Hechinger Files Bankruptcy, Closing 89 Stores

Hechinger Co. has filed for Chapter ll bankruptcy protection and begun closing 89 underperforming stores in 36 markets, leaving the chain with ll7 locations in 2l states.

Thirty of the closures are in the South, including a Hechinger's in Fredericksburg, Va.; Home Quarters in Louisville, Ky.; Jackson, Ms.; Hickory Ridge and Memphis (Covington Corners), Tn.; Glen Allen and Richmond, Va., and three.in Austin, Tx.; Builders Squares in Lakeland, Casselberry and Clearwater), Fl., and Builders Square IIs in Apopka, Brandon, Clearwater, Daytona Beach, Fort Myers, Orlando and Palm Bay, Fl.; Corpus Christi, El Paso, Pasadena, Woodlands and four in

Brown Moulding Renamed

Brown Moulding Co, Montevallo, Al., has changed its name to MillSource, reflecting its move to direct distribution and from a regional to a national presence.

"A little more than a year ago, we began changing things, improving our product, our operations, our sales organization and our distribution system," said president Jeny Collier. "In the end, we had changed the company so much, a new company had emerged. As a new company, we felt it should have a new name."

Since Brown Moulding's acquisition by Woodgrain Millwork, Inc., Fruitland, Id., in December 1997, the company has added six distribution centers across the country, expanding into the Midwest and Texas, and instituted curtain van delivery to facilitate faster on-site product transfer.

MillSource also has access to Woodgrain's eight mills, reportedly providing the largest manufacturing capacity of any company in the moulding industry.

Edge Protector Firm Grows

Star Paper Tube, Inc., Fort Mill, S.C., has added a fifth Protect-A-Board manufacturing facility and two regional warehouses in Memphis, Tn., and Chicago, Il.

The manufacturing site was acquired when Paccess agreed to include its Tacoma, Wa., edge and strap protector edgeboard line in ajoint venture, Star Paper Tube Northwest, with Star Paper Tube parent Caraustar Industries. Inc.

Houston, Tx., and two in Tulsa, Ok.

Other closures include one in New Mexico, two in Missouri, three in Ohio. two in Kansas, six in Colorado, two in Indiana, four in Maryland, four in Massachusetts, six in Michigan, l5 in Pennsylvania, eight in New York, and five in Wisconsin. In all. 14 Hechinger's, l5 HQs, 18 Builders Squares, 41 BS IIs, and a 2-year-old Better Spaces unit will be shuttered.

Hechinger hopes the closures, begun immediately after the June 1l announcement, significantly reduce operating losses so resources can be focused on profitable locations.

Its new strategy will focus on two formats: revitalized Home Quarters superstores, said to have proven highly successful in their remodeled form. and smaller, refocused Hechinger's, which will return to its historic roots as a community-based store tailored to local needs. The remaining l6 Builders Squares will be converted to the Home Quarters format

To stay afloat, the company is refinancing its working capital through a commitment for up to $700 million in debtor-in-possession financing from BankBoston Retail Finance.

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Causeway Lumber Co. has opened a 16-acre replacement yard in Stuart. Fl.

Holmes Lumber, Jacksonville, Fl., was acquired by Pelican parent BSL Holdings, Dallas, Tx. ...

Lexington Lumber & Home Center, Lexington, Ms.;has been opened by Barry Meek-and Dale Rogers, who also serves as mgr.

Scotty's opened new stores in Camilla and Adel, Ga., and Avon Park, Englewood, Longwood and Sebastian, Fl.; remodeled its Haines City, Fl., location, and closed units in Fort Pierce, Lake Wales, Orange City and one of l0 in Jacksonville, Fl. ...

Leeds Building Products has relocated its lumber yard and kitchen cabinet assembly facility in Greenville, S.C., from- a 4.5-icre site to separate, newer locations with room for expansion

84 Lumber is convertin g 26 of its 400 yards ro the 84+ format, including Jefferson City, Madisonville, Manchester and Springfield, Tn....

Moore's Lumber & Building Supplies, Roanoke, Va., agreed to buy Lumber Ciry's Richmond, Va., location ...

Calloway's Nursery Inc-, Fort Worth, Tx., agreed to buy Ramert Interests LLC (WoW Narseries), San Antonio, Tx., and Cornelius Nurseries /nc., Houston, Tx. ...

Carolina H oldings, Raleigh, N.C., acquired Kerneisville, N.C.based Summit Structures, with 5 comp0nent plants in the state ...

