Home Textiles Today May 23rd Issue

Monday, May 23, 2011

THE BUSINESS AND FASHION NEWSPAPER OF THE HOME TEXTILES INDUSTRY

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hometextilestoday.com

| Vol. 32, No. 13 | $8.00

At 120, Sferra Sheet Shopping HSN and QVC: Embraces the Future Fashion vs. Value to Palm Beach selling Sferra’s fine Italian linens to the grand EDISON, N.J. — Fine seaside resorts of the linen house Sferra day. Today, Sferra serves celebrates its 120th ecommerce accounts anniversary this year as well as specialty bouas a thoroughly modtiques. The company’s ern company servFacebook page has more ing a wired world that than 1,500 followers, and would have been inSferra also interacts with conceivable to Gennconsumers on Twitter.

PAUL HOOKER aro Sferra in 1905 President Paul HookSferra when he opened his er, who acquired the factory in Venice. company from the secThe company’s founder trav- ond generation of the Sferelled the East Coast from Maine SEE FUTURE PAGE 22

BY JENNIFER MARKS

BY JENNIFER WHITE KARP N EW YORK — For consumers looking to buy sheets from the web sites of the two main shopping networks, QVC.com and HSN.com, the choice can largely be summed up in three words: fashion versus value.

HSN.com appears to be differentiating itself from its bigger competitor by offering a tightly edited selection from some of the biggest names in interior decorating and design, such as Colin Cowie, Jonathan Adler, Nate Berkus, among others.

Value is of course QVC’s middle name (quality, value, convenience). “We will always be focused on providing the customer with value on all of the products which we offer,” said Karl Schroeder, director of merchandising for QVC. QVC.com has a broader selection of sheets that hits lower price points than HSN. com.

Editors at Home Textiles Today compared the sheet offerings at the web sites of HSN and QVC to see how they stacked up in terms of brand, design and price point. This report continues SEE FACE TO FACE PAGE 8

HomeGoods a Bright Spot in Q1 for TJX Cos.

BY CECILE B. CORRAL F RAMINGHAM , M ASS . — The TJX Companies ended its first quarter relieved that it had overcome its harshest year-overyear comparisons with comp and sales increases in its U.S. division at both Marmaxx and HomeGoods.

During the off-price chain’s earnings call last week, ceo Carol Meyrowitz described the company’s growth last year as “overwhelming,” prompting TJX Cos. to expect its first quarter to be “our toughest comparison for this year.”

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But now with that behind it and the month of May off to “a very strong start, we are looking forward to the next quarter and rest of 2011.”

At Marmaxx, includes T.J. Maxx and Marshalls, comps were up 4% over last year’s 10% increase, and sales grew by 7.5% to $3.5 billion. Additionally, customer traffic continued to be up regardless of poor weather in certain regions of the country.

HomeGoods experienced a 6% comp gain on top of a 15% increase last year, and sales increased 10% to $503 million.

SEE SALES PAGE 16

Nate Berkus’s collection of cotton sateen sheets at HSN come in solid or animal prints.

Liz Claiborne sheets like this embroidered flannel set debuted last year on qvc.com

Strong Q1 Results “Solid Start” for Stein Mart JACKSONVILLE , F LA . — Stein Mart is off to a “solid start” for the year, as its first quarter results proved encouraging.

Home was not singled out as among the quarter’s sales drivers. But “accelerating growth in the home category is a priority” this year and beyond, noted president and ceo David Stovall Jr. during the off-price mid-tier department store’s earnings call last week.

That effort is being lead by Jane Dever, who was recently hired as the retailer’s new vice president and general merchandise manager, home.

Inside This Issue Three Portuguese Mills Merge .............page 2 Baby Steps..............................................page 4 Chinatowns ............................................page 4 Macy’s Home “Very Strong” in Q1 .......page 6 Sure Fit Nabs Target 2010 Partner Award of Excellence .......page 6 Sheets Flat With Prices Poised for Increase ................................page 12

SEE STEIN MART PAGE 22

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Home Textiles Today

Retail Briefs Home Still Lagging at Walmart

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ome posted a mid single-digit negative comp during the first quarter at Walmart U.S., although the retailer said most indoor home categories — including bath — showed improvement, “We expect to see momentum pick up in indoor categories during the second quarter,” said Walmart U.S. president and ceo Bill Simon, in recorded remarks about the quarter.

U.S. comps remained negative, down 1.1%. U.S. sales were flat, up 0.6% to $62.7 billion.

Total company sales rose 4.4% to $103.4 billion, driven by an 11.5% surge in international sales, which were $27.9 billion.

Bon-Ton Stores’ Loss Widens

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on-Ton’s first quarter net loss expanded as it gross margin shrank during the first quarter.

Net loss for the period ended April 30 was $35.99 million, or $2.01 per share, compared to a net loss of $25.4 million, or $1.33 per share in the year-ago quarter. Gross margin fell to 35.5% of net sales from 37.4% in last year’s 1Q. Sales slipped 1.7% to $649.9 million, with comps down 1.2%.

Stein Mart Sees Price Hikes Ahead

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uring its quarterly call with analysts last week, Stein Mart said its current price increases have been in the single-digit range, and it expects more in the second half in the mid-single to low-double-digit range.

Stein Mart is “working with our vendors to reduce the impact…and we’re reviewing all [pricing] decisions thoughtfully,” said president and ceo David Stovall Jr.

BJ’s First Quarter Exceeds Expectations

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J’s Wholesale Club Inc. enjoyed better-thanexpected net income and sales in its first quarter.

The regional wholesale club reported net income for the period ended April 30 of $33.7 million, or 62 cents per share, which exceeded original guidance of $29.5 million to $31.5 million, or 54 to 58 cents per share.

Net sales were up 10% to $2.77 billion, and comps rose by 6.3%, including a contribution from gasoline sales of 3.9%. Merchandise comps excluding gasoline increased by 2.4%.

“BJ’s is off to a great start in 2011,” said Laura Sen, president and ceo. “Our stronger-than-expected performance for the first three months of 2011 reflects net sales above plan, continued margin expansion and excellent cost control.

Excluding the impact of gasoline, traffic increased by approximately 2% and the average transaction amount increased by approximately 1%.

General merchandise sales fell 1% following an increase of approximately 1% in last year’s first quarter.

BJ’s revised its guidance for the fiscal year. It now expects net income in the range of $147 million to $157 million, and earnings per share in the range of $2.68 to $2.88. For the second quarter, which ends July 30, the company expects to report net income in the range of $40.5 million to $42.5 million.

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May 23, 2011

News

> hometextilestoday.com

JCP: Bedding and Bath Lead Home Performance in First Quarter

BY CECILE B. CORRAL PLANO, TEXAS — The soft home side of JCPenney’s home business was rewarding during the first quarter, particularly bedding and bath, but furniture is still lagging.

During the mid-tier department store’s earnings call last week, chairman and ceo Myron “Mike” Ullman called soft home’s performance in the 13week period “actually quite good” with the “real strengths” being bedding and bath followed by housewares, gadgets, small electrics as well as luggage.

He continued, “Despite the ongoing softness in the housing industry, we are seeing a very good performance in our soft home business, especially online.”

Such is not the case, however, in furniture, which Ullman described as “a real drag” in the quarter.

“But we are taking a look at how to improve our furniture business on this environment…

We are still quite confident that home will be a major contributor [to JCP’s business],” Ullman said.

“And our customer feedback… has been improving, so we feel that we’re right on track.”

As in earnings calls of other major retailers lately, the topic of price increases was raised by an analyst.

“We got ahead of it. We were working with our suppliers probably three to four months before our peers,” Ullman responded.

“I think we got a sense of what they could do to mitigate cost increases by advanced fabric placements, balancing production. And I think we also got on top of price testing very, very early in terms of determining price elasticity,” he continued.

“We found that customers were very focused [on us not changing] our opening price point offers on key items. But on the better and best price points, we had no difficulty passing on cost increases. They felt the style and quality warranted it …And frankly, as some [other] brands increased their prices more aggressively than we did, the gap between their offer and our private brand offer increased, making ours more attractive.”

Despite slack sales growth,

net income increased 6.7% to $64 million, or 28 cents per share including certain restructuring charges.

The wind-down of JCP’s catalog business included the closure of a call center and a custom decorating fabrication center. JCP still expects to exit its outlet store business entirely by the end of 2012. Together, those moves are expected to cut approximately $25 million to $30 million from operating expenses starting in 2012.

Sales rose 0.4% to $3.943 billion, and comps grew 3.8%.

Online at www.jcp.com , sales rose 6.6%.

Second quarter guidance calls for: comparable store sales to increase 3% to 4%; total sales to increase approximately 250 basis points less than comparable store sales due to the impact of the company’s exit of its catalog and related businesses; and earnings per share to be in the range of 20 to 24 cents per share, including restructuring charges of approximately 6 cents.

For the full year, earnings per share are now expected to be in the range of $2.15 to $2.25 per share. HTT

Three Portuguese Mills Merge GUIMARÃES, PORTUGAL — Home textiles mills Coelima, António Almeida & Filhos and José Machado Almeida have been acquired by Fundo de Reestruturação (Restructuring Fund) and formed into a new holding company called More Textile, according to a report last week in Publico.

The fund holds an 85% stake in More Textile, which shareholders of the three mills owning the remaining 15%.

Collectively, the mills do about $142 million in annual sales and employ roughly 2,000 workers.

Management of More Textile will be “integrated,” according to the news report, although for the time being product facilities will operate separately.

Fundo de Reestruturação has investments in more than 10 companies. It did not disclose the terms of the deal nor reveal how much debt had been accumulated by the mills.

A n o f f i ci a l s o u r c e t o l d Publico: “The main goal of the operation is to guarantee the viability of the three companies that were in risk due to the financial situation and the difficulties in the global market due to the lowest demand, Asian competition and the exponential rise of the production costs.”

The creation of the mega group will replace Lameirinho as the leader in Portugal’s home textiles industry. HTT

Global Home Show Set For Fall N.Y. Market N E W YO R K — T h e G l o b a l Home Show, sponsored by Home Textiles Today and created as a destination for international companies looking to exhibit at the New York market, has opened for exhibitor registration.

The show, previously known as the Global Interiors Home Collection Show, continues to

expand and this past March, it included exhibition space in both 295 Fifth Avenue and 7 West 34th Street. The name is being changed with this fall’s event to better reflect the exhibitor line-up.

The show, scheduled for Sept. 18 to 22, will again feature exhibition space at both market buildings.

The show was created by Home Textiles Today in 2010 as a vehicle for home textiles suppliers without permanent showrooms in New York. It is held concurrent with the New York Home Fashions Market Week.

Further det ails are available from show manager Joe Carena at jvcarena@gmail. com or through HTT. HTT

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cornerstone of the home textile market Best Building. Best Rent. Best Tenants.

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Make it yours, and you can enjoy these advantages: • More actual square footage for your rental $. 295 Fifth has the lowest loss factor in the home textile showroom market.* Compare our space measurements and you’ll see how you’re paying much less for actual square footage at 295.

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Be part of the best for less!

Call Lou Lombardi at 212-685-0530.

