Welcome to THE K&BZINE News 10th March 2006

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Jacuzzi UK To Consolidate Bradford Ceramic Manufacturing Capability

Jacuzzi UK, today announced the consolidation of its BRADFORD CERAMIC manufacturing capability into its Newcastle Under Lyme facility and its overseas partners. The consolidation is expected to be complete by September 2006. This is just one of the four Jacuzzi UK sites on the Euroway Trading Estate in Bradford, which include an acrylic bath and shower tray facility, a shower enclosure factory, a Warehouse/Office facility as well as the ceramics factory.

This decision is as a result of the UK market slowdown during 2005, and with similar conditions expected in 2006, there is a need to realign the business to achieve profit expectations. Despite other cost reduction initiatives already undertaken, and underway, this consolidation was deemed necessary to compete with overseas manufacturing sources and mitigate the recent impact of raw material and energy costs.

Announcing the decision, Jacuzzi UK/European Managing Director, Stephen Cox (pictured) comments, 'Our primary focus is on continuing to ensure we deliver maximum profitability to our shareholders, excellent design and quality to our customers, be competitive in the market place and provide long term security to our employees and business overall. We do not anticipate any disruption during this phased period'.

The consolidation to the Newcastle Under Lyme site is also demonstrative of Jacuzzi UK’s commitment to dual strategy of UK manufacturing and global sourcing, which has played a significant role in its success to date. It coincides with the ongoing investment at the Newcastle Under Lyme site in a state of the art CAD/CAM facility that went live during 2005. This CAD/CAM technology provides ceramic design for the Jacuzzi Brands global portfolio of products, reflecting the company’s commitment to leveraging in-house design and development capabilities world-wide.
The Bradford ceramic facility employs approximately 100 people and where appropriate, such employees may be relocated to other manufacturing and management positions within its UK businesses.


www.jacuzzibrands.com

Neff's 'Masterpartner®' Loyalty Status For Retailers

In a serious attempt to encourage and support the company's top dealers in strengthening their businesses during 2006 and beyond, UK built in appliance brand leader Neff has introduced an aspirational long-term loyalty reward scheme, entitled Neff 'MasterPartner®'.

Only the most committed Neff kitchen retailers will be eligible for the exclusive new Neff MasterPartner® status, which is based on long-term dedication and support for the Neff brand. All benefits and rewards are centred on incremental business achievements for both companies.

Advantages of membership will include access to the exclusive Neff MasterPartner® identity for exclusive in-store branding & 'star' status on the Dealer Locator section of the popular Neff website, where the chosen companies will be flagged up, as the best in their areas.

Neff MasterPartner® retailers are provided with bespoke services from Neff designed for their specific business needs. These include exclusive Neff Master Partner® training days at the stunning new Training Centre in Milton Keynes, where courses will be tailored to individual requirements; providing artwork for regional advertising to reinforce the national press advertising campaign of Neff at a more local level, plus in addition an exclusive MasterPartner® launch party.

Neff MasterPartners® are also eligible for priority across the board at Neff, from exclusive & extended promotions, to requesting home economists for in-store demonstrations and priority mailing of information. Neff sales personnel will make a guaranteed number of visits per annum to each MasterPartner® and preferential access will be given to the Neff Sales Director.

Each application for 'MasterPartner' status will be selected and submitted by the Area Business Managers, then carefully vetted by Neff Sales Director, Mike Jarrett before being accepted by the company. In addition, successful applicants will each receive a special 'welcome' pack with full details of how to take advantage of the various aspects of this new initiative.

Comments Mike Jarrett: 'I see this initiative as a great opportunity to build a rock solid business partnership, using the new Neff Standard Trading Criteria as a springboard to success. The Neff MasterPartner® concept is unique in the very high level of mutual support it offers to our specialist kitchen retailers'.

The scheme will be monitored throughout the year to ensure that standards are being adhered to. Neff MasterPartner® status and all its inherent benefits may be withdrawn if the kitchen retailer is not meeting the agreed partnership criteria.

To underline the importance of this new initiative, Neff is investing heavily from its 2006 below-the-line spend on establishing the Neff MasterPartner® concept. It follows on from the success of the 'Evolution 2005 ' launch at which the new Neff Standard Trading Criteria was unveiled, in tandem with a brand new cooking range.

Comments Neff Brand Manager, Hannah Watson: 'Every aspect of the Neff MasterPartner(r) concept has been thoroughly considered to ensure that all the benefits are quantifiable in the day-to-day running of our kitchen retailers' businesses. All our efforts will be channelled into making sure that eligible Neff dealers get the very high level of support that their brand loyalty deserves'

Commencing in 2007, annual awards will be inaugurated for all appointed Neff MasterPartner(r) retailers in order to give well-deserved additional credit and local/national publicity to those partner companies who have strived to fulfil all the criteria throughout the previous year.