Colonial Hardware, Memphis, ?n., which closed late last year, plans to reopen this month in a Iarger, 27,000-sq. ft. building

I-oweb Cos., for the first time in its 52-year history, cancelled a planned store closure due to public outcry; the 47,000-sq. ft. unit in Fort Pierce, Fl., was to be replaced by a superstore that opened last month 11 miles away in Jensen Beach, Fl. other new stores opened recently in Anderson, S.C.; New Bern, N.C., and Morristown, Tn. (store mgr. Dwayne Bentley, co-mgr. Chris Waller) ...

Loweb will construct a 115.000sq. ft. store with 30,000-sq. ft. lawn and garden center on 19 acres in Fayetteville, N.C., to open late this ygar and a 101,000-sq. ft. store with 30,000-sq. ft. outdoor center in Pascagoula, Ms., to open late next year, and is seeking permits to build in Spring Hill, Fl. police arrested a suspect in the armed robbery of Low:e's Enterprise, Al., store (see May, p. 16)

Home Depot opens new stores July 8 in Woodlands (Shenandoah), Tx.; July 15 in Pinecrest, Fl.; July 29 in Louisville, Ky.; No. Fort Lauderdale asd Seminole, Fl., and an Expo Design CenterJuly 15 in Fairfax, Va. Depot agreed to buy Georgia Lighting, with current management continuing to run its six showrooms as a subsidiary

Home Depot is putting the finishing touches on a new store in Villa Rica, Ga.; plans a Nov. opening for an Expo in Alpharetta,'Ga.; got the go-ahead to build in Cornelius (Mooresville), N.C.; is seeking to build a new home center in Marietta, Go., so the existing store can be reformatted into a; Expo; is considering another location in Henry County, Ga., and is searching St. Augustine, Fl., for a site Depot's Fayetteville, N.C., stors contributed to refurbishing the local train depot ...

Payless Cashways plans to relocate its Hq. to Lee's Summit, Mo., from Kansas City by year's end George KeIIett & Sons, Inc., New Orleans, La., is a new stock ing distributor of Boise Cascade's wood I-joists ...

Anniversaries: Causeway l*rnber,Fort Lauderdale, Fl.,60th ...

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The Hardwood Group, Charlotte, N.C., with seven Southeastern DCs, has been acquired by Germany's Wunh Group ,..

North Pacific Group added a new_division, GuIf Pacific Trading, St. Petersburg Beach, Fl., formed by Rick McClare, George Moody, Terri Rooney, Mike Finnerty and Greg Finnerty

Steves & Sons, San Antonio, Tx.,_is renovating its Shepard, Tx., millwork plant, while its San Antonio Door Division is upgrading the door sizer at its Rictrinond, Va., facility and adding sizers to double production at Lebanon, Tn., and San Antonio, Tx. ...

Prudential Metal Suppty Corp., Atlanta, Ga., added location #l0in Naperville (Chicago), Il., and relocated its Houston, Tx., location to a new building ...

Texas Plywood & Lumber Co., Inc. relocated to a 4OVo larger, 175,000-sq. ft. DC in Grand kairie, Tx., that allows it to double production capabilities

Georgia-Pacffic's Timber Co. subsidiary is exploring options for the sale of its 196,000 acrbs of timberlands in California

GS Roofing Products, Inc., I5ving, Tx., has been acquired by CertainTeed Corp.; GS bperatas sgven residential roofing plants (including Charleston, ^S.C.; Shreveport, La.; Peachtree City, Ga., and Ennis, Tx.), two commercial roofing plants (including Little Rock, Ar.), and three stand-alone roofing granules facilities {includ- ing Glenwood, Ar.)

Simplex opened a new branch in Fort Worth, Tx., with five additional branches planned for later in the year, including'Waco, Tx., and Myrtle Beach, S.C. ...

Gatsby Spas, Inc., Plant City, Fl., has been acquired by Jacuzzi Inc.for $17 million cash ...

Eurarnax International plc, Norcross, Ga., has completed its purchase of metal roofing and accessory producer Atlanta Menl Products, /nc., Atlanta, Ga.

New Web sites: Tank Fab, Inc., Rocky Poini, N,C., www.tankfab. com...

Housing starts in May (latest figs.) ctimbed 6Vo to a season*lly adjusted annual rate of 1.676 millign ... single family starts surged 13%, multifamily were at a rate of 238,00S for 5+ units and 29,000 for 2'4 units , permirs rose 1% to a 1.586 million annual rate.

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