Banking In North Carolina
Introduction
The banking and finance industries have existed for thousands of years, and lie at the heart of the modern economy. One of the leading service-economy industries, banks and financial institutions have gained employment and revenue steadily for decades. Yet even in the midst of an American transition from a manufacturing economy to a service economy, the industry faces substantial challenges and is undergoing a major transition. Advancements in computer and information technology have allowed financial transactions and services to be carried out faster than ever before. Changes in state and national regulation have opened new horizons for American banks, but have also brought firms in close competition. Globalization and changes in state and national regulation have allowed new market opportunities for banks, but have also brought new international competitors. As banks and financial institutions adjust to the new rules of competition, new players will emerge to push the industry forward.
Description of the Industry
The banking and finance industries, also known collectively as the financial services industry, includes firms and institutions that are responsible for carrying out financial transactions or facilitating financial transactions through services provided. A financial transaction, in this context, is defined as the "creation, liquidation, or change in ownership of financial assets."1 Firms involved include commercial banks, investment banks, mortgage brokers, securities brokers, asset management firms, securities exchanges and trusts, as well as other unique types of financial organizations and vehicles.
Firms in the industry generally carry out two different types of financial transactions, or provide services for these transactions:2
· Raising funds by taking deposits and/or issuing securities and using those funds to make loans and/or purchase securities. Firms engaged in these activities generally seek to channel funds from lenders to borrowers and transform or repackage the funds with respect to maturity, scale and risk. This activity is known as financial intermediation.
· Pooling risk by underwriting insurance and annuities. Establishments engaged in this activity collect fees, insurance premiums, or annuity considerations; build up reserves; invest those reserves; and make contractual payments. Fees are based on the expected incidence of the insured risk and the expected return on investment.
· Providing specialized services to individuals and firms to facilitate or support either of the above types of transactions.
Table 1 - North Carolina's Top Banking Employers, 2007
/ Company / Primary NAICS Codes1 / No. of Locations, 100+ Employees2 / Approx. NC Employment / Total Sales(US$ mil.) / Approx. Number of Branches2 /
1 / Bank of America Corp. / 523, 55 / 2 / 6,700 / 1 trillion+ / 200
2 / Wachovia Corp. / 522-523, 55 / 5 / 5,546 / 520,880 / 500
3 / Branch Banking & Trust Corp. (Laureate Capital LLC, Regional Acceptance Corp., Sheffield Financial LLC, Stanley Hunt Dupree & Rhine, Sterling Capital Mgmt. LLC) / 522-523, 525, 532, 55 / 13 / 1,520 / 109,170 / 350
4 / Vanguard Group / 523 / 1 / 800 / 300 / NA
5 / Burlington Worldwide Apparel / 315 / 1 / 700 / 300 / NA
6 / SunTrust Bank / 522 / 1 / 700 / NA / 200
7 / AON Consulting / 524 / 1 / 650 / 300 / NA
8 / First Citizens Bancshares, Inc. / 522-523, 55 / 5 / 625 / 90 / 300
9 / RBC Centura Banks Inc. / 522, 55 / 2 / 552 / 1,500 / 200
10 / First Charter Corp. / 55 / 1 / 480 / 4,232 / 50
11 / Wake County Human Svc. / 525 / 1 / 480 / 35 / NA
12 / Americredit Financial Svc. Inc. / 522 / 1 / 430 / NA / NA
13 / State Employees' Credit Union / 522 / 2 / 400 / 110 / 200
14 / Greensboro War Meml. Auditorium / 522 / 1 / 400 / 75 / NA
15 / Federal Reserve Bank / 522 / 1 / 370 / NA / NA
16 / Regions Financial Corp. / 522 / 2 / 300 / NA / 10
17 / ACS / 525 / 1 / 300 / 35 / NA
18 / Deluxe Financial Svc. / 522 / 1 / 300 / 300 / NA
19 / United Chemi-Con Inc. / 334 / 1 / 300 / 8 / NA
20 / Volvo Commercial Finance / 522 / 1 / 300 / NA / NA
21 / LSB Bancshares Inc. / 522-523 / 4 / 279 / 300 / 35
22 / First National Bank of Shelby / 522 / 2 / 250 / 300 / 3
23 / Shaw University / 611 / 1 / 250 / NA / NA
24 / FNB United Corp. / 522, 55 / 3 / 240 / 1,102 / 25
25 / Cooperative Bankshares Inc. / 522 / 2 / 225 / 208 / 20
1. North American Industrial Classification System (NAICS)
Primary NAICS Codes: 522 (Credit Intermediation), 523 (Securities and Other Financial Investments), 525 (Funds, Trusts, and Other Financial Vehicles)
Other NAICS Codes: 315 (Apparel Mfg.), 334 (Computer Equipment Mfg.), 524 (Insurance Carriers), 532 (Rental and Leasing Services), 55 (Company Management), 611 (Educational Services)
2. Only establishments over 100 employees were tallied for this table. Number of branches is included to provide relative sizes of banks, but employees of these branches are not tallied.