Neff Showroom Showcases New 2006 Collection

March 2006 sees the official opening of Neff's new Training Centre at the company's UK head office in Milton Keynes, Buckinghamshire.

Virtually every appliance in Neff's comprehensive built in collection is showcased here in a variety of bespoke kitchen and display settings created by leading kitchen furniture manufacturer, Stoneham Kitchens.

The new showroom not only gives Neff retailers the ideal opportunity to come and see all the new 2006 appliances in situ for the first time, but also offers the perfect venue for tailor-made dealer training sessions by the company's experienced full time in-house team.

Divided into two distinct halves, the new showroom has been designed to ensure maximum impact for the new Neff appliances. A tantalising selection of six different contemporary Stoneham kitchen sets reflect the craftsmanship and innovation of both companies, allowing the dealer to visualise the appliances in an authentic domestic environment.

Comments Stoneham Sales Director, Howard Stoneham: 'When Neff offered us the chance to create a series of original kitchen settings for their new Training Centre, we were delighted to have the opportunity of working with them again after our successful collaboration at the 'Evolution 2005' launch. We relished the challenge of providing Neff with a totally unique showroom facility'

The second half of the new showroom has a more practical application; this is the heart of the product training facilities with a full programme in progress most weekdays throughout the year. The manner in which appliances are displayed allows more "hands on" training for the ultimate dealer experience.

Comments Neff Brand Manager, Hannah Watson: 'The new Training Centre is the only place in the UK where dealers can see all our appliances under one roof so visual appeal is essential, as is the layout and practical implementation. Working closely with the experts at Stoneham has enabled us to fulfil all these criteria.'

New CEO For Miele UK

Miele GB announces that Simon Grantham has joined the company as Chief Executive. Simon replaces Michael Jeanes, who has left Miele GB after 16 and a half years to head up Miele Australia.

Simon has over 16 years' experience in the business, having previously held the position of Managing Director of Groupe SEB, one of the leading manufacturers of small domestic equipment with brands such as Tefal, Moulinex, Krups and Rowenta in its stable.

Simon Grantham says, 'I am very excited to be joining such a successful company - Miele had a great year in 2005 and reached the impressive milestone of £100m turnover which is a true testament to the strength of the company and of the Miele brand. I look forward to working with the team and the customers to continue to build the Miele brand in the UK.'


Grohe Appoints New Head of Sales

Grohe welcomes Leigh Leather, as Head of Sales - Major Accounts & Specification. Leigh started out in direct sales as a financial advisor, before moving to the bathroom industry twelve years ago in 1994, when he joined Caradon Mira Ltd as a sales representative in the London area. Leather rapidly progressed through the ranks of the sales team, taking on roles such as Regional Sales Manager, National Sales Manager - New Build and National Account Manager.

Two years ago in January 2004, he took on the role of Head of National Accounts, where he was successful in driving growth within this sector for the company.

Leather is thrilled to join the Grohe team, commenting, 'This is such a great period for Grohe, the whole UK division is moving forward with new products, a new brand image and a growing team. With such fantastic resources and a positive strategy, we can't fail to further improve what was already a well respected name in the industry.'

See www.grohe.co.uk. Trade enquiries only should call 020 8594 7292.


Roman Heads Overseas

Roman Ltd, the UK’s leading shower manufacturer, has appointed Gillian Richardson to help manage its overseas business operations.

Gillian has been given the specialist role of Export Manager and will be working alongside Export Executive, Renata Harding, in managing Roman’s roster of prominent international accounts.

With years of experience working on international contracts, Gillian has worked in a similar role for several North-East companies, including Grorud Engineering in Consett and Viasystems in South Shields.

Originally from Tanfield Lea in Stanley, Gillian has spent time living and working in a number of European countries and speaks fluent French, German and Spanish. She has a Diploma from the Institute of Export and is currently studying Japanese.

Gillian’s multilingual approach will prove invaluable in Roman’s busy Export Department, which is currently trading with a number of high profile countries across the world, including Hong Kong, the USA, Guatemala, Russia, the Czech Republic, Romania, Poland, Spain, Portugal, Grenada, Dubai, Trinidad, Canada, Iceland and the Netherlands.

This huge level of success has resulted in Roman translating their English website into six different languages; French, German, Spanish, Portuguese, Russian and Italian.

Roman will soon be introducing their new high quality Sculptures range into the international market, after the range was launched to rave reviews in the UK.

