ApplianceAdvisor

2004 Appliance News Archives

Dec
2004
A Desperate Ploy at BSH
When given a choice between luck and skill, always take luck.  In what must be one of the greatest coups in 2004 Product Placement, the kitchen sets of America's favorite unhinged, unglued, over-sexed, Desperate Housewives are stocked with Bosch and Thermador major and minor appliances.  It is commonly believed that "Family Ties" created the demand for pro-style appliances, so who knows what this will lead to?  See our Product Placement page for details.
Now if they can only figure how to get a kitchen into "Lost"..........
Nov
2004
Music Stops at Küppersbusch.....get your pencil to follow along
-USA President Jim Attkisson stepped down from this position and moved to the board of directors.
-USA VP of Sales and Marketing Kevin Henry took over the position of President from Jim 6 months ago but effective year end has resigned.
-Küppersbusch UK President Gareth Williams has added the "wreckage" of Küppersbusch USA to his portfolio. 
      Was Mr. Williams chosen for a single key skill he brings to the table.....English as a 1st language?
-Peter Flachsmann, the USA Director of Business Development, and the son of the largest Kuppersbusch distributor in Germany, has left the company.
-UPDATE Jan 12:  Peter Flachsmann's father is a distributor of electronics and has no relationship with Küppersbusch.
-Tom Cutler (Resume:  Gourmet Dist, Hadco, and Gaggenau) will join the mix as President of TEKA USA
-UPDATE Dec 30:  Michael Maguire (former Gaggenau National Service manager, and Hadco VP of Service) has accepted the position of national service manager with Kuppersbusch.

Why is there a crater the size of Des Moines in the USA executive offices of Küppersbusch?  
It is rumored that TEKA is not thrilled with the proportion of money sunk into the US market vs. the money finding its way out.  
We have been unable to confirm rumors which tilt to more drastic measures on the horizon.
-UPDATE:  Küppersbusch disagrees with the above characterization.  Click to see their response
Maytag Is On Our Radar Range
If half of what crosses our desk is true this last month, then there are some strange goings on in Newton (or is it Chicago now?)
Completely unconfirmed, but what we have so far heard is a little bit of everything from executive departures, to wage and hiring freezes of reps, voluntary retirement programs of reps and a resulting exodus, to Maytag shopping itself out to Samsung and Electrolux (there are those bloody Swedes again).  From so many sources, it is difficult to dismiss.  Something must be amiss.  Maytag is getting killed by steel prices and their Q3 sales were down 3% from this time last year while profits dropped an underwear-binding 80%.  
What's up in Newton?  
Sears Rant
Sears is an historic brand which once helped build this nation with an "if-it-exists-it's-in-there" catalog and a knowing sales staff.  More recently Sears has done a reasonable job of selling quality merchandise, clothing and appliances in neat stores with a clean and somewhat attentive sales staff.  Who (among us) does not know the Sears motto:   "Satisfaction guaranteed or your money back" ?
Well as we were saying, this bedrock American company was acquired today by Kmart, a bankrupt retailer made famous by its blue light specials, its staggeringly depressing fluorescent lit stores, and its under-staffing by the unmotivated.
If one is so unfortunate as to have acquired a shower curtain at Kmart, one immediately feels the need to go home straight away, install said shower curtain onto pre-existing shower rod, enter said shower (preferably clothed), and proceed to shower the residue of the aforementioned Kmart visit from one's person.  Repeat.  
Sears owned by Kmart; can this be a good thing?  We have no opinion.
Comment from ex-Kmart Store Manager
Dacor's "Squeeky (missing) Wheel" Recall
As a result of problems with the Dacor dishwasher too numerous to mention, (but in short include just about every function normally associated with a dishwasher including Dish Wash, Dish Dry, Kitchen Floor Dry, and Rack Wheels On !) Dacor has ended production of their dishwasher (as reported earlier).  For those who complain, Dacor is buying back dishwashers and paying for cabinet repairs for owners of the 30" unit.  Epinions had some feedback on this.
http://www.epinions.com/pr-Dacor_IDW30_Dishwasher/display_~reviews
Viking Acquired by Frigidaire/Electrolux?
-Well that's the rumor that's burning up our appliance network.
-The rumor began life 2 weeks ago at an Inter-County buying group meeting on Long Island.  Inter-County Pres.Jay Lebowitz did not return calls, but we persisted.  Through an assistant we were finally told that " Mr. Jay" knew nothing about the rumor, but had no other comment.
-Viking has officially denied this rumor.  
-The Viking competitors we have reached don't believe it.
CONCLUSION:  Though there would be historic symmetry of sort for the Scandinavians to again control the Viking brand that they first launched 1200 years ago, we have seen nothing to convince us of the truth to this rumor..
Oct
2004
In Other Appliance News
The Boston Red Sox erased 86 years of pain too specific, too horrific to describe to those who have not lived and died with it.  The tool of our torture was not "loss", though loss was always the result.  No, this team traded on something far more addictive and exquisitely destructive; "Hope".  "Hope" is our curse'd gift, passed from our grandparents to our parents to us, a contagion in an empty box, wrapped with a bow, left out to infect the next generation, the very children whom we have sworn to protect, and claim to love.  "Hope", never consummated by victory, never rewarded by glory, always within reach, but never grasped, until this very day under an eclipsed moon in a clear sky.   Major Appliance owners in Boston, in New England and around the world screamed, cried and rejoiced......if nothing else it was a relief to be out from under all of that baggage.  Trust me.
  DCS Related Distributor Collapse and Rebuilding: effects and summary
-UPDATE:  As expected, every DCS distributor is Power Dating every feasible DCS replacement.  One key distributor concern is the capacity of these smaller brands to produce to DCS levels.  No brand so far discussed can replace the DCS production capacity nationally.  Do any of these brands have the capacity to support ALMO, the jewel?  We imagine that at these smaller brands, crazy talk is flying of massive step-function growth, investment, joint ventures, financing, offshore production and hiring. How could there not be?
We hope that they are careful not to let this incredible opportunity put them out of business.
-UPDATE:  Frigidaire has canceled its myriad of 2-step distributors ending long term relationships with one swing of the ax. ALMO, and possibly one or two others will be taking over this decidedly low margin, no value-add warehousing and fulfillment end of the business but not the sales promotion glamour end which we believe will be taken over by Frigidaire itself.
-OFFER FROM Diva de Provence (maker of appliances for the peeled-grapes class)
In response to the Advisor's concern that some of the smaller brands may not have the capacity to step into DCS's shoes:
Diva de Provence has observed the plight of many distributors. Any distributor looking for a unique, technically advanced, growing line of induction cooking products, should contact Diva's Mng Dir. Amir Girgis, at 888.852.8604 x23.  He assures us that Diva's facilities in France can more than handle the capacity requirements of North America.
-UPDATE:  ALMO is said to have had meetings with Miele and BSH.  In the short term we have also been told that 
  Fisher & Paykel Buys DCS effects and summary
Effective October 11:  Fisher & Paykel buys DCS for US$33 million from Brockway-Moran & Partners and the original founders......which include Randy Rummel (who returned to helm DCS exactly 1 year ago).  Press Release
See (Sep 2004) below for our pre-confirmed rumor-based analysis of what was about to happen then.

