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Burlington Rug Corp. clears up confusion

Monticello, AR — Due to confusion in the marketplace, Burlington Rug Corp., based here, has issued a press release announcing it is "not in financial trouble," said Saeid Korhani, ceo, unlike its larger namesake Burlington Industries.

Burlington Industries earlier this month filed for Chapter 11 bankruptcy protection, saying it will focus on developing its Lees Carpets business and expanding global sourcing partners through its new Hong Kong subsidiary, Burlington WorldWide Limited.

"We've been receiving calls from people asking if we were the same company or affiliated with them," Korhani told HTT. "We just wanted to make sure people realized we're not related. We are two separate companies."

Burlington Rug Corp., a manufacturer of tufted and printed rooms-size, bath and scatter rugs and mats and carpets, late last year bought from Burlington Industries its facility here as well as the right to use the name "Burlington", Korhani said.

"There are other companies like us with Burlington in their name — Burlington Coat Factory and Burlington Socks, for example. But none of us are affiliated with Burlington Industries," Korhani added.

In other Burlington Rug Corp. news, former consultant Brian Ballingall has left the company.

During his time with Burlington Rug Corp., Ballingall also served as executive vp and vp of the company's Canada division.

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