The method by which a fabric company transformed finished second quality fabric, purchased from fabric mills, into first quality fabric constituted processing rather than remodeling and, thus the electricity used at its facility, of which more than 50% was consumed in processing, was exempt from Texas sales tax. The company’s process qualified for the manufacturing exemption because it turned unmarketable fabric unsuitable for any retail use into fabric sold in the consumer market. The fact Tthat the area in which processing occurred took up less than 50% of the facility was of no consequence since processing areas normally consume more electricity than office or retail space and the company’s utility study confirmed that its processing area used more than 50% of the total electricity consumed in the building. (Haber Fabrics Corp., Texas Court of Appeals, Third District No. 03-99-00272-CV, March 2, 2000.)