Kitchen and Bathroom News @ The K&BZine

Whirlpool Corporation yesterday announced third-quarter 2005 net earnings of $114m, or $1.66 per diluted share, compared to $101m, or $1.50 per diluted share, in the same period last year. The results included two non-recurring items: a $9m gain from the sale of a business, and operating income was reduced by approximately $6m from a fire at a major distribution centre in the U.K.

Net sales of $3.6 billion increased 9 percent from last year and represented a third-quarter record. Excluding currency translations, net sales increased by approximately 6 percent.

'Our third-quarter operating profit, which included approximately $110 million of higher material and oil-related costs, improved versus last year. The combination of actions we began implementing last year to address the significantly higher material and oil-related cost environment have proven to be effective,' said Jeff M. Fettig, Whirlpool's chairman, president and chief executive officer. 'These actions included driving higher levels of controllable productivity, leveraging our global operating platform, reducing non-product related spending, accelerating the rate of innovation to the market and implementing cost-based price adjustments.'

Results for the company's third quarter in comparison to last year were negatively impacted by higher material and-oil related costs, incentive compensation expense, unfavourable currency and increased restructuring costs. The impact from global cost-based price adjustments, productivity improvements and cost-control initiatives all helped offset these higher costs.

'We entered this year faced with a continuation of the significant material and oil-related cost increases that began during 2004. Actions we began implementing during the second half of last year were expected to return our operations to delivering year-over-year earnings improvement during the third quarter of this year, and we are on track with these plans,' added Fettig. 'We are pleased with the strategic and operational progress our company has made during this period of unprecedented cost increases.'

Cash provided by operating activities for the first nine months of 2005 was $269 million compared to $305 million last year. The level of working capital increased versus last year as planned, but declined as a percentage of sales due to strong inventory and accounts receivable management.

On a year-to-date basis, sales increased to a record $10.4 billion, up 8 percent from the prior-year period. Excluding currency translations, sales increased approximately 5 percent. Net earnings of $296 million declined 4 percent, primarily attributable to higher material and oil-related costs of approximately $480 million.

Recent Milestones
    * Washer production began in a new factory in Monterrey, Mexico, and product is now being sold in the U.S.
    * Whirlpool Europe inaugurated a new cooking factory in Wroclaw, Poland.
    * DSG International (formerly Dixons), one of Europe's largest electronics and appliance retailers, signed a four-year agreement making Whirlpool Europe a 'Focus Supplier' - a partnership expected to deliver accelerated growth opportunities.
    * KitchenAid products were launched at Best Buy stores across the U.S.
    * Whirlpool Corporation was the recipient of the 2005 American Business Ethics Award, presented annually by the Society of Financial Service Professionals. The Society, an organisation of 20,000 members who are the top credentialed financial advisers in the nation, established the award in 1994 to honor companies that exemplify high standards of ethical behaviour in their everyday business conduct.
    * Whirlpool Corporation announced that it is donating up to $1 million in cash, products and services to Hurricane Katrina relief efforts. In addition, Whirlpool, which donates a range and refrigerator to every Habitat for Humanity home, is working with Habitat to build new housing in some of the hardest hit areas.
    * Multibras was acknowledged for the ninth consecutive year as one of 'The Best Companies to Work For' in Brazil by Guia Exame/Voce S.A. The organisation also was recognised as one of 'The Best Companies to Work For in Latin America' for the second year in a row.

New Innovations
    * In the U.S., a new line of Whirlpool Gold built-in cooking products that feature European design and advanced technologies to enhance speed cooking was introduced.
    * KitchenAid launched a new line of dishwashers, featuring redesigned interior performance packages, such as the ProScrub option, removable Culinary Tool Rack and the Optimum Wash Sensor technology. KitchenAid also successfully launched the newest addition to its line of refrigerators - a double drawer refrigerator that can be installed virtually anywhere.
    * In Brazil, the Brastemp brand introduced:
       -- The Inverse Refrigerator, featuring inverted freezer and refrigerator compartments.
       -- The 6th Sense Bell-Shaped Hood, featuring an exclusive sensor, which automatically activates the unit when smoke or odours are detected.
       -- The 6th Sense Brastemp dishwasher, which automatically adjusts the cycle timing, water cycle and temperature according to the amount of soil detected by the internal sensor, saving water and power.
       -- The Brastemp Pla - a new line of Personal Lifestyle Appliances, including limited edition mini-refrigerators with detachable front panels designed by well-known Brazilian stylists. The new line was launched during the 10th annual Sao Paulo Fashion Week.

Third Quarter Regional Review
Whirlpool North America delivered record third-quarter unit shipments, revenue and operating profit. Revenue increased 10 percent to $2.3 billion during the quarter and was positively impacted by continued strong consumer demand for the company's branded product innovation. The company's U.S. unit shipments of major appliances (T-7) exceeded industry levels, which were up 3.6 percent.

Operating profit increased 14 percent, as higher material and oil-related costs were mitigated by the combination of cost-based price adjustments, manufacturing productivity gains and strong cost controls.