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295 FIFTH AVENUE • NEW YORK, NY 10016 • 212-685-0530 • ceo295@aol.com

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Home Textiles Today

May 23, 2011

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OPINIONTodaY Baby Steps “It appears the business is inching back, if only in baby steps.”

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HER E WA S ENCOU R AGING news coming out of the recent round of quarterly earnings reports as several retailers pointed to improving business in the home department.

JCPenney hailed bedding and bath as leaders in the home department. Macy’s home business was “very strong,” TJX Cos. said the HomeGoods division was a EDITOR-IN-CHIEF big winner. Home was also strong at Ross and Stein Mart — the latter coming as significant after last year’s struggles with the department. And at Williams-Sonoma, nearly every division exceeded expectations during the first quarter, with home textiles among the star categories at three nameplates.

News on the pricing front was more of mixed bag. Target, Ross and Stein Mart copped to bigger price increases coming in the second half. Cost Plus copped to de-specing, in way, telling analysts it’s working to re-develop its textiles to meet price points. (I suspect that would be developing down.)

Macy’s said most of its pricing tests have done all right, with the most resistance coming in moderate categories. Walmart, predictably, vowed it would be the last retailer in the universe to raise prices.

Interestingly, Williams-Sonoma — which has been investing its boffo earnings into advancing ecommerce and social network marketing — was asked if it would raise prices to offset the investment by fattening margin. Executives said it would not.

Companies that had lousy quarters blamed the weather and the economy. Companies that had good quarters said they’re still worried about the economy.

It appears the business is inching back, if only in baby steps.

Jennifer Marks

HTT

Chinatowns

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H E R E A R E T WO CH I N AT OW NS when it comes to the relationship between the country of China and the home textiles industry.

The first Chinatown is the one everyone knows best. It’s the one with only one-way streets, all running from China to the U.S., that supplies a huge chunk of the products Ameriretailers sell and American Warren can consumers buy.

This is a place everyone Shoulberg is pretty comfortable with at PUBLISHER/ EDITORIAL DIRECTOR this stage of things, and while it may have its ups and downs and challenges, it’s where the industry lives.

The other Chinatown is a somewhat newer place, although it may look familiar in many respects. In this Chinatown, there are also only oneway streets, but they all run from the U.S. to China.

This is the Chinatown where Western companies are selling their wares to the domestic market in China.

And this Chinatown has the potential to be the biggest boom town in the history of commerce.

At the recent round of furniture trade shows earlier this spring throughout China, a number of American companies set up shop not to export or meet with their American retail customers but to sell into China. The reaction was explosive, with thousands and thousands – that’s three zeroes – of Chinese concerns interested in what the American companies had to offer.

What happened rather suddenly in furniture is really just a broadening of a trend that’s been

building for decades in China. There’s a reason why there are 3,000 Kentucky Fried Chicken restaurants in China. There’s a reason why Buick is one of the best selling automobile brands in China. There’s a reason why young Chinese fashionistas are wearing Western clothing and not the cheaper Chinese knock-off apparel.

China is profoundly interested in Western products, and while we’ve seen very little evidence of this happening in the home textiles business, it’s only a matter of when, not if. And the American companies that get in early will have a distinct advantage over the latecomers.

But it’s not going to be easy. Many American companies that stormed into the Chinese market are leaving with their business tails between their legs. In the past few months alone, three big U.S. retailers – Best Buy, Home Depot and Mattel’s Barbie brand – all announced they were closing their stores in China because they just weren’t working.

Walmart has struggled with its stores in China as well, not truly understanding the local culture and buying habits quite as well as its largest competitor for the mass market, Carrefour.

So, American companies can’t just get off the plane in Shanghai and say “Here we are” and wait for their businesses to take off. Think of all the overseas companies that have tried that here in the U.S. and how many of them have failed.

It took a long time for American companies to understand how to exist in the first Chinatown. It will probably take even longer to understand the second one.

But that journey has to start soon. Who better than Confucius to make that point: “It does not matter how slowly you go so long as you do not stop.” HTT

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May 23, 2011

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Home Textiles Today

Belated Tribute

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UR ING M Y 40-Y E A R CA R EER in home Or were they friends? fashions, I learned many lessons. Some My dad was Sol Resch. He left this world on April were painful, others not so much but all 13 following an unfortunate accident that cut short his were useful. life. He was 93.

My first boss explained that our product was So how can I say his life was short not cheap, it was inexpensive! when he reached such a respectable Bruce And for salesmen, once the buyer said ‘OK’ you number?

Resch shut up. That was known as the, “You made the That’s easy. He was not your typical GUEST COLUMNIST sale, don’t buy it back” rule. “old man.”

And a rule many good guys live by, “Don’t conSol was the sales manager for a lining fuse quiet and polite with weak and ineffectual.” house, Marvin Fabrics, for most of his caFor 56 years my dad knew and followed these reer and also sold pillows and other feather filled prodrules. But he also made a rule and lived by it his en- ucts for Hauptman Fabrics. When Hanes Fabrics took tire career, “If you can’t be my friend, you can’t be my control of Marvin in 1990 they asked the 72-year-old Sol customer!” to stay on a while.

My dad had more customers than any other salesNever one to cause problems or controversy, he man before or since. agreed.

Protect-A-Bed Product Giveaways Promote Healthy Sleep C HIC AGO — Mattress and pillow protection supplier ProtectA-Bed is giving away several of its products in its new Healthy Sleep Zone Solutions promotion.

The first round of giveaways is taking place every Friday through June 10 and will focus on allergy relief issues. Consumers can win a variety of ProtectA-Bed products by visiting the www.protectabed.com website and filling out an online form.

James Bell, CEO of Protect-A-Bed, said that about one in five Americans suffers from allergies, and dust mites are among the biggest contributors, leading to a significant number of asthma attacks.

“The bedroom contains the greatest number of dust mites and pet allergens, which makes it the most important room to allergen-proof,” he said. “That is why we place such a strong emphasis on the allergen-protective features of our products.

Through our website giveaways, we’re hoping to educate more

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people about the positive benefits they can feel by protecting their mattresses from harmful allergens.”

Protect-A-Bed has launched an advertising campaign in movie theaters in 10 major markets, emphasizing the elements that interrupt sleep and offering products that address these issues.

And to continue to build relationships with parents, ProtectA-Bed has also begun offering a group of parenting bloggers the ability to independently review the company’s Potty Training Protection Pack, and will allow them to give away the product to one lucky follower, officials said.

Protect-A-Bed has also begun a “Sneeze Less ... Snooze More” poll on Facebook. Questions appear each Monday and ask fans to choose their biggest allergy complaint, what they do to relieve allergies and what triggers their allergy symptoms. Results from the polls are shared with the community. HTT

But after retiring from textiles in 1992 Sol took up a new cause. He became a volunteer helping disabled veterans. Starting slowly at first he soon became the commander of the Jewish War Veterans Post No. 209; Jackson Hts./Elmhurst Queens. He proceeded to break all fundraising records along the way.

For his tireless work on behalf of disabled veterans Sol received many accolades, not the least of which were official Proclamations from the New York City Council and the New York State Assembly.

Sol’s final tribute was given at his grave where the U.S. Navy played taps for this honorable and humble man and then handed me a perfectly folded ceremonial U.S. flag.

Over the years, the Home Fashion Products Association honored many deserving “Deans of the Industry.”

They missed one. HTT

Springs Global Previews Espacio Collection by Sami Hayek As Espacio by Sami Hayek prepared to debut its topof-the-line home furnishings collection at the International Contemporary Furniture Fair in New York last week, the brand threw a kick-off party to celebrate. A diffusion line for the broader retail market will launch at a later date. The brand is owned by Springs Global, but operates as an independent company.

Sami Hayek, executive creative director and principal designer, Espacio Sami Hayek, right, with Joe Granger, president of Springs Global’s branded business

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Home Textiles Today

May 23, 2011

News

Macy’s Home “Very Strong” in Q1 C I N C I N N AT I — Despite some recent price increases on moderate-level product offerings, home was among the best performing categories at Macy’s during the first quarter when the department store reported high single-digit gains in both sales and comps.

“We have done some limited testing in terms of price increases, and most of the areas we’ve tested so far have tested OK or well. [We’ve seen] maybe some resistance in our moderate home categories, but so far no surprises,” said Karen Hoguet, cfo, in response to an analyst’s question during the Macy’s webcast earnings conference call earlier this month.

Speaking in more general terms, she later added: “I think so far we feel that, as we thought of how the customer is going to behave, we’ve mapped out [our price increases] pretty well.

In some cases, small increases

have worked OK, and in other cases we’ve reduced units, and we think that is appropriate, too.

The concerns about price inflation have been overstated and clearly something making our lives challenging…We have a whole group of pricing analysts studying it. But I am not as concerned as you are about it.”

Earlier in the call, during her prepared statements, Hoguet singled out home as among the departments posting “very strong” sales in the quarter.

Macy’s overall first quarter sales were up 5.7% to $5.889 billion compared to $5.574 billion a year ago. Comparable store sales increased 5.4%, and net income came in at $131 million versus the $23 million in the first quarter of 2010.

Earnings for the quarter were 30 cents per share, compared with 5 cents per share last year.

Online sales for macys.com and bloomingdales.com com-

bined were up 38.3% in the 13week period, positively impacting the company’s same-store sales by 1.3 percentage points in the first quarter. Online sales are included in the same-store sales calculation for Macy’s, Inc. “We feel great about our performance in the first quarter, and our sale growth continues to be strong,” said “The momentum from our restructuring and implementation of My Macy’s is building and bodes very well for our future.”

Based on its favorable first quarter results and an improved outlook, Macy’s has increased its full-year 2011 guidance. It now expects same-store sales to grow 4.3% this year compared with previous guidance for 3%.

Earnings per diluted share are expected to be in the range of $2.40 to $2.45, compared with previous guidance of $2.25 to $2.30 per diluted share in fiscal 2011. HTT

Hollander Launches First Down Bedding Certified by Asthma & Allergy Foundation B O C A R AT O N , F L A . — Hol-

lander Home Fashions has produced the first line of down bedding certified by the Asthma and Allergy Foundation of America (AAFA) as asthma and allergy friendly.

Previously, the AAFA had only awarded the certification to synthetic or silk-filled bedding that met its standards.

“Now, with this new certification from AAFA for our nat-

ural products, it gives the consumers a much broader range of natural or synthetic products to choose from,” said Beth Mack, Hollander’s chief merchandising officer.

The collection includes comforters, pillows and blankets.

Hollander also makes a synthetic line that has the AAFA’s certification. All certified asthma and allergy friendly bedding is constructed with allergen barrier

fabric and is made to withstand the recommended wash and dry frequency included with each product.

“Our testing finally provides a way to determine the level of allergenic proteins in feather and down products,” according to Mike Tringale, vp at AAFFA, “which is a major advancement for the bedding industry, and a benefit to our patients and families.” HTT

> hometextilestoday.com

Springs Global to Produce Paula Deen Collection NEW YORK — Springs Global is

adding yet another name to its growing brand portfolio: television cooking celebrity and author Paula Deen.

Springs will produce bedding, bath, lighting and decorative accessories under The Paula Deen Home Collection, which is expected to debut in spring/ summer 2012.

