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Burlington to build Montreal DC

GREENSBORO, NC -Burlington House Floor Accents has broken ground on a new 265,000-square-foot distribution facility in Montreal.

Paul Kershaw, vp and roomsize business manager, said, "The foundation has already been poured" for Phase I-or the first half-of construction, which includes the offices for the information technology, customer service and order entry departments. Completion for Phase I is scheduled for September 2001.

Phase II, which includes additional raw material and finished goods warehousing departments, is expected to be completed September 2002.

"Everybody knows that the name of the game in rugs as far as the consumer is concerned is color and design, but in order to provide that in the best way to the consumer you have to have a low-cost, high-quality and service-oriented business. That's what we represent, and that's why I am excited about the building of the new distribution center," Kershaw said. "It will elevate our entire level of performance in the woven rug category."

The new distribution facility is being built as part of Burlington's exclusive joint venture partnership with Carpet Art Deco, a Montreal-based manufacturer of woven rugs.

"They provide the manufacturing expertise, and we provide the sales and marketing expertise," Kershaw said. Burlington's partnership with Carpet Art Deco was established two years ago.

The new facility is "very near" to Burlington's existing manufacturing plant where machine-woven, polypropylene and machine-made wool rugs are made. Burlington recently exited the tufted rug business and sold its Monticello, AR, facility where the tufted scatter rugs were made in an effort to streamline production costs. Also, Burlington was previously importing rugs from Belgium but exited that business because of color and design limitations, Kershaw said. "Belgium was just too far away," he said. "And it was also a control issue. We want to use more colors and designs than they can offer us."

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