Based on current economic conditions, the company continues to expect full-year U.S. industry unit shipments in 2005 to increase by approximately 1-to-2 percent.

Whirlpool Europe reported record third quarter unit shipments and revenue. Sales of $811 million rose 4 percent from the prior-year period. Excluding currency translations, sales increased approximately 3 percent. Strong Whirlpool brand performance and positive momentum in the company's built-in business contributed to year-over-year unit volume improvement. Industry demand was estimated to be flat during the quarter.

Operating profit of $48 million was flat compared to last year. Overall results reflect strong productivity improvements and lower general and administrative expense as a percentage of sales. Higher raw material costs and a distribution centre fire during the quarter negatively impacted results.

Based on current economic conditions, the company expects full-year industry unit shipments in 2005 to be flat-to-down 1 percent.

Whirlpool Latin America's sales of $446 million increased 5 percent from the prior-year period. Excluding currency translations, sales declined approximately 11 percent as appliance industry unit shipments declined 17 percent during the quarter.

Operating profit declined 11 percent to $15 million. Lower volume, higher raw material costs and unfavourable currency more than offset cost-based price adjustments, productivity improvements and aggressive cost reductions.

Based on the current consumer interest-rate environment and macro-economic conditions in Brazil, the company anticipates flat industry unit shipments during 2005.

Whirlpool Asia's sales increased 18 percent from last year's third quarter, primarily due to industry growth and new product introductions. Excluding currency translations, sales increased approximately 13 percent. Operating profit increased 52 percent from the prior-year period as higher unit volume, favourable product mix, the absence of last year's trade management initiative in India and cost-based price adjustments helped offset higher material costs.

Based on current economic conditions, the company continues to expect full-year industry unit shipments to increase 3-to-5 percent.

Outlook
'We expect continued positive year-over-year earnings expansion during the fourth quarter,' said Fettig. 'Our positive sales momentum, strong demand for our branded product innovation, productivity initiatives and strong cost controls are expected to offset the unfavourable material and oil-related cost environment.

'As a result, our full year earnings-per-share guidance remains $5.90-to-$6.10 per diluted share, with free cash flow forecasted to be in the $250-to-$300 million range. We continue to expect full-year material and oil-related costs to be at the high end of our $500-to-$550 million range.'

Glen Dimplex Home Appliances has announced plans to open a major new, distribution centre in the Midlands to handle its Stoves, Belling and New World brands.

Construction has already started on the site of the 40,597 sq m (437,000 sq ft) warehouse, based at the Trentham Lakes development in Stoke-on-Trent, due for completion in April 2006.

This new national distribution centre will bring together the company's existing facilities in Warrington and Stoke-on-Trent, to provide a leading delivery service for all products across the three cooking brands.

Denver Hewlett, Chief Executive of Glen Dimplex Home Appliances, said: ‘The relocation of our warehouse and distribution facilities to Trentham Lakes represents a major investment for our company in leading edge distribution.

‘The new purpose-built site will allow us greater flexibility to distribute all Stoves, Belling, and New World from one central point. As a result, we will be able to offer customers an even better delivery service that is tailored more closely to their individual needs. We very much look forward to the move in April 2006.’

Hotpoint has announced a new trading partnership with Underwood Kitchens. The prestigious kitchen company selected Hotpoint's top-of-the-range appliances to complement its hand-crafted kitchens.

Underwood Kitchens, based in Buckinghamshire manufactures high quality bespoke kitchens and prides itself on the company’s designs being highly individual, built to reflect the character of the home and its owner. Underwood Kitchens will feature products from Hotpoint's Experience range including Hotpoint's award winning SE100PX single oven. A built-in model with a sophisticated design and with an array of technological features such as Pyrolytic Fast Clean, Touch Control and 8 Cooking Programmes.

The combination of Underwood Kitchens and Hotpoint's designs can be viewed in lavish showrooms in Knightsbridge and St Albans at the end of the year. For a preview visit The Spirit of Christmas Exhibition from 2 - 6 November at Olympia.
Hotpoint appliances will be used by celebrity chefs during the cooking demonstrations including domino hobs, Experience ovens and Experience refrigeration as well as forming part of the Underwood Kitchens stand.

Jane Cheel, Proprietor, Underwood Kitchens comments ‘We are looking forward to having Hotpoint as a partner in our prestigious Knightsbridge showroom. The top end Experience models are specifically aimed at meeting the demands of clients in the premier sector of the market. As soon as I saw the quality and style of the Experience range from Hotpoint, I knew it would fit perfectly in Knightsbridge. We are looking forward to introducing it into our other stores. Once clients can see and touch the products, combined with the reputation of Hotpoint as a trusted brand, we know we will have a winner on our hands.'

Jeanette Jones, Channel Director - Built-In, Indesit Company comments ‘We are extremely excited about working with Underwood Kitchens and expanding our presence within bespoke kitchens. Underwood Kitchens clearly has the knowledge and expertise to highlight the benefits of Hotpoint's Experience range and we are proud to be associated with the company.’

