Newsline

Volume VI, Issue 7 - March 24, 2005

The Carpet and Rug Institute news for industry executives

Special Edition - CRI Issues Conference

In This Issue:
-- Plenary Session
-- Ally Associations Meeting
-- Government Issues Committee (GIC)
-- Technical Issues Committee (TIC)
-- Market Issues Committee (MIC)
-- Post-Conference Survey Results
-- CRI Meetings
-- CRI Participation in Upcoming Events

The CRI Issues Conference was held at Lake Lanier Islands, Ga., at the Renaissance PineIsle Resort on March 15-18. The event was well attended (102 total) by people from all across the carpet industry as well as ally associations, and invited guests. We would like to use this Special Edition of Newsline to highlight some of the happenings from the event.

Plenary Session

CRI President Werner Braun gave the opening presentation looking back at CRI's 2004 accomplishments and ahead to 2005 goals. Braun gave a brief overview of the industry to date and spoke of CRI's continuing evolution.

All three chairmen of CRI's major issues committees (Government, Technical and Market) gave brief overviews of the issues being worked on by the individual committees and what would be covered by each over the three-day conference.

The highlight of the session was an overview, followed by questions and answers (Q&A), of the recently completed commercial market survey research. A total of 971 decision-makers from various market segments were surveyed on their opinions regarding carpet versus other floor surfaces. The research findings were presented by Valerie Davis, Jill Burpo and Melissa Fodo of Austin-based EnviroMedia, Inc.

Contact Joan Seelaus at 706.428.2123.

Ally Associations Meeting

The Ally Associations Meeting was attended by representatives from CRI, the SB Latex Council, IICRC, the Carpet Cushion Council, Vinyl Institute and the American Home Appliance Manufacturers Association. Representatives from each brought the group up to speed on their current activities, and ideas were floated as to how the group could work together on issues of mutual interest. Two of the more pressing issues evolving from the session were California's new rule regarding PDBEs which might have an effect on rebonded carpet cushion, and various odor threshold limits being talked about in regard to carpet backing.

Contact James Beach at 706.428.2116.

Government Issues Committee (GIC)

ENERGY PANEL

GIC member Jim Groninger, Director of State Government Affairs for Invista, moderated a panel discussion about energy issues. Panelist Elizabeth Sparrow Robertson, Director of the Division of Energy Resources of the Georgia Environmental Facilities Authority (GEFA), was sent by Governor Perdue's office. She briefed the group on several activities being pursued in the Governor's office, which included building a database of utilities consumption.

Roy Hiller, Principal in Fuel Services at Southern Company, gave an overview from the supplier's perspective, including: gas-fired generation, liquid natural gas (LNG) and other external sources of gas supply, non-gas generation developments (coal gasification, nuclear and renewables).

Paul Cicio, Executive Director of the Industrial Energy Consumers of America (IECA), spoke to the group about the natural gas crisis as it relates to manufacturing in the US. He spoke about the cost to consumers, job losses, natural gas costs around the world and why domestic supply is not increasing. He spoke about solutions including the State Enhanced Authority for Coastal and Offshore Resources (SEACOR), a states rights bill that give greater control over their coastline and increased revenue from drilling.

Stephen Brown, Senior Vice President and Associate General Counsel for Dutko Worldwide, spoke on behalf of the Consumer Alliance for Affordable Natural Gas (CAANG). The past two sessions of Congress have failed to enact an energy bill. The CAANG is comprised primarily of chemical companies. There are four pillars to their platform: demand reduction, diversify fuel portfolio, increase production and infrastructure build out.

The panel concluded with Q&A. Panelists stressed to attendees that communicating your concerns to members of Congress would be very beneficial. Visit the following website links to contact your representatives:

If you wish to receive a sample letter to help compose your correspondence please contact Jenn Mendez at CRI, 703-875-0634.

CO2 TRADING

Ben Feldman, Senior Director with NatSource gave a presentation entitled "Greenhouse Gas Market and Policy Update". His presentation included background information regarding his organization, context of the issue from a global perspective, both domestic and international developments as well as strategic issues. He concluded by sharing thoughts regarding early action.

TRADE ISSUES

As a follow-up to the 2004 CRI Issues Conference, the GIC offered an update on trade issues. Paul O'Day, President of the American Fiber Manufacturers (AFMA) gave his perspective from the textile industry. He shared data relative to import penetration and carpet and rug imports and exports. Stephen Brown discussed trade from a more general perspective. Both speakers agreed that the principle trade issues in 2005 are: China safeguard quotas, CAFTA enactment, Andean FTA and WTO Doha.

Contact Frank Hurd at 706.428.2136.

Technical Issues Committee (TIC)

The technical sessions began with a presentation from Dr. Michael Overcash, Professor, Chemical Engineering at North Carolina State University on Life Cycle Cost Building Blocks. Dr. Overcash's presentation emphasized life cycle assessment of a product as a meaningful tool as a key role player in "green" purchasing, ascertaining beneficial product reuse, corporate sustainability claims and a host of other similar aspects.

Bill Gregory of Milliken reviewed the recently approved MTS Unified Sustainable Textile Standard. This consensus standard's points rating system allows a product to be rated as Sustainable, Silver, Gold/EPP or Platinum/EPP. Mr. Gregory was very appreciative of the team effort of the carpet industry in providing input to the approval process as well as the development of a carpet guidance document and test cases.

The success of CRI's Green Label Plus carpet program has resulted in the possibility that this approach could be expanded to adhesives and cushion products. The CRI VOC Issues Management Team Chair, Paul Evans of Tandus, reviewed this possibility as well as the status of the various CRI emissions programs currently in effect under the CRI banner.

Two CRI sponsored university research studies were reviewed as to status and expected outcome. The first study at St. Louis University under Dr. Roger Lewis explores vacuum effectiveness in removal of various possible carpet contaminants. The second, ongoing study at the University of Georgia under Drs. Karen Leonas and Patti Annis examines dermal transfer from flooring surfaces.

Technical and marketing updates were given by Carey Mitchell of Shaw Industries and Joan Seelaus of CRI, respectively, regarding CRI's Seal of Approval testing program for cleaning products (spot removers, pre-sprays and in-tank solutions). Mr. Mitchell mentioned that to get a greater participation base, an adjustment to the participation fees was under study.

The techniques and application of x-ray fluorescence (XRF) technology for cleaning effectiveness testing was presented by Mr. Gary Asbury of Professional Testing Laboratory.

The technical sessions were lead by TIC Chairman, Dr. Howard Elder of J&J Industries.

Contact Ken McIntosh at 706.428.2105.

Market Issues Committee (MIC)

MIC Chairman Steve Bradfield of Shaw Industries began the first MIC session with further discussion about the market survey research and its implications for CRI's marketing efforts. Chris Fillip, Senior VP of Ogilvy Public Relations Worldwide, followed with a discussion of the proposed "Spring Cleaning" marketing plan for Seal of Approval. This promotion plan addresses CRI's #1 barrier issue, carpet cleaning and maintenance.

TIC Vice Chair Paul Evans led a robust discussion about the proposed Memorandum of Understanding between CRI and the GREENGUARD Environmental Institute (GEI). The discussion addressed the market implications of the MOU for CRI's Green Label Plus testing program.

Milliken's Bill Gregory gave an overview of the recently passed Market Transformation to Sustainability (MTS) document that provides a national standard for textiles, including carpet. Gregory was one of the key players in the new guidance document, and again, talk centered on the implications it would carry into the marketing of green products.

The second session of the MIC included a review of 2004 accomplishments and a status update on the rollout of CRI's new identity. The recently launched website redesign (at www.carpet-rug.org) highlights CRI's signature programs: Seal of Approval, Green Label and Green Label Plus, the International Flooring Sciences Resource Center, and the Carpet America Recovery Effort (CARE).

Lynne Peer of Peer Resources Group gave a presentation on CRI's new continuing education (CEU) courses. Peer was on hand to give a detailed overview of the CEU program and the multiple advantages of having these courses developed and offered for various targeted audiences.

CRI's new Seal of Approval (SoA) testing program for cleaning products was the center of discussion in the next session. Updates on the marketing and promotion of existing SoA and Green Label vacuum programs were presented. Also, Howard Elder and Carey Mitchell gave technical updates on the new XRF testing protocol for deep cleaning extraction equipment and vacuum cleaners, programs which will be launched later this year.

David Bridges, who heads up NASA's Technology Transfer Center at Georgia Tech, headlined the next session by giving some detail on the resources NASA has available to CRI to promote and market the new testing programs utilizing NASA's XRF technology (when they come online later this year).

Contact Joan Seelaus at 706.428.2123.

Post-Conference Survey Results

Following the conclusion of the conference, attendees were asked to fill out surveys to give feedback so CRI could evaluate the strengths and weaknesses of the event. The response on the surveys was around 25 percent of the total attendees and the majority of the comments were positive. Attendees were asked to rate each session from 1-to-5 with 5 representing excellent and 1 representing no value.

Overall, the Plenary session received a 4.0 rating, the Technical breakout sessions received a 3.99, the Governmental breakout sessions tallied 3.70, and the Market Issues breakout sessions were rated at 3.93. The Ally Associations meeting earned a 5.0 rating.

In addition, opinions of the CRI Issues Conference showed that 80% liked the location of the event, 75% felt the sessions and overall length of the event were just right, 94% liked the new breakout agenda (ie, consecutive vs. concurrent sessions), and 95% of attendees recommend that CRI hold an Issues Conference in 2006.

Contact Pat Jennings at 706.428.2126.

CRI Meetings

* CRI Operating Committee, March 30, 9 - 11 am
* Market Issues Committee, April 4, 12 - 2 pm
* Green Label Vacuum Promotion Workgroup, April 12, 3:30 - 5 pm
* Technical Issues Committee, April 14, 1 - 3 pm

CRI Participation in Upcoming Events

* Connections Convention and Trade Show, April 18-20, Orlando, Florida
* EnvironDesign9, April 20-22, New York, New York
* Green Design Solution, May 4-6, Chicago, Illinois

If you are aware of other events that present significant opportunities to deliver our messages to our critical audiences, please contact Louise Dobbs at 706.428.2104.

Check our website calendar for other industry related events

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