The unique Roman Sculptures collection, which already encompasses a spacious walk-in enclosure, a self-closing hinged door and frameless Wetroom Panels, has been designed to a very high specification and currently sits at the top end of the UK market.

In an effort to extend their existing international client base, Roman are also intending to exhibit at ISH 2007, a major industry exhibition being held in Germany, as well as attending Cersaie in Bologna and KBIS in Chicago.

Gillian Richardson, Roman’s new Export Manager, said: 'I have a lot of experience working with international clients and I am looking forward to putting my expertise into practice with Roman.

'While the company has already established itself as a market leader in the UK, Roman is still a growing business globally and I am excited about the challenges that lie ahead in consolidating and expanding our position in the international marketplace.'

Study Brings Confidence to Bathroom Showroom

Wilky Group is a family owned company that, in 1980, opened its bathroom business to supply prestige bathrooms to homeowners and residential builders. The Group now has a 100 display showroom in Guildford as well as a distribution centre in Farnborough and employs more than 100 people in various property-related businesses.

In December, Wilky Bathrooms signed up to the BMA's Certificate in Bathroom Studies and during February, three of the showroom team, Jackie Airey, Richard Clarke and Patrick Bateman successfully completed the first stage. During March, sales estimator Richard (left) and trainee estimator Patrick (far right) were presented with their Core Merits by the company's chief executive Dominic Hughes.

Company director Sandra Young explained the business' reason for encouraging its people to study the BMA Guides, ‘over the years the level of technical knowledge that bathroom retailers require has grown significantly’, she said.
‘Knowing that our showroom team has studied the BMA's Generic Industry Guides gives the directors the confidence that Wilky Bathrooms can demonstrate a really thorough knowledge to our customers and clients.

‘Working mainly with residential builders and their sub-contractors’, Ms Young continued, ‘means most of our business is 'supply only' and that puts pressure back onto the sales staff. They all need to understand the basics of installing the various elements of the bathroom.’

The management team at Wilky Group also find the BMA's certification system useful in judging the competence level and the progress of each individual member of its team and awards an annual bonus payment for each Guide successfully completed.

Bathroom Manufacturers Association
Tel: 01782 747123
Web: http://www.bathroom-association.org


Biggest Survey of Special Needs by Bathroom Manufacturers

In March, a survey on the bathroom needs of people with special needs is being mailed out by the Bathroom Manufacturers Association.

The association's membership comprises the major manufacturers of bathroom equipment operating in the UK and the purpose of the survey is to ensure that the bathroom industry's knowledge is as complete as it can be in dealing with the needs of anyone with a disability.

Speaking for the association, director Yvonne Orgill said, ‘we have mailed out almost 7,000 survey forms to two specific target groups - the first being Care and Nursing Homes. We are aiming to find out about the needs or Carers as well as anyone being cared for with this section of the survey. We are looking at both short term and long term needs.

‘The second section of the survey is aimed at Occupational Therapists and here we are aiming to strengthen our knowledge on bathroom needs in the home.

This is quite an unusual survey, in as much as those responding are encouraged to offer their opinions rather than merely tick boxes, ‘bathroom products for people with a disability is a very broad subject,’ says Ms Orgill, ‘we want to challenge our knowledge and to do that we need to make this survey as broad as possible.

‘It will be a test for the BMA's Occupational Therapists database and I would encourage any OT, who has not seen the survey form, but would like to get involved please email living@bathroom-association.org.uk

The Bathroom Manufacturer's Association has a dedicated Special Needs Working Group, working to the overall objective of making bathroom design, both at home and way from home, as inclusive as possible.For more information on bathrooms for people with special needs visit: http://www.bathroom-association.org/special.asp


Design Innovation Awards Finalist Goes from Strength to Strength

A finalist in the KBSA 2005 Design Innovation Awards, Kestrel Kitchens has benefited from an increase in business, thanks to the publicity the company received from last year's awards.

Tom Ireland was a finalist in the Retailer Excellence award category of the Design Innovation Awards, run by the KBSA. Kestrel Kitchens which is based in South Yorkshire, was voted one of the top kitchen showrooms in the UK by its customers.


Graham Hayden, Managing Director KBSA, Tom Ireland, Kestrel
Kitchens, Lucinda Kenny, Operations Manager KBSA

Since the awards, Tom arranged an advertising campaign in the local press and the Yellow Pages, focussing on his Awards success, and has reaped the rewards with a significant increase in sales since the campaign.

Tom comments: ‘We have had a very positive feedback from the adverts as the KBSA Design Innovation Awards are recognised throughout the country for their high standards. We have a very proactive team here who I'm sure will continue to work hard, as our aim this year is to win the Retailer Excellence award!’

