New
KBSA Four Way Insurance Receives Overwhelming Support from Members at
KBB
The
KBSA introduced an enhanced insurance package to the industry at KBB 2006,
which received overwhelming support from the members. Details of the insurance
were made available for the first time on the stand and a series of Q&A
sessions for members were also well attended by members keen to find out
more. The KBSA introduced the concept of the new insurance at the last
series of regional meetings, held last year.
‘We took on board the feedback from our members that we received
at the regional meetings and went back to our insurers to develop this
unique and comprehensive insurance,’ says KBSA Managing Director,
Graham Hayden.
‘This new insurance will herald a significant change in the industry;
it will set our members apart in the market place, giving the consumer
massive confidence in our specialist retailers.
‘We believe that the time is right to introduce this new insurance
because the market place is changing and consumers are looking for even
more added protection and peace of mind. The Government has also focused
on this sector and is preparing to launch Trust Mark, which will require
three way insurance cover to be offered by all approved firms.
‘Whilst the KBSA is supportive of the Government scheme and hopes
to be granted Trust Mark status in 2006 we wanted to press ahead with
our own enhanced insurance for members.’
The new KBSA insurance package, ConsumerCare Plus will be offered as an
optional benefit in addition to the existing ConsumerCare deposit protection
scheme. Members can choose to continue to offer deposit protection only
or the new four way cover.
ConsumerCare Plus gives consumers total peace of mind from four protected
areas, which are; deposit protection, second stage advanced payments,
work in progress and a six-year insurance backed guarantee on workmanship.
‘The introduction of this insurance, which is planned for spring
2006, is one of the most significant benefits we have ever introduced.
It gives our members an extremely strong marketing tool that will make
a major contribution to maximising their sales and profit margins,’
adds Graham.
‘Our members will benefit from an extremely competitive premium for
this insurance because of the power of the KBSA brand and the strict criteria
for retailer membership. No other association can provide such comprehensive
cover at such a competitive rate.’
Sanitec
to Coordinate Shower Production in the Nordic Countries
Sanitec
currently has two shower enclosure and cubicle production facilities in
the Nordic countries; one in Norrtälje, Sweden, and one in Mörrum,
Sweden. Sanitec has decided to concentrate the production to the Mörrum
facility. Consequently, consultations with the employee representatives
will begin regarding the closure of the Norrtälje unit.
'The decision is taken for strategical reasons. We consider larger units
to be more cost-effective and profitable in the long run', says Richard
Alm, Corporate Vice President, Bath & Shower Production.
In the analysis, two separate alternatives were considered, the Mörrum
alternative and one in a low-cost country. 'We chose Mörrum, as we
believe it's crucial to maintain production in close connection to our
market and secure the delivery performance', Richard Alm continues.
Web: http://www.sanitec.com
abode
- Local Student's Work Exhibited
Kitchen
tap manufacturer abode, based in Wakefield, has published winning photographic
images from a competition the company ran in conjunction with Batley School
of Art and Design at the end of last year. The winning pictures were included
in the abode point of sale pack handed out to over 1,000 distributors
and visitors to the company’s stand at the Kitchen Bedroom Bathroom
Exhibition held at the NEC Birmingham.
The
competition was aimed at those studying photography at the college and
the task was set by abode's Design Manager, Paul Illingworth. Students
were given samples of the new taps to be launched and were asked to produce
imaginative and creative imagery. Using a monochrome medium, the task
was to produce innovative pictures that encapsulated the design of the
product in a format that captured the imagination. ‘For students
to have their work recognised at a very early stage is important’,
comments Illingworth, ‘having the talent to commercially depict a
product in a creative way and then having work published whilst still
at college is a wonderful opportunity for those taking part and we hope
to run similar competitions again in the future’.
The results were absolutely fantastic. Students submitted up to 20 shots
covering three separate tasks, using the whole tap, secondly a close up
shot showing enhanced details and thirdly a ‘free choice’ shot
focusing on the best way to publicise the selected tap.
All costs of the competition were covered by abode with the winning work
being reproduced with the student's name alongside, in a commercial environment.
The overall winner of the competition, Craig Watts also received a cheque
for £250 which was presented at the Dewsbury College prize-giving
reception. Three other 'highly commended' students Marc Rothery, Kate
Wilson and Jana Planz also had their work published.
The winning images will be enlarged into point of sale posters to hang
in retail showrooms and also the reception area of abode's new premises
that will become operational later this year.
