The Andersons appoints new VP
The Andersons has appointed Daniel Anderson to a new corporate-level position, VP corporate services, created in part as a response to the retirement of Dale Fallat, who is ending his 42-year career with the company.
Anderson will oversee the retail operations and corporate engineering, safety, sourcing and procurement, continuous improvement and facility services.
He is also retaining his current position as president, retail group.
Anderson has worked for the company since 1979 and served as president, retail group since 1996.
In related news, Tamara Sparks has assumed an expanded role as VP corporate relations and business analysis.
Bison enters Chapter 11
Bison Building Materials filed a reorganization plan in U.S. Bankruptcy Court in Houston on June 28, citing reduced access to credit combined with significant losses from its expansion into several western markets. The company has already closed or consolidated 16 units in Arizona, Nevada, Colorado, New Mexico, Ohio and Texas, and pared its work force down from 1,350 at its peak to the current 556 employees.
Revenues for 2008 were $271 million, according to the Home Channel News Top 500 Scoreboard.
Going forward, Bison will operate nine locations in and around Houston and Beaumont, Texas. The company will focus on lumber distribution and value added products and services including millwork, engineered wood products, truss manufacturing, windows and installed insulation. Bison has also expanded its product offerings to include commercial grade doors and hardware and concrete accessories.
“When the market started turning two and a half years ago, we decided to do what was necessary to survive,” chief operating officer Tom Tolleson told Home Channel News. “Our operational restructuring is virtually complete. We’re done with the heavy lifting part of this.”
According to Tolleson, Bison was saddled with “significant legacy costs” from equipment and property leases in Phoenix, Las Vegas and Denver markets it expanded into, then retreated from, as housing starts plummeted. Costs associated with these leases mounted as the pro dealer’s revenues continued to decline. Access to credit became more difficult and expensive.
“Our best alternative was to file for Chapter 11,” Tolleson said.
Bison’s lender has agreed to provide debtor-in-possession financing to the 47-year-old company. “We’re hoping this [process] is invisible to our employees and our customers,” Tolleson said. He expects Bison to exit Chapter 11 “no later than December,” he said.
Stock emerges from chapter 11
Stock Building Supply announced that it has successfully completed its financial restructuring and has emerged from Chapter 11. The company’s Plan of Reorganization was confirmed by the United States Bankruptcy Court for the District of Delaware on June 15, 2009.
“This is a great day for Stock,” said Joe Appelmann, Stock Building Supply president. “We are emerging with the strongest balance sheet and financial foundation of any of our competitors. We are re-focused on our core markets and well positioned for the upturn in the housing market.”
After closing operations in select underperforming markets while under Chapter 11 protection, the company is now focused on 19 core markets. These geographic markets represent the strongest prospects for growth and will enable the company to create a strong competitive position and include: Washington, D.C.; Paradise, Pa.; Richmond, Va.; Raleigh-Durham, Charlotte and Winston-Salem/Greensboro, N.C.; Greenville and Columbia, S.C.; Atlanta; Austin, Amarillo, Houston, Lubbock and San Antonio, Texas; Albuquerque, N.M.; Salt Lake City and Southern Utah; Spokane/Northern Idaho; and Los Angeles. The company also continues to operate its commercial, flooring and roofing business units.
“We believe the decisions made over the past several weeks have put the company on a path for success,” said Timothy Meyer, chairman of Stock and managing director of The Gores Group, Stock’s majority owner. “The proactive steps Stock has taken to address the issues facing our business and the entire home-building industry will eliminate uncertainty about our future, an uncertainty that many of our competitors continue to face.”