For further information on Hotpoint call 08701 50 60 70 or visit http://www.hotpoint.co.uk

A major review of the UK Bathroom Market has been published by AMA Research. The report is informed, comprehensive and up-to-date, and represents an aid to sales and marketing professionals involved in the industry.

The report analyses the market size and trends, and the major suppliers in terms of shares. In addition the key products sectors are also examined with market size and trends for each sector provided. Distribution channels are also assessed as part of the comprehensive study. Emphasis is given to both quantitative and qualitative assessments of market developments with interpretation of relevant data to give support to the trends and to provide a basis for extrapolating future prospects.

This 112 page report with 44 tables and charts is available now and is priced at £595.

In 2004 the bathroom products market was worth £858m at manufacturer selling prices. This represents a 5% increase on the previous year, reflecting a buoyant housing market and high levels of consumer confidence.

Rising house prices and generally sustained, buoyant levels of consumer confidence and spending have supported the bathroom market over the last 6-8 years.

The growth of the bathrooms market was stimulated by a number of factors between 2000 and 2002, in particular higher levels of consumer confidence and a buoyant housing market were influential. One particular area of growth was the increasing installation of en suites, downstairs cloakrooms and utility rooms, particularly in new build. The high level of house price inflation, which prompted record levels of equity withdrawal, further supported the growth of homeimprovements. Borrowing on a secured basis remained relatively cheap in line with low interest rates, and mortgage equity withdrawal reached the £13bn mark in the final quarter of 2002.

2003 and 2004 were also positive years, particularly for consumer confidence levels, despite higher interest rates in comparison to previous years. However, consumer confidence and spending deteriorated towards the end of 2004 and other influencing factors, such as mortgage equity withdrawal, were lower than in previous years.

Growth in 2005 is currently lower compared to 2003 and 2004, with higher interest rates and lower consumer confidence and spending, impacting on the market. The recent decrease in interest rates may boost consumer spending, however the impact is unlikely to be significant in the short term, as interest rate cuts can often take 12-18 months before they have an impact on consumer spending and confidence levels.

Price competition, particularly in the DIY sector and also by the likes of MFI, has been a major factor affecting value growth in recent years. While a greater emphasis is being placed on design and quality, which adds value to the products, the DIY sector including MFI offer an increasingly wide range oflower cost products, which appeal to a broad range of customers. In common with many other industries, this has been driven by increasing levels ofimports from low wage-cost countries, such as China.

Product Mix
Baths and sanitaryware continue to dominate overall sales accounting for 43% ofthe market. However, the accessories and furniture sectors are growing in significance and account for 34%, while brassware accounts for 20% ofthe market and the whirlpool spa sector accounts for 3%.

The sanitaryware sector continued to drive the overall market growth in 2004, reflecting the growth of new installations such as en suites and cloakrooms, in both new build and existing homes. In addition, the trend towards higher value products in the sanitaryware sector, in line with the wide range of styles now available, also added value to this sector.

The shower market also continued to perfonn well in 2004, which to some extent negatively influenced the bath sector. The trend towards larger shower enclosures has seen the removal of the bath altogether in some installations. In addition, the focus on en suite/additional bathrooms in new homes has favoured showers. Consequently, the bath market has experienced a slight decline.

The brassware market has performed extremely well in recent years with the mixer sector continuing to gain share. Mixers now account for over half of all brassware, being particularly strong in kitchen brassware. The shift towards modern contemporary styles is now well established in the brassware sector, and the wide range af styles and the focus on design is offering opportunities to add value to sales. Raw material prices have also increased in 2004, which has contributed to the overall value growth of the brassware sector.

Accessories and Bathroom Furniture have also performed well in recent years. Trading up to higher quality products has supported the accessories sector and the wide range of bathroom furniture styles now available has boosted penetration levels in this sector.

The growth of hydrotherapy products has also supported the whirlpool and spa sector. Whirlpools/Spas have traditionally been viewed as an expensive luxury but are fast becoming more affordable for the mass market. As awareness and distribution expands, this market is likely to exhibit significant growth.

Tel: 01242 235724
Email: sales@amaresearch.com
Web: http://www.amaresearch.co.uk

Showers are one of the most dynamic sectors in the plumbing industry. Keeping ahead of the field demands timely knowledge of the opinions of installers and so business research specialist, B2B International, runs a twice-yearly survey. The Shower Brand Preference Monitor canvases the opinions of 500 installers throughout the country. It has around 40 questions, some open ended and some nominated by manufacturers.

'Installers play a crucial role in directing the consumers choice,' explained B2B's Matthew Harrison. 'In the two years that we have been running the survey we have seen how brand preferences have moved and how new developments such as the emergence of digital showers has impacted on the market.'

The subscribers to the survey include the three leading UK brands, who account for around 75 percent of the market. The survey looks at all types of showers and provides feedback on the pivotal issues that affect the installers recommendations.

