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Hickory Hardware Centralizes Operations to Combat Escalating Commodity Costs

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Hickory Hardware™ (www.hickoryhardware.com), a leading designer, manufacturer and marketer of decorative, functional and industrial hardware, announces that it will centralize several of its functional operations into a new facility in Nashville, Tennessee. The move is part of an overall investment in operational efficiencies to deliver its customers best-in-class service and combat continued increases in key commodities used to manufacture the Hickory Hardware line of decorative and functional hardware. In addition to housing its corporate offices, the new premises will include a 300,000 square foot distribution center, featuring a best-in-class material handling system designed and built by sister company FKI Logistex. The new distribution center is designed to take advantage of Nashville as a central location for the company's North American supply chain. John Westendorf, president of Hickory Hardware, said the move and resulting efficiencies will enable the company to reduce costs and avoid having to pass a major portion of its commodity cost increases to its customer base. "Zinc prices have almost tripled in the past year; brass and copper prices have nearly doubled; aluminum has soared by over 60 percent," added Westendorf. "During this same period, energy costs have also increased with oil feedstock and natural gas at or near all-time highs. With raw material costs expected to remain high and even increase in the future, we are looking at our entire operation for ways to cut costs and increase efficiencies." "The savings that will result from having a centralized location and new distribution center will enable Hickory Hardware to continue to provide the quality products, at competitive pricing, that the market has come to expect from the Hickory Hardware brand," noted Westendorf. "We will continue to invest in efficiency measures that improve our production and supply chain efficiency to help reduce the future impact of rising commodity prices on our customers." About Hickory Hardware Hickory Hardware™ brings together some of the finest hardware companies in the world — Belwith International, Faultless Caster, Keeler Brass Company, Madico, and Wright Products. The company designs, manufactures and markets decorative, functional and industrial hardware to the retail, wholesale distribution, and OEM furniture and cabinetmaker markets under the brand names Hickory Hardware, Belwith, Faultless Caster, Keeler Brass, Madico, Period Brass, and Wright Products. For more information, visit www.hickoryhardware.com.

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