Hon leaps past Herman Miller & Haworth in sales.

Hon Industries of Muscatine, IA, has surpassed Herman Miller Inc. and Haworth Inc. to become the second biggest office furniture maker in North America, according to the Ground Rapids Press.

Hon's first-quarter sales, propelled by its recent purchase of Paoli Furniture, rose to $464 million, an 18% increase when compared to the first quarter of 2003. Office furniture represented $349.7 million of the total; remaking sales were generated by Hon's fireplace products.

In comparison, Hero, an Miller of Zeeland, MI, posted sales of $329.5 million in its most recent quarter. Sales of office furniture for Holland, MI-based Haworth, which is a privately held company, axe believed to be on par with Herman Miller's, the Press reported.

Haworth and Herman Miller had battled for the No. 2 spot behind office furniture sales leader Steelcase, of Grand Rapids, MI, for years. Analyst Jerry Epperson told the Press that Hon's value-added furniture and aggressive acquisitions of companies like wood furniture maker Paoli Inc. have contributed to its recent surge up the ranks.