Data from the survey is presented in a PowerPoint format together with a verbatim report. The next shower survey is due in the first quarter of 2006.

B2B believes the same panel can provide key data on other plumbing purchase decisions, such as boilers, fires and bathroom fittings and is happy to discuss this with manufacturers and distributors.

More information: Nick Hague, B2B International Ltd
Tel. +44 (0)161 440 6000
Email: info@b2binternational.com
Web: http://www.b2binternational.com

Alno (UK) has hosted the first of two dealer visits to its 2006 Hausmesse at the company's headquarters in Pfullendorf, Germany. Alno premier dealers and contract partners from all over the UK returned enthused by the new ranges and innovations they had seen.

Andy Bradbury of Bradbury's Kitchen and Bedroom Centre in Exeter says, ‘I'm really impressed with the new Lifestyle ranges; they will give us many more cutting-edge opportunities to design creatively. Alno has also captured the slightly 70s feel that is in vogue at present in terms of its use of colour.'

Bob Ruler, managing director of Alno's northern contract division said that this was ‘one of the best Hausmesse I've been to in years. There is a lot of new product which will prove very exciting to our clients in the housing sector.’

Alno (UK) marketing manager, Anne-Marie Reed says, ‘This year's new product developments have been designed with the export market in mind and satisfy the style demands of UK consumers. We know that our Premier Dealers are looking forward to designing with 2006's exciting new innovations and ranges’.

Premier dealers and contracts staff were guests of Alno UK's managing director John Kinder (back row 2nd from right) at the Alno Hausmesse in Pfullendorf on the 5th and 6th October 2005.

Staff from Aqualux, the manufacturer of bath screens and shower surrounds, joined in celebrations at Alton Towers to toast the successful first year of the company's Management Buyout.

The West Midlands based business, which employs over 250 people, underwent the Management Buyout in August 2004 and has since enjoyed significant growth with an annual turnover in excess of £30 million.

The management team that lead the buyout are managing director, James Cadman, Mike Jones, sales and marketing director, Mike Heath, operations director and Neil Gore, financial director. All four directors are continuing to drive the company forward.

James Cadman, managing director, puts Aqualux's success down to a number of factors. He said: 'During the last twelve months we've worked hard to raise awareness of the Aqualux brand as a competitive, flexible and quality product that is ideal for a wide range of markets. Our success speaks for itself, despite a general slow down in consumer spending.'

As part of the company's ambitious expansion strategy, Colin Henderson has been appointed as national specification manager and is targeting previously un-tapped markets in the house build and merchant sectors.

Mike Jones, sales and marketing director, further commented: 'This year has been all about enforcing our core values of value-for-money products and customer focused sales support. Our four year plan will see exciting developments across the company which will include the launch of new products to expand the Aqualux brand.'

Tel: 0121 526 7683
Email: sandra.hyde@aqualux.co.uk

In a fresh attempt to boost bathroom trade over the traditional post Christmas sales period, Ideal Standard will be supporting retailers by launching an extensive bathroom promotion early next year.

The promotion - named bathsale@ - will run from 1st January through to 28th February offering customers 20% off the following popular suites from Ideal-Standard - Accent, Kyomi, Purity, Create, White, Reflections, Alto and Studio.

The promotion will also include selected ranges of shower enclosures, valves, kits and brassware.

Marketing Director Paul Frankish comments:

‘Our 2006 Bathsale is a very strong consumer sales campaign aimed at pushing trade during a key bathroom buying period. To support our retailers further we have produced a comprehensive point of sale package for showrooms as well as developing a consumer advertising campaign.’

The Bathsale will also be promoted on the Ideal Standard website.

For further information regarding Ideal-Standard's bathsale@ visit http://www.bathsale.co.uk

Birmingham based Husbands - the UK manufacturer and supplier of food service and passenger lifts - has expanded its management team following record levels of business.

Simon Morgan moves from Worcester & Midland Cold Stores in Worcester where he was sales development manager to join Keith Holmes who acquired Husbands 18 months ago and, along with his management team has been responsible for a dramatic growth in orders. Current projects include the manufacture and installation of lifts at the National Archives building in Edinburgh and an all glass lift for HSBC bank in Westminster.

Simon joins as commercial manger at Husbands, which has its head office and manufacturing plant in Shelah Road, Halesowen. He will be responsible for developing marketing strategies, product development and development of the service and breakdown division.

He brings with him 12 years of experience within the sales industry particularly within brewing where he was sales director of Lupofresh - the largest independent UK hop merchant. His background in selling raw materials to breweries worldwide, involved extensive travel visiting clients across the globe including Africa, USA and Europe.

Simon who is a motor sport enthusiast now lives in Cleobury Mortimer with his wife Julie and his 3-year-old son William.

Tel: 0121 550 1560
Email: simonmorgan@husbands.co.uk

Tecnoglass is a new product from Italian shower manufacturer Cesana. Tecnoglass is one of a range of shower products Cesana plans to launch in Britain later this year. Constructed from 6mm thick tempered glass, tecnoglass shower models are adjustable in size, reversible and stylish, with handles in chromed brass. Enclosures are in a variety of styles to suit all kinds of bathroom (bi-fold door, pivot twin door, corner entry).

