MOHAWK PURCHASES WEAR-DATED BRAND

CALHOUN, GA (February 2, 2009)—Mohawk Industries announces the purchase of the Wear-Dated^® fiber brand from Solutia.   

Wear-Dated fiber is known for enduring durability, retail preference and strong consumer brand recognition. Mohawk will continue to support the marketing and promotion of the Wear-Dated fiber brand to flooring industry retailers and consumers. The sale of the Wear-Dated brand excludes the Ultron fiber brand which will remain a part of Solutia.

 “Wear-Dated is a valuable brand asset and among the top five consumer-recognized names in carpet,” says Tom Lape, President of Mohawk’s Residential Division.  “Mohawk and Wear-Dated have had tremendous success with our co-branding efforts. The purchase of the Wear-Dated brand complements our brand strategy and long-term vision for our company.”

More than two billion square yards of Wear-Dated carpet have been produced, and the product is in more than 13 million homes across the nation. 

In 2005, Mohawk announced a unique long-term strategic alliance with Wear-Dated and Scotchgard that company officials described as “the most significant commitment to a product platform in industry history.”  More than 80 Mohawk carpet products were designed and constructed using Wear-Dated fiber and the new Scotchgard Protector Advanced Repel Technology.  The alliance has benefitted all three brands and set a new, higher standard in innovation.

 “Wear-Dated has a superb reputation for durability.  We see enormous potential for the brand and opportunity to add greater value to our retail partners and consumers.  This purchase makes it possible to allocate resources needed to further build what is already a tremendously valuable property,” says Lape.

Capitalizing on Consumer—And Dealer—Confidence

David Duncan, Vice President of Marketing, noted that Wear-Dated’s high scores among consumers and retailers as a product that lasts is the perfect launch point for highlighting other benefits.  “The brand has already gotten past the first major purchase hurdle—it’s a good long-term investment,” he said.  “With the power of the Mohawk, Wear-Dated and Scotchgard brands, the level of consumer trust is nearly four times greater than any other competitive offering. Also, with more Wear-Dated products than ever, across a spectrum of styles and price points, we can address every customer preference.”

Duncan said that research shows continuing strong retail support for the brand. A number of noteworthy dealers agreed.

"Wear-Dated is a go-to product line for any retailer. Consumers understand it stands for durability and performance. The selection has gotten better and better and now that Mohawk owns the brand, I'm looking forward to what's next," said Bruce Odette, Carpet Exchange, Denver, CO.

“We sell Wear-Dated carpets today. I like the fact that there is a good range of styles and colors. Customers like choice and there are a lot of good products and values to select from with Wear-Dated,” noted Jim Matthews, Carpet Corner, Kansas City, MO.

Mohawk to Continue Wear-Dated Rewards for Life and Co-Op Programs

Mohawk will assume responsibility for both the Wear-Dated Rewards for Life and for the Wear-Dated Co-op programs. Wear-Dated Rewards for Life is the retail sales incentive program. Participants in this program earn points for selling Wear-Dated products. Wear-Dated Co-op helps retailers subsidize their advertising expense when they advertise Wear-Dated products. “These two programs will not only continue, we will build on their success and make them better” says Duncan.

 “Wear-Dated and Mohawk have long been successful partners,” Lape said.  “This acquisition will give us new opportunities and new ways to bring enhanced value to our retail partners and consumers.”

Monetary details of the transaction were not disclosed.

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Mohawk is a leading supplier of flooring for both residential and commercial applications. Mohawk offers a complete selection of broadloom carpet, ceramic tile, laminate, wood, stone, vinyl, rugs and other home products. These products are marketed under the premier brands in the industry, which include Mohawk, Karastan, Ralph Lauren, Lees, Bigelow, Dal-Tile, American Olean and Quick-Step. Mohawk's unique merchandising and marketing assist our customers in creating the consumers' dream. Mohawk provides a premium level of service with its own trucking fleet and over 250 local distribution locations.

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