Interface sells European Fabrics Div., will shutter plant in Mass.
In announcing the two moves the president and CEO of Interface, Daniel T. Hendrix, said it was part of an effort to build on the strength of the company's North American operations. "In 2005, we saw solid operating improvements and growth within our North American fabrics business, and continuing to increase sales and enhance the profitability of this business remains an important part of our strategy. Overall, we feel the sale transaction and our restructuring activity in North America allow for greater financial flexibility."
The acquisition of Camborne Holdings was led by the division's management team with financing from the Bank of Scotland. The division last year generated revenue of $62.8 million and operating income of $3.1 million. Interface said proceeds from the sale will be used to pay down debt or reinvest in other businesses operated by Interface.