The ethos behind the design of all Cesana showers is to make showering a daily pleasure and respond to the continuing trend for well-being and relaxation in the bathroom.

Cesana has been established in Milan for more than 30 years and says that it has constantly led the market in both design and technical innovation.

‘We're confident that the combination of the very best Italian design, superb quality and functionality will ensure our tecnoglass range - and all Cesana products - will be extremely popular with British consumers,’ says Cesana marketing director Gloria Riva.

‘We conduct extensive research into what people really want of a showering experience and act upon that information to ensure we meet shifting demands.

‘The products will be sold via UK retailers and will include some of the most innovative shower solutions in the market - curvaceous walk-in enclosures and streamlined minimalist panels will all feature in the new collection.’

Cesana produces more than 16,000 different models.

For further information on product ranges and stockists, please contact Pete J Taylor of Product Management Ltd on 07831 634627.

In a first for Stoves, the brand is sponsoring a season of programmes entitled ‘Cooking with Passion’ on leading cooking channel UKTV Food. A series of sponsorship idents, have been designed to raise awareness of its new range cookers and Genus oven and generate greater levels of consumer pull-through for trade customers.

The combination of 5, 10 and 15 second idents will appear before and after the main commercial breaks around key programmes such as Delia's How to Cook, Rhodes around Britain and Jamie Oliver's Naked Chef. This will amount to over 2,000 mentions and approximately 11 hours of cooking programming per week for Stoves on UKTV Food.

Running from October 2005 - April 2006, the sponsorship campaign is expected to reach over 2.1 million viewers on the UK's only dedicated food channel which attracts a predominantly young, up-market audience.

Jayne Hall, Marketing Director at Stoves, comments: ‘It is the first time Stoves has ventured into television sponsorship and this campaign certainly moves the brand to exactly where we want it to be - targeting aspirational, discerning consumers with a real interest in cooking and contemporary style.

‘This campaign forms part of our comprehensive trade support package, designed to enhance sales opportunities for our customers and strengthen GDHA's number one position* as the largest supplier of cooking appliances in the UK.’

The UKTV Food sponsorship will also be supported by Stoves' first ever television advertising campaign, due to air later this year.

* According to GfK's August figures, the company now occupies the number one position within the UK market.

Tel: 0870 458 9663
Web: http://www.stoves.co.uk

The managing director of bath manufacturer Clearwater Collection Limited was one of five businessmen selected to take part in a top US marketing scholarship programme.

Darren Allison spent a week in Illinois at the Kellogg Graduate School of Management on a business marketing strategy programme, followed by a week's executive attachment at Connecticut-based Aquaware America, a leading importer of European bath products.

The US Marketing Scholarship Programme, organised and supported by the North America unit of UK Trade & Investment and the British Consulate-General in Chicago, offers UK business people this unique opportunity to attend the Kellogg Graduate School of Management, one of the oldest and most distinguished schools of business and management in America.

‘The aim of the programme is to provide UK company managers with strategic information about effective marketing within the US,’ explains Darren.
‘The US is our largest single export market and so it is crucial that we understand fully how best to successfully target that market.

‘The scholarship was challenging, hugely informative and a great deal of fun - I thoroughly enjoyed every minute and learned a good deal.’

Clearwater Collection Ltd, based in Bradford, is a manufacturer of luxury handmade freestanding acrylic baths.

Clearwater says that it combines traditional shape with cutting edge design to create its baths. The company exports to 25 countries and numbers celebrities amongst its clients (including Paul McCartney, Victoria and David Beckham and Italian Prime Minister Silvio Berlusconi).

Tel: 01274 738140

The Kitchen Bathroom Bedroom Specialists Association has teamed up with the National Homebuilding & Renovating Show 2006 to offer its members special discounts should they decide to take a show stand.

The discounts will be available for the National Show at Birmingham's NEC, which takes place from March 2 to 5.

‘We're delighted to have formed a partnership with this prestigious show and are certain our members will want to take full advantage of the stand discount available to them at the National Show in Birmingham,’ said KBSA Operations Manager Lucinda Kenny.

‘These shows are hugely popular with self-builders and renovators, so this event will be the perfect showcase for KBSA members.

‘The KBSA is committed to raising awareness amongst consumers about the valuable services that our members provide and we have chosen this show because it is essential that this particular market knows why using a KBSA member in their projects is a 'must'.

‘The show gives us the opportunity to educate individuals who will be building, renovating or refurbishing their homes - and the more members who take advantage of our discount, the greater the KBSA presence will be!’

The Homebuilding & Renovating show was first established in 1992 and since then it has grown into one of the most successful shows of its kind.

There are six shows in total, which now include the National Show at the NEC, which is the flagship event, plus major events at ExCel in London and SECC in Glasgow as well as three smaller regional shows.

For further information, members can access the show website at http://www.homebuildingshow.co.uk.