The KBSA Design Innovation Awards promotes best quality and service throughout the interiors industry. The Awards highlight and reward skilled individuals, which encourages new talent and motivates those already in the industry.

The 2006 awards have just been launched and entry forms are available from the KBSA or via the website http://www.kbsa.co.uk. The winners of the 2006 awards will be announced at a glittering awards ceremony, which will be held on 6th July.


Multiple 'Best Buys' for BSH Brands in Which?

In the March 2006 issue of Which? magazine, multiple accolades have been awarded to the BSH group of household name appliances for 'Best Buys' in two product categories, namely refrigeration and dishwashing.

In the refrigeration sector, Bosch was awarded two 'Best Buys' for freestanding models KGU30605GB & KGU31125 receiving first and third place respectively, while Siemens is in second place with the KG32U193GB.

The Bosch KGU30605GB gained the top freestanding score of 86 points out of the 26 brands tested. It was singled out for its '...outstanding insulation and excellent cooling & freezing' and described as '...hard to fault'.

Furthermore, in the built in sector of the refrigeration testing, BSH brand Neff was selected as a 'Best Buy' for the K9524X4GB fridge freezer, also coming top in its sector out of six leading brands with a total of 68 points.

Bosch, Siemens and Neff received even more accolades for their dishwashers in the same issue of Which?. In the full-sized freestanding category, the Bosch SGS55C02 was awarded a 'Best Buy' and in the Compact dishwasher category, the Bosch compact model SKT5102 was also recommended as a 'Best Buy' with 75 points.

In the built in sector, both Siemens and Neff earned 'Best Buy' status. In the full sized semi integrated category, the Siemens SE55M570GB came top with 70 points; in the full-sized built in dishwasher category, the Neff S5457 was selected as a 'Best Buy' with the same number of points.

Furthermore, Which? credited the Neff model as '..the quietest and most energy-efficient built in best buy', adding: ‘Neff...is consistently one of the most reliable brands in our annual survey'

Comments BSH Group Marketing Manager, Ekkehard Rabold: ‘Receiving so many valuable 'Best Buy' status for three of our brands from an independent & authoritative testing body like Which? is praise indeed. It reinforces our position as a leading force in the UK kitchen appliance market and underlines our competence right across the appliance product groups'


Imperial Bathrooms Drives Home Brand Positioning Message

British bathroom manufacturer, Imperial Bathrooms, is so intent on driving home its newly adopted brand positioning platform, ‘Imperial Bathrooms – A Modern Classic’ that the company has now introduced the concept to its entire vehicle fleet.

'What better way of delivering such a powerful message whilst quite literally being on the move,' states Managing Director, Antonio Garrido. 'The new livery, whilst being simple in its design, is visually striking and helps portray Imperial Bathrooms as a quality manufacturer of luxurious and opulent bathroom sanitaryware, furniture and ancillaries'

Indeed as a means of ensuring that the new positioning statement receives the visibility it deserves, it is being featured on Imperial Bathrooms’ fleet of articulated lorries, rigid curtainsiders and vans. Echoing the look and feel of the company’s recently latest design guide, ‘Imperial Bathrooms – A Modern Classic’ is not just ‘on the move’, it is being rolled out at all levels of the company’s operations. In addition to figuring prominently on all promotional material, it now features on all items of product packaging.

'Really, it’s all about delivery of a consistency of message to the trade and consumer alike. It is our intention to continue to press our brand values in a positive and progressive manner as a means of ensuring that Imperial Bathrooms realises its true potential,' concludes Antonio.


Wolseley plc Acquisitions Update

Wolseley has spent £63 million on four further acquisitions taking the total for the year so far to £571 million, a record spend in any one year.

Since the beginning of the financial year on 1st August 2005, a total of 29 businesses in Europe and North America have been acquired for an aggregate consideration of approximately £571 million. These 29 acquisitions are expected to add approximately £868 million to group turnover in a full year. Goodwill and
intangible assets related to these acquisitions is estimated to be around £367 million.

US Building Materials Distribution
On 7th March 2006, Stock Building Supply ('Stock') acquired K&A Lumber Company

('K&A') a leading supplier of framing lumber and fabricated reinforcing steel ('rebar'), from Richard Jackson II and Richard Jackson III. K&A has one outlet in Homestead, Florida. The acquisition complements Stock's existing Florida operations enabling it to utilise the rebar fabrication capabilities of K&A across the Florida market. K&A's customers include national and regional commercial contractors as well as national, regional and local homebuilders. The acquisition is in line with Stock's strategy of diversification into some of the commercial business opportunities in building materials. In the year ended 31st December 2004 K&A had sales of $86.5 million (£49.4 million) and gross assets of $36.7 million (£20.9 million) at that date.

