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Mohawk Industries to create 200 jobs in Dalton

Mohawk_Industries_logoDalton—Gov. Nathan Deal today announced that Mohawk Industries, the world’s largest flooring manufacturer, will expand its existing vinyl flooring operations in Dalton-Whitfield County. This project will significantly increase the company’s current U.S. luxury vinyl tile (LVT) manufacturing capacity. The $100 million capital investment in infrastructure and equipment will generate approximately 200 jobs for the region.

“Mohawk’s continued expansion in Georgia underscores how a premier flooring manufacturer helps Georgia’s entire floor covering industry remain competitive,” Deal said. “This is a great indicator of the resilience of the carpet and floor covering industry. We look forward to Mohawk’s continued job creation and investment in our state.”

The project will increase Mohawk’s production of flexible and rigid LVT (WPC) products for both residential and commercial applications. Mohawk currently employs more than 34,000 individuals worldwide and approximately 10,250 in Georgia.

“Mohawk currently is starting up its Dalton LVT plant, which will be operating at full capacity by the end of 2016,” said Brian Carson, president of Mohawk Industries’ Flooring North America segment. “This major investment to expand our U.S. LVT production will meet increased demand for our unique products and enhance Mohawk’s position as the global leader in LVT, the world’s fastest growing flooring category.”

Mohawk acquired the IVC Group in 2015, positioning the company at the forefront of the global vinyl flooring market. The acquisition added state-of-the-art manufacturing capabilities in both in Europe and North America, including the world’s largest, most efficient LVT production lines in Dalton-Whitfield County.

“As the flooring industry leader, we will bring the same exceptional design and performance features to the LVT that we have in our other product categories,” Carson said. “Combined with our industry-leading national distribution system, this expansion will provide our customers with the broadest product offering and the highest level of service in the LVT category.”

“This is the third major investment on this site and this expansion will complete the build-out of the property that we prepared for IVC back in 2010,” said Whitfield County commission chairman Mike Babb. “This is proof that the economic development process works and that the effort was worthwhile. We are very pleased that the company continues to grow and thrive and we appreciate all that Mohawk does to help our community.”

Georgia Department of Economic Development (GDEcD) regional project manager Stephanie Scearce represented the Global Commerce division in partnership with Mohawk Industries, Dalton-Whitfield Joint Development Authority and Dalton Utilities.

“We are excited about Mohawk’s choice to expand their operations in Dalton-Whitfield County,” said GDEcD commissioner Chris Carr. “Existing industry accounts for a major portion of the state’s investment and job opportunities, and we look forward to working with Mohawk and our partners in Dalton-Whitfield County to ensure they have the resources they need to continue to deepen their

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Mohawk completes purchase of IVC Group

Screen Shot 2015-06-12 at 8.07.57 PMCalhoun, Ga.—Mohawk Industries has completed its acquisition of the IVC Group for $1.2 billion in cash and stock. IVC is a major vinyl and laminate flooring manufacturer with 2014 revenues of approximately $735 million and manufacturing operations in Belgium, Luxembourg and the U.S. The acquisition expands Mohawk’s position as the world’s largest flooring manufacturer and significantly increases Mohawk’s presence in the LVT and sheet vinyl categories.

LVT now represents about 5% of the U.S. flooring market, with sales projected to grow more than 15% annually through the end of the decade. Mohawk’s IVC acquisition includes a new LVT manufacturing facility in Dalton, which is in the initial stages of production. The facility features one of the world’s largest, most efficient production lines and will position the business to support the rapidly growing demand for LVT in residential and commercial channels.

IVC is also a major sheet vinyl manufacturer, creating flooring with a fiberglass core that yields a cushioned product that does not crack, curl or expand, making it durable and easy to install.

Mohawk has distributed sheet vinyl and LVT products into the commercial and residential markets for a number of years, and the IVC product and manufacturing capabilities will complement and strengthen Mohawk’s existing product offerings to its customers.