Tel: 01924 202010
Web: http://www.abodedesigns.co.uk
Britannia
Launches New Reward Scheme for Dealers
Range
cooker specialist Britannia has launched a new reward scheme for its dealers
that offers extra discounts to those who support the promotion of the
Britannia brand.
The new reward scheme offers a Marketing Support Discount on top of the
standard trade discount for those retailers who comply with the brand
and marketing criteria established by Britannia.
‘In recent years, we have invested substantially in developing the
Britannia brand. We have, for instance, improved our brochures last year
and recently issued new POS material. We are also working on a website
upgrade. Everything we do is in line with our brand values of style, pleasure
in cooking and quality,’ said Britannia marketing manager Henneke
Duistermaat.
She went on to say: ‘We recognise that our retailers have an important
role to play in our overall communication with consumers. We need their
support to maintain our position as a premium brand and to ensure our
brand is not devalued. The new discount structure rewards those retailers
that work with us to support this aim.’
The new scheme will be operational from 1st April.
For further information, visit http://www.britannialiving.co.uk.
Log
On and Win with Stoves Microsites
Stoves
is offering online visitors to its Genus and range cooker microsites the
chance to win top products.
By logging on and answering a simple question, visitors to www.stovesgenus.co.uk
can win a state of the art Genus 90cm double oven; which can cook food
up to four times faster than conventional ovens without the need for preheating
and without affecting the quality of the end result.
In addition, visitors to www.stovesranges.co.uk, which contains information
about Stoves' Sterling, Richmond and Gourmet range cookers, can win a
set of Le Creuset cookware.
Designed to offer consumers advice and support when choosing a new appliance,
the microsites detail the features and benefits of the cookers and also
include a number of recipes designed to help make the most of the products.
For further information visit the sites at http://www.stovesgenus.co.uk
and http://www.stovesranges.co.uk
or call 0870 458 9663.
Electrolux
Declares War on White
Electrolux
has announced that it has officially declared War on White, a shift which
marks the company's official move into thoughtful design innovation; meeting
consumer demand for appliances that reflect more individuality in the
home. Modern kitchen appliances do not have to be white or indeed hidden
away in cabinets or placed unceremoniously in cellars or garages. The
kitchen is the hub of the home and Electrolux believes that modern appliance
design should reflect this.
The revelation of three new prototypes at the Salon de Prêt à
Porter in Paris is the second in a series of steps the company plans to
undertake to develop household products that go beyond current appliance
design. Drawing parallels with the fashion world and home interest, this
is a collaboration which has produced a set of sophisticated and stylish
appliances.
The three prototype ranges unveiled comprise:
The 'Inspiré par Noir' collection
The appliances' unique dark design represents a mélange of modern
and historical inspiration sourced from clothes designs ranging from the
early 1920's to today.
Practically, black appliances work well with almost jewel-toned shades
of red, blue or green. Grey kitchens with black appliances can give a
very dark result but are often liked by progressive or at times even conservative
consumers.
The
'Inspiré par Bleu' Collection
Psychologically, blue has always provided a calming effect due to its
natural origin in water and as the base colour for the sky. Overall it
works well in a kitchen environment to provide an overall feeling of relaxation
after a tough day. Practically, blue appliances primarily work well with
white cabinets to enhance cleanliness and purity in the home, or grey
cabinets to add a more modern, corporate and structured feel.
The 'Inspiré par Blanc' Collection
Psychologically, white offers a feeling of purity and innocence. The colour
white is primarily used to enhance other colours on its neutral setting.
Practically, white patterned appliances are best combined with pastel
coloured kitchens and cabinets. White makes pastel tones more lively and
makes combinations seem fresh, spring-like and soft. White helps make
dark and light reds, blues and greens look brighter and more prominent.
The Salon de Prêt à Porter Paris offers the company a platform
for further driving co-operation with, and getting inspiration from, leading
designers in the clothing industry.
Trade
contact details
08705 650 650
Consumer contact details:
Electrolux
08705 950 950
Web: http://www.electrolux.co.uk
Electrolux
Floorcare Puma Football Promotion Kicks off May 06
As
a warm up to the summer of football, Electrolux is running a free Puma
football promotion on two of its flagship models - the Cyclone XL cylinder
cleaner with 'the biggest dirt capacity' and the Cyclone Power Ultima
- Electrolux's most powerful upright to date.