“Already a dynamic individual whose charismatic personality has taken over kitchens

across America, Paula Deen easily translates to a larger lifestyle brand, and home décor is a natural extension,” said Joe Granger, president of Springs Global.

Springs’ other brand partnerships include Diane von Furstenberg, Nate Berkus and Espacio Sami Hayek.

Deen also has licensing arrangements with Kaleen for area rugs, Universal for furniture and Meyer for cookware as well as her own magazine. HTT

Sure Fit Nabs Target 2010 Partner Award of Excellence N E W YO R K — Slipcover and home textiles accessories house Sure Fit Inc. is the recipient of Target Corp.’s 2010 Partner Award of Excellence.

Sure Fit, which is nearing its 100th anniversary in business, said it was acknowledged

by Target as one of the only six vendors in the Target.com category. Other recipients included Proctor and Gamble, L’Oreal, Unilever, and Hersey Foods.

With this annual award, Target recognizes recipients for their “dedication to delivering differentiated, high-quality products at a value while demonstrating reliability, operational excellence and strong financial performance.”

Sure Fit ceo Hugh Rovit said the company is “thrilled to continue our multi-decade

partnership with Target. There is no greater recognition than an award from a customer, particularly one with the high standards and quality vendor base as Target’s. Our entire team here at Sure Fit is humbled to receive an award that is based on criteria such as quality, value, reliability, and ingenuity.”

Sure Fit products have been available at Target.com since the site’s launch in 2001. The company’s line includes slipcovers for sofas, loveseats, chairs, wing chairs, dining room chairs, recliners, ottomans, futons and folding chairs, as well as furniture throws. More recently, Sure Fit has also developed pet solutions and kitchen/dining room décor which are also offered on Target’s website. HTT

Knoll Textiles on Display at Bard Graduate Center NEW YORK — Knoll Textiles, 1945–2010, the first comprehensive exhibition devoted to a leading producer of modern textile design will be shown from May 18 to July 31 at The Bard Graduate Center: Decorative Arts, Design History, Material Culture (BGC). The exhibition comprises approximately 175 examples of textiles, furniture, photographs, and ephemera on loan from public, private, and corporate collections, including the Museum of Modern Art; the Metropolitan Museum of Art; Smithsonian Institution, Cooper-Hewitt, National Design Museum; Yale University Art Gallery; the Brooklyn Museum; the Knoll Museum; and the KnollTextiles Archive. HTT At right: Frederick Stig Lindberg. Apples. Ca. 1950.

Cotton, screen-printed. Private collection.

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Evelyn Hill Anselevicius. Handwoven H910, two colorways. Ca. 1953. Wool, plastic, jute. Private collection.

5/19/2011 10:26:05 AM

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Home Textiles Today

May 23, 2011

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Shaw Floors Launches Facebook Page D A LT O N , G A . — Looking to

connect with consumers more di r e c t l y, S h aw F l o o r s h a s launched a Facebook page stocked with a variety of features from product information and sustainability efforts to decorating ideas and how-to videos.

The page can be found at www.facebook.com/ShawFloors or by typing “Shaw Floors” in the Facebook search window.

Shaw Floors said the page is designed to “communicate with homeowners directly in a more personal way” as well as provide relevant product information, design tips and company news updates, along with photos and videos from various Shaw events and links to media coverage featuring Shaw products.

While the company said it will weigh heavily toward decorating-related content in Facebook posts, it will also use its

new social media platform to educate consumers about its sustainability story and performance benefits.

“While our social media communications will center around flooring’s impact on the overall décor of a home, we realize a floor must work with the other elements of a room to create a

cohesive look,” said Steve Abernathy, director of marketing technology. “Consequently, our Facebook posts will discuss everything from paint and cabinetry to furniture and home accessories.”

Shaw hopes consumers visiting its Facebook page will share their own design tips and renovation stories. To spur this activity, the

company will invite consumers to respond to specific questions and to posted photos of Shaw Floors products in their homes.

“The best part about Shaw having a Facebook page is that we get to converse directly with consumers,” added Abernathy.

“People are very opinionated, and we can’t wait to find out

what looks and projects most appeal to our Facebook fans.

When designing new products, we scour the world for the latest trends, but you never know - we may find out about a hot new look from a consumer’s Facebook post now. It’s amazing what technology allows us to do today.” HTT

WONZ Intros New iApp M A R I E T TA , G A . — Now the

Wools of New Zealand can say it’s got an app for that, too.

WONZ is offering a free application for the iPad and iPhone to “spread the word about the health, sustainability, beauty and comfort benefits of wool.”

Its iApp is available from Apple iTunes and can be accessed by typing in “Wools of New Zealand” and downloading the free app to an iPhone or iPad. Equipped with comprehensive information on wool, WONZ’s iApp is intended to be a “valuable, convenient and easy-to-use selling platform,” WONZ added.

Retail sales associates are encourage to employ it as a training tool and as a sales aid that helps answer consumers’ questions about wool.

And because it is available to consumers, the iApp also can act as a take-home brochure.

“In addition to our Wool College, audio postcards, and Wool Benefit System, our new iApp gives to salespersons and consumers instant access to the value wool adds to a floorcovering purchase,” said Hallie Cobb, marketing and training director. HTT

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Home Textiles Today

HSN vs. QVC a series in HTT called “Face to Face” comparing similar merchandising classifications at pairs of competing retailers.

The websites are a growing business for both retailers, accounting for about a third of sales for each. Executives at HSN.com did not respond to questions for this report as of deadline.

QVC.com is the online division of a heavyweight. QVC’s revenue increased 6% to $7.8 billion for 2010. HSNi’s annual net sales grew 9% over the prior year to $3.0 billion for 2010.

Perhaps reflecting the difference in size, the number of items available in sheets is more expansive at QVC than HSN: approximately 85 at QVC and about 29 at HSN. (Excluded from HTT’s count were duplicate sheet sets that offered extra pillow cases, as well as additional pillow cases sold as open stock, with the exception of the Natori collection offered exclusively as open stock).

While there were more items – and brands – to choose from at QVC, HSN’s selection offered more emphasis on contemporary current home fashion. Cowie, Adler, and Berkus get maximum exposure from their own retail stores, event planning, books, and television shows, making them higher profile than the brand names at QVC. Those brands include Laura Ashley, Liz Claiborne New York, which was introduced last year, and Isaac Mizrahi.

However, one would think that when shopping for sheets on the web sites of the two big television shopping networks, there would be nearly an infinite array of colors and patterns.

Nope.

Despite the capacity for variety the Internet offers retailers, sheet selection at HSN and QVC are dominated by basic solids and mostly neutrals. At QVC, the ratio of solids to patterns is two to one while at HSN, the ratio is almost three solids to one pattern. (However, determining what is a solid and what is a pattern is not an exact science. For the sake of simplicity, HTT considered jacquard and embroidered sheets as patterned, while those with lace edging, piping or dobby stripes as solid. The thinking was whether the detail was subtle or loud enough to impact how a consumer would design a room around them.)

“Our customer does purchase more solid then print sheets. She is typically looking for a sheet set that SEE FACE TO FACE PAGE 9

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> hometextilestoday.com

HSN.com Sheets Wrap up Fashion and Luxury COLLECTION

FACE TO FACE FROM PAGE 1

News

May 23, 2011

BRAND* SOLID PATTERN

Carleton Varney Nate Berkus*** Peacock Alley for HSN Concierge Collection Highgate Manor Hutton Wilkinson Colin Cowie Echo Happy Chic by Jonathan Adler Natori (open stock)

N N N H H N N N N N

3 1 1 4 7 1 1 2 1 3

1 1

2 1

PRICE FOR QUEEN SET

$23.36** – $74.95 $29.95** – $64.95 $49.95** $49.95 – $74.95 $49.95** – $329.95 $69.95 $69.95 – $79.95 $79.99 $89.95 $129 – $175 (fitted sheet)

NOTES

From the president of Dorothy Draper design firm By the designer with a growing television presence Made exclusively for HSN from the upscale brand Fiber in Lyocell collection from eucalyptus trees Sand-washed silk sheets hit luxury pricepoint From the jewelry and home décor designer By the leading designer and event planner Fan floral offers bold pattern with citrus green Part of a collection by the accessories designer Bedding from the premium lingerie brand

* Brands are distinguished as name brand versus house, or proprietary brand. ** Clearance price *** One collection mixes print and solid

Highgate Manor’s Belle Epoque collection are made from sand-washed silk.

The Natori Palawan collection is sold open stock and a queensized fitted sheet is $175.

QVC.com Sheets Mix Classic and Value COLLECTION

Northern Nights Amadeus Liz Claiborne New York Malden Mills IsaccMizrahiLive Bellino Portico Bradford Veratex Angelo:Home Valerie Parr Hill Laura Ashley Guest at Frette Eileen West

BRAND* SOLID PATTERN

H H N N N N N H N N N N N N

33 5 6 2 3 1 1 1

PRICE FOR QUEEN SET

6 5 7 1 7

1 1 2 1 1 1

$29.96** – $81.12 $31.86 – $84.75 $32.98** – $66 $36 – $57 $36**– $89 $46.86 $51.72** $59.94 $61.87 $63 $65.28 – $69.96 $69.99 $74.28 $90

NOTES

Proprietary brand is top seller Made exclusively for QVC in Portugal Sheet collection introduced last year Made of synthetic Polarfleece Fashion designer emphasizes patterns Woven in Italy with a 300 thread count Eco-friendly organic cotton sheets 500 TC sheet from Northern Nights Print compliments pieces in collection Part of new line by designer Angelo Surmelis From decorative accessory designer Floral sheets from a classic brand Jacquard from the luxury brand By designer known for intimate apparel

* Brands are distinguished as name brand versus house, or proprietary brand. ** Clearance price

Northern Nights, qvc.com’s proprietary brand, is the retailer’s top seller in sheets.

A leopard print sateen from Isaac Mizrahi, a designer known for exuberant prints.

5/19/2011 11:08:15 AM

News

> hometextilestoday.com

HSN vs. QVC FACE TO FACE FROM PAGE 8

will compliment her existing decor. QVC offers prints when it is part of a collection that tells a compelling decor story for a bedroom,” said Schroeder.

With a much larger sheet assortment, QVC.com carries a much bigger array of house brands, and one of those brands in particular, Northern Nights offers 39 items – 33 are solids.

“Northern Nights, our proprietary brand, is the largest portion of our sales,” said Schroeder.

The collection has a range of thread counts with the majority between 300 and 500.

At both QVC.com and HSN.com, several brands offer only one look for sheets — for example, a jacquard in one single color (limon) from Guest at Frette, the luxury brand.

Schroeder explained, “in these instances we have approached the brand as a life style assortment. The sheets are only one component of a broader product mix for the brand.”

With a seemingly greater emphasis on fashion for sheets at HSN.com, price points for sheets skewed a bit higher.

Highgate Manor has a sandwashed silk queen sheet set for $329.95. Prices for Natori, the brand known for luxury intimates, ranged from $129 to $175 — for one queen-sized fitted sheet, as this line is sold open stock. Queen sheet sets from accessories designer Jonathan Adler are priced at $89.95, rounding out the top three highest priced lines for HSN. The highest price sheet on QVC.com is from intimate apparel designer Eileen West, a solid-color sheet set priced at $90 for a queen. Next highest comes from fashion designer brand IsaacMizrahiLive, a cotton cashmere blend for $89.