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Mohawk Industries announces purchase of IVC Group

Screen Shot 2015-01-14 at 9.16.35 AMCalhoun, Ga.—Mohawk Industries announced that the company has entered into a definitive agreement to acquire the IVC Group. The IVC Group is a major manufacturer of sheet vinyl, luxury vinyl tile (LVT) and laminate, with operations in Europe and the U.S. and sales of approximately $700 million. Mohawk will acquire IVC for approximately $1.2 billion through a combination of cash and equity. The transaction is expected to be complete around the end of the first quarter of 2015, pending customary closing conditions and regulatory approvals. Mohawk anticipates that the transaction will be accretive to EPS in the first 12 months.

“There are many potential synergies between IVC and Mohawk in both Europe and the U.S.,” said Jeff Lorberbaum, chairman and CEO, Mohawk. “Our greatest opportunities are in LVT, which has increased globally around 18% in the past year. IVC is the fastest growing manufacturer of LVT in Europe, and its manufacturing expertise will help start up our new Belgian LVT factory faster. This new plant will allow IVC to further expand its European sales. In the U.S., LVT now represents about 5% of the total flooring market, and sales are projected to grow more than 15% annually through the end of the decade. The new LVT plant in Dalton will be one of the world’s largest, most efficient production lines with leading technology and will position us to meet the rapidly growing U.S. market.”

Mohawk has scheduled a conference call at 11 a.m. EST on Wednesday, Jan. 14 to discuss the IVC acquisition. The telephone number is 1.800.603.9255 toll free for U.S./Canada and 1.706.634.2294 for International/Local. Conference ID #65022236. A replay will also be available until Jan. 28 by dialing 1.855.859.2056 toll free for U.S./Canada and 1.404.537.3406 for International/Local. Conference ID #65022236.

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Made in the USA: Domestic messaging speaks volumes

Volume 27/Number 26; April 28/May 5, 2014

By Ken Ryan

Ten years ago, IVC Group was a Belgian-owned and based, privately held flooring manufacturer looking to break into the North American market. Today, IVC US appears as American as apple pie; the Dalton-based U.S. division has incorporated Made in the USA into all its merchandising, which has enabled the company to carry this story directly to the retailer and consumer.

“In the last three years we have been updating all our graphics, messaging and marketing collateral to include the Made in the USA icon, complete with American flag,” said Bart Rich, senior vice president of marketing. “The Made in the USA message speaks volumes.”

While IVC is a relative newbie to the U.S. market, the flooring industry includes such legacy companies as Armstrong, Mohawk and Mannington, which collectively have more than 300 years of U.S. manufacturing under their belts. Others, such as Shaw Industries and Anderson (now under Shaw), have been major producers for decades.

Flooring companies with deep roots in the U.S., as well as those relatively new to the market, are voicing their U.S. message in big ways and small, both internally and externally.

Some executives believe the deep pain caused by the Great Recession, coupled with the wars in Iraq and Afghanistan, have rallied Americans to get behind U.S.-made products and companies.

A study by Perception Research Services found that shoppers are motivated by Made in the USA claims on packaging, with most consumers saying that they are more likely to purchase a product after noticing a Made in the USA label on it. The research also ascertained that the primary reason shoppers are more likely to purchase Made in the USA products is to help the economy.

Some flooring executives said the industry must do a better job articulating that message. “Honestly, I don’t feel the flooring industry as a whole does a great job at promoting Made in the USA–and it’s a message that should be encouraged,” Rich said. “Consumers may have assumptions about where certain flooring products are made, but why leave them assuming? We as an industry need to take the assumptions out of the equation and tell the story of Made in America–because it’s important to a lot of consumers.”

David Duncan, senior vice president of marketing and sales operations at Mohawk, said the industry must be clear and transparent in clarifying what is actually meant by Made in the USA. “Made in America should mean the products are sourced, produced or assembled, and finished in the U.S.,” he said. “There should be no confusion in these facts. And at the local level, retailers and salespeople should take the time to familiarize themselves with Made in America products and promote these to their respective customers.”