Some Thoughts:
-Brockway Moran bought DCS at the top of the market in October 2000, and we believe that they are using the recent unloading of their much larger investment in Gold's Gym to cover (up?) the losses they will recognize with a DCS sale.  
We at ApplianceAdvisor have found great amusement in Brockway's foray into major appliances, and are frankly sorry to see them go.
-Rumor has it that the DCS 2-step distribution will not be jettisoned until January 1, 2005.  If true, this is thoughtful of F&P, but is it wise?  Time will tell.
-If our own email is any indication, Fisher's decision to begin sales to Lowes has greatly annoyed many in DCS's current dealer network.
-UPDATE: It has been reported to us that all DCS parts distributors received there 90 day cancellation notices October 12.
-UPDATE: Pres Randy Rummell, VP of Sales Tom Caulfield, CFO Jeff Elder exited the company Oct 12. (fate of others unknown)
-UPDATE: It has been reported to us that at least one distributor (finished goods) will be canceled week 2 of January of 2005
-UPDATE CORRECTION:  Finished Goods Suppliers were given 30 day cancellation notices.
-UPDATE:  BBQ Distributors were given 30 day cancellation notices.  This is a head scratcher since the poor F&P salesperson will not and cannot be expected to visit all the far flung non-appliance BBQ outlets while also visiting all the non-F&P DCS dealers while also visiting their regular F&P dealers while also learning about all the new DCS products.  Will hearth dealers want to talk to the salesguy they never met, selling one brand?  Is this a mistake tipping the scales towards huge?  What's the plan here?
-UPDATE:  BBQs to be sold under the brand "DCS by Fisher & Paykel"
-UPDATE:  DCS will exit the Commercial (restaurant) cooking business, but will support parts and warranty requirements.  At this time no buyer for the line has been identified.
-UPDATE RUMOR:  F&P will sell DCS through Lowes, though it would be more surprising if they did not.

Keep the tips coming
Tease Payoff:  October 6  (News Release embargoed until October 4)
Jade Range has reported that Maytag has decided to shift Jade from under the "temporary" umbrella of Dixie-Narco to become a separate business unit in a form similar to Jenn-Air.  Therefore the commercial and residential businesses will remain together in their existing California facilities.  Jade was pleased with this decision which seems to provide a sort of immunity from being spun or sold off.  We will try to update this item further once we receive the official press release.
Sep
2004
Another Tease
See this spot Tuesday October 5th for another important news item from the high-end world.
Breathtakingly Unconfirmed Report #3  (RUMOR CONFIRMED OCTOBER 8)
Dynamic Duo?
The chatter mill is rife with rumors of DCS hitching its mule to Fisher & Paykel's eastwardly expanding wagon train.  Both parties have denied the rumors to us.....and so we say in advance, this may be a false rumor.

But since it's just us talking here, let's game it out.  What would this thing look like if it were true?

