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Dixie Group Acquires Atlas Carpet Mills

Carpet and rug manufacturer The Dixie Group Inc., Chattanooga, Tenn., has acquired commercial broadloom and modular carpet tile manufacturer Atlas Carpet Mills, Los Angeles, for $17.5 million.

“Dixie and Atlas have had a long relationship that goes back over 40 years,” said Dixie Group Chairman and CEO Daniel K. Frierson, adding that Atlas Founder Jim Horwich remains president of the company. Atlas Executive Vice President Mark Nestler and Vice President of Manufacturing Scott Price also remain with the company.

Commenting on Atlas’s “very strong sales force and excellent brand equity,” Dixie COO Kennedy Frierson stated that “this strong market position has been created by the superior design and styling of their product offerings.” He noted that Atlas’s Saybrook tufting, coating, inspection and shipping operations will continue as before; as will administrative, product development and sales operations. Dixie will consolidate Atlas’s dyeing operations into its own Susan Street facility in Santa Ana, Calif., and many of the associates from the Atlas facility are expected to move to the Santa Ana facility.

Atlas reported sales totaling some $53 million in 2013 and has stayed profitable over its 44-year history. Atlas remains a distinct brand within Dixie’s portfolio, joining the Fabrica International, Masland Carpets, Dixie Home, Masland Contract and Avant brands.

Dixie sales totaled some $345 million in 2013, compared with 2012 sales totaling $266 million.

May/June 2014




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