The good news is the U.S. economy goes through high-low cycles about every 10 years, Jeff Loberbaum, Mohawk Industries Chairman and CEO told Chamber of Commerce and community members in his State of the Industry address Friday, Aug. 26.
The bad news is, this time, the “credit cycle got really crazy,” he said.
Banks gave credit to “companies who almost couldn’t afford it” during the early part of the decade, he explained, and around 2007, the economy “started to unravel.”
The recession, he pointed out, has affected areas of the market that have, in turn, had a negative impact on industry, changing the way companies, Mohawk included, approach implementation of procedures and standards.
One of those changes has been a downsize in the company, as a whole.
“It’s been a painful process,” he said. “Nobody likes to shrink.”
For more coverage of Loberbaum's State of the Industry address, see the Wednesday, Aug. 31, edition of the Calhoun Times.