Duralee Expands Asian Business Partnerships

November 19, 2007

BAY SHORE, New York —Duralee is cashing in on its cachet as an important U.S. fabric brand by making three separate deals in Asia to feature its contract and residential fabric lines in various showrooms and offices, according to Lee Silberman, senior vice president.

Duralee just logged its 25th consecutive sales increase and Silberman expects the Asian agreements will add a boost to sales in 2008. "We don't want to break our winning streak," he told Sipco Publications.

Silberman has also appointed Joel Rothstein as international sales director to help meet the needs of the new business. Rothstein expects to be on the road 26 weeks a year in his new post. He will help Duralee service the business, including providing samples and support with Silberman to their global partners. Silberman has been with Duralee since 1979 and Rothstein has logged 13 years. The company is now 55 years old.

"I wanted to be one of the first to develop this business," Silberman said, even though he thought the markets had limited potential during his first trip to China on a U.S. trade mission in 2006. Duralee will join other wholesalers in the Asian market which now include JAB's two showrooms in Shanghai and The Robert Allen Group with a showroom in Beijing.

Duralee has made an agreement with 'Profound,' a Beijing-based furniture manufacturer to open 10 residential fabric locations in its showrooms in the next five years. Duralee will ship cut orders through UPS Air to Profound.

Profound will dedicate space within its 3,000-square-foot showrooms to feature Duralee hanging samples in 700-800 square feet of space surrounded by its Chinese-made furniture lines.

The first location opened in Beijing in June, 2007 and another location has opened in Wenzhou, just south of Shanghai, according to Silberman. Another Duralee/Profound showroom is expected to open in Beijing during the first quarter of 2008 and a fourth is expected by year end in Hangzhou.

Silberman met Profound owner Lucy Liu at the 2007 Heimtextil Frankfurt. This agreement came out of that meeting, he confirmed.

In other developments, Duralee named Sankon China to carry the Duralee contract line in sample books only for the hospitality trade. Sankon China was a subsidiary of Sankon Hong Kong but now is a separate, independently-owned company doing business as Yuan Yun Decorating Ltd. with offices in Beijing, Shanghai, Guangzhou and Shenzhen. Samuel Hui is the principal who has known Silberman for many years.

In its third agreement beginning in 2008, Duralee has signed with Innovasia to be the exclusive representative for all of the Duralee fabric brands with a total of 1,500 sku's including Duralee, Highland Court and Duralee Contract for Japan, Hong Kong and Thailand. Innovasia plans to open four combined Duralee/Innovasia showrooms in Tokyo, Hong Kong, Kuala Lumpur and Bangkok in 2008, Silberman said. The Duralee lines will be complemented by Innovasia stocked lines at these locations. The agreement was made with Glenn and Andrew Grow, principals of Innovasia. Andrew moved to Denver, CO and Glenn moved from Tokyo to Kuala Lumpur to manage the Asian business.

Glenn had lived in Tokyo for several years but found that it was too difficult to manage the business from that location since he wanted to expand his business throughout Asia. "Tokyo is a difficult base to have operations if you're travelling throughout Asia," Silberman said.

With the new arrangements, Silberman does not feel the need to exhibit his lines in Asia-based trade shows in the future since his partners will be making those decisions. However, Duralee expects to exhibit at the Dubai Hotel Show and also at Maison Objet in Paris for the first time.


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