Archive for November, 2009
November 17th, 2009 at 07:00am
Under Furniture News
Although CIT Group filed for Chapter 11 bankruptcy on November 1, it’s been announced that business will go on as usual for it’s factoring arm. The group filed Chapter 11 as an effort to erase billions of dollars in debt with almost 90 percent of the debt holders voting to chose bankruptcy over debt exchange.
CIT is a major factoring lender in the furniture industry which lends to companies based upon accounts receivable. It’s a key source of lending to small and midsized business. And, has stated that none of the operating subsidiaries were included in the Chapter 11 filing.
The lending group expects to continue operating and be out of Chapter 11 by the end of the year and to cut it’s debt by around $10 billion. It also hopes to reduce liquidity needs and enhance capital ratios to accelerate a return to profitability.
According to reports, the United States Treasury Department is expecting to recover very little, if any, of the federal bailout money that CIT received in the amount of $2.3 billion.
By MCC
November 15th, 2009 at 07:00am
Under Furniture News
Alliance Sleep Products recently moved into their new 60,000 square foot factory located at the edge of Buffalo to support their increasing dealer base. The move was referred to as a “bold investment in the future” and company president, Tom Corner said that it indicated the brands position for growth.
Tom Comer, president of the licensee said, “While these investments may appear bold in the present economy - and they are - a tough economy produces great opportunities for conservatively managed companies,” he said. “We are taking full advantage of strategic opportunities for growth.”
The new plant will be replacing an older facility located in the city. Corner didn’t reveal how much the investment in the new plant was. “As uncertainty swirls around our competitors, our re-energized Restonic brand remains a stable company, with strong relationships, compelling values and unequalled dealer responsiveness,” he said.
By MCC
November 13th, 2009 at 10:28pm
Under Furniture News
Rooms To Go will be opening a new store later this month in McAllen Texas. The new store has 35,000 square feet and will be including an attached Rooms To Go Kids showroom. The store will be located at 1400 E. Expressway 83 close to the La Plaza Mall.
The main store will feature room packages from the Top 100 retailer that includes dining room, bedroom and living room furniture. The Kids and Teens product lineup will feature an NFL collection and various Disney sets such as High School Musical, Pirates of the Caribbean and Princesses.
The company is based in Seffner, Florida has announced in a press release that at least 90 percent of the products at the new location will be available for fast delivery. The company has over 130 stores and had been looking for a location in the area for several years.
By MCC
November 5th, 2009 at 07:00am
Under Furniture News
The proposed Simmons sale has been given antitrust clearance by federal regulators. The Federal Trade Commission recently granted early clearance to the purchase of Simmons by the Ares Management and the Ontario Teachers Pension Plan under the Hart-Scott-Rodino antitrust regulations.
Simmons is now seeking to get the votes from all of it’s creditors in favor of the sale. The company expects to be filing a prepackaged Chapter 11 bankruptcy which will pave the way for the deal. The creditors votes must be received by November 12.
In early October, Simmons announced the plans that Ares and the Ontario Teachers group had agreed to purchase the company for around $760 million. The company has announced that the deal will enable them to cut their total amount of debt from around $1 billion to $450 million.
By MCC
November 3rd, 2009 at 07:00am
Under Furniture News
Three industry leaders were recently inducted into the American Furniture Hall of Fame. Joining 78 other distinguished members were Steven Kincaid, president of Kincaid Furniture Co., M. Farooq Kathwari, president, chairman and CEO of Ethan Allen and Joe Carroll, publisher of Furniture/Today.
Nearly 400 retailers, interior designers, buying group members, manufacturers, suppliers and association leaders attended the international banquet. The banquet was hosted by HGTV personality Libby Langdon.
“Continuing the long tradition of the Hall of Fame, the three new members represent the highest standards, ingenuity and achievements of our industry globally,” said Donald Belgrad, president of the American Furniture Hall of Fame Foundation. “They are well-known in our industry because they have devoted their lives to home furnishings, and they are respected for their integrity and years of service to others personally and professionally. We congratulate each of them and their families for joining the ranks of the Hall of Fame.”
By MCC
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