Government regulations top office furniture manufacturers' concerns.

Environmental regulations are the top concern of respondents in the sixth annual WOOD & WOOD PRODUCTS Top 25 Contract Furniture Manufacturers survey

Environmental regulations affecting the woodworking industry, such as wood dust and VOC emissions, rated as the highest concern of contract furniture

When asked to rank their concerns on a scale of 1 to 10, with 1 being "unconcerned" and 10 being "extremely concerned," eight of the 26 respondents, or 30.7 percent, gave government environmental regulations a perfect 10 rating.

TOP INDUSTRY CONCERNS

Q: Using a scale of 1 to 10, with 1 indicating "Unconcerned" and 10 indicating
"Extremely Concerned," how would you rate your level of concern for each of
these issues?

Q: Compared to a year ago, are you Less Concerned, About the Same or More
Concerned?

                                Composite      Less      About       More
Issues                            Rating    Concerned   the Same   Concerned

Government Regulations
(Finishing, Wood Dust, Etc.)       8.2          0%        40.7%      59.2%

Workmen's Compensation/
Employee Health Benefit Costs      7.8       11.5%        34.6%      53.8%

Wood Supply Issues                 7.5        3.8%        42.3%      57.6%

U.S. Economy                       7.4        7.6%        57.6%      34.6%

Price Cutting by Competition       7.3        3.8%        53.8%      42.3%

Employee Skills                    6.5          0%          73%        23%

Foreign Competition                4.7       11.5%        34.6%      53.8%

Based on 26 responses.

"Over the next five years, we think government regulations will be the gravest TABULAR DATA OMITTED challenge to our company," said Rob Ginn, vice president of marketing with Muscatine, Iowa,-based HON Ind. "We plan on meeting this challenge by forming a better liaison between the government sector and the manufacturing sector."

The environmental regulation response (8.2 composite rating; see Top Concerns chart on page 63) breaks the grip of the industry's concern over the economy, which had been ranked number one in the 1991, 1992 and 1993 Top 25 Contract Furniture Manufacturers surveys. Even more interesting, the economy ranked fourth (7.4 composite rating) among industry concerns, falling behind workmen's compensation/employee health benefits costs (7.8 composite rating) and wood supply concerns (7.5 composite rating).