Woodmark Halts Production of Custom Cabinets

Woodmark Halts Production of Custom Cabinets

Winchester, VA American Woodmark Corp. has stopped production on its line of custom cabinetry, and will focus instead on its core product lines, the company announced.

The publicly-traded manufacturer, known primarily for its stock cabinetry sold through home center chains and to home builders, said it is making the move because the company's future growth lies in other forms of cabinetry.

The two brands affected by the decision are Knapp, offered through kitchen and bath dealers and independent distributors, and Coventry & Case, sold through 23 test market Home Depot stores.

The Minnesota facility acquired with American Woodmark's purchase of Knapp will be dedicated to component manufacturing in support of other products, the company said.

"Our future growth is not in custom cabinetry due to the high operating costs required," said president and CEO Jake Gosa. "The company has significant opportunities to pursue revenue growth in our core product lines, which offer higher margins than those earned in the custom line," Gosa added.

American Woodmark reported sales of some $327 million in fiscal 1999.

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