KBSA Announces Dates of Regional Meetings

The Kitchen Bathroom Bedroom Specialists Association will hold its regional meetings throughout November and December - and members are urged to attend to learn about the new Three Way Insurance Cover which will replace the KBSA ConsumerCare Deposit Protection Scheme.

The scheme will officially be launched in January, at KBB2006, and will immediately be available to members.

Dates of regional meetings are as follows:

* November 3 (region eight, Rangemaster in Leamington Spa)
* November 17 (region two, PWS Distributors Ltd, Durham)
* November 24 (region six, Gorenje UK Limited, Wimbledon)
* December 1 (region one, Leaker Direct (Distribution) Ltd, Motherwell)
* December 8 (region 4, Tortworth Four Court Pillars, Wotton-under-Edge, South Gloucestershire)
* December 15 (region five, Merloni, Peterborough)

‘We hope our members will make every effort to attend these meetings - it's vital that they learn all they can about the new Three Way Cover prior to its official launch in the new year,’ said KBSA operations manager Lucinda Kenny.

‘The new enhanced cover will include deposits, work in progress cover and six-year insurance backed warranty.

‘Our regional meetings will present a valuable opportunity for members to ask questions about the new scheme and discuss the way in which it will work in practice.’

All regional meetings will begin at 3.30pm.

Orama, the Derbyshire-based independent manufacturer of worksurfaces and associated decorative products has announced a new agreement which sees Bodel Distributors Limited having exclusive distribution of the Maia range of solid worksurfaces throughout Northern Ireland.

Lisburn-based Bodel is a leading distributor of sinks, taps, appliances, kitchen furniture and other associated kitchen products (http://www.bodel.com). Its portfolio consists of major brand names which lead the industry in quality, technology, design and innovation. Bodel will carry the full range of Orama's new Maia worksurfaces.

The relationship between Bodel and Orama was formed in the 1980s. Bodel was so impressed with the quality of Orama products that as the relationship strengthened, it dropped its other supplier of laminate surfaces choosing instead to process all laminate worksurface business through Orama. Bodel was keen to add Maia to its worksurface range and says that it is very impressed with Maia's design flexibility and the simplicity of fitting the solid surfaces with no additional training and use of standard DIY equipment.

Maia is hygienic due to its smooth, non-porous surface, is resistant to heat, chemicals and staining and is easy to clean and maintain with standard household cleaning products. Available in three sizes with virtually invisible joints achievable by self installation, the Maia range offers the effortless luxury and style of a stone worksurface without the associated costs. The range is available in six colours which have been inspired by latest design trends including Cappuccino, Cream, Corallo, Lava, Vulcano and Vanilla. All colourways will be distributed by Bodel in this new agreement.

Bodel Sales Manager, George Stewart comments: ‘It is only early days, but the Maia range is already proving popular with our existing clientele. We have some excellent displays in several design studios across Northern Ireland and are positive that this is a perfect product for our market. We have been working with Orama for a number of years and our relationship has gone from strength to strength. We are very pleased to be appointed as exclusive distributor in Northern Ireland for Maia as Orama has been a loyal supplier to us.’

Sales and Marketing Director of Orama, Peter Holt, adds: ‘Bodel was the ideal choice for Orama to distribute Maia in Northern Ireland. The company has an excellent reputation and client base and I am confident that Maia will become one of its top performing products.’

Orama offers high quality durable decorative panels and worksurfaces. Established for many years, the Company holds ISO 9001 certification and the Furniture Industry Research Association Gold Award for product performance. Orama is a corporate member of the KBSA (Kitchen Bathroom Bedroom Specialist Association). All Orama's chipboard and solid timber products are sourced from 'responsibly managed' forests.

Tel: 01773 520560
Web: http://www.orama.co.uk

Alliance & Leicester has warned those looking to carry out home or lifestyle improvements, that they could be paying through the nose for 'point of sale' finance, and potentially wasting over £5,300 if they do not try and sniff-out a good deal.

New research from Alliance & Leicester exposes just how expensive finance from retailers can be, and how much money could be wasted by taking out finance with interest rates often in excess of 15% APR.

The research findings show one third of consumers admit to regularly using pricey 'point-of-sale' credit to pay for large purchases - such as double-glazing, a new kitchen, conservatory or car - with almost four in ten (36%) doing so because they believe this type of finance offers a competitive deal.

The view that this type of finance is competitive may change once people realise how much more expensive it is than a low-rate personal loan, for example:

- Double glazing companies with interest rates around 20% APR
- Kitchen retailers charge on average 15.2% APR for a new kitchen
- Finance offered by companies offering conservatories could cost you in excess of 15% APR
- Car dealer finance schemes charge 13.3% APR on average - compared to an Alliance & Leicester personal loan at 6.6% APR

By choosing a double-digit retail finance deal for all major purchases, rather than a 6.6% APR loan with Alliance & Leicester, consumers could be overpaying to the tune of £5,352 in expensive interest.

With one in six people looking to splash out on their home and undertake a major home improvement project along these lines, it should be an essential part of the planning process for people to shop around for a good finance deal.

Andy Bayes, Head of Personal Loans at Alliance & Leicester explained: 'Consumers should think as carefully about how they will pay for significant purchases as they do about choosing the goods. By agreeing to take the retailers' finance deals, consumers could find themselves heavily out of pocket.

'Retailer credit deals can be one of the most expensive ways to borrow money, so they should be treated with caution. I urge consumers to look at all the options when buying large as well as small purchases, and shop around for a better deal than retailer finance provides.

'Those who are already tied to a 'point of sale' finance deal should consider switching their debt. It is quick and simple to do and will rid people of their double-digit interest rate, and replace it with a much more affordable low-rate loan.'

The research also showed that nearly half (46%) of British consumers have used these pricey finance deals at least once when making a big purchase, whilst a third (33%) use it regularly or would consider it in the future.

More than a third (37%) of consumers believe that 'point-of-sale' finance offers a competitive deal; one in four (23%) think it's the quickest way to get the item they needed; and one in five (21%) believe it is the only way they can afford to make the purchase.

The savings highlighted could just be the beginning, as with any large project there will be knock-on costs which people do not consider at the time. For example, installing a new kitchen would also require re-tiling and repainting, or consider having double glazing fitted and the redecoration required afterwards to mask the inevitable damage from the removal of old, and installation of new windows. These could easily add hundreds of pounds to the original cost of the project.

Andy Bayes continued: 'Not only is using a low-rate personal loan much cheaper than retailer finance when making home improvements, it also gives people the flexibility to borrow a bit more to cover the added costs these project inevitably incur. There is nothing worse than leaving something unfinished because you can't immediately afford the additional cost - this is more likely if you are paying well over the odds for expensive finance.'

On 4th October 2005 Indesit Company opened a logistics pole in Lipetzk, Russia’s first and the biggest in the white goods industry in Europe. Key figures at the event included Russian Prime Minister Mikhail Fradkov and Vittorio Merloni.

'We’re in stage 3 of our development in Russia,' said Vittorio Merloni, 'which aims to guarantee maximum client service levels and consolidate our leadership in the country'.

The first stage was based on low production costs and centred on the acquisition in 2000 of the Stinol refrigerator plant, built five years previously by Merloni Progetti.

The second stage was focused on improving productivity and efficiency and culminated in the building of the washing machine plant, also in the Lipetzk industrial district, opened in April 2004 in a ceremony attended by Vladimir Putin and Silvio Berlusconi.

The third and final stage of this development process will ensure greater distribution capacity, an internal Customs capability and a full range of products for the country, served by over 300 after-sales centres in 150 towns. So far, 13 million appliances have been sold in the territory.

The new logistics pole is situated 400 km south of Moscow, on over 5 hectares of land, and will employ 200 people, in addition to the 5,000 already working in the industrial pole. It was built by Merloni Progetti, which has already built another 23 plants in Russia, and will be operated by the company's French partner Geodis. It will handle not only Russian production but also goods from Indesit Company plants in Italy, Poland and Turkey, thanks to dedicated road and rail links.

Glass is setting new trends in contemporary kitchens and bathrooms for use as upstands, splashbacks and as one-off larger panels according to Häfele's Ray Fisher.

‘Glass suits the clinical mood of today's contemporary designers,’ he says, ‘for its clean, flat, smooth and perfect finish and our new range of products offers some beautiful - and permanent - colour options. All our splashbacks and upstands conform to current British safety standards and they've never been easier, or safer, to handle and to work with.’

All products in Häfele's new range are fully tested and certified to withstand direct heat exposure of 120 degrees C for more than one hour - indirect heat over the same period of 420 degrees C. Both splashbacks and upstands conform fully to all current British Safety Standards for use within residential buildings and specifically meet all BS62606 and PREN 12600 demands.

A range of bright, vibrant colour options are infused into the glass at high temperature and because colours penetrate the surface to a depth of 2 microns, with a surface coating depth of 4 microns, colour is guaranteed for life. All shades are both light and heat fast and because of the penetration depth, even minor chipping or marking remains invisible.

Splashback and upstand products are mounted on a self-adhesive backing of acrylic adhesive foam tape making installation a job at DIY level and simple for a professional. Only around 10% of the backing actually needs to be in clear contact with the mounting surface overall to carry the weight and to achieve the sheer and peel properties required to keep the products safely in position.

Häfele says that its new glass range is structurally very strong and the adhesive backing system means that even if splashbacks or upstands are exposed to hard accidental contact with solid objects sufficient to break them, they are shatter-proof and will remain safely in position pending easy replacement. The highest quality float glass is used in manufacture to exclude air or potentially damaging oxides and to ensure a perfectly flat, smooth and visually perfect surface structure.

The quality standards achieved in manufacture make Häfele's new kitchen or bathroom glass easy to cut on site using a conventional glass or tile cutter and products are therefore able to accommodate awkward sites or contours easily, though a range of sizes is available from stock. And, says Ray Fisher, ‘Häfele's new glass range is competitive with other, more conventional decorative surfacing products, area for area, and is both more practical and versatile in use than most.’

Tel: 01788 542020
Email: ray.fisher@hafele.co.uk

Wolseley plc, the world's largest specialist trade distributor of plumbing and heating products to professional contractors and a leading supplier of building materials, has issued an update on acquisitions made.

Since the beginning of the financial year on 1st August 2005, an additional eight distribution businesses in Europe and North America have been acquired for an aggregate consideration of approximately £87 million in cash.

In total, the eight acquisitions completed to date are expected to add approximately £170 million to group turnover in a full year. Goodwill related to these acquisitions is estimated to be around £45 million.

European Distribution
At the end of September, Wolseley UK acquired HGH Plumbing Supplies ('HGH') from Mr P Lake and Mr G Hadridge. HGH is a specialist merchant of plastic above ground drainage products and operates from one location in Tunbridge Wells, Kent. In the year ended 31st January 2005, HGH achieved sales of £5.9 million and had gross assets of £1.9 million at that date.

In October, Wolseley acquired the Centratec Group ('Centratec') from Immo Eera N.V and Mr P Frateur. Centratec is a distributor of domestic and commercial heating equipment and pipes valves and fittings (PVF). Centratec operates from 6 locations focused on the central and eastern regions of Belgium. Centratec achieved sales of Euro42.1 million (£28.8 million) in the year ended 31st December 2004 and had gross assets of Euro21.5 million (£14.7 million) at that date.

North American Plumbing and Heating Distribution
In August 2005, Wolseley Canada acquired Sudbury Valve Fitting & Control Ltd. ('SVFC') from SVFC Holdings Inc. and members of the Smith family. SVFC specialises in supplying industrial valves, valve actuation and instrumentation to the mining, pulp and paper and related industries in Northern and Central Ontario and Quebec from its location in Sudbury, Ontario. In the year ended 31st May 2005, SVFC had sales of C$4.8 million (£2.1 million) and had gross assets of
C$0.9 million (£0.4 million) at that date.

Also in August 2005, Ferguson acquired certain assets associated with the business trading as Park Supply, headquartered in Chicago, IL. Park Supply is a wholesale distributor of heating, ventilation, cooling, hydronics equipment and supplies. In addition to the headquarters in Chicago, the acquisition includes seven other Chicago area locations and one in Hammond, Indiana. The purchase of Park Supply will significantly increase Ferguson's presence in the northern Illinois marketplace and expand its customer base. In the year ended 31st December 2004, Park Supply had sales of $48.5 million (£26.9 million) and had gross assets of $19.9 million (£11.1 million) at that date.

Additionally in August 2005, Ferguson acquired certain assets from S&S Fabrication and Supply Co., ('S&S') located in Mechanicsville, VA. This acquisition will increase Ferguson's ability to provide fire protection services in the Hampton Roads area and strengthen its presence in Northern Virginia/D.C. S&S will trade as Ferguson Fire and Fabrication. In the year ended 31st December 2004, S&S had sales of $1.7 million (£0.9 million) and had gross assets of $0.4 million (£0.2 million) at that date.

In September 2005, Ferguson acquired certain assets of Contractors Field Products, Inc., trading as CFP. CFP is a geotechnical and environmental sitework supplier headquartered in Charlotte, NC. Geotextiles and erosion control products complement and are a natural extension of Ferguson's existing waterworks line. In the year ended 31st December 2004, CFP had sales of $13.2 million (£7.3 million) and had gross assets of $3.7 million (£2.0 million) at that date.

Also in September 2005, Ferguson acquired Economy Plumbing & Heating Supply Co., Inc., ('Economy') from members of the Abrams family. Economy is a wholesale distributor of plumbing and heating equipment, supplying to the commercial and residential markets based in Philadelphia, Pa. In the year ended 31st July 2005, Economy had sales of $26.1 million (£14.5 million) and had gross assets of $8.1 million (£4.5 million) at that date.

Additionally in September 2005, Ferguson acquired Endries, Inc. and Endries International, Inc. ('Endries') from members of the Endries family and a family trust. Endries is an international provider of Vendor Managed Inventory (VMI) programmes for the Original Equipment Manufacturer (OEM) and Maintenance, Repair and Overhaul (MRO) industries. Endries has a branch network of 70 locations across America and also has small operations in Canada, the UK and the Netherlands.

The principal products supplied by Endries include, fasteners and hardware, electrical components, pipe, valves and fittings (PVF) as well as tools, accessories and industrial supplies. In the year ended 31st July 2005, Endries had sales of $149.5 million (£83.1 million) and had gross assets of $57.7 million (£32.1 million) at that date.

Charlie Banks, Group Chief Executive of Wolseley said:
'I am very pleased to be able to announce these acquisitions within our first quarter which will further strengthen our presence in Europe and also in North America. They support our strategy of growing the business through acquisition and organic growth.'