Advantages:
     -Leverages Fisher's gold-plated direct-to-dealer sales force with the addition of DCS sales.
     -Fits like a glove: high-end Pro and BBQ lines with near zero overlap of the F&P offerings.
     -A US production location 20 miles from Fisher's US HQ, and 3 miles from the beach.
     -Global market growth:  Just think, 3.7 million zealous New Zealanders each with a DCS range to heat the barn during sheep milking season.   (there's a little bit of product training obviously required down there)
     -Entrée into DCS clients GE + Maytag, but F&P is deep into Whirlpool's cute blue spandex shorts and so it's tough to bend over backwards while jammed in there.
     -A commercial cooking line....which is, I guess, nice to have.
     -The creation of a top-tier horizontally integrated brand in the image of Dacor, Sub-Zero, Viking and Thermador

Implications:
1)  Expect a cliff-like drop in DCS sales from day 2 onward.  The math here is not that hard, get a pencil and follow along.  
Distributors do not promote lines with no future, therefore the Paykel-ites MUST shift the lines....like yesterday, to F&P's direct sales staff.  Sales changes like this are ugly affairs where the new guys are learning about the product and complaining about the lack of support materials and price sheets while at the same time the old distributor sales guys have internalized a single guiding principal of vengeance for the wrong done them.  How quickly and well planned the transition is executed will be the difference between a 12 month recovery of sales or a plodding multi-year rebuilding process.  On day 3 look for a dealer inundation of spiffs, display programs, extended payment plans, and other assorted promotions falling from the sky like rain from everyone looking to snag the market share now in play.

2)  DCS is probably the anchor brand for every distributor that carries it.  If the rumor turns true, we predict a panicked frenzy as distributors go into survival mode in search of replacement revenue, and companies like Blue Star, Capital, Excel, Five Star, and Jade go in search of distributor upgrade.  Will even BSH make an entrance to grab ALMO and to exit their personal hell it knows by the name of HADCO?  Look for line poaching, consolidations, closures...and blood in the streets.  This clash will be in living color, baby.  If this rumor turns true, we predict a blood bath, a vision of carnage unseen in this industry since, ummmm, 2002, but this will be so much worse.  There are just no players available out there with the sales or the breadth of product to replace DCS.

So somebody somewhere pour me a drink and slide over the Lazy-Boy, it's fight night fellas and the knives are out.  This you do not want to miss.
      
Of course only if it's true.

CONCLUSION:  This is an UNCONFIRMED rumor, but if it's not true it should be.  (RUMOR CONFIRMED OCTOBER 8)
In Other News
Ariston:  Effective Sept 1, Pres. Bernie Von der Lieth has departed Ultra 8, the North American distributor of Merloni's Ariston brand.

U-Line:  A significant portion of U-Line was sold by the Uihlein family to the investor group Linsalata Capital Partners, a Cleveland-based private equity firm.  The % of the company transferred was not disclosed, but anything less than a controlling interest in a privately held company would be well over the line of criminal stupidity.  Effective April 30.....5 months ago........but look fellas it was nearly summer and for what you pay us we really don't like to work in the "nearly summer" period.

