Major housewares company to close 30 stores
Housewares maker Lifetime Brands will close 30 “underperforming” outlet stores in the United States.
The company will close 27 Farberware outlet retail stores and three Pfaltzgraff factory stores, all of which were projected to generate losses on an annual basis, the company said.
Lifetime Brands has entered into an agreement with Gordon Brothers Retail Partners to manage and operate inventory clearance sales at those locations, which will begin today.
The company estimates it will record pre-tax charges related to the store closings of up to $2 million.
“While we are very pleased with the progress that our Direct to Consumer management team has made in revitalizing our retail stores, we determined that certain locations do not have the potential to show meaningful profits and should be closed,” said Jeffrey Siegel, Lifetime’s chairman, president and CEO.
In other company news, Lifetime Brands confirmed the previously announced sale of its headquarters in Westbury, N.Y. Net proceeds from the sale were $8.8 million.
Lifetime Brands is a designer, developer and marketer of housewares under names including KitchenAid, Cuisinart, Towle and several others.
CPG International reports strong third quarter
CPG International, the parent company of AZEK Building Products, reported earnings of $342,000 in the third quarter, swinging from a loss last year of $756,000.
Sales rose 25 percent to $82.55 million compared with $65.75 million in the same period last year.
“Although the residential housing market further weakened in the third quarter, CPG continued to execute on its business plan achieving impressive growth for the quarter,” said Glenn Fischer, CPG’s interim CEO.
Highlights of the third quarter include expansion of the company’s PVC deck manufacturing capabilities, with CPG adding further manufacturing capacity at plants in Alabama and Pennsylvania. Additionally, the company kicked off a 98-store test program of its AZEK Trim product in Home Depot stores.
CPG International, based in Scranton, Pa., markets products under several brands including AZEK Trim and Mouldings, AZEK Deck and Santana Products.
Building Materials Supply expands Simpson Strong-Tie distribution
Galt, Calif.-based Building Materials Distributors announced it will expand its distribution of Simpson Strong-Tie products into Colorado, Wyoming, eastern Washington, northern Idaho and western Montana.
The new markets join BMD’s core markets in California and Nevada.
BMD became the first Simpson Strong-Tie distributor in 1952.
“BMD has been an integral part of Simpson’s success. Due to BMD’s commitment and dedication, we recently expanded our partnership. We look forward to continued success with BMD,” said Dave Simpkins of Simpson Strong-Tie.
BMD is a wholesale distributor of building materials focusing on the western United States.