Source: Reference InfoUSA, 2/07
The Furniture Industry in NC
Introduction
The traditional North Carolina furniture industry has been experiencing drastic changes in the past decade. Competition from countries like China and the rising imports of furniture into the United States have led many furniture manufacturers in the state to shut down plants and lay off workers. Firms in the industry are being forced to rethink their corporate strategies in order to remain successful. More importantly, the industry's transformation into a global one raises many questions about government action and government policy. Should the government be intervening more aggressively in order to keep the industry, particularly within North Carolina, from withering?
General Industry Structure
Most consumers have a sense of what a piece of furniture constitutes, and yet the industry is a fairly complex industry, due partly to the diversity of materials used to create furniture and partly to the broad range of furniture used in our homes, businesses and institutions. There are three main types of materials used to make furniture:
· Wood (which comes from sawmills and the forestry industry)
· Metal (which comes from mining/metals)
· Plastic (which comes as an output of the chemicals/plastics industry)
In addition, furniture is often divided into several different types, depending on the type of furniture used:
· Home furnishings consists of most furniture used in the home; examples would be bedroom or kitchen furniture like beds and tables.
· Office furniture includes functional furniture used around the office or workplace; this includes desks, filing cabinets, and cubicle walls, among others.
· Institutional furniture constitutes furniture used in a variety of institutions, from schools to prisons to government buildings.
Furniture in North Carolina
History and Development
The furniture industry in North Carolina has been a major player in the state's economy for over a century. The origins date back as far as the seventeenth century when artisans of English ancestry began to settle across the state, producing simple yet functional furniture on a small scale. Early industrial entrepreneurs and developers focused on the Piedmont section of North Carolina, especially the city of High Point. The area was extremely well-suited for the furniture industry because of an abundant wood supply from numerous hardwood forests, above-average railway and highway transportation opportunities and the availability of cheap labor.1 By the 1980s, High Point had earned the nickname "The Furniture Capital of the World," and employment peaked at around 90,000 people in 1990. High Point hosted its first regional furniture trade fair in 1909; these events gradually evolved into High Point Market, an internationally-renowned furniture trade fair.
Unfortunately for North Carolina, the furniture industry began to feel the effects of increased foreign competition during the late 1990s. As competition increased and profits dwindled, many North Carolina companies either went out of business or were forced to consolidate by closing factories, laying off employees and importing products from overseas. Yet North Carolina still maintains a strong presence in this industry, with about 52,400 active employees. The bi-annual High Point furniture market alone draws more than 85,000 people to North Carolina every six months, and contributes around $1.2 billion to the economy each year.2 An estimate from 2004 indicated that the industry contributes around $2.8 billion annually to the economy.3
Geography of the Industry in North Carolina
Geographically, the industry remains concentrated in certain areas, especially the Piedmont Triad. Catawba County (which includes Hickory) has the highest employment in the industry with more than 11,000 people working in furniture manufacturing. Three additional counties (Caldwell, Guilford and Randolph) all employ more than 4,000, and two more (Alexander and Davidson) employ more than 3,000. Together, these six counties make up 63% of the entire state's employment in the furniture industry.4 Key cities include High Point, Thomasville, Greensboro and Winston-Salem, among others.