Illinois Tool Works (ITW).:  This sexy named owner of Vulcan-Hart, Wolf Commercial, Hobart, etc is said to have signed a letter of intent for another commercial cooking line.  We'll be following this story closely.
Big Changes Afoot (SEE ABOVE:  September 30)
We have received several 3rd hand tips of a big change coming to one (if not two) of our industry's high-end heavy hitters.
-If you have information or can confirm the story, we want to talk to you.
-For the rest of you, visit this space often.
We hope to have answers for you by September 30
Links
Lynx Professional Grills was acquired by an investor group led by entrepreneur Jeffrey Church and including other non-appliance money folks.  Mr. Church has taken the position of CEO, Mike Edwards will remain as President.  The sale was effective September 15.
Peer Review
Peerless-Premier, a maker of ranges in the "better than coal" division, is considering closing its Belleville, IL plant and moving to cheaper locales, the AP reports........we read this as Mexico, though Peerless could also be considering sourcing the line from a Turkish or Mexican supplier.  The union believes this to be a ploy to force concessions, and certainly that must be 1/2 correct.  Why else discuss this in advance of a decision?  Peerless, though is not "peerless" and is in constant daily combat with Turkish, Mexican, and possibly Chinese insurgent suppliers, in a no-tech product segment.  We recommend that the union both make concessions and polish up the resumes.
Updated October 8
Peerless has decided to move assembly operations to Kentucky, while leaving enameling in Belleville.  We mis-understood their notice to the union as a bargaining tactic, while we have come to understand that such notice is required by law, and that the union had little chance of stopping the move.
See October 8 Article in Belleville News-Democrat
Aug
2004
Calypsotic
Whirlpool and Sears are on the receiving end of a class-action suit, filed August 10, which charges that the Calypso Washer is defective, that they continually broke down, suffer from electronics problems and filtration problems, failed to clean the clothes properly, grew mildew, bent space/time, contributed to the delinquency of minors, yada yada yada.  
Full Complaint
There are a half dozen law firms looking to sign you up.  They are all over the internet, so we won't link them here.  
The Calypso is a top loader without an actuator and uses water spray from the top and a sort of wobbling disk action below to provide the movement and wetness required to keep you from smelling and looking homeless.  Our New Appliance Report said in 2001 that Calypso was designed to combine "top loader convenience and front loader efficiency".
Before signing anything we recommend you read the John Grisham book, "King of Torts".
Jaded
-Jade commercial & Jade residential (aka Dynasty) divisions no longer report directly to Maytag Corporate, but instead to subsidiary Dixie-Narco, Maytag's producer of coin-op machines.  That must make sense to folks smarter than us.
-Jade sales have not met forecasts per published 1st Qtr reports and Jade has had other "performance" issues per Maytag's 2nd Qtr reports.  "Performance" was not defined.  Our sources tell us that the recent layoffs were at least partly due to the missed targets.
-We have been unable to confirm a stray rumor that Jade commercial is being considered for sale, or that Jade residential would move production to Cleveland, TN as a result of a sale, so perhaps this is not true.
CORRECTION:  AUGUST 31  This report has been corrected from one first published August 29.
Capital Growth
Capital Cooking is moving to a new 25,000 sq ft facility in Sante Fe Springs, CA.  Capital says that they will launch pro-style cooktops, ranges and vents after the August move.
Franke Investment
Franke (the Swiss maker of sinks which remove water from the kitchen) acquired from an investor group a 49% interest in Faber (the Italian maker of hoods which remove air from the kitchen).  The remaining 51% interest is held by the Galassi family.  Faber manufactures products for North American customers Whirlpool and DCS, and distributes under its own brand.
An Agaired Taste
Effective August 2, AGA of UK acquired La Cornue of France from Broan parent Nortek of USA for around $6 million.
Dacor Dishwasher Line Stopped
Dacor has stopped production of all 24" and 30" dishwashers for some sort of revamping, and an as yet unscheduled relaunch.  Since the line was first launched the industry has been rife with gossip of design problems.  Thermador and Viking wisely sourced their dishwashers, but Dacor decided to plow head first into (what we humbly believe) to be the most complex and unforgiving category of kitchen appliances.  Valves, seals, heaters, corrosion, torpidity sensors, moving parts, electronics, the 100% inspection of cleaning performance by users, and as if that were not all...........a flexible pressure connection to a quadrillion gallons of municipal water patiently and purposely, probing, pushing, prying to flow free and with the possible final result that the laundry can be done by simply kicking it into the basement.
ApplianceAdvisor.com adds ads
We are experimenting with Google ads.  Please report any problems in site function. 
Finally, Someone With The Cahones to Fire Their Cabinet....................subsidiaries
Effective September 30, Viking has unloaded the Fred Carl hobbies (i.e. more money in than out) known as "Rutt" and "Heritage" cabinets.  We are taking this as an indication that Viking is stepping back from their dream of total kitchen domination.  Viking retains the St. Charles Cabinetry product line, but we have no idea why or how long.
Brand New Brand
Texas based importer of Italian cooking appliances using the "Stainless" brand, added to appliance links
July
2004
Fisher & Paykel reach new Lowes
F & P and Lowes have signed a distribution deal which F & P believes could increase US sales by 50%.  Seems a weee bit optimistic to us. F & P sells direct in North America so has fewer toes to step on in this arrangement.  We have understood that BSH's agreement to direct sell Lowes 2 years ago was marked by great consternation in the its ranks of 2-step 10-toe distributors.
Harper Wyman to be Acquired This Week
After being taken over from Corning in 2002, factory closures, failed factory starts, changes in management, back orders, chapter 11 bankruptcy, new corporate address, and a bankruptcy auction, Harper-Wyman, the gas component manufacturer, will be acquired when the bankruptcy judge decides between bids this week.  What do you know about the Harper Wyman fiasco over the last couple of years?  Please contribute.
Jade/Dynasty layoffs
Jade has slashed their workforce by a rumored 10%.  Included in the cuts was our pal John Chitwood, the living embodiment of the "Dynasty" brand and the father of the "Chitwood" BBQ.  Dynasty was recently reinvented with a new brand, new factory, new product lines of refrigeration and dishwashers, redesigned ovens, new distribution and now many an empty office.
See unsolicited comments about the loss of John Chitwood in the ApplianceAdvisor mailbag.
CORRECTION August 16:  John, who has just returned from RV'ing around America's west, called to correct us.  John resigned from Jade one week prior to the sweeping layoffs.

