six branch offices, Diamond W Floor Covering (Los Angeles, Calif.) will serve California, Nevada and Arizona. Golden State Flooring (S. San Francisco, Calif.) will continue to serve northern California, and Galleher Hardwood will continue to support the line in Southern California, Arizona and Nevada. Readers Wholesale (Houston, Texas) will serve Houston, Austin, San Antonio and the remainder of southern Texas. Bolick Distributors (Baton Rouge, La.) will serve Louisiana and Mississippi. Bolick and Custom Wholesale (Jacksonville, Fla.) will both serve southern Alabama. Brandon Company (Nashville, Tenn.) will serve central Tennessee. The Greer Company (Memphis, Tenn.) will serve western Tennessee and Arkansas.
Herregan Distributors Inc. (Eagan, Minn.) is now the exclusive distributor of Mannington wood and other flooring products in Kansas, Western Missouri and Oklahoma, in addition to its current territories.
Goodfellow Inc. (Delson, Quebec) reported a net profit for the first quarter of the current fiscal year of $1.2 million or $0.29 per share on sales on $110 million, compared with a profit of $1.4 million or $0.33 per share on sales of $107 million in the previous year’s first quarter.
On the Web
Boral Timber (Auburn, Australia) has updated its Web site, www.boraltimber.com. A complete list of U.S. distributors has been added, as well as a section on Boral’s parquet flooring line.
Lico Machinery (Saint-Georges, Canada), a manufacturer of fixed and shifting gang ripsaws, recently launched a Web site at www.licoinc.net. Additionally, the company is now looking for representatives or distributors in the northeastern United States. For more information, go to www.licoinc.net/en/s_transfo/l_del/.
Back to School
The NWFA (St. Louis, Mo.) has announced its 2002 schedule for Installation and Sand and Finish Schools. Designed to meet the needs of all skill levels, these four-day schools will be held six times a year at various locations. The 2002 schedule is: April 30-May 3, Salt Lake City, Utah; June 4-7, Louisville, Ky.; June 25-28, Toronto, Canada; Aug. 13-16, Baltimore, Md.; Oct. 8-11, Anaheim, Calif.; Nov. 12-15, Tampa, Fla. The sales-only session is $25 (members) or $50 (non-members); the other days are $160 (members) or $185 (non-members) per day. All sessions are $505 (members) or $605 (non-members). For more information, contact NWFA at 800/422-4556 (U.S.), 800/848-8824 (Canada) or 636/391-5151 (local and international).
Correction: The fees for the NWFA Introduction to Wood Flooring Installation school are as follows: $450 for NWFA members, and $550 for non-members.
Member Services
Determining the exact value of a business requires extensive research. The NWFA and the Profit Planning Group developed an Excel template that easily provides an estimate. It can be downloaded free from www.nwfa.org (click on the Management Education link). The template will be updated periodically based on input from NWFA members.