1. New Multi-Brand Accounts ● New Accounts Displacement/Placements Remodeling Activity D.O.D Home Interiors sells Chinese cabinets and claim their raised panel maple door with a glaze averages between $10 - $14K for a complete kitchen to their consumer. This includes (granite counter top, demolition and install). They said they lose to other Chinese showrooms who have less expensive Chinese cabinets. (PG) San Diego County dealers have reported a traffic slow-down. They feel it is due to the first time home buyer tax credit ending. (PG) My largest dealer in Santa Barbara, Hayward Lumber reports that they are very busy with quotes, but are having trouble closing at satisfactory margins. Dealers in northern LA County report that things are quite slow. (RM) Projects Western States Cabinet Wholesalers, Sherman Oaks, CA has placed KC orders for the 3 mock-up rooms for Menorah House. The GC is Mitchell Construction. If these initial installations go well there will be a total of 149 small units in two projects by the end of the year. Potential $160K, with 9 more building to be re-habbed over the next two years. (RM) Competition Holiday Kitchens are running a “Fab Fall Five” promo which is a 5% off framed cabinet sale Aug. 9 – October 11 th. (PG) DeWills is running full page ads with dealer locator in Hawaii Home magazine.(DP) Market Notes SDK Product Wish – Hammer-Lock Construction,who sells a lot of Morgan painted white would like to see a 5 piece drawer front on this door. Also, they say the Shaker white door in-stock at Lowes would be great in the Contractor’s Choice offering. (PG) Tool Time, San Diego, CA – is an installer for Home Depot and they have done at least 40 foreclosure jobs in the last year. They claim most of these jobs just paint the cabinets. (PG) Direct Buy San Diego, CA – only allows their members to place up to $5K per month on a credit card. The designers feel this hinders cabinet sales. (PG) The new TGI-in-a-store in Torrance, CA reports that they are getting almost no traffic. The surmise is that this is because there is no advertising being done locally and there is no signage, either outside the store or on the main floor to let potential consumers know that the department even exists. (RM) CNN Money reported on 9/27 that, along with all of the other horrid housing news, the number of homes nationally that are slightly behind on their mortgage payments rose from 3.31% to 3.51% in the last quarter. This is an ominous sign, since overall foreclosures have been declining for the last several months.(RM) A state legislative effort to save homeowners from foreclosure that once seemed to enjoy broad support is close to failing in the wake of an intense banking industry lobbying effort in Sacramento. SB1275 would require lenders to provide homeowners with a fully considered decision on a loan modification prior to starting foreclosure. (SW) Many Honolulu Hi cabinet dealers closing. Dahl Tile asserts that Maui Decora dealer, Ceramic Tile Plus, is purchasing zero, confirming that Maui and other outer islands are more stagnant than Oahu. (DP) Pacific West Area Executive Summary 09/3/10 Highline-Southwest Key Targets Pacific West Northwest Southwest Financial Metrics