These cuts may have been driven from parent Maytag, which has restructured much of its business from June with the elimination of 1100 employees, and the merger of Hoover and Maytag into one organization.  Maytag reported drops in sales, a rise in inventory (perhaps planning for the 3 week strike that just ended) and of course a rise in raw material costs, same as the rest of the planet and thanks to our friends in China.
......Yah that would be a job I want right now, president of Maytag.
News for Consumers:  The Industry Knows All Too Well.
The growth of manufacturing in China has long ago outpaced Chinese raw material suppliers.  World suppliers are straining to fill the void.  Commodity pricing has risen dramatically to make up for the shortages.  At some point the bank accounts of unemployed Americans will drop below that needed for even a Haier wine refrigerator, and finally we imagine all will return to balance.
http://chinese-school.netfirms.com/commodities-market-China.html
http://www.friedlnet.com/news/04061802/
Weber Embroiled in Potentially Embarrassing Ducane Bankruptcy Imbroglio
"The State" newspaper of Columbia, SC reports that the Newman family (creators of the $6000 "ChuckWagon" specifically designed for tailgating) alleges that they were screwed (is this a legal term in South Carolina) out of their patents and royalties when Ducane was taken over by Weber.  Bankruptcy court to decide.  Will there be a grilling of the grillers?
To reach the article:  http://www.thestate.com/mld/thestate/
Search By:   Title: Grill Designers Feeling Burned     Author: Ben Werner      Published: June 20, 2004  Page F1 
Speed Queen Re-Enters Residential Laundry Business?
Distributors across the country have reported contacts with Speed Queen, a maker of commercial washers and dryers.  We assume from these reports that Speed Queen is planning to enter the residential laundry business.  Perhaps it's their commercial machine with an accessory roll of quarters. 
Another DCS Refugee Does Good
Starting July 15, Excell Appliance is doubling plant size from 15,000 to 30,000 sq ft.  Excell is both an OEM supplier of pro-style indoor cooking (we do not know which brands) as well as a maker of their own line of outdoor grills.  
DCS Does Good
Money Magazine (July) chooses DCS as best luxury grill.  Also chooses Broilmaster as best all-purpose grill.
June
2004
Viking VP elected to Chairmanship of AHAM
Will Mr. Liston Durden, Senior VP of Marketing at Viking, be able to use his new position to push appliance measurement and marketing standards through AHAM and level the playing field?  Shouldn't the AHAM logo be used like an SAE standard to indicate to dealers and consumers that AHAM members are competing with the standards and principles as defined by AHAM.
Dear Chairman Durden, if you lead us to a utopia of marketing and measurement standards, we will follow.
UPDATE:  Jan 26 2005:  See March 2004 "Viking Sets the Standard" for Update
Gourmet Appliance keeps rolling along
Gourmet has added Tom Cutler (from Hadco Northeast) to lay claim to its newly added New England Kuppersbusch territory.  One can only imagine that Gourmet is seeking other brands for New England.
May
2004
Distributor Consolidation Effective May 27
We have learned from a letter sent to dealers in Nebraska and Iowa:  the entire staff of Coffman Distribution of Omaha Nebraska has joined the ranks of O'Rourke Sales Company where they will promote and sell LG, Nutone, Vent-a-hood, and Peerless. It is our understanding that Coffman Distributing will continue to distribute U-Line and other products.
Hollywood Movie Maker Seeks Major Appliance Product Placement
A TV producer of upward of 30 movies & mini-series annually is seeking a complement of middleclass appliances for a new set.  Appliances are likely to be "placed" in several family friendly flicks.  Acknowledgment will appear at the end of the movie.
Brands interested in celebrity can contact us for further information at:  advisor@applianceadvisor.com
Thermador VP of Sales Retires
Rocci Cetani will be retiring on May 31 after 40 years in appliances.  Rocci is the kind of guy one hears has forgotten more than you'll ever know, except in Rocci's case he doesn't forget.  Rocci managed his team with a piercing focus, tempered with good humor.  Rocci is looking forward to spending time with his children and grandchildren and enjoying his view of the Pacific from his Long Beach perch.
Mr. Scott Brown will step into the position of Director of Sales in replacement.
Former ASKO Marketing Director Seeks New Position
Joe Yoder, ex-Dir of Mkt at ASKO, is seeking new opportunities. Yoder helped build ASKO into a high-end product line from zero using out-of-the-box thinking and has been recognized for his leadership in sales and strategic planning. jjyoder@comcast.net   214-340-7172
Apr
2004
-Ariston, a brand manufactured by Merloni Elettrodomestici and distributed by Ultra 8, has been added to the brand list.
The Cutting Edge of Cold
A Ben & Jerry's funded thermo-acoustic ice cream refrigerator enters testing in a New York ice cream joint.  The technology uses sound waves and helium to refrigerate.  No compressor, no CFC's or HFC's, fewer moving parts, and theoretically much greater efficiency.
Description of the technology:  http://www.americanscientist.org/articles/00articles/Garrett.html
Ben and Jerry multimedia discussion of the technology: http://www.benjerry.com
Ben and Jerry press release:  http://www.tmcnet.com/usubmit/2004/Apr/1031753.htm
Is there any hope that our own fridge colleagues are working on this....or will we be looking to the confection and dessert industry for all of our new technologies?  We should be tripping over ourselves to be the first to fund, develop and launch this.  How much will people pay just to be able to talk about their refrigerators?  Now run along and get those early adopters before someone else does.
The Dull Edge of Cold 
Northland refrigerators do not meet Federal 2001 energy standards yet are sold in 49 states (except California).  They readily admit this but what gives them the right we wonder?  Northland claims an exemption based upon Northland's choice to ship the refrigerator cabinet and the compressor and condenser in separate boxes.  The US DOE agrees but that conclusion is not made obvious by a read of the law. 
See Section 6292 Paragraph (a) Item (1) for exclusions:  http://www4.law.cornell.edu/uscode/42/6292.html
Why would a dealer sell, or a home owner buy any refrigeration unit designed to meet lower standards when there are units from Sub-Zero, Monogram, Viking, Jennair, etc, that surpass tougher Federal requirements?
If there are units designed by engineers who leapt through flaming hoops to beat the efficiency standards, why settle for a unit designed only to schlep through a lame loophole?  We welcome a Northland response.
KBIS News:  Whilst we compile the report, chew on this:
-Electrolux rolls out upwards of 25 products and 2 brands in less space than LG used to launch one refrigerator
-Dacor's Michael Joseph graciously denied that Dacor was or would be sold, and thankfully did not sock our reporter.
-Dacor's PR firm confirms: Electrolux and Dacor are holding sourcing discussions but "no final agreement" has been reached.
-Dacor:  No final agreement?  This reporter notices more than a passing resemblance between Electrolux Icon's ovens, ranges, cooktops and downdrafts to Dacor's ovens, ranges, cooktops, and downdrafts?  hmmmmmm.  If Icon is launching Dacor made products, we conclude that "no final agreement" might be translated as, "we have an unsigned final agreement".  What's a Dacor dealer to think?
-Dacor announced the retirement of Anthony Joseph from his position as Vice-Chairman.
-Viking wheel in Rutt:  One of Fred Carl's many on-the-job hobbies, the Rutt cabinet division is understood to be hemorrhaging.
-Viking distributors complain of the astronomical cost of the Culinary Art Centers where cooking is taught on Viking equipment.
-Fisher & Paykel sells their mojo by supplying Whirlpool the dishwasher drawer?  Fisher & Paykel believes that Whirlpool's participation will help set the dishdrawer as a standard dishwasher configuration not just a specialty product.
-Fisher & Paykel took over their Canadian distributor, took on their employees, and will now sell direct in Canada, effective April 1.

-Bosch/Thermador back at KBIS, but in the outer-Mongolia section.  Roughly a 1000 feet from their closest competitor, and surrounded by knob and plumbing people.  We can only think that this little piece of hell on Earth is some sort of KBIS punishment.
-Bosch and Sharp enter 30" range business at the top to compete with Jennair and KitchenAid.
-Samsung and Haier enter the 30" range competition in the "Wee Bit Better Than Coal" division.
-New brands showing:  
          Artech USA:    Italian range hoods imported by Universal Metal Industries of Phoenix
          NexRange:      Chinese pro-ranges imported by Cosco's grill maker, NexGrill.
          Lance-Larkin:   New company making built-in American coffee, coffee makers
          Liebher:           German maker of refrigerators now being distributed by Almo
          Fotile:              Chinese maker of cooktops and hoods trawling for business using American surfer-dude as front man.
          Perlick             Maker of commercial bar fridges itching to become a maker of residential bar fridges
          True Food:        Maker of commercial refrigerators entering residential without getting approved for residential use.  Or False?
-Distributor updates:
          Gourmet Appliance picks up Modern Aire in NJ, PA, DE, MD & VA.
          Fretz and Clark pickup Scottsman in Hadco's old Northeast territory
KBIS Dance Card Corrections
-3 brands were missing or listed in error on the dance card:  
     NexRange:  US owned Chinese made pro-style ranges.  Perhaps the most frightening 100 sq ft at KBIS.  (KBIS website: furniture maker)
     AGA:  This must be our fault.  Showed an always on 110V electric unit replicating the function of the gas unit.  Our apologies
     Kuppersbusch:  (KBIS website:  not listed)
Going 
to 
KBIS?
APPLIANCE "DANCE CARDS" FOR THE 2004 KITCHEN AND BATH SHOW:  CLICK & PRINT
As a service to attendees of KBIS, we have developed DANCE CARDS to guide you through the show, filtering out the chaff, and leaving only our beloved major appliances.  (Note:  Registered users received email notice of the cards)
       -EXHIBITOR LOCATION - DANCE CARD  (numerical sort by KBIS location)
       -EXHIBITOR NAME - DANCE CARD         (alphabetical sort by company) 
If attending, print both, you'll need them.

Let's be honest, we wouldn't want our daughters marrying someone in cabinets, we try to avoid shaking hands with the pinky-ringed toilet and bath people and then there's solid surfaces, fixtures, flooring, lighting, and knobs, let's not forget the knob people, how could we forget them?  Are there really that many idiot son-in-laws needing jobs?  Ladies....gentleman, print off the ApplianceAdvisor Dance Cards to efficiently navigate this year's Kitchen and Bath Show, and avoid the unpleasantness of eye contact with the riffraff.
See unsolicited comments about KBIS in the ApplianceAdvisor mailbag.
Mar
2004
Sirius Drops Anchor
Italian range hood importer Sirius USA appoints Gulf Central (May 2001) to distribute their products in TN, NC, SC, MS, GA, AL and FL.
Storch Picks up the Pieces
-Felix Storch, New York manufacturer and distributor of Summit refrigerators has taken on several of the brands discarded in the Hadco New England fiasco.  Effective March 15, Storch will represent Five Star, AGA, and Northland in New England.
Diva De Provence Moves Plant to Poland
-Diva closed a small plant in France producing residential ranges because of work rules, costs, and the Euro appreciation.  A new plant has opened in Poland.  Diva engineering, design, and the fabrication of commercial and induction units continues at a separate facility in France.
Chinese Appliance Shows added to Pro+Trade page
-As a service to large American OEM companies planning to train Chinese appliance suppliers how to: specify, design, tool, qualify components, assemble, paint, package, control quality, pass import & efficiency requirements, and be UL and cUL certified with French and English manuals with the end and final result that we all become subsistence rice farmers..........for those companies, we have added links to the two main Chinese appliance shows.  See the Pro+Trade page.
Ultra 8 Shipping
-Ultra 8 (see Nov 2003), it has been confirmed, is doing business, making sales, and that containers are inbound from Italy.
-Southwest:  Bruce Cato's AD Enterprises
We will add to this news item as distributors are identified.
Striller Joins Zephyr
Dean Striller has bounced back from a Viking reorganization (see Nov 2003) to take the position of Director of Distributor Sales at range hood importer Zephyr.
Ducane Assets Taken by Webber
Weber was the winning bidder in bankruptcy court (see Jan 2004) for Ducane Gas Grills and its assets.  Webber will be interviewing
Ducane employees next week (including CEO John Ducate Jr. and CFO Ira Zolin) to determine which employees they will retain.  We wish the Ducane people well, but as Webber is already a BBQ manufacturer, there will be some pain.
March 16 UPDATE:  Most employees have been retained, though the sales force has been released.  Production is being increased.  CEO John Ducate has left the company and has been re-hired as a consultant to Jim Stevens, CEO of Webber.
Viking Sets the Standard
We have come into possession of a Viking sales training document which sets out the Viking procedure for measuring oven capacity.  The document created for dealer training explains that Viking ovens are larger than others, but that some competitors use a less rigorous measurement method which results in a larger published capacity figure.  The document is quite a read, and we recommend that you all do. 

Where is AHAM on the issue of setting standards for CFM, Sones, BTU, Oven Capacity, Energy Usage, etc, etc?.  
From the AHAM website:  "Standards are adopted voluntarily by AHAM members in the public interest, to establish common understanding between manufacturers and consumers and to assist consumers in comparing appliances before purchases."
How can AHAM allow members to "voluntarily" work in the "public interest"?

Without standards we have chaos, and competition based on deceit, and soon enough someone's sleeping with the fishes.  For example the range hood industry.
MESSAGE TO AHAM:  GET THE MOVERS AND SHAKERS INTO A ROOM, SET SOME STANDARDS, REMOVE "VOLUNTARILY ADOPTED" FROM THE MEMBERSHIP AGREEMENT.........AND LET'S GET ON WITH OUR LIVES.
UPDATE:  Jan 26 2005:  Reported by Appliance News:  "Jan. 11, 2005. The Association of Home Appliance Manufacturers (AHAM) announced the publication of its 25th product performance evaluation procedure, AHAM-OV-1-2005 Standard for the Determination and Expression of Oven Volume. The standard establishes a uniform, repeatable method for determining and expressing the overall volume and usable oven space of the cooking cavity of household ovens, AHAM said. The scope of the standard includes residential microwave, electric and gas freestanding ovens, and built-in ovens."
Cato Crosses Equator
Equator VP of Sales and Marketing Bruce Cato has left his position at that company and is available to review new opportunities.  Bruce has been with Chambers, KitchenAid, Viking, Dynasty, Garland, Sunshine BBQ, and Equator and was one of the founding fathers of the professional-style appliance industry.  He knows where the bodies are buried.  Reach Bruce at:  bcato@houston.rr.com
Breathtakingly Unconfirmed Report #1:  (March 2 Update:  LG denies this rumor)
We have received a VERY unconfirmed rumor that LG and Viking are in discussions.  This rumor is at least 4th hand, from only one source, and therefore on very shaky ground at best.  We like this rumor for its potential to be a mirror of a technical sharing agreement between LG's adversaries Whirlpool + Fisher & Paykel (see Nov 2003 below).  We have inquired with Viking and LG and surprise, surprise, no one called back.  We'll try to get a confirmation or a denial, but we expect neither.  
March 9:  We're starting to feel embarrassed on this one.  This seems to be untrue.
Breathtakingly Unconfirmed Report #2
We have received a VERY unconfirmed rumor that Dacor has agreed to be purchased by Electrolux.  This rumor is from only one source, but a source which has proved to be correct in the past.  We could believe that Electrolux is driven to match the BSH purchase of Thermador but Dacor also offers a high end line, and a national direct sales force which could be leveraged with the new "Electrolux" brand.  For Dacor, it's an easier putt.  A 9 figure offer has been known to work in the past.  There is no confirmation that this is true and much to say it is not.
April 4:  Dacor president Michael Joseph denied this rumor.  Sure he had the perfect opportunity to sock this report, but instead Mr. Joseph graciously said, "Dacor is not for sale."  If not a sale, is something else going on?  We contacted so many people from the Baltic to the Pacific trying to confirm this story.  We received much additional information which strengthened the rumor but no direct confirmation.  Something was afoot for sure.  See April "KBIS News" above to see what was actually going on between Dacor and Electrolux. 
Feb
2004
HomeTech in Cologne Germany
HomeTech seemed to be a disappointment to many in Cologne.  No major European producer showed; no Whirlpool, Merloni, or BSH.  Much of the show area was walled off and vacant.  The largest brand on display was Haier, and in fact HomeTech had over 200 Chinese companies with products ranging from full size side by side refrigerators, to Euro-hoods, to induction cooktops, to several thousand small appliance iterations.  The end may be near for HomeTech, but what of the rest of the established appliance industry?  The Chinese pricing is quite persuasive.
Update:  If you want a Bizarro World take on HomeTech, AM magazine's phoned in "Stepford Wives" story is right up your alley.
http://www.ammagazine.com/CDA/ArticleInformation/news/news_item/0,2610,120369,00.html   Are those guys abusing sedatives?
Breathtakingly Confirmed Report #1
Hadco has been appointed to be Viking's distributor in a territory covering a swath from Virginia to Florida.  In the agreement expected to close March 31, Hadco will acquire Viking's three owned distributors in the territory: Palmetto of FL, Southeast of NC, and Atlantic of MD.  These are the answers, but the questions remaining are:
     -Hadco is the BSH distributor in this territory (excluding FL) but can Viking and BSH coexist?  Is this the launch of the BSH distribution strategy, or has BSH woken this March 1 to the realization that they have played checkers while the distributors have played chess?  Is BSH in what we (on this side of the Atlantic) call a 'pickle'.  For those just passing by, the fine print here is that Hadco will ship what is ordered but they are unlikely to lift a finger in the selling or marketing of BSH's brands.  Other distributors aren't going to be tripping over themselves to take on BSH either. 
     -What of Viking's strategy of owned distribution?  Why the about-face?  Did it fail or was it only a stop gap during the great distributor reshuffle of 2001/2002?  We think that they probably failed to meet expectations, but a Hadco doesn't knock on the door every day.

On behalf of the appliance trade, the ApplianceAdvisor.com wishes to thank America's unsung appliance distributors for making this the most fun one can have with your pants on and a business school education money can't buy.
-We are a little late here.  As of January 1, Viking has canceled Northern Plains Distribution which covered N&S Dakota, and Western MN, and given the territory to Showcase Appliance Distribution of Overland Park, KS.  On January 1, Showcase also took over Coffman Distribution's territory for Viking of IA and NB.  Prior to the mergers, Showcase covered KS, MS, and S. IL for Viking.
The ApplianceAdvisor.com Challenge
-Who manufactures the Lowes brand "Holiday" used on 20" electric and gas ranges?  Answer:  Peerless Premier.
-Who manufactured the "Imperial" 30" gas range, labeled "manufactured for Speedibaker Division, Cleveland, Tennessee 37311".  Are Cleveland, TN companies Brown Stove or Hartwick involved?  Answer:  It's an old Hartwick company product.
Jan
2004
Ducane Gas Grills has filed Chapter 11 bankruptcy as of December 2003.  
Family owned Ducane has been an innovation leader in grills since entering the market in 1975.  Ducane was caught on the wrong side of 3 freight trains which included the opening of a spiffy new high tech manufacturing facility, an economic downturn, and the liquidation of 3 of Ducane's national distributors each of which held millions of dollars of unpaid invoices.
As part of this Chapter 11 filing, Ducane will loose its independence to a winning bidder for the business, of which there are now one, Webber, and one promised, the Ullman Family Partnership.  Entities wishing to join the bidding should contact Ducane's attorney:
Mr. Bill McCarthy at 803-256-6400 or at email:  bmccarthy@rbmcc.com.    Bidding closes February 26.
Ducane is currently a going concern.
Viking appointed Jim Ruberti to newly created position of President of Viking Distribution LLC, a seemingly separately incorporated organization to manage all of the Viking owned distributors.  Jim had been VP of Sales and Distribution.  Viking also promoted Bob Woods to the position of Vice President of Sales.  Both have appliance rap sheets as long as your arm.  Who is managing Viking's independent distributor sales??  Maybe they don't need managing.
Viking Continued
Well someone is managing Viking's independent distributors.
On February 6, Viking cancelled its distributor Pierce-Phelps with 60 days notice, giving the territory to Carl Shaedel & Co.  Shaedel is the current distributor of Viking products in North and Central NJ and Rockland County NY, and gains from Phelps Pennsylvania, West Virginia, Southern NJ, Northern 2/3 of Delaware, and a few OH and KY border counties.
Maytag Class Action
A class action lawsuit has been filed against Maytag on October 29, 2003 in connection to complaints with the Neptune Washer including:
1) mold and mildew growth
2) door latch failures
3) control board failures. 
4) and "that they fail at unacceptably high rates, are inherently defective and unreliable, and are not of merchantable quality"
Information from: http://www.sheller.com/Practice.asp?PracticeID=129
Universal Appoints Storch
Universal Metal left out in the cold with the BSH buyout of Hadco has chosen Felix Storch, Inc to distribute their Trade Wind brand products in 9 states (New England, NY, NJ, and PA)

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