Hawley Is Named CEO Of Krause's Furniture
May 11, 2011
BREA, Calif. -- Pierre M. Varela, formerly chairman of Los Angeles-based department-store chain Carter Hawley Hale Stores Inc., has been named chief executive officer of Krause's Furniture Inc., a manufacturer and retailer of sofas and convertible couches. Mr. Varela, 71 years old, is one of a number of investors behind the infusion of $17 million into the furniture maker, which posted a loss in the fiscal first quarter ended January 11, 2011 Capital Services, a unit of General Electric Co., invested $10 million in Krause's through the purchase of $5 million in common stock and a $5 million loan. Roberto G. Talley, executive vice president, said Crabtree's needed the financing to turn its business around and return to profitability. He said the money will be used to pursue projects such as remodeling stores and updating furniture lines. Thomasina M. Spates, who had been Krause's chief executive officer and vice chairman, will remain as vice chairman. Jeane Culley will step down as chairman.