A free Puma football will be given away free from May 06. The football
will be pre-packed with the vacuum cleaner - and a striking (!) POS sticker
will appear on the exterior of the promotional packs. The promotion will
run during May and June 06 (or while stocks last).
Elizabeth Farmer, Marketing Manager at Electrolux Floorcare comments,
‘The offer is timed to capitalise on the football fever which is
sure to be building up as summer approaches.’
Web: http://www.electrolux.com
Good
Housekeeping Innovations 2005 Awards Runner-Up Prize to Electrolux
The
Electrolux Twin Clean™ has been awarded the prize of runner-up in
the Good Housekeeping Institute Innovations of the Year Awards 2005.
This
prestigious award celebrates the very best in smart designs for easier
living, pushing forward products that offer real solutions to everyday
problems.
The Electrolux Twin Clean™ is the first and only bagless vacuum cleaner
to clean its own filter and was praised not only for its innovative self-cleaning
filters, but also for its outstanding cleaning efficiency, ergonomic remote
control, automatic adjustment to floor type and easy empty 'one action'
dust container.
‘We are delighted that the Electrolux Twin Clean™ has been recognised
by Good Housekeeping and are confident that awards such as these will
ensure an edge over our competitors and see Electrolux's position as one
of the leading brands in floorcare strengthen even further,’ says
Elizabeth Farmer, Electrolux Floorcare Marketing Manager.
Electrolux Floorcare
For brochures & stockist information:
Tel: 08706 055 055
Web: http://www.electrolux.co.uk
Small
Hinge Opens Big Conversations for Bemis at KBB 2006
A
small hinge fitted to a range of toilet seats made by Bemis created surprising
levels of interest among visitors to its stand at the KBB 2006 show, held
in January at the NEC.
In spite of the number of products that were on display within the company’s
stand, Bemis says that it was hugely impressed by the number of questions
they were asked about the state-of-the-art ‘Silentium’ technology
that is employed in the toilet seat hinge that operates the range of slow-close
seats which it manufactures and distributes as the ‘Bemis 2019CL’.
‘The
hinging mechanism that creates a braking effect as a toilet seat closes
under its own weight, after little more than a nudge whilst in the raised
position, has been the outcome of many years of research and development,
and has been tested to withstand the equivalent of many years of use by
a typical family,’ says the company. ‘It may also make a contribution
to domestic harmony in many homes, where the correct resting place of
the toilet seat after use has been a point of disagreement between men
and women.
‘Bemis believes that the technology involved in our hinge is the
best in the market, and what intrigued visitors to the stand was how such
a highly sophisticated mechanism was capable of being concealed within
such an unobtrusive hinge.’
In addition, Bemis’s toilet seats have been designed to meet the
company’s ‘Hygenic-plus’ concept. Smooth, low-rise buffers
on the underside of the seat offer the easiest of wiping, having no niches
or corners where bacteria can accumulate. The material used in the construction
of the company’s seats also meets the Hygenic-plus specification,
as the composition manifests anti-bacterial properties, further improving
hygene in the home.
Another product that created particular interest was a seat that converts
an existing toilet seat into a fully functioning bidet with a minimum
amount of plumbing. The bidet seat is currently only available in the
USA, but it made its UK public debut at KBB2006 in order to gauge the
response from potential buyers and stockists.
opticolour®
Touches Down at Birmingham Airport
Interior
Glass Solutions (IGS) the Bath based manufacturer of coloured glass wall
coverings, has been selected to supply opticolour® glass for the Gallery
Café Bar refurbishment at Birmingham International Airport.
opticolour®
is a special type of coloured glass that is chosen for its durability
and visually spectacular properties. It's supplied in large sections and
commonly used as a wall covering alternative to ceramic tiles for both
commercial refurbishments and domestic kitchen and bathroom applications.
The Gallery Café Bar refit was designed & specified by interior
and architectural designers - Orangepeel Design Ltd. Orangepeel specialises
in the restaurant and bar sector and has been responsible for many high-profile
establishments both on the high street and in places such as; Gatwick
Airport, Leeds Bradford Airport, etc and it's currently designing a Yates's
wine bar, also within Birmingham Airport.
Orangepeel designer Wesley Moss comments ‘We were looking for something
to really add some sparkle to the project and bring the bar to life. It
hadn't been performing well and was not as inviting as it could have been.