Mohawk promotes Made in America on carpet, carpet tile, cushion, hardwood, laminate, ceramic and area rugs. For example, consumers choosing Mohawk carpet or hardwood floors can select “Made in USA” as one of many features of their floors; using “Made in the USA” as a search factor on MohawkFlooring.com allows shoppers to instantly see numerous floors that are produced domestically. These products are also labeled as American-made products.

Armstrong, which has been manufacturing flooring in the U.S. for more than 100 years, in 2013 introduced the American Scrape hardwood collection. Inspired by the rugged beauty of the American landscape, a portion of the sales from the American Scrape collection is dedicated to supporting Homes for Our Troops (HFOT), a national nonprofit, non-partisan organization that builds specially adapted homes for the nation’s severely injured veterans.

Mannington points to the fact that it makes flooring in nine communities across the U.S. The company says on its website that it is “deeply committed to the places where we work and to manufacturing quality, American-made products. When you order flooring from Mannington, you’re part of this mission.”

Kim Holm, president of Mannington Residential, told FCNews, “The Campbell family is very committed to Made in the USA. We enjoy a reputation as a Made in America, family-owned, 100-year-old company. We get some credit for that. We talk about it at every opportunity at the trade level.”

Several other companies are promoting their American heritage, too, whether in advertising collateral, website or social media. Founded in 1946 as Standard Plywoods, Anderson Hardwood has been manufacturing hardwood flooring in the U.S. for more than 60 years. As the family business grew, with successive generations of Andersons coming on board to run the company, it stayed committed to Made in USA manufacturing.

Since 1967, Shaw Industries (Anderson’s parent company) has offered Made in the USA products, and the company continues the tradition today with the majority of its floor covering being American-made.

Kronotex, which is not rooted in the U.S., has nonetheless jumped on the bandwagon. “We’re not just newcomers to Made in America,” a company blog said. “We were staking out property and planning our first U.S. laminate flooring production lines long before it was ‘cool’ to do so.”

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IVC Group reaches agreement with Balta Industries

Avelgem, Belgium – IVC has reached an agreement with Balta Industries, the European market leader for broadloom carpet and rugs, on the acquisition of 100% of the shares of Trinterio. A manufacturer of laminate flooring and MDF products, Trinterio has production facilities in Vielsalm and offices in Sint-Baafs-Vijve.

Balta Industries had previously purchased the 50% of Trinterio which it did not already own from Ackermans & van Haaren. Continue reading IVC Group reaches agreement with Balta Industries

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IVC promotes Murfin to co-CEO

Volume 26/Number 17; January 7/14, 2013

DALTON—Paul Murfin, president of IVC US, has been promoted to co-CEO effective immediately. He will share responsibilities with Xavier Steyaert, who has been CEO of IVC US for almost eight years.

Jan Vergote, IVC’s group CEO, said Murfin will mainly focus on further growing the resilient manufacturer’s market presence in North America, while Steyaert will oversee the operational, financial and industrial development of its North American activities.

Both CEOs have acquired shares of IVC US, the majority being held by its parent company, the IVC Group from Belgium. The share plan signals a long-term commitment to IVC from both Steyaert and Murfin.

“As IVC increases its North American footprint, we have seen the benefit of adding local expertise to the company,” Vergote said. “In the last 16 months, we have seen the strong and complimentary partnership of Xavier and Paul. The move to have both act as co-CEOs takes advantage of their mutual skills with the continued aim of doubling our position as soon as possible.”

For more about IVC, call 706.529.2600.

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Paul Murfin & Xavier Steyaert join forces as co-CEOs of IVC US

Paul Murfin, recently named co-CEO of IVC US

Dalton – IVC US, the Dalton based manufacturer of fiberglass sheet vinyl, announced last month the promotion of its president Paul Murfin to co-CEO, effective immediately.

Murfin will now share responsibilities with Xavier Steyaert, who has acted as CEO of IVC US for almost eight years. In this unique arrangement, Murfin will mainly focus on further growing IVC’s market presence in North America, while Steyaert will oversee the operational, financial and industrial development of IVC’s North American activities. Continue reading Paul Murfin & Xavier Steyaert join forces as co-CEOs of IVC US