Amadeus, made exclusively for HSN in Portugal, offered the next highest queen sheet set for $84.75.

On the low end, at HSN. com. Carleton Varney, the president of Dorothy Draper design firm, had a 300-thread count lace set for the clearance price of $23.95 and Nate Berkus had a plaid set for $29.95, also on clearance. At QVC.com, there were 340 thread-count clearance-priced queen sheets for $29.96 from Northern Nights, and a 350 thread count plaid set

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from Liz Claiborne for $32.98 and a grey heather check in flannel from Amadeus for $31.86.

Shopping online doesn’t necessarily mean sitting in front of a computer, and both companies now offer mobile shopping applications for a variety of handheld devices. A a good number of shoppers are going straight to the websites, bypassing the TV. In an interview last year with The New York Times, Michael George, president and ceo of QVC, which is based in West Chester, Pa., said that 60% of new customers in the United States are purchasing on the Internet. “Of those, more than half are buying products that have not been shown on TV recently, or at all,” the article stated.

Still one can’t evaluate HSN. com and QVC.com without taking into consideration the shopping networks themselves.

While at one time, the Internet was thought to mean the end for these networks, even to a casual viewer it is clear they now work in tandem, with guests and hosts plugging the web sites during sales pitches.

However, shows dedicated to home textiles are rare and shows dedicated to purely bedding are rarer still. Over on QVC.com, looking at a two week period from May 9 to May 22, there was one hour of programming dedicated to bedding from house brand Northern Nights. Brands which offer bedding, as well as other products, had more air time. IsaacMizrahiLive aired several times over the two week stretch, for a total of six hours. Liz Claiborne New York Clearance Home aired for one hour, from 4 a.m. to 5 am.

At HSN, for the two weeks from May 3 to May 15 (a comparison of the same two weeks was not possible) only two brands that include sheets among its lifestyle collection had significant airtime. Highgate Manor, which offers home décor, t abletop accessories in addition to bedding, celebrated its ninth anniversary on Tuesday May 10. That meant a total of nine hours of programming, starting at midnight and interspersed with other shows through 11 p.m. Three hours of Colin Cowie Home, a brand which offers home décor and products for entertaining, aired on May 3. HTT

May 23, 2011

9

Home Textiles Today

Pantone Unveils New Collection for Nylon Fiber CARLSTADT, N.J. — A vivid rainbow of fluorescent-

like colors makes up the first palette specifically created for nylon and launched by Pantone LLC. Dubbed Pantone Fashion + Home Nylon Brights, the new collection spans 21 electric shades in a nylon format that Pantone said is intended to provide designers developing nylon products “materials with an internationally-recognized standard for accurate color selection, specification and reproduction.” As for its bright nature, the palette was made to “serve as powerful inspiration and stimulate a renewed sense of creativity among designers.”

All colors in the nylon brights collection are dyed in Nylon 6.6, which Pantone described as “a much improved fiber for light fastness and wash fastness over Nylon 6.”

While the nylon palette largely targets ready-to-wear product categories, like athletic apparel, swimwear, footwear, women’s wear, intimate apparel, hosiery and accessories, the nylon brights collection also poses new color opportunities to the home sector as “stylish splashes of hot hues.”

As Laurie Pressman, Pantone’s vp of fashion and home + interiors, told HTT, the time it takes for trends in fashion to get to the home categories is getting “much much shorter.”

And that includes bold fluorescents on a nylon medium, she noted.

“After years of playing it safe, consumers are once again embracing color — in a big way,” Pressman said.

The idea for the nylon brights collection came from “the need and demand for more fluorescent shades,” Pressman continued. “We’ve been getting a lot of demand from our clients. We work through distributors but also a lot of clients, and they’ve been pushing for a nylon standard because it’s easier to work with standard.”

Vouching for the new collection is Deborah Lloyd, creative director of Kate Spade New York, which she reminded “was born out of a chic, utilitarian nylon bag.”

Lloyd said: “These bold, vibrant tones, formulated specifically for nylon, [open] up a whole new opportunity to play with color in a fabric that is tried and true for us.”

Pantone, which is an X-Rite Inc. company, is offering its nylon brights in two formats. The first is the nylon brights set, which contains 21 loose-format nylon swatches that each measures 1 ¼-inchs-by-4-inchs and are together arranged by color family and presented on a metal ring. A BHT-free amber UV protective pouch is included to protect the colors while not in use.

The second available format comes as grouping of 4-inch-by-4-inch loose-format swatch cards. Spectral data and starting dye for-

mulations — available at www.matchpantonecolors.com — o f f e r qu i c k and accurate color results, Pantone noted.

As a plus, Pantone said all of its nylon brights collection purchases include the Pantone Color Manager software, which provides digital data for the nylon brights to update popular design applications, including Adobe, Creative Suite, QuarkXPress, Corel Painter, X-Rite i1 Profiler, the Mac OS Color Picker and myPantone.com.

Pantone’s Color Manager allows users to: obtain CMYK, HTML and sRGB values for all colors; extract colors from images and photographs; build and export color palettes for use in popular design applications; access and export all Pantone Color Libraries, including the complete Pantone Fashion + Home library for cotton, paper and nylon brights as well as Pantone Plus and Goe Libraries; preview colors under various lighting simulations to visualize the effect different lighting conditions have on color appearance; create color-managed palettes using industry-standard ICC display and output profiles; and identify colors that cannot be accurately reproduced in print or on screen with out-of-gamut warning alert. HTT

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Home Textiles Today

May 23, 2011

News

> hometextilestoday.com

Textiles a Leader in Sears Net Loss Williams-Sonoma Strong 1Q Runs to $170 mil SAN FRANCISCO — Aided by its

fast-growing catalog and Internet businesses, Williams-Sonoma Inc. said its net income jumped 62% in the quarter ended May 1, with textiles called out as a leading category at Pottery Barn, Pottery Barn Kids and West Elm. Company executives credited the strength of its multichannel platform, particularly online community building and marketing investments.

“I think the usual suspects are beginning to lose [market] share,” president and ceo Laura Alber told analysts. “They’re waiting for the customer to show up. If you’re a traditional retailer, you may have a web

site, but it’s secondary.”

Ecommerce in the first quarter accounted for 38% of sales – a new high. Web traffic was up 25%. And while the number of email marketing pieces delivered during the period rose only 2%, the conversion rate jumped 20%.

Pe r f o r m a n c e e x c e e d e d expectations almost across the board. Williams-Sonoma Inc. net income of $31.6 million or 29 cents per share. Revenues increased 7.4% to $770.8 million.

Revenues from the company’s catalog and internet businesses were up 12.5% and accounted for 44.6% of total revenues.

R e t a i l s t o r e r e v e nu e s

increased 3.6%, and the company said same-store sales across all of its brands rose 6.7%.

Williams-Sonoma did not provide same-store sales for individual formats, but said comparable brand revenue growth rose 7.9% for Pottery Barn and 10.9% for Pottery Barn Kids. Comparable brand revenue growth includes same-store sales and revenues from catalog and internet sales.

Alber said the company’s five franchise stores in Dubai, Kuwait and Saudi Arabia are performing well and another five will be added later this year. Williams-Sonoma Inc. also plans to launch international ecommerce this year. HTT

Hollander Debuts Hospitality Line BOCA RATON, FLA. — Hollander

Home Fashions debuted a basic bedding collection for the hospitality sector during the HD Show in Las Vegas earlier this month.

The natural collection consists of Hollander’s proprietary

Arctic Feather and Down brand in pillows, comforters and bed toppers.

Hollander is also offering its Asthma & Allergy Friendly collection. Hollander makes the line as either synthetic or with

natural fill. Both are certified by the Asthma & Allergy Foundation of America.

Hollander’s bedding also incorporates ClearFresh odoreliminating technology, which is also stain-resistant. HTT

Marshall Quentin Unveils at HD Expo L AS V EGAS — Former Ralph

Lauren Home president Nancy Marshall Vignola launched hospitality collections by her Marshall Quentin company here at the Hospitality Design show earlier this month.

Marshall Quentin will offer two distinct bedding and bath collections designed “with the intent to add more spirited

visual joy to the guest room and enrich a hotel property’s presence. The New Statement Bed is a considered expression and reflection of the hotel brand or individual property,” according to the company.

Bedding and bath are produced by Springs Global.

Marshall Quentin will also introduction a fabric col-

lection in conjunction with PKaufmann Contract. The Powerseat collection, which features bold and playful contemporary designs, is engineered to be used for indoor upholstery, terrace upholstery and exterior furniture.

Vignola spent 30 years as an executive officer at Polo Ralph Lauren. HTT

Latex Int’l to Add Surcharges Reflecting Raw Materials Costs SHELTON, CONN. — Latex Inter-

national, a supplier of latex foam said it will begin adding surcharges to its invoices beginning June 1 to reflect the increasing costs of its raw materials.

The surcharge will be implemented in lieu of an acrossthe-board price hike, and will be adjusted up or down at the end of each month.

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“We cannot control or predi c t w o r l d - w i d e c o m m o d ity fluctuations,” said Latex International president and CEO David Fisher. “Without this surcharge we would have to pass on continued price increases each quarter, based on our margin requirements and forecasted raw material increases.”

He said the company will

arrive at the surcharge by calculating the weight of the product and multiplying it by the increased raw materials costs.

“We do this with great reluctance, but we feel this option is in the best interest for both parties,” Fisher said.

Since February, natural latex prices have gone up 31% and synthetic latex prices have jumped 21%, he said. HTT

in First Quarter HOFFMAN ESTATES, ILL. — Sears

Holding reported a net loss of $170 million for the first quarter, compared to a profit of $16 million in the year-ago period.

The company attributed the performance in part to poor weather, the economy and unfavorable comparisons to last year’s government stimulus program related to appliance purchases.

However, we also fell short on executing with excellence,” said Lou D’Ambrosio, the company’s president and ceo. “We cannot control the weather or economy or government spending. But we

can control how we execute and leverage the potent set of assets we have.”

Going forward, the company will focus on the customer experience, he said. In addition, Sears Holding will work to expand its market position in appliances, capit alize on its Kenmore, Craftsman, DieHard, and Lands’ End brands, build its home services business and improve its apparel business.

Revenues fell 3% to $9.7 billion. Comps at Sears U.S. stores dropped 5.2% and were off 1.6% at Kmart. HTT

Gas Price Hikes Make Shoppers More Practical About Summer Spending COLUMBUS, OHIO — Practicality in spending took a four-point dip among consumers as their focus on needs over wants also declined in May, but higher gas prices have them considering ways to save money going forward, said BigResearch.

As summer approaches, consumers are expecting rising costs on their necessities to impact their spending more aggressively. Focusing on just the fuel, 80.3% said their spending has already been affected by rising prices at the pump, increasing from 67.7% one year ago. The majority of these consumers 51.7% - said they will drive less to offset growing costs, while two in five (41.3%) will put the brakes on dining out. Other popular cost-savings measures include decreasing vacation/ travel (38.0%), spending less on clothing (35.2%), and delaying a major purchase (27.1%).