Key Players
Thomasville Furniture and Broyhill Furniture Industries, both owned by Missouri-based Furniture Brands International, are two of the most important furniture companies in North Carolina. Furniture Brands International is ranked as one of the top furniture companies in the United States, with sales of $2.4 billion in 2006.5 Klaussner Corporation, based in North Carolina, was ranked the fourth largest furniture supplier in the country as of 2004, though as a private company they do not release sales figures.6 Similarly, Lexington Home Brands had estimated U.S. sales of $167.3 million in 2006, and ranked as number 16 on the top 25 furniture sources list published by Furniture Today in 2004. Most of these companies are located within the Piedmont Triad region (primarily Guilford, Randolph, and Davidson counties), in the north central region of the state.
Table 1 - Top Furniture Employers in North Carolina, 2007
/ Company / NAICS Codes1 / No. of Plants / NC Employment / Total Sales(US$ mil.) /
1 / Furniture Brands Int'l Inc.
(Broyhill Furniture, Drexel Heritage Furniture, HBF, HDM Furniture, Henredon Furniture, Hickory Chair Co., Lane Furniture, Laneventure Inc., Maitland Smith LA Barge, Pearson Co., Thomasville Furniture, Thomasville Upholstery) / 3371, 3372 / 26 / 4,999 / 1,017
2 / Klaussner Furniture Industries / 3371 / 1 / 3,700 / 302
3 / La-Z-Boy Inc.
(American Drew Furniture, Clayton marcus Co., England, Hammary Furniture, Kincaid Furniture, La-Z-Boy Furniture Galleries, Lea Industries, Pennsylvania House / 3371 / 20 / 3,472 / 710
4 / Ethan Allen Inc. (Ethan Allen Galleries) / 3371, 442 / 3 / 1,400 / 900
5 / Stanley Furniture Co. Inc. / 3371 / 4 / 1,034 / 411
6 / Lexington Home Brands (Lexington Furniture) / 3371, 442 / 2 / 730 / 335
7 / Mitchell Gold & Bob Williams / 3371 / 2 / 701 / 35
8 / Leggett & Platt Inc. (Collier-Kenworth Co.) / 3371, 321, 425 / 3 / 657 / 392
9 / Progressive Furniture Warehouse / 3371 / 1 / 650 / 300
10 / Marsh Furniture Co. / 3371 / 2 / 643 / 300
11 / Craftmaster Furniture Corp. / 3371 / 3 / 591 / 50
12 / Hancock & Moore Inc. (Councill Craftsmen, Jessica Charles) / 3371 / 5 / 587 / 148
13 / Mc Creary Modern Inc. / 3371 / 3 / 533 / 308
14 / Classic Leather Inc. (St. Timothy Chair Co.) / 3371 / 2 / 530 / 110
15 / Caughan-Bassett Furniture (Elkin Furniture Co.) / 3371 / 1 / 500 / 300
16 / Sherrill Furniture (Hickory-White, HWS) / 3371 / 4 / 471 / 355
17 / Hughes Furniture Industries / 3371, 3372 / 2 / 465 / 50
18 / Vanguard Furniture Co. Inc. / 3371 / 2 / 450 / 79
19 / HNI Corp. (Hon Co., Maxon Furniture) / 3372 / 2 / 445 / 110
20 / CV Industries Inc. (Century Furniture, Expressions Corp., Shuford Furniture) / 3371 / 8 / 422 / 424
21 / Kewaunee Scientific Corp. / 3391 / 1 / 400 / 74
22 / Barcalounger Co. / 3371 / 1 / 396 / 75
23 / Chromcraft Revington Inc. (Cochrane Furniture, Silver Furniture, Sumter Cabinet) / 3371 / 5 / 377 / 19
24 / Hickory Springs Mfg. / 3252, 32615, 425 / 3 / 375 / 225
25 / Lee Industries Inc. / 3371 / 2 / 370 / 78
26 / Kohler Co. (Baker Furniture, Canac Kitchens US, Dapha Limited) / 3371 / 6 / 350 / 158