We found opticolour® on the internet and have been extremely pleased
with the results, we have used blue lighting to complement the glass,
which looks simply amazing at night. The whole project has run smoothly
and the owners 'Select Service Partner' have reported a massive resurgence
in trade. We will definitely be using opticolour® again.’
opticolour® is available in a wide range of colours and effects. The
company says that the 6mm toughened glass requires no grouting and remains
like new throughout its considerable life. More details can be found at
http://www.opticolour.co.uk.
IGS also supplies a measuring and fitting service and welcomes trade enquiries.
Tel: 01225 446629
Email: sales@opticolour.co.uk
Inclusivity
is All About Opportunity - Arlington Shows Flexibility on Access
In
a recent article in KBB Review, entitled 'You don't know what you're doing',
the impression was given that the vast majority of retailers are both
ignorant of the real needs of people with disabilities and fundamentally
unwilling to offer them solutions. RWK and the company’s agents,
Arlington International Agencies, think they are missing a great opportunity,
and have already developed fully adjustable, flexible-height kitchens
that not only provide for people with disabilities, but give any user
an enhanced experience in the kitchen.
Adam Thomas - a well-respected advocate of design for independent living
- has been quoted as saying 'We're going to see more and more companies
setting up in the sector, being tokenistic and not really understanding
the market properly.' ‘Mr Thomas notes that a number of retailers
have dabbled in providing for people with disabilities, and says he knows
of 'three or four' companies who have tried and failed. This may be true,
but with companies like RWK putting its research and development money
where its mouth is, things are set to change - and soon,’ says RWK.
‘RWK is a company that has developed innovative, well-researched,
tried and tested products that provide highly flexible, easily accessible
storage and work-surfaces, facilitating people to be more independent
in their own kitchen. We feel that the article paints a somewhat unbalanced,
negative picture of the industry,’ says the company.
RWK's range of electronically and manually adjustable kitchen units have
been specially designed in collaboration with Ropox of Denmark, to provide
comfortable and safe access to storage, sinks and work surfaces.
The
ability to adjust the height of worktops and wall units enables anybody
working in the kitchen - whether they are seated or standing - to do so
at the height they find most comfortable. They benefit not just the elderly
or those with disabilities, but everyone who eats, entertains or prepares
in the kitchen. Fully compatible with other RWK units, the system allows
everyone to have a fully-functional, adjustable, accessible kitchen without
compromising aesthetics.
‘RWK and Arlington International Agencies believe that retailers
who ignore the issue of access are missing a major opportunity. There
is a growing demographic that includes people with disabilities, the older
independent user, and even families with younger children who want them
to be involved in the preparation of food. It is a benefit to everyone
to work at a height that suits them precisely. With the Ropox system comfort
and convenience come as standard.’
Barry Abrahams of Arlington International Agencies notes, 'We are not
really sure whether to be depressed that more people have not yet woken
up to the fantastic opportunity these new challenges and new customers
bring to our marketplace, or feel reassured that we are so far ahead of
our competition. People who want flexible, independent living need look
no further than RWK kitchens, and our retailers will be able to offer
tried, tested, high-quality systems demonstrating outstanding craftsmanship,
with all the backing of a major European manufacturer.
‘The Comfort Line range from RWK allows you to find your own level
- and our skilled, highly trained designers are there to help make these
ergonomic kitchens a reality.’
‘RWK does not see access and inclusivity as a 'hell of a pain' or
a costly imposition - we see it as an opportunity to make our kitchens
even more ergonomic and accessible to all.’
Tel: 0113 2323233
Email: info@arlingtondirect.co.uk
Web: http://www.arlingtondirect.co.uk
KBSA
Member Makes History at KBB Review Awards
Once
again KBSA members have figured prominently in the prestigious KBB Review
Industry Awards, with Norwood Interiors achieving a first in the history
of the awards, by winning the coveted title of Master Retailer for Kitchens
for the second year running.
Fellow
KBSA member Design Matters scooped the Design Award for Accessible Kitchens,
and In Design - a probationary KBSA member, pending completion of 2 years
in business - won the Showroom Award for Bathrooms.
‘We are proud and delighted that KBSA members have again been recognised
for excellence in design and retailing,’ said KBSA Managing Director
Graham Hayden. ‘It is particularly pleasing that the awards were
presented both to kitchen and bathroom specialists within the KBSA. We
extend our warm congratulations to all three worthy winners, especially
to Ron Potts of Norwood Interiors for his exceptional achievement.’
Ron Potts, whose business was described by the Awards judges as 'head
and shoulders above the rest', holds the position of Regional Chairman
with the KBSA, and says the Association is ‘definitely part of the
Norwood Interiors success story!’
