Martinsville Bulletin, Inc.
P. O. Box 3711
204 Broad Street
Martinsville, Virginia 24115
276-638-8801
Toll Free: 800-234-6575
|
|
 |
|
|
| Company will bring 67 furniture jobs |
Jim Thyen, president and chief executive officer of Kimball International, speaks at a special meeting Tuesday announcing the company’s expansion into Henry County. Kimball will invest $1 million and bring 67 jobs to its new plant in the Patriot Centre. (Bulletin photo by Mike Wray) |
Wednesday, July 28, 2010
By DEBBIE HALL - Bulletin Staff Writer
An Indiana-based company will make a $1 million capital investment and bring 67 upholstery jobs back to Henry County.
“It feels good to bring some” furniture manufacturing jobs back to the area, said Stan Sapp, a native of Walkertown, N.C. He is the president of Kimball Hospitality and vice president of its parent company, Kimball International Inc.
Kimball Hospitality will lease a 60,000-square-foot manufacturing facility, formerly known as Oak Level Finishing, in the Patriot Centre industrial park, according to Henry County Administrator Benny Summerlin.
Kimball is moving to the area “in response to the American of Martinsville bankruptcy” and the skilled work force that company left behind, which includes upholsterers, Summerlin said. American, which employed 225 people, closed its Redd Level plant in April.
Kimball “is interested in the work force,” Summerlin said, noting that furniture upholstery is a “highly specialized field.”
The jobs will pay an average of $14.72 per hour, according to Mark Heath, president and CEO of the Martinsville-Henry County Economic Development Corp.
Jim Thyen, president and chief executive officer of Kimball International, said the pay scale “will certainly be competitive,” and benefits will include health insurance, retirement and a profit-sharing plan.
Eventually, an incentive system will be added to the company’s compensation plan, Thyen said. He did not elaborate on that system but said the company believes “strongly our employees should share in our profits.”
Thyen and Sapp were among several company executives who attended the announcement Tuesday at the Henry County Administration Building. It followed a joint meeting of the Henry County Industrial Development Authority — a conduit for economic deals — and the Henry County Board of Supervisors.
Both boards approved a performance agreement between Kimball, the county and the Virginia Tobacco Indemnification and Community Revitalization Commission.
Kimball, a 60-year-old company, will receive $205,000 from the tobacco commission and has 36 months to meet the employment and capital investment requirements outlined in the agreement.
“This is a great day for Henry County, and it is really a great day for the 67” workers who will get jobs with the company, said Del. Danny Marshall, R-Danville, a member of the tobacco commission. Marshall made the check presentation on behalf of the commission.
He called the 67 jobs and $1 million capital investment “a step” toward rebuilding the local economy.
Dels. Don Merricks, R-Danville, and Ward Armstrong, D-Collinsville, also attended the event, along with representatives from the city, county and the EDC.
“For a company of this magnitude to want to come here speaks volumes” about the work force, the area and the state, Merricks said.
“Henry County is the perfect fit for Kimball Hospitality,” said Mary Rea Carter, deputy secretary of commerce and trade for rural Virginia. “This is a great opportunity to grow jobs here.”
Kimball Hospitality is a leader in hospitality furniture, Sapp said.
It produces hospitality furniture for Marriott, Hilton, Starwood International and others, according to Paul Wahl, director of marketing/quoting.
A recent project included furniture for 4,000 rooms in the Aria Hotel and Casino at the MGM Center in Las Vegas, Wahl said.
He said upholstery includes chairs but also items such as headboards.
Last September, Kimball Hospitality introduced an initial line of upholstered seating products at the Miami Hospitality Design Show, as the company began its expansion into the hospitality seating business, its release stated. While focused on guest room seating, including ottomans, lounge chairs, sofas, and even sleeper sofas, the Kimball Upholstery line also addresses lobby and public space seating, it added.
The company will take possession of the Patriot Centre facility on Aug. 2 and hopes to build samples within two weeks, with production beginning as early as September, Thyen said.
“We want to move fast,” he said.
Locally, the company will maintain a finish line and do cutting and sewing work, officials said. There also is a potential for assembly of some imported or locally produced furniture.
Thyen, who has been with the company for 43 years, said it originally was known as the Jasper Corp. but changed its name in 1976 to better reflect its products, Kimball Pianos and Organs.
Kimball also became publicly traded that year, he said.
It is based in Jasper, Ind., across the street from MasterBrand Cabinets, which has a cabinet plant in the Patriot Centre.
“Our roots are in contract, residential furniture,” but Kimball also manufactures electronics, office furniture and hospitality furniture, Thyen said.
The company’s motto, “We build success,” is maintained by knowing its customers well enough to solve their problems before customers realize they have them, Thyen said.
“We’ve had a very successful journey for 60 years, but we’ve had to reinvent ourselves a number of times,” Thyen said.
Sales this year are anticipated to be $800 million in electronics and $600 million in furniture, Thyen said, adding that the company also has “achieved a significant global footprint” and sells many products abroad.
“I feel extremely good about” its local expansion, he said. “We have laid a foundation for growth, and I think the foundation we have laid here will serve us well.”
Company officials praised Heath, the EDC, the state and local officials for their help on the project.
Virginia successfully competed against Indiana and North Carolina for the project, Sapp said.
Kimball’s stock closed Tuesday atw $6.36 a share, up 6 cents a share or 0.95 percent. |
| |
|
|
.jpg)
