BOE-LIEU: Ralph Boe, new CEO of Beaulieu of America, shared his views last week on business in 2007. He said the first half of this year, just completed, was down about 10% compared with last year. A depressed housing market, down about 25%, contributed to the poor showing. He expects the second half of the year to show some gains, enough to make it stronger than the last six months of 2006. Looking at the remainder of this year, Boe said raw material costs are still going up, citing some increases as “ridiculous,” like benzene. Polypropylene is “up significantly,” though polyester not as much but going up. That’s why carpet prices had to be increased, he said, it will help the industry with profitability this year.

NOT EASY: There are some people in Dallas who circumvent price increases and are not affected by a slumping housing market. We don’t condone this method of building an inventory, but recently an inbound truckload of Feizy Rugs was stolen in a Dallas suburb. Now, that wasn’t easy. Hijacking a truck is easy, but stealing only the rugs took some doing. The crooks had to have another truck to carry the loot and several strong guys to handle the robbed rolls, which the company says included a large quantity of new and antique rugs of various sizes, constructions and countries of origin. What a haul. Now, the rug robbers have to fence the plunder. Be on the lookout during the Atlanta Rug Market—July 15-18. Don’t buy rugs from anyone wearing a ski mask.

GOOD SIGN: Despite indications that the economy is slowing, there is one vital statistic that bodes well for business in general and the flooring industry. Consumer confidence bounced back in May, quite unexpectedly, fueled by optimism about the job market even though shoppers’ concerns about gasoline price-driven inflation increased. The Consumer Conference Index rose to 108, up from a revised 106.3 in April. Analysts expected the index to fall to 104.5, instead the May reading was the highest since March, when the index was at 108.2. Economists closely monitor consumer confidence because consumer spending accounts for two-thirds of all U.S. economic activity. The May report was good news for the nation’s retailers, who struggled through the worst same-store sales performance on record in April. But that’s behind us, and so is May. Let’s hope June is a mid-year surprise.

ON TARGET: Lending credence to the May Consumer Confidence report, which claimed to be good news for the country’s retailers, Dave Elyachar, president and founder of Big Bob’s, told me, “All our stores’ sales were up in May. It was a great month for us.” How come? “We make things happen,” he said. Simply put, he said, emphatically, “We are proactive, not reactive.” He’s passionate about his tight-knit retail group and the progress it’s made over the years. The group is unique—and so is Elyachar.

NOTABLE NOTES: Milliken & Co. has been named one of the World’s Most Ethical Companies by Ethisphere Magazine, a national publication dedicated to illuminating the important correlation between ethics and profit…The Carpet & Rug Institute Web site has a new look that includes a visitor-friendly format divided into residential, commercial and industry sections. Visit at carpet-rug.com… FCICA, the flooring contractors association, has revised and improved its Web site at fcica.com. Now members can be searched by location, as well as by the type of flooring they handle.