But in May, consumers were feeling less pragmatic compared to April, according to BigResearch’s Consumer Intentions & Actions Survey, which each month monitors more than 8,000 shoppers.

In this month’s survey, 44.8% of respondents indicated they’ve become more practical/realistic in their purchasing, rep-

resenting a four-point decline from April’s 48.8%. The May reading, however, is still trending upward compared to May 2010’s 42.9%.

Bigresearch also said the shoppers it surveyed “might need their vision checked - their eagle-eyes for just the necessities have gone out of focus in May.” Similar to recent findings related to practicality, surveyed shoppers prioritizing needs over wants declined to 54.9% from 57.9% last month.

“Don’t expect consumers to get too impulsive, though...this month’s reading is still elevated from a year ago (51.5%).”

Other May findings: curtailing spending at 30.7% has t aken a back seat to paying down debt at 31.2%, though both intentions have declined from 30 days ago (35.8% and 31.9%, respectively); one-quarter (25.6%) plan to increase savings, also down from April (28.3%); and one in five (19.8%) plan to pay with cash more often.

Looking at trends at retail by product category, sales of linens/bedding/draperies and home décor were both up in April, according to the Bigresearch Diffusion Index. HTT

5/19/2011 5:22:54 PM

SPONSORED BY:

THE FACTS:

SHEETS

Statistical overview of the sheet market

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Home Textiles Today

May 23, 2011

THE FACTS:

SHEETS

> hometextilestoday.com

Statistical overview of the sheet market

Sheets Flat With Prices Poised for Increase

BY JILL ROWEN N EW YORK — Sales for sheets and pillowcases were at $1.715 billion for 2010, down 0.6% from $1.725 billion in 2009. A combination of factors impacted results, according to suppliers. A still slow economic recovery, raw material cost and supply issues, as well as decreased inventory levels across all tiers and a still cautious consumer kept sales flat overall.

And that’s just fine, according to many vendors. As most of the industry holds its breath as higher prices hit store shelves, suppliers in this category (the second in HTT’s bedding reports) are confident that increases will not be so dramatic (averaging no more than 10%) and consumers will absorb the higher pricing with not too much fuss. All have been working to develop and design (and sometimes despec) products that match consumer expectations with buyer price expectations.

According to Frank Snow, vp, merchandising, sales, Yunnus/Royale Linens, 2010 showed “that prices were still a struggle and the results are the combination of low average prices for the category and weak volume.” Snow expects higher average prices to inch up results

for the coming year.

On the positive side, “The slow market has actually led to better business practices,” noted Bob Hamilton, marketing director, Welspun USA, who sees companies “keeping inventories in line and developing products accordingly.

Inventory is smaller and color assortment is smaller, but the overall character of assortments is better.”

“We have great relationships and have been able to keep our products at an affordable level for end users,” said Liz Rapelye, director, marketing and public relations, Sferra. “We are known for affordable luxury. While some of our prices have had to go up, it is not going to lessen the quality we offer at all.”

“Blissliving Home has … worked relentlessly to maintain a lean supply chain and to be able to continue to offer our audience great value,” said Mareike Finck, director, marketing and public relations, Blissliving Home. “We have had to increase prices slightly on open stock sheeting and the more elevated duvets that we are introducing which have more fabric interest and design detail. We are forecasting and making fabric purchases to stock in order to have

Distribution Channels

($millions)

2010 total retail sales: $1.715 billion down 0.6% from $1.725 billion in 2009 2010

Discount department stores $893.5 Home textiles specialty chains 245.2 Mid-price chains 322.4 Department stores 37.7 Off-price chains 63.5 Variety/closeout 53.2 Other* 30.9 Direct-to-consumer 37.7 Single-unit specialty stores 15.4 Warehouse clubs 15.4 Total 1,715.0

2009

% CHANGE

$897.0 250.1 324.3 39.7 62.1 53.5 31.1 36.2 15.5 15.5 1,725.0

-0.4% -2.0% -0.6% -4.9% 2.2% -0.6% -0.6% 4.2% -0.6% -0.6% -0.6%

* Other includes interior designers, military exchanges and other channels

Sferra’s Layton shams

HomeTex sheet set

a competitive advantage. On the manufacturing and freight front, we have seen increases and many times make adjustments to construction or materials to keep our prices similar to the past.”

And the looming higher prices for sheets and pillowcases on shelves? Not to panic. “While consumers will be

more prudent, in this category it will not be as big a factor as in other industries,” noted Hamilton. “The purchase pattern for sheets is about every three years and I don’t think consumers will have a negative reaction to a set that they might have paid $49.99 and now costs $52.99.”

“We have already witnessed that if the product is right and there is a preserved value, then there is little resistance,” said Finck. “With our spring/ summer 2011 collection we have introduced a new white bed called Belgravia with a MSRP 49% higher than our cotton duvets. Despite the pricing difference, the Belgravia duvet set quickly became a customer favorite and is now on our best seller list. Our brand partners feel the Belgravia bed has great value since there was so much detail to the duvet. We believe that you can still build and maintain a loyal brand following if you have a quality product that is about design and the experience more so than about price. If you can top this off with great service and the branding and right marketing efforts, you are still

METHODOLOGY In determining product category sales figures, as well as determining retail sales for those categories by channel of distribution, the editors and research department of Home Textiles Today used data compiled from a variety of sources, including publicly filed financial reports, vendor sales information compiled by the editors, and information provided by retailers and home fashions suppliers.

Home Textiles Today has produced a series of three reports on bedding, breaking the overall category into these component parts: Top of the Bed (February 7); Utility Bedding (May 9); and Sheets and Pillowcases.

The research was compiled by editorial contributor Jill Rowen; Dana French, director of market research; and Jennifer Marks, editor-in-chief.

A New Dawn in Bedding for Babies, Toddlers & Adults

www.bsensible.net

B.sensible THE STRETCHABLE WATERPROOF SHEET TECHNOLOGYTM

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Home Textiles Today

May 23, 2011

Alok Industries Merrick bed

Above: Blissliving Home Mayfair sheets At left: Nautica’s Bayview sheets

set up for success.”

With food and gas prices through the roof, most people agree that consumers will be more selective all around, but it is not a deal breaker here. According to Snow, retailers and their suppliers are now in a dance to find the right “grid.”

“The major thing going on is a new alignment of thread count and quality grade and what the final product will look like for each retailer,” he said. “It’s a transitional period and everyone is finding what the proper grade of cloth and what attributes, i.e., easy care/ wrinkle free, will connect with the customer.”

Not surprising, one of the first

things to go in this economy is thread count. Some retailers are revisiting basic thread counts of years gone by of 180/200 threads counts, with a count of about 225 at the higher end of ‘basic.’

“If you give the consumer a good hand, colorfastness and a durable sheet, her focus will go away from thread count,” said Arun Agarwal, Alok Industries. In fact, he noted that there might be need for a ‘thread count police.’ “There is a lot of product which is not meeting labeling specifications. This needs to be controlled. This can hurt the category really badly,” he said.

Jeremy Wooten, coo, HomeTex, mak-

ers of DreamFit sheets, says that the company has reengineered product, incorporating microfiber offerings as well as products made with natural man-made fibers such as Tencel. “Part of what we are doing is focusing on performance fibers and looking at what value they can provide consumers,” he said. “Ultimately, they want comfort, a soft hand and a sheet that’s silky smooth. With the right fiber and finishing, what consumers want is what they are going to get.”

Wooten pointed out that manufacturing in the United States and supplementing that with overseas production gives it an advantage and the ability to quick ship

A New Dawn in Bedding for Babies, Toddlers & Adults

13

product in certain cases.

According to Agarwal, higher costs also require providing consumers “extra motivation to make her purchase.” Alok recently announced an internal Textile Technology Group that helps do just that by allowing the company to enhance its basic products through new technology, proprietary finishes.

At the other end of the supply chain, Lenzing, maker of Modal, Tencel and Viscose fibers, the perspective on the sheet industry is also focused on price, but in a different way.

“We work very closely with our partners and make sure we have the allocation that they need for their products.

Our fiber is not traded on the open market and doesn’t fluctuate. They know what they’re going to pay. That’s a huge benefit in this economy: a stable price and the right supply,” said Nina Nadash, home textiles merchandiser, Lenzing.

According to Nadash, limited capacity kept the company from taking fullest advantage of new customers that began looking at alternative fibers when cotton and polyester prices skyrocketed. Now, virtually all of Lenzing’s manufacturing plants around the world are increasing capacity for all its fibers, including building a brand new Tencel plant. “That means a true commitment to sustainability, a belief in the fiber and a commitment by Lenzing to the home textile industry,” she said.

According to HTT’s latest figures, offpricers and direct-to-consumer — read internet —showed an increase for 2010 compared to a year earlier. Department stores took the biggest hit, declining 4.9% for the year.

With new pricing patterns in the offing, these charts may look very different next year. And new winners are emerging. “Department stores, who everyone had started writing off, are coming back very strong. Mass merchants have all started looking very similar and differentiation can decide between who wins and who looses. Dot-coms are gaining a huge market share,” said Agarwal. Stay tuned. HTT

www.bsensible.net

B.sensible THE STRETCHABLE WATERPROOF SHEET TECHNOLOGYTM

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Lenzing AG, A-4860 Lenzing, Austria

BOTANIC BED TENCEL® The New Age Fiber

Lenzing Fibers, Inc. 530 Seventh Avenue, Suite 808 New York, NY 10018-3508 Phone: 212 944-7898 E-Mail: n.nadash@lenzing.com

Botanic Bed System TENCEL® fiber comes from Nature. It is of botanic origin because it is extracted from the raw material, wood. The applications for TENCEL® are exceptionally versatile.

The fiber can be used in every aspect of sleeping – beginning with mattresses and mattress pads to bed covers and linens, all the way to lingerie.

TENCEL®’s universality makes it possible to enjoy a completely botanic bed from nature. Perfect moisture management guarantees a pleasantly dry sleeping climate.

Nothing is dreamier than that when you go to sleep in a botanic TENCEL® bed.

Lenzing is world market leader among cellulose fiber manufacturers and produces TENCEL®, Lenzing Modal®, Lenzing FR® and Lenzing Viscose®.

www.lenzing.com

Lenzing Botanic Bed_No Showcopy.1 1

Leading Fiber Innovation

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Home Textiles Today

May 23, 2011

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PEOPLETodaY Surya Taps Von De Bur for vp, National Accounts C A L H O U N , G A . — Building

out its newly formed national accounts division, Surya Inc. has hired Kurt Von De Bur as the company’s new vp of national accounts.

Von De Bur comes to Surya from Orian Rugs, where he was vp of sales.

Prior to that, he was the Eastern regional manager for United Weavers.

In his new role, Von De Bur is responsible for the development and growth of existing national accounts as well as developing new business relationships. He works with

Paul Sullivan, svp of national accounts.

“Kurt has been a well respected sales leader in our industry for many years”, said Satya Tiwari, president of Surya. “He will bring a wealth of knowledge and experience to our company”. HTT

Rockowitz Named Li & Fung ceo HONG KONG — Bruce Rockowitz, founder of the Colby International trading agency Li & Fung acquired in 2000, has been named group president and ceo of Li & Fung Ltd. Rockowitz has been an executive director of Li & Fung since 2001 and president of Li & Fung (Trading) Ltd. Since 2004.

