Cleaning & Restoration Breaking News

Pergo posts loss, delays Garner expansion

April 22, 2004
/ Print / Reprints /
/ Text Size+
THURSDAY, April 22 - Pergo reported increased sales for the first quarter, but restructuring charges dragged Swedish laminate flooring maker's earnings into the red. In addition, the company said it would delay the $16 million expansion of its Garner facility by one quarter.

Pergo's North American headquarters is in Raleigh and its only U.S. production plant is in Garner. It has 268 North American employees, the vast majority of whom are in Wake County.

The company's first-quarter sales grew to $97.1 million from $88.3 million in 2003. North American sales jumped 32 percent to $60.1 million from $53.1 million. The sales figures exclude currency effects.

However, $32.5 million in charges for restructuring in Sweden resulted in an operating loss of $30.3 million and a loss after tax for $30.98 million. In the first quarter of 2003, the company posted an operating profit and an after-tax profit in the $1 million range.

Pergo credited North American revenue growth to higher sales at Lowe's Home Improvement stores in the United States, which began offering Pergo products at the end of the first quarter of 2003, and higher sales through The Home Depot and specialty retailers.

In Garner, the company has delayed its construction schedule for the $16 million direct laminating press investment that had been scheduled to be complete the first quarter of 2005. The company now states it will not start production on the new line until the second quarter of 2005.

Pergo had announced in March that it was laying off 120 people at one of its production plants in Perstorp, Sweden, as the company consolidates some of its high-end tile production into a facility in Trelleborg, Sweden.

Did you enjoy this article? Click here to subscribe to i Cleaning Specialist Magazine.

You must login or register in order to post a comment.



Image Galleries

The 2014 Experience Conference and Exhibition

A look in photos at the 2014 Experience Conference and Exhibition, which was held from April 24-26 at the Embassy Suites Convention Center and Spa in Frisco, Texas.


Have a limited marketing budget but realize the importance of neighborhood marketing? Try doorknob hangers, a low-cost, yet highly effective way to drum up more business. In this episode, John Braun discusses the value of this tactic as well as what you should include on the materials you're hanging.
More Podcasts

ICS Cleaning Specialist Magazine


2014 September

The September issue of ICS features stories on moisture detection, disinfectant services, neighborhood marketing, then we discuss the last level of being phenomenal, and cool products.

Table Of Contents Subscribe

Social Media

Social media is a good way to regularly keep in touch and interact with current clients and reach potential ones. What social mediums do you use in your cleaning/restoration business?
View Results Poll Archive


Get Paid! book cover
Get Paid! (ebook)
Over 30 authors – over 40 articles…from attorneys, contractors, consultants, instructors and others, both inside and outside the restoration industry. R & R, C & R and Cleanfax, opened their archives and gave us the best they had, other chapters were created just for the “Get Paid!” book and its readers. And every one of them has ideas for how to get paid what you are owed.

More Products


Director_Buyer.jpgThe premier resource and reference guide for the cleaning and restoration industries.

Click here to view


Truckmount.jpgEquipment listings and specifications from the leading industry manufacturers.

Click here to view


facebook_40.png twitter_40px.png youtube_40px.pngcrc logo