North American Plumbing & Heating Distribution
On 21st February 2006, Ferguson acquired Central Georgia Supply Co., Inc., trading as Dixie Plumbing Supply Co. ('Dixie') a plumbing and waterworks wholesaler, from Ricky Hulett and Kent Procter. Dixie has a very strong market position in its one location in Macon, Georgia. In the year ended 31 December 2004 Dixie had sales of $15.8 million (£9.0 million) and gross assets of $3.7 million (£2.1 million) at that date.

European Distribution

On 1st March 2006, PBM acquired Centrale Reolaise des Bois ('CRB'), an assembler and distributor of wood products, from Groupe Intersites. CRB has one outlet in La Reole, 70km east of Bordeaux. CRB's customer base includes generalist builders, end-users and carpenters. In the year ended 31st December 2004 it had sales of Euro1.6 million (£1.1 million) and gross assets of Euro0.6 million (£0.4 million) at that date.

Also on 1st March 2006 PBM acquired the assets of Centrale des Materiaux ('CM'), a specialist generalist builders' merchant. CM has one outlet and will expand PBM's coverage in the South of France. In the year ended 31st March 2005 CM had sales of Euro1.1 million (£0.75 million) and had gross assets of Euro1.0 million (£0.7 million) at that date.

Charlie Banks, Group Chief Executive of Wolseley said:
'We are delighted to announce these new acquisitions which take our total spend
for the year so far to a record £571 million. These bolt-on acquisitions will
further strengthen our presence in Europe and North America and they support our strategy of growing the business through acquisition and organic growth.'


Shaws Tradition - For Over 100 Years Old

Shaws fireclay ceramic sinks have been manufactured in England for over 100 years - 109 years to be exact. The company is based in Darwen, Lancashire and the workforce today comprises mainly of family members of the original craftsmen - a trait that is carried down through many generations.

Not only are the workforce a tradition but the manufacturing techniques use time honoured traditional methods and materials, too. Each sink crafted today is an individual product, bearing testament to the craftsmen who produce them. A certificate of authenticity is placed inside every sink when packaged, verifying the handmade quality and signed personally by the craftsman who made it. Such is the unwavering quality of Shaws sinks - the very best of British!

The classic styling of Shaws sinks is not and never has been based on the whim of the fashion of the day. Its hallmark is timeless, the highest quality combined with form and function. The original Belfast sink is still significantly popular with sales continuing to grow. Shaws remain the premier manufacturer of this product. A new innovation recently introduced is the biscuit glaze finish, available in both the 'Original' and 'Classic' Collections.

Bringing the company right up to date, over the last year the operations team at Shaws have redeveloped and strengthened the 'brand' with a massive investment in new technology, up-to-date kilns, distribution channels as well as redirecting routes to market.

‘With all new avenues now in place’, states Michael Leaf, Operations Director of Shaws ‘we are now ready to embark on a programme to move the brand forward and continue building sales in the UK, which is a key market for our product.’

Tel: 01254 775111
Web: http://www.shawsofdarwen.com


Amazing Facts you Never Knew about Vacuuming!

Recent research* commissioned by Electrolux during December 2005 amongst 377 users has revealed more interesting facts about how we clean our homes - and what we think about vacuum cleaners.

1. How many times a week should the perfect housewife/husband vacuum? That is an entirely personal choice. However Electrolux research revealed that the vast majority of us (over 70%) vacuum the home between 1-4 times a week. Only 5% were obsessive enough to be vacuuming 11 times a week - while even more were very happy to avoid the chore as much as possible: just over 6% said they vacuumed less than once a week.

2. Girl Power rules in the choice stakes! Woman hold the purse strings when it comes to choosing a vacuum cleaner. In the Electrolux survey, the adult female in the household makes the purchase decision in 57% of cases; in just 21% of households is it a joint decision.

3. Do we really care what our vacuum cleaner looks like? Over 80% of consumers interviewed said YES - it was important or very important! Only 5% didn't care.

4. Snapping it up! We don't hang around when it comes to picking that vac. 88% of the people surveyed said they buy a vacuum they see on the shop floor within less than half an hour.

5. But most of us wait till out current model conks out first! 62% of us don't shop until our current vacuum cleaner functions poorly. But once we need one, we don't hang around: 59% of people in UK bought within a week of making the decision to buy a new vacuum cleaner.

* Online survey carried out by Electrolux Floorcare Nov/Dec 05, 377 respondants.

Picture: The Lux IV first produced in 1919.


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