William Fung has been

appointed executive deputy chairman. Victor Fung will step down as group chairman at the company’s 2012 annual meeting, to be succeeded by William Fung Kowk.

“Li & Fung has reached a size and structure that requires a new organizational structure,” said Victor Fung.

Rockowitz will oversee the $15.9 billion company’s new

three-year plan for trading, logistics and distribution. Nine newly promoted division presidents now report to him.

He is also non-executive director of the Pure Group, a lifestyle, fitness and yoga firm operating in Hong Kong, Singapore, Taiwan and soon China.

In 2010 and 2011, Barron’s ranked Rockowitz as one of the world’s 30 best ceos. HTT

Fraley Stepping Down From Home Source International ATLANTA — Home Source Inter-

a young business, but it is time national chief operating officer to step aside in the best interests John Fraley will leave the com- of all involved.” pany effective May 31.

Company president and ceo “This will assist Home Keith Sorgeloos said Source in reducing costs he and Fraley have and allow me to purbeen studying ways sue some opportunities to reduce costs for six I have been approached months. “He’s good about recently and to man, and we have a look for other opporturelationship both pronities within our indusfessionally and pertry where I can make a sonally.”

JOHN FRALEY meaningful contribuBusiness for the tion,” said Fraley, who second half of the year has been with the comlooks to be picking up, pany for nearly five years. he added. “These are challenges He added: “I will miss every- that we’ll get through, just like one and the challenges and we got through the recession. rewards associated with growing I’m going to miss him.” HTT

Surtex Panel Has Designs on Design

NEW YORK — A highlight of the Surtex surface design show earlier this month in New York was a morning panel discussion, themed, “American Embraces Design ... Finally.” Above: The all-star line-up included Lynn Shanahan of Marimekko parent C2 Group and Revman’s Rich Roman. At left, the panel from left to right included: Tom Mirabile of Lifetime Brands, Elizabeth Bournaud of Francois Bournaud Paris, David Hedley of Artwork Design, Michelle Ishay-Cohen of Abrams, David Bolotsky of UncommonGoods and Shanahan and Roman. Penny Sikalis of Surtex, at the podium, introduced the event, which was moderated by Dan Rubinstein of Surface Magazine.

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Home Textiles Today

> hometextilestoday.com

May 23, 2011

BUSINESS TodaY At Kohl’s, Home the Headliner Business in Q1 M E N O M O N E E FA L L S , W I S . —

Home led the way at Kohl’s during the first quarter, throwing off the best comp results among all departments.

“From a line of business, home reported the strongest comps, driven by strength in tabletop, food prep, electrics and bedding,” noted Kevin Mansell, chairman, president and ceo, during the mid-tier department store’s earings conference call earlier this month.

Also significant during the quarter were strong e-commerce sales, which increased by 47% to $187 million over the year-ago period, keeping up the pace for Kohl’s lofty expectations for this segment this year.

“Our e-commerce business remains on track to achieve $1

billion in sales in 2011,” Mansell added. “To achieve that goal, we will continue to invest in the business as we purchased a third e-commerce fulfillment center in Maryland that will be on-line to support Holiday 2011 peak season.”

Kohl’s overall first-quarter results were not up to par, Mansell said, with the exception of the retailer’s noteworthy 14% increase in diluted earnings per share to 73 cents.

Net income rose 6.0% gain in net income to $211 million, while sales increased 3.1% to $4.2 billion. Comps were up 1.3%.

The double-digit growth in earnings per share came thanks to “strong expense management and continued gross margin im-

provement,” Mansell said.

On the topic of price increases, Mansell made a brief note that Kohl’s will be elevating tickets more broadly across the store this fall, following evaluations of some current price-hike testing in specific areas – including denim and children’s opening price point merchandise – through the end of June.

Kohl’s provided initial earnings guidance for the fiscal second quarter, which ends July 30, of 96 to $1.02 per share. The company also updated its guidance for fiscal 2011 to $4.25 to $4.40 per diluted share, reflecting its first quarter results and expected second quarter share repurchases, from its initial guidance of $4.05 to $4.25 per diluted share. HTT

Home Depot Challenged in Q1 ATLANTA — The Home Depot’s flat first-quarter sales didn’t keep the company from posting double-digit profit growth.

Net earnings during the first quarter ended May 1 rose 12% to $812 million, or 50 cents per share, compared with $725 million, or 43 cents per share, in the same period last year. Its first quarter earnings per share increased 16.3% over

the prior year. Sales slipped 0.2% to $16.823 billion. Total comps fell 0.6% and were down 0.7% at the chain’s U.S. stores.

Frank Blake, chairman and ceo said, “Our sales declined slightly due to a slow spring selling season, but for the year we expect sales to grow in line with the guidance we previously provided.”

Home Depot expects sales to be up 2.5% from fiscal 2010.

Based on its year-to-date performance, the company raised its fiscal 2011 earnings-per-share guidance to be up about 11.4% to $2.24 for the year. The guidance includes the benefit of the company’s year-to-date share repurchases, but excludes the impact of future share repurchases. HTT

Same-store sales

Comps Soften Slightly NEW YORK — Same-store sales rose 4.0% dur- Redbook analyst.

She added: “Retailers are looking for an ing the second week of May, according to the improvement in seasonal business as warmer Johnson Redbook.

The discount sector’s comps were up 4.2%, weather, graduation season and the Memoriwhile the department store group saw a 3.5% al Day holiday draw closer.” HTT lift.

“Some retailers said the Johnson Redbook Index Third week of October, year-over-year % change pace of sales was uneven, slowing down in the middle WEEK ENDED 5/7 5/14 5/21 5/28 MONTH TARGET of the week but picking up Department stores* 4.9 3.5 4.2 3.5 and finishing stronger into Discounters 4.5 4.2 4.4 4.0 the weekend. Other retailers Redbook Index 4.7 4.0 4.3 3.9 *Including chain stores and traditional department stores blamed the weather for the Source: Johnson Redbook Index soft tone,” said Catlin Levis,

htt110502_016Biz 16

Lowe’s Blames Weather, Economy for Q1 Woes MOORESVILLE, N.C. — Slammed

by harsh weather conditions that only further damped the negative effects of the soft housing industry, Lowe’s Companies suffered multiple declines in its first quarter.

For the 13-week period, ended April 29, the home improvement chain saw its net earnings dip 5.7% to $461 million, while sales decreased 1.6% to $12.2 billion from, and comparable store sales declined 3.3%.

Earnings per share of 34 cents were flat compared to last year and within the company’s guidance.

“During the quarter, we faced ongoing economic pressures, unfavorable weather conditions and tough comparisons to last year’s government stimulus programs,” lamented Rob-

TJX Q1 SALES FROM PAGE 1

“Our sharp execution is driving our strong results [at HomeGoods],” she continued. “We’re offering great off-price values and an assortment of goods from around the world.”

In Canada, while the harsh weather negatively impacted apparel sales, “our home business performed very well. We’re excited about the launch of Marshalls in Canada, where our first five stores are now open. And so far, customer response has been very strong.”

When asked by an analyst if the company’s recent increase in “pack-aways,” or early buys, was triggered by price inflation, Meyrowitz explained the company “is never shy on goods, great goods” regardless of timing, and said the company is reluctant to raise its prices.

“We only do [pack-aways] when we see wonderful deals.

It’s not about mitigating costs, it’s

ert Niblock, chairman and ceo.

“While we are focused on competing effectively in the current environment, we are also working diligently on our commitment to deliver better customer experiences. We are building momentum in 2011 behind our transformation from a home improvement retailer to a home improvement company.”

Lowe’s outlook for its second quarter calls for: total sales to increase approximately 4%; comparable store sales to increase approximately 2%; and diluted earnings per share of 65 to 69 cents.

For fiscal 2011, Lowe’s is expecting: total sales to increase approximately 4%; comparable store sales to increase 0% to 1%; and diluted earnings per share of $1.56 to $1.64. HTT

about the product itself,” she said, later adding “We’re really excited about the product available [lately in the marketplace]. Our average ticket is flat today, and our intention is to give our consumer great value. We’re excited about the value we’re giving our customer. If he world is out there at higher price points, then we have the ability to raise our price points.

But we want to keep our distance between everyone else out there.”

TJX Cos. overall results for its first quarter, ended April 30, included: a 4% increase in net sales to $5.2 billion; a 2% increase in consolidated comparable store sales; net income of $266 million; and diluted earnings per share of 67 cents.

Customer traffic was another highlight in the quarter, with its rates up over significant prior-year increases, “which reinforces to us that value remains top-of-mind for consumers regardless of the economic environment,” Meyrowitz said. HTT

5/19/2011 12:00:01 PM

Open A New Window With

More companies choose Home Textiles Today for their marketing & advertising than all other industry publications put together.

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Home Textiles Today

May 23, 2011

Calendar June 1–3 Interior Lifestyle (Ambiente/ Heimtextil/HomeDesign) Japan International Exhibition Center (Tokyo Big Sight), Tokyo +81 3 3262 8453 www.interior-lifestyle.com

18

AmericasMart, Atlanta (800) ATL-MART or (404) 220-2435 www.americasmart.com

Home Textiles Today Market Kickoff Party 6-8pm the Rooftop and Penthouse of 230 Fifth Avenue 646-805-0226

15 – 18 (TBD) The Atlanta International Area Rug Market AmericasMart, Atlanta (800) ATL-MART or (404) 220-2437 www.americasmart.com

19-23 New York Home Fashions Market Home Fashion Products Association (212) 297-2122 (Kellen Co.) www.homefashionproducts.com

5–8 Showtime Fabric Fair Market Square, Textile Tower, High Point, N.C. (336) 885-6842 www.itma-showtime.com

13 – 15 NeoCon World’s Trade Fair The Merchandise Mart, Chicago (800) 677-6278 www.merchandisemart.com/neocon

13 – 15 American Society of Interior Designers (ASID) National Conference at NeoCon The Merchandise Mart, Chicago (202) 546-3480 www.asid.org/foryou09

31 – August 3 ASD/AMD Las Vegas Sands Expo Center & Las Vegas Convention Center, Las Vegas, (310) 481-7300 www.asdamd.com

21 – 23 Heimtextil Russia IEC Crocus Expo Exhibition Center, Moscow, Russia +7 (495) 721 1058 www.messefrankfurt.ru

August 1–5 Las Vegas Market World Market Center and Pavilions Las Vegas, (702) 599-9621 www.lasvegasmarket.com

23 – 26 ABC Kids Expo Louisville, Ky. (210) 691-4848 www.theabcshow.com

13 – 18 New York International Gift Fair Jacob K. Javits Convention Center, Pier 94, New York (914) 421-3200 , www.nyigf.com

October 6–8 Interstoff Asia Essential – Autumn Hong Kong Convention & Exhibition Centre, Hong Kong (852) 2238 9917 www.interstoff-asia.com

14 – 16 Licensing International Expo Mandalay Bay Convention Center, Las Vegas (212) 951-6612 www.licensingexpo.com

22 – 28 Dallas Holiday & Home Expo Dallas Market Center, Dallas (800) 325-6587 www.dallasmarketcenter.com

