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Fire at Interface's Australian carpet manufacturing plant
23
Jul '12
Interface Inc announced that a fire occurred at the Company's manufacturing facility in Picton, Australia on July 20.  Local authorities extinguished the fire.  The Company said that there have been no injuries reported as a result of the fire. The cause of the fire and full extent of the damage are not known at this time.

Based on current information, the Company believes that the facility's carpet production line, primarily comprised of tufting and backing machinery, has sustained substantial damage and will be inoperable for an undetermined period of time.  Other areas of the Company's Picton site relating to yarn preparation and warehousing were undamaged by the fire.  The finished goods inventory and some raw materials for the business are kept at separate offsite locations and have not been affected by this incident.

The Picton facility serves the Company's customers throughout Australia.  It represents approximately 7% of the Company's total annual production, 10% of its net sales, and 13% of its operating income.  The Company said it has adequate production capacity at its manufacturing facilities in Thailand and China and will ramp up production at those facilities to meet customer demand typically serviced from Picton.  The Company does not expect any significant inconvenience to customers. 

The Company has business interruption and property damage insurance.

Interface, Inc. is the world's largest manufacturer of modular carpet, which it markets under the Interface, InterfaceFLOR, FLOR, Heuga and Bentley Prince Street brands, and, through its Bentley Prince Street brand, enjoys a leading position in the designer quality segment of the broadloom carpet market.  The Company is committed to the goal of sustainability and doing business in ways that minimize the impact on the environment while enhancing shareholder value.

Interface Inc


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