27 / Kroehler Furniture Co. / 3371 / 1 / 350 / 75
28 / Bassett Furniture Industries (Bassett Furniture, Bassett Upholstery, Weiman Co.) / 3371, 442 / 4 / 347 / 17
29 / Norwalk Furniture (Hickory Hill Furniture Corp.) / 3371 / 1 / 312 / NA
30 / Hekman/Woodmark (Hekman Furniture, Woodmark Originals) / 3371 / 3 / 309 / 19
31 / Bernhardt Furniture Co. / 3371, 442 / 4 / 307 / 73
32 / Sealy Corp. / 3379 / 1 / 300 / 1,470
33 / Arden Co. / 3371, 321 / 1 / 300 / 75
34 / Sierra Pacific Industries (ECMD Inc.) / 321 / 1 / 300 / 75
35 / High Point Furniture Industries / 3371, 3372 / 2 / 300 / 70
36 / EJ Victor Furniture Inc. / 3371 / 1 / 300 / 15
37 / Southern Furniture Co. (Conover) / 3371 / 1 / 280 / 35
38 / Renaissance Stone / 3371 / 1 / 275 / 35
39 / March Furniture Mfg. Inc. / 3371 / 1 / 250 / 75
40 / Wesley Hall Inc. / 3371 / 1 / 250 / 75
41 / Dar/Ran Furniture Industries / 3372 / 1 / 250 / 35
42 / Zickgraf Enterprises Inc. / 444 / 1 / 250 / 35
43 / American Greetings Corp. (AGI Schutz) / 42344 / 1 / 250 / NA
44 / Sally Beauty Holdings Inc. / 3371, 42383 / 45 / 226 / 82
45 / CHF Industries Inc. / 321 / 1 / 200 / 300
46 / Clayton Homes Inc. (Schult Homes) / 3372 / 1 / 200 / 75
47 / Office Depot Inc. / 3372, 4532 / 5 / 200 / 59
48 / King Hickory Furniture Co. / 3371 / 1 / 200 / 35
49 / Motion EAZE / 3371 / 1 / 200 / 35
50 / Key City Furniture / 3371 / 1 / 200 / 15
51 / Newell Rubbermaid Inc. (Levolor/Kirsch) / 3379 / 1 / 200 / NA
1. North American Industrial Classification System (NAICS)
Primary NAICS Codes: 3371 (Household and Institutional Furniture), 3372 (Office Furniture), 3379 (Other Furniture)
Other NAICS Codes: 321 (Wood Product Mfg.), 3252 (Resin, Synthetic Rubber, and Artificial Fiber Mfg.), 32615 (Urethane and Other Foam Product (exc. Polystyrene) Mfg.), 3391 (Medical Equipment and Supplies Mfg.), 42344 (Other Commercial Equipment Merchant Wholesalers), 42383 (Industrial Machinery and Equipment Merchant Wholesalers), 425 (Wholesale Electronic Markets and Agents and Brokers), 442 (Furniture and Home Furnishings Stores), 444 (Building Material and Garden Equipment and Supplies Dealers), 4532 (Office Supplies Stores)
Source: Reference InfoUSA, 2/07
Hog Farming In NC
Introduction
Hog farming represents an integral part of the broader industry that entails the rearing, butchering, processing, and selling of hogs, known as the pork production industry. Pork production consists of six separate stages: research and development, hog farming, meat processing, finishing and packaging, product distribution, and retail. For North Carolina, hog farming itself is the most important of these value chain links. The farming stage also consists of six different areas, breeding, gestation, farrowing, weaning, nursery, and grow finishing. North Carolina firms participate in all of these links. Astoundingly, hog farming in North Carolina is valued at well more than US $1 billion. Although pigs have been an historical part of the state's agriculture, it is in the 1990s that the sector has experienced exponential growth. Within a decade, the hog population jumped, from around 2.6 million in 1988 to over 8 million in 1997.1