22 – 28 Dallas Total Home & Gift Market Dallas Market Center, Dallas (800) 325-6587 www.dallasmarketcenter.com

14 – 18 New York Home Textiles Market Week 7 W New York, 230 Fifth Avenue, Jacob K. Javits Convention Center, New York, NY (800) 272-SHOW www.nyhometextilesmarketweek. com

27 – 30 Textile House South America Anhembi Exhibition Pavilion São Paulo (SP), Brazil (+55 11) 2105-7000 www.grafitefeiras.com.br

14 – 18 Gourmet Housewares Show Jacob K. Javits Convention Center (914) 421-3200 www.thegourmetshow.com

29 – 31 Intertextil Show Shanghai New International Expo Centre, Shanghai, China (852) 2238 9983 www.messefrankfurt.com/hk

September

24 – 27

9 – 13

F!NDS Dallas Temp Show World Trade Center, Market Hall, Dallas (214) 655-6116 www.dmcfinds.com

Maison & Objet Parc des Expositions, Paris-Nord Villepinte, Paris www.maison-objet.com

10 – 12 30 – July 3 & July 7 – 10 New Designers Business Design Centre, London 020 7288 6738 www.newdesigners.com

Dallas Total Home & Gift Market Dallas Market Center, Dallas (800) DAL-MKTS www.dallasmarketcenter.com

July

10 – 12

13 – 20

Atlanta Fall International Gift & Home Furnishings Market AmericasMart, Atlanta

The Atlanta International Gift & Home Furnishings Market

htt110502_018C 18

(404) 220-3000 www.americasmart.com 10-12 F!NDS Dallas Temp Show World Trade Center, Market Hall, Dallas, TX (214) 655-6116 www.dmcfinds.com

12 – 14 Domotex Middle East Dubai Airport Expo Centre, Dubai, United Arab Emirates +971 4 337 6072 www.domotex-middle-east.com

22 – 27 High Point Market International Home Furnishings Center (IHFC), High Point, N.C. (336) 869-1000 www.highpointmarket.org

November 12 – 15 International Hotel / Motel Show Jacob K. Javits Convention Center, New York (914) 421-3200 www.ihmrs.com

December

13 – 14

4–7

HD Boutique Exposition & Conference Miami Beach Convention Center, Miami Beach, FL (770) 291-5400 www.hdboutique.com

Showtime Fabric Fair Market Square, Textile Tower, High Point, N.C. (336) 885-6842

13 – 15 Indigo (Home Furnishing Edition) Brussels Expo, Brussels, Belgium +33 (0) 1 70 38 7000 www.indigo-salon.com

5/19/2011 12:05:39 PM

2011 LOGISTICS CONFERENCE

L

GISTICS: the critical link to supply chain excellence th Join us for this special one-day conference filled with expert speakers, panels and workshops devoted exclusively to retailers and manufacturers in the gifts and home furnishings industries.

WEDNESDAY, JUNE 15, 2011 AMERICASMART, ATLANTA, GA

99

$

EARLY BIRD REGISTRATION Until May 16th

189

$

STANDARD REGISTRATION After May 16th

8:30am-9:20am Check-In and Registration 9:20am-9:30am Opening Remarks Ray Allegrezza, Editor in Chief, Furniture/Today

9:30am-10:15am How the New Logistics Can Keep You Profitable In the New Normal Jack Holmes, President, UPS Freight With the economy still problematic, smart companies are tapping into new logistics solutions to help them navigate in today’s unpredictable waters. What are these new logistics solutions and how can you put them to work for you? Jack Holmes, President of UPS Freight, has the answers.

10:15am-11:15am Ocean Freight: Setting the Course for Smooth Sailing Ocean freight typically represents your second largest expense and with see-saw freight pricing, how can you minimize freight costs while maximizing efficiencies and profitability? A panel of experts including Chad Rosenberg of American Global Logistics, John Graves of Hanjin Shipping, Steve Wolfe of Stanley Furniture, Steve Burdette of Havertys Furniture and John Lomax of Furniture Brands will share invaluable tools and tips for staying afloat in today’s market.

11:15am-11:30am Break 11:30am-12:30pm Home (Sweet Home) Delivery

159/NIGHT

$

As e-commerce sales continue to rise, will demand for home delivery also rise? Are traditional retailers turning to home delivery rather than maintaining their own delivery fleets?

With the majority of furniture imported from Asia, what

challenges does this pose to home delivery companies? Why are some importers now taking on the role of home delivery?

Patrick Cory of Cory Home Delivery, Keith Hewitt of hepdirect, Will O’Shea of 3PD and Jim Waters of Home Depot, along with their retail partners, will address these critical topics.

12:30pm-1:30pm Lunch and Networking 1:30pm-2:30pm The Law, Logistics and You Mike Roll, Pisani & Roll LLP Are you CTPAT proficient? Does your new math include an understanding of 10+2 Importer Security Filings? To help you understand these intricate issues, we’ve invited Mike Roll of Pisani & Roll LLP, a law firm that specializes in international trade and customs law, including matters relating to supplychain security, to be your guide. He also will provide an update on the latest developments with U.S. Customs.

2:30pm-3:30pm Warehouse Management: Thinking Inside and Outside Your Big Box With forecasting tougher than ever, the demand for just-intime delivery and domestic availability is spiking. Whether you are a retailer, importer or are related to any of the links in the supply chain, you need to bring your notepad to this session. Bob Smith of Garr Consulting will lead a panel discussion that includes Eric Lamphier from Manhattan Associates, Jack Hawn of Zenith and Edward Massood of Thomasville.

3:30pm-3:45pm Break 3:45pm-4:15pm Q&A, Closing Remarks, Adjourn

WESTIN PEACHTREE PLAZA 800-241-6405

Register online at www.FurnitureTodayOnline.com/Conferences.

For more information contact Heather Grant at (336) 605-1061 or hgrant@sandowmedia.com

20

Home Textiles Today

May 23, 2011

News

NYIGF’s At Home Adds Exhibitors W H IT E P L AIN S , N.Y. — The New York International Gift Fair section At Home featuring Home Textiles will host some suppliers who are new to the show.

They include Chortex USA (towels), Daisy House (Turkish towels and robes), Marigot (cashmere), Pure Fiber (eco-friendly bed and bath textiles), Rough Linen (bedding and curtains) and Secrets de Provence (tablecloths).

In addition, Callisto Home (pillows) and Cloud 9 (pillows are relocating from Pier 94 into At Home featuring Home Textiles.

Home textiles suppliers returning to NYIGF after an absence include Hamburg House (bed, bath and table linens) and Karen Luu Home Couture (loungewear and pillows), Matteo (bed linens, tabletop and window coverings).

At Home featuring Home Texitiles exhibitors who are expand-

ing their presence for the summer 2011 market include Alicia Adams Alpaca, CGG Home Fashions, Coyuchi, Cuddledown, Dwellstudio, Florabella, Happy Blanket, Matouk, Pehuen - Patagonia Designs, Pine Cone Hill / Dash & Albert Rug Company, Scintilla, Sefte, Sferra, Sivaana and Woven Workz.

Newcomers to At Home at Pier 94 include Adri Collection (luxury cushions and throws) and wolfum (tabletop and pillows).

Home textiles resources returning to NYIGF after a hiatus include Katherine Klyce (pillows and throws) and Michaelian & Kohlberg (pillows).

Rretailers are invited to attend the At Home welcome reception on Pier 94, hosted by HTT sister publication Home Accents Today on Saturday, Aug. 13, from 5 p.m. to 6 p.m., to celebrate the market’s

> hometextilestoday.com

Stein Mart

opening day.

On Aug. 14, “25 Retail Ideas That Work” will be presented by HAT from 12-1 pm.

On Aug. 15, the International Furnishings & Design Association (IFDA) will sponsor “Color: From Theory to Selection,” from 9 a.m. to 10:30 a.m.; and from 10:00 to 11:30 a.m., RetailerForum.biz and ART (Accessories Resource Team) will facilitate “Retailer Roundtable” discussions about social media, in-store events, store operations, retail competition, open to buy budgeting, credit card policies and more. Seminar information and registration is available online at: www.nyigf.com/ programs.

At Home runs Aug. 13, through Aug. 17, at Pier 94; and At Home featuring home textiles runs Aug. 14 through Aug. 18 at the Javits Center in New York. HTT

STEIN FROM PAGE 1

“Jane brings extensive experience in the home category and we’re excited to have her on the Stein Mart team,” the company said. Dever’s resume includes home-related positions at Macy’s, Robinson’s and May Company.

Stovall said that since joining Stein Mart in April, Dever “has hit the ground running and is working with her team to make [home] a category with distinctive merchandise.”

Another area of focus this year for Stein Mart is modernizing its image as it aggressively pursues younger and Hispanic customers. The retailer launched its first Hispanictargeting advertising program during the first quarter, and received a strong response from this segment of shoppers. The

plan is now to expand the effort and continue to appeal to bilingual shoppers via more advertising and expanded merchandise offerings.

On a related note, Stein Mart is also this year investing more than $3 million to renovate and update its existing stores for a more “modern” look and feel on the selling floor.

E-commerce is also being enhanced this year after some recent testing on the company’s www.steinmart.com site that started last fall.

Stein Mart’s results for its first quarter, ended April 30, included modest increases in sales and comps as well as double-digit increases in net income.

Net income grew 11% to $15.9 million or 35 cents per share. Sales were up by 0.8% to $303.5 million, and comps increased 1.5%. HTT

CLASSIFIEDS HELP WANTED Designer – Window Hardware CHF Industries, Inc., a leader in textile home furnishings, has an immediate opening for a Designer for Window hardware products and soft home design in New York. Minimum of five years design experience in home furnishings with extensive experience in window hardware. Candidate must have a strong sense of design utilizing CAD and product construction. Must understand design specifications and construction details. Must have experience making presentations to major retail customers. Has to work well under pressure, maintain a good attitude and have an eagerness to learn. Good communication skills, organization and attention to detail are needed to be successful.

Sourcing knowledge is desired. Send resume to CHF.HR@chfindustries.com or fax to 704.522.4704 with “Window Designer” in the subject line.

Demand Planner – Forecasting Analyst CHF Industries, Inc., a leader in textile home furnishings, has an immediate opening in New York for Demand Planner with minimum of 3 to 5 years experience in home textiles and/or apparel forecasting. Analyzes retail sales data to provide SKU level forecasts for each retailer. Collaborates and communicates with retail planners. Superior organization and attention to detail required. Strong computer skills, including Excel, required. Must be able to work under pressure. Prefer statistics, accounting or math degree.

Send resume including recent salary history to CHF.HR@chfindustries.com or fax to 704-522-4704 with “Analyst” in the subject line.

CLOSEOUTS CLOSEOUTS WANTED --BOUGHT AND SOLD-Seeking Unlimited Quantities on Firsts, Irregulars and Overstocks HOME FASHIONS DISTRIBUTOR INC Mike O’Neil 207-646-1949 Email: mike@homefashionsinc.com

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Wanted: Sales Manager, as well as Replenishment Buyer and Packaging Designer Leading Bath, Kitchen & Acct Rug Mfr w NYC Showroom/Design/ Sales Office, Company Owned Factory in China & East/West Coast Distribution Centers looking for talented, hard working Sales Manager with experience selling Major Retailers. Attn: BB20151 to classifieds@sandowmedia.com Senior Bedding Designer Victoria Classics a Home Textile Importer based out of Central New Jersey seeks a Creative professional with 3+ years exp designing quilts, bedspreads, and duvets. Must have exp across all design lifestyles.

Must know Photoshop & Illustrator, have exp meeting with retailers, and be willing to travel.

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FASHION BEDDING DESIGNER Royal Heritage Home, a home textile importer of fashion bedding, based in mid-town Manhattan, seeks a Creative and Highly Organized professional with at least 2 years experience.

Must know PHOTOSHOP/ILLUSTRATOR. Send resume in confidence to: khartman@royalheritagehome.com

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22

Home Textiles Today

May 23, 2011

News

Sferra Through the Years

www.hometextilestoday.com IMAGES COURTESY SFERRA

EDISON, N.J. — Back in the day, Sferra’s table linens were made of Irish linen and hand-embroidered or embellished with hand-hooked lace by nuns and other Italian ladies doing piecework.

Gennaro Sferra opened his factory in 1905 in Venice at 5007 San Severo, near the Rialto Bridge. Seven years later, he moved his family to New York and opened a shop on Fifth Avenue.

His sons, Enrico and Albert, expanded the line to include other fine European linens of the era, including double damask from Ireland, Alençon laces from France and embroideries from Belgium and Switzerland.

In 1956, Enrico was planning his returning to the United States after loading up on merchandise from the factory. Inez Rampine, who oversaw the operation in Venice, encouraged him to take some time off and suggested he sail over rather than fly.

He did, booking passage aboard the Andrea Doria, which sank off the coast of Nantucket after colliding with another ship. Sferra survived; his trunks filled with linens went down with the ship.

When current president Paul Hooker bought the business in 1977, Albert Sferra agreed to stay on for a year. The company was doing $250,000 in annual sales, and Sferra was fairly set in his ways.

“The paint was actually curling off the wall. I said, ‘Can’t we paint this place?’ and Albert said, ‘You can paint if you want, but here’s the thing. You’re just going to have to paint it again in 30 or 40 years,’” Hooker said.

If Hooker moved a stapler two inches to the right, Sferra would move it back, saying, “It’s been there since 1915.”

Sferra also had an idiosyncratic pricing system. Linens were folded into boxes, which were stored in a hulking Mosler safe. Each box was marked with three letters, each letter corresponding to a number. That way, Sferra could raise or lower the price with the buyer being none the wiser.

“When I opened the safe — I was 25 at the time — I just saw a blur of letters,” said Hooker. Sferra wondered aloud how a collegeeducated man could be so dense.

“I would just go home at night and cry. ‘What have I gotten myself into!’ I marked off every day,” Hooker laughed.

Albert Sferra lived long enough to join the celebration for the company’s 100th anniversary. “He lived a long life, and he was proud to see the family name live on,” said Hooker.

After acquiring the company, Hooker expanded into bedding and bath, and in recent years has partnered with design luminaries including Kelly Wearstler and Peter Som. The company now does in excess of $25 million annually.

360 Park Avenue South, New York, N.Y. 10010 Tel: (646) 805-0227; Fax: (646) 365-2307

EDITOR-IN-CHIEF Jennifer Marks 10 Ocean Blvd #8B Atlantic Highlands, N.J. 07716 (732) 204-2012 | jnegley@hometextilestoday.com FOUNDING EDITOR-IN-CHIEF Carole Sloan PRODUCT EDITOR Cecile B. Corral 428 Bianca Ave. Coral Gables, FL 33146 (305) 661-7493 | cbcorral@aol.com MANAGING EDITOR Julie Murphy (646) 805-0224 | jmurphy@hometextilestoday.com DIRECTOR OF MARKET RESEARCH Dana French (336) 605-1091 | dfrench@sandowmedia.com

Sferra’s original factory in Venice was located at 5007 San Severo. Early lines were handmade by nuns and other Italian women.

PUBLISHER/EDITORIAL DIRECTOR Warren Shoulberg (646) 805-0226 | wshoulberg@hometextilestoday.com ASSOCIATE PUBLISHER, ACCOUNT MANAGER CHINA Jeff Reeves (336) 605-1009 | jreeves@hometextilestoday.com ACCOUNT MANAGER NORTHEAST/MIDWEST/ WEST COAST/CANADA Mary McLoughlin (646) 805-0227 | mmcloughlin@hometextilestoday.com CLASSIFIED AD SALES Spencer Whittle (336) 605-1027 swhittle@sandowmedia.com Karen Hancock (336) 605-1047 khancock@sandowmedia.com MANAGER, EUROPE Mirek Kraczkowski Tel: 48 22 401 70 01; Fax: 48 22 401 70 16 | kraczko@aol.com MANAGER, INDIA Kaushal Shah Cell: 91-9821715431; Tel: 91-22-6663 4597 / 24988658 Fax: 91-22-66634596 | Kaushal@kaushals.com ONLINE SALES MANAGER Penny Schneck (336) 605-1084 | pschneck@sandowmedia.com PRODUCTION MANAGER Rich Lamb Tel: (336) 605-1074; Fax: (336) 605-1143 | rlamb@ sandowmedia.com DIRECTOR, WEB OPERATIONS Chris Schultz | (336) 605-1076 | cschultz@sandowmedia.com MANAGER, CLIENT SERVICES, WEB ADVERTISING Dan Sage | (336) 605-1080 | dsage@sandowmedia.com E-MEDIA PROJECT MANAGER Missy Axe | (336) 605-1005 | maxe@sandowmedia.com DIRECTOR OF AUDIENCE MARKETING Allison Ternes (704) 573-9007 | aternes@sandowmedia.com PRESIDENT, FURNITURE TODAY GROUP Kevin Castellani (336) 605-1034 | kcastellani@sandowmedia.com

From left to right: Paul Hooker, Albert Sferra and George Matouk celebrated Sferra’s 100th year.

“I think one of the things I’m most proud of is that we have stayed in our niche,” said Hooker. “We haven’t sold out the brand.

We always think of the brand first.” HTT

SANDOW MEDIA PRESIDENT AND CEO Adam I. Sandow CFO/COO Christopher Fabian

Sferra FUTURE FROM PAGE 1

ra family in 1977, spends a lot of time thinking about the next generation of consumers, how they live and how they buy.

“These kids don’t watch the evening news, and they don’t have a land line,” he said. “We have to think about what are we going to be selling and how are we going to merchandise it. The [companies] that don’t figure it out won’t be in business.”

Sferra is also beefing up its causal marketing “because this generation wants to buy from companies doing good.” The company has been involved with Challenged Youth Sports, which Hooker founded, for 20 years. Sferra also became active in the Wounded Warrior program last year and has now hooked up with Susan G. Komen to support breast cancer research.

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Differentiation is also a big factor for younger consumers, said Hooker.

“It speaks to bespoke, the customizable — how can I get this made for me?”

To that end, Sferra is expanding its Festival table linens line from 13 to 101 colors this summer. Retailers will receive a sample wheel with swatches of every color along with color cards they can hand out to their shoppers.

Sferra will provide table linens in standard sizes or custom sizes. Sferra will keep napkins, placemats and 6-by-9inch cocktail napkins in stock.

“A customer can bring in a plate and match it to the color wheel, then take a swatch home,” said Steve Schneider, executive vp. Turnaround on customer orders will be 10 to 12 weeks, he said.

The Festival program will be front and center at Sferra’s stand during the New York International Gift Fair in August. The company is also looking to expand distribution into tabletop

and gift retailers with the line.

“This is really, really big. We want to hit all those little specialty shops that don’t carry linens,” said Hooker.

“We’re gong to gift box it and make it very simple to put out as a sku.”

Sferra also continues to push its “Lose Count” campaign with pointof-sales materials as well as an online component. The irony is that Sferra was among the first to promote thread count.

“We had linen bedding from Belgium, 300-count, that the manufacturer called C71. I thought, ‘That’s fairly interesting. I never heard anybody put a number on it before,’” said Hooker.

As the thread count wars and dubious marketing claims rendered threadcount distinctions largely meaningless, Hooker became an outspoken advocate for dropping thread count labels.

“My phrase is: ‘We birthed it, now we’re killing it,’” he said with a laugh. HTT

VP CREATIVE AND EDITORIAL Yolanda E. Yoh EVP, GROUP PUBLISHER James N. Dimonekas

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THE WEEKLY BUSINESS AND FASHION NEWSPAPER OF THE HOME TEXTILES INDUSTRY® 360 Park Avenue South, New York, NY 10010 Telephone: (646) 805-0227 Fax: (646) 365-2307 USPS 497-490 HOME TEXTILES TODAY (USPS 497-490) (ISSN 0195-3184) is published 29 times a year except for the weeks of 1/3, 2/14, 2/28, 3/20, 4/11, 4/25, 5/2, 5/16/,5/30, 6/13, 6/27, 7/4, 8/1, 8/15, 8/29, 9/5, 9/26, 10/17, 10/31, 11/14, 11/28, 12/12, 12/26 by Furniture/Today Media Group, 360 Park Avenue South, 17th fl., New York, NY, 10010 a subsidiary of Sandow Media LLC, 3731 NW 8th Ave, Boca Raton, FL 33431. Periodicals postage paid at New York, NY, and additional mailing offices. HOME TEXTILES TODAY copyright ©2011 by Sandow Media LLC. Annual subscription rates: U.S. and Canada $169.97; 1 year, other countries $325.99 for surface mail and $525.00 for airmail. All payments must be made in U.S. currency. Subscription inquiries: HOME TEXTILES TODAY, PO Box 5879, Harlan, IA 51593-1379. Phone: (866) 456-0405.

HOME TEXTILES TODAY and THE BUSINESS AND FASHION NEWSPAPER OF THE HOME TEXTILES INDUSTRY are registered trademarks of Sandow Media LLC, used under license. Sandow Media LLC does not assume and hereby disclaims liability to any person for any loss or damage caused by errors or omissions in the material contained herein, regardless of whether such errors result from negligence, accident or any other cause whatsoever. (Posted under Canadian International Publication Agreement No.40624074. Sandow Media/CDS (Mint Hill) POSTMASTER: Send address changes to HOME TEXTILES TODAY, P.O. Box 5879, Harlan, IA, 51593-1379 Email: HTTcustserv@cdsfulfillment.com. Return undeliverable Canadian addresses to: RCS International; APC; PO Box 503, RPO West Beaver Creek, Rich Hill, ON L4B 4R6

5/20/2011 4:16:24 PM

Home Textiles Today’s

Global Home Show

September 18-22 A Must-See Destination Fall NY Home Fashions Market Week 295 5th Avenue and 7 West 34th Street Exhibitor registration begins May 16. Join an exciting array of companies from around the world and across the United States in this global presentation of home fashion products from existing suppliers as well as new companies looking to enter the U.S. marketplace.

For complete information, contact: Joe Carena, Show Manager, jvcarena@gmail.com (203) 329-9553

For complete exhibitor information, contact: Warren Shoulberg, Publisher, Home Textiles Today wshoulberg@hometextilestoday.com (646) 805-0226

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