Restoration Hardware records losses in Q2
Specialty home decor and decorative hardware retailer Restoration Hardware has announced second quarter losses of $5.5 million, swinging from $2.1 million in profit last year.
Sales rose 2.2 percent to $183.8 million compared with $179.3 million in last year’s second quarter.
“Our second quarter results reflect the challenging home furnishings environment and weakness in the home building sector,” said Gary Friedman, president and CEO of Restoration Hardware.
The company has implemented growth initiatives, including expanded catalog offerings, which it expects to contribute to a revenue increase of 7 to 9 percent in the second half of the year. However, the company still expects a loss of between $1.2 million to a gain of $800,000 in third quarter profit.
“Our supply chain initiatives remain on track,” Friedman noted. “In the first half of the year we retrofitted our Furniture Distribution Centers and consolidated our small package direct-to-customer operations.”
Restoration Hardware operates 102 retail stores and eight outlet stores in 30 states, Washington D.C. and Canada.
Sherwin-Williams to acquire Columbia Paint & Coatings
Paint and coatings giant Sherwin-Williams has announced it will acquire Spokane, Wash.-based Columbia Paint & Coatings. Terms of the deal were not disclosed.
Columbia operates 41 company-owned stores in the Northwest and West regions of the United States. Operations are located in South Dakota, North Dakota, Wyoming, Montana, Utah, Idaho, Nevada, Oregon, Washington, Alaska and Arizona.
Columbia caters to professional painting contractors, builders and DIYers. The company has been in operation for 60 years. Columbia will be merged into Sherwin-Williams and become a subsidiary of the Cleveland-based company.
“We at Columbia Paint are very excited about this merger and are confident that it will allow us to provide a stronger level of service and support to our customers, both now and in the future,” said H.H. Larison, CEO of Columbia Paint & Coatings.
“After the transaction is completed, Columbia’s paints and coatings will continue to be provided through Columbia’s existing stores,” explained Sherwin-Williams CEO Christopher Connor.
Sherwin-Williams operates 3,226 company-owned stores in the United States and manufactures paint and coatings under the names Dutch Boy, Krylon, Minwax and Thompson’s Water Seal.
Alcoa to close Georgia aluminum products facility
Aluminum products giant Alcoa will close a Tifton, Ga., soft-alloy extrusion plant and sell two others, in Plant City, Fla., and Warren, Ohio, for an undisclosed sum.
The facilities manufacture building materials, such as window frames and door frames. No buyer could be found for the Tifton plant, the company said in a statement. Pittsburgh-based Alcoa said about 200 employees work at the Tifton plant, which is expected to close in October.
In June, Alcoa contributed nearly all of its soft-alloy extrusion business into a joint venture with Sapa Group.
Alcoa produces a wide range of aluminum products for the building and construction market, as well as automotive, aerospace and transportation markets.