Furniture Brands Announces Job Cuts

April 26, 2007  by in UnCategorized   

By Home Furnishings Business in Furniture Retailing on April 2007 Furniture Brands International, St. Louis, announced the closings of three factories and the elimination of about 250 manufacturing jobs Friday. Citing a need to bring costs in line with revenues, FBI also is cutting another 100 manufacturing jobs and 80 executive and administrative positions, or about 5 percent of its non-manufacturing workforce.

The plant closings, all in North Carolina, include the closing of Thomasville’s Plant C and the consolidation of two upholstery operations in Troutman into a facility in Hickory. The closings will eliminate about 150 jobs. The closings will be completed in August.

“We are obligated to bring our costs in line with revenues to drive better earnings performance at furniture Brands,” said Chairman and CEO Mickey Holliman. “We regret the hardship this will cause the affected employees and we appreciate the dedicated and energetic service these employees have shown the company.”

In March, Furniture Brands announced that its first-quarter net sales will be down 15 percent when the company reports sales next week. In addition to Thomasville, