Dunne resigns at Bloomcraft; management team in place

an-amicable-breakup-blog3

NEW YORK–Steve Dunne, Bloomcraft’s chief operating officer, has left the company to do “special consulting assignments” for Simmons Universal, according to Jerry Sherman, a vice president of Gulf & Western Industries inc.

Bloomcraft is a division of Simmons Universal, an operating unit within the consumer and industrial products group of Gulf & Western.

Sherman would not comment on whether there are plans to replace Dunne but did say that Simmons Universal” is in the midst of restructuring certain of its operations.

“bloomcraft is being run by a management team,” said Sherman but he declined to name the members and company affiliations. He also would not say how long the team will remain at Bloomcraft’s helm.

Other operating units within Gulf & Western’s consumer and industrial products group in addition to Simmons Universal include Kayser-Roth corp., Simmons U.S.A. corp. and Simmons International Corp. along with others not involved in home furnishings or apparel.

in addition to Bloomcraft, simmons Universal owns Century Curtain, Greeff Fabrics, Katzenbach & Warren, Albert Van Luit, Thonet, Old Stone Mill, Simmons Juvenile Furniture and Simmons Healthcare.

Simmons U.S.A. Corp. and Simmons International Corp. manufacture Beautyrest, Maxipedic and other mattress lines, box springs and Hide-A-Bed convertible sofas.

Bloomcraft has been without a president since Don Beittel retired in January 1983. Dunne, who at that time was executive vice president at Bloomcraft, was named chief operating officer taking over many of Beittel’s duties.

In April 1983, Frank Rosenberry, president of Simmons Universal, resigned and was succeeded by Alfred J. Marchitto, who has declined to comment on Dunne’s new assignment or the restructuring.

Following the death of Gulf & Western’s founder and chairman Charles G. Bluhdorn in early 1983, the conglomerate rethought some of its investments and divested itself of a 22 percent interest in J.P. Stevens in April 1983.

That move marked a major divesture program, which Martin S. Davis, Gulf & Western vice chairman and chief executive officer, noted also included an “intensive study” of companies “that either do not fit with our core operations, are losing money, are profitable but have a poor return on investment, or have limited growth potential.”

In Davis’ message to stockholders in October 1983, he noted that “the consumer and industrial products group, faced with weakness in most of its markets and a slow recovery in others, recorded lower operating results in fiscal 1983.”

He noted that Simmons’ domestic mattress operations were profitable for the first time since they were acquired in 1979, but that international bedding and home furnishings sales declined due to economic conditions.

While Davis also noted in that report that the consumer and industrial products group would “seek future growth opportunities in apparel, hosiery, bedding and home furnishings,” industry observers said that both Simmons companies are “on the block.” Sherman denied that this is true.

Bloomcraft’s position in the industry is based primarily on its decorative fabric business as well as manufactured products including bedspreads, decorative pillows, shower curtains and tabletop. Trade sources peg company volume at about $30 million. NEW YORK–Steve Dunne, Bloomcraft’s chief operating officer, has left the company to do “special consulting assignments” for Simmons Universal, according to Jerry Sherman, a vice president of Gulf & Western Industries inc.

Bloomcraft is a division of Simmons Universal, an operating unit within the consumer and industrial products group of Gulf & Western.

Sherman would not comment on whether there are plans to replace Dunne but did say that Simmons Universal” is in the midst of restructuring certain of its operations.

“bloomcraft is being run by a management team,” said Sherman but he declined to name the members and company affiliations. He also would not say how long the team will remain at Bloomcraft’s helm.

Other operating units within Gulf & Western’s consumer and industrial products group in addition to Simmons Universal include Kayser-Roth corp., Simmons U.S.A. corp. and Simmons International Corp. along with others not involved in home furnishings or apparel.

in addition to Bloomcraft, simmons Universal owns Century Curtain, Greeff Fabrics, Katzenbach & Warren, Albert Van Luit, Thonet, Old Stone Mill, Simmons Juvenile Furniture and Simmons Healthcare.

Simmons U.S.A. Corp. and Simmons International Corp. manufacture Beautyrest, Maxipedic and other mattress lines, box springs and Hide-A-Bed convertible sofas.

Bloomcraft has been without a president since Don Beittel retired in January 1983. Dunne, who at that time was executive vice president at Bloomcraft, was named chief operating officer taking over many of Beittel’s duties.

In April 1983, Frank Rosenberry, president of Simmons Universal, resigned and was succeeded by Alfred J. Marchitto, who has declined to comment on Dunne’s new assignment or the restructuring.

Following the death of Gulf & Western’s founder and chairman Charles G. Bluhdorn in early 1983, the conglomerate rethought some of its investments and divested itself of a 22 percent interest in J.P. Stevens in April 1983.

That move marked a major divesture program, which Martin S. Davis, Gulf & Western vice chairman and chief executive officer, noted also included an “intensive study” of companies “that either do not fit with our core operations, are losing money, are profitable but have a poor return on investment, or have limited growth potential.”

In Davis’ message to stockholders in October 1983, he noted that “the consumer and industrial products group, faced with weakness in most of its markets and a slow recovery in others, recorded lower operating results in fiscal 1983.”

He noted that Simmons’ domestic mattress operations were profitable for the first time since they were acquired in 1979, but that international bedding and home furnishings sales declined due to economic conditions.

While Davis also noted in that report that the consumer and industrial products group would “seek future growth opportunities in apparel, hosiery, bedding and home furnishings,” industry observers said that both Simmons companies are “on the block.” Sherman denied that this is true.

Bloomcraft’s position in the industry is based primarily on its decorative fabric business as well as manufactured products including bedspreads, decorative pillows, shower curtains and tabletop. Trade sources peg company volume at about $30 million.