‘To run a successful business you must have the energy and enthusiasm
to constantly evaluate your own operation and be in a position to learn
from other high quality companies,’ he comments.
‘The KBSA has provided a valuable forum for its members to meet with
their peers in the sector to exchange ideas. It has certainly opened doors
for me and has proved an excellent sounding board for my business.’
The KBSA is a strong supporter of the Awards, which contribute towards
driving up standards within the industry, and this year sponsored the
'Travelling Scholarship Award for the Young Designer for Kitchens'.
The 12th annual KBB Review Industry Awards ceremony was held on 23rd January
and was attended by over a thousand representatives from the bathroom
and kitchen industry.
Whirlpool
Corporation Named to KLD's Domini 400 Social Index
Whirlpool
Corporation announced yesterday that it has once again been included in
KLD’s Domini 400 Social(SM) Index. Whirlpool was among the initial
companies selected and it has remained on the Index ever since.
Launched in 1990, the KLD Domini 400 Social Index consists of 400 U.S.
companies that demonstrate leadership in corporate social responsibility.
It is widely used as a financial benchmark for equities and portfolios
that exhibit positive social and environmental records. As of January
2006, $2 billion in assets were invested in funds based on the Index.
Its 15-year return of 438.79 percent was nearly 60 percentage points higher
than the S&P 500’s returns during the same period.
'We are proud to once again be part of the Domini 400 Social Index,' said
Jeff M. Fettig, Whirlpool’s chairman and CEO. 'Long before corporate
social responsibility became a focus of business and society, Whirlpool
employees were conducting business with integrity and extending a helping
hand to others. I am proud of all of our people around the globe who personify
Whirlpool’s values and make recognition like this possible.'
The Index holds companies that exhibit positive social and environmental
records. KLD evaluates company performance on environment, community relations,
diversity, employee relations, human rights, product quality and safety,
and corporate governance. Companies that manufacture alcohol, tobacco
or firearms, or earn significant revenues from weapons contracting are
not eligible for inclusion.
NKBA
Increases Legislative Committment
The
National Kitchen and Bath Association has announced that at its Strategic
Planning Meeting, the Board of Directors authorised an expenditure of
up to $500,000 for legislative activities on the national and local level
for calendar year 2006.
Michael Kelly, CEO of NKBA, explained that the authorisation was necessary
due to increased activities on the part of other design organisations
to limit the ability of NKBA members to practice their profession, 'We
anticipate a number of state initiatives by design coalitions to introduce
title or practice acts in 2006, and our Board has recognised that NKBA
may need to act promptly and decisively in order to protect the interests
of our members. We now have the ability to respond wherever and
whenever we need to in order to ensure the continued ability of our members
to work.'
'The proposed bills being introduced by the design coalitions contain
definitions of interior design that are so broad that they clearly have
the capability of impacting our members and limiting their right to work'
said Edward Nagorsky, Esq., general counsel for the NKBA. 'As a trade
association, we must take all steps necessary to ensure that any such
legislation does not unduly infringe upon the ability of our members to
practice and compete in the marketplace. We look forward to working
with the state coalitions and our local representatives to make certain
that our rights, as well as the rights of the general public, are protected.'
RAK
Ceramics Scoops Major Industry Award
RAK
Ceramics has been awarded the prestigious MRM Business Award, presented
at the Dubai World Trade Centre last month. The company, which has enjoyed
significant growth within the UK in recent years, says that it is one
of the most successful ceramic and porcelain tile and sanitaryware producers
in the world.
The MRM (Mohammed Bin Rashid Al Maktoum) Business Award for Industry was
handed over to RAK Ceramics' chief executive officer Dr Khater Massaad
by Dubai Crown Prince and United Arab Emirates defence minister General
Sheikh Mohammed bin Rashid Al Maktoum himself.
RAK
Ceramics' chief executive officer Dr Khater Massaad (right) and Crown
Prince General Sheikh Mohammed bin Rashid Al Maktoum (left).
‘This
award marks a major milestone for RAK Ceramics and one of which everyone
within the company is justly proud,’ said RAK Ceramics' UK managing
director Rob Jull. ‘The award has been introduced to recognise and
celebrate the success of companies that have significantly contributed
to the economic development of the United Arab Emirates and criteria for
assessing applications focused specifically on factors that led to outstanding
business success.’
RAK Ceramics is based in the United Arab Emirate of Ras-Al-Khaimah. Founded
in 1991, the company now employs in excess of 6,000 people worldwide and
exports to some 135 countries.
Smirk
- Experience the New Showcase
Kitchen specialist Smirk has announced the official opening of its new showroom - 100 square metres of kitchen designs. Smirk has also announced the grand unveiling of 'Simplicity'. Exclusively available in the UK from Smirk, this glass kitchen created by leading Italian designer Ennio Arosio is featured in its own dedicated display area.
Simplicity
by Santambrogio
Chris Organ, Managing Director of Smirk says ‘We have created a unique
showcase to inspire our customers, we have chosen to combine stunning
contemporary designs with state of the art appliances to provide a one-stop
shop for all their lifestyle needs’.
The
new showroom displays four of the latest Effeti kitchens, featured is
Luce, a contemporary style with the natural warmth of oak. In addition
on display in its existing York Road showroom are designs from Boform,
Milldue and Aqua Collection.
Now
in its 60th year, Bütfering, the widebelt specialist manufacturing
member of the Homag Group, has proved its technical market leadership
again with a special award nomination for the radio thickness gauge technology
for widebelt sanders.
The Westphalian company headquartered at Beckum has been nominated for
the Innovation Award of the German Economy at a ceremony at the Old Opera
House in Frankfurt where Managing Director Franz-Josef Bütfering
was congratulated by the Federal Premier for Hessen, Roland Koch.
The Premier emphasised the importance of innovative medium-sized businesses
for the German economy and encouraged Bütfering to continue research
and development along this path.
Bütfering's ME 5000 radio thickness measurement system was developed
by Design Manager Martin Settele and his team and has been integrated
very successfully into Bütfering's DIAMOND models of widebelt sanders.
Tel: 01332 856500
Email: info@homag-uk.co.uk
Web: http://www.homag-uk.co.uk
24%
Jump in Home Depot Inc.'s Fourth-Quarter Profit
Mild
temperatures in January and higher per-customer receipts helped fuel a
24% jump in Home Depot Inc.'s fourth-quarter profit, the US company said
on Tuesday.
Shares of Home Depot, a Dow Jones Industrials component, climbed sharply
to $43 in early trading before losing momentum amid a broader market decline.
Shares ended the session up a penny to $41.87.
Atlanta-based Home Depot said it made $1.29 billion, or 60 cents a share,
up from $1.04 billion, or 47 cents a share, in the year-ago period.
Revenue climbed almost 16% to $19.5 billion. Same-store sales, a closely
watched measure of receipts from stores open at least one year, rose 5.5%.
The results outpaced the average estimate of analysts polled by Thomson
First Call of 56 cents a share on revenue of $18.75 billion.
Home Depot, which is acquiring Hughes Supply Inc. to boost its professional
services business, said on its conference call that the deal is expected
to close in April. It also forecast sales in 2006 to climb 14% to 17%,
with a 10% to 14% rise in earnings per share.
The company attributed the fourth-quarter results to ‘strong performance
in its core retail stores, its services business, Home Depot Direct and
the continued expansion of the Home Depot supply platform.’ Particularly,
Home Depot said, sales were strong building materials, kitchen and bathroom
supplies, and paint.
On the conference call, Chief Executive Bob Nardelli said the company
would distribute $44 million in ‘success-sharing checks’ with
key employees for their work in helping to boost the company's results
in the quarter.
He called Home Depot's services business a significant source of new growth,
estimating the market to be worth $110 billion.
‘As the largest segment of our population, the Baby Boomers, age
we see a definite and growing trend from this group towards more do-it-for-me
services,’ Nardelli said.
Home Depot said the average receipt in the fourth quarter was $57.20,
an increase of almost 6% from the previous period and a $10 jump from
five years earlier.
The pace of that increase is likely to gain momentum, helped by the new
spring lineup, said Tom Taylor, the executive vice president of merchandising
and marketing.
Analysts responded well by raising quarterly estimates. Goldman Sachs
analyst Matthew Fassler upped his fiscal-year forecast to $3.02 a share
from $2.98 while increasing the fiscal 2007 projection to $3.32 from $3.28.
‘Home Depot is clearly benefiting from the tail of a powerful housing
and refinancing cycle, but excellent cost controls position the firm well
for a slowdown and (present) valuation bakes more than enough leeway for
an deceleration in sales likely to take place as housing slows,’
he said. He reiterated his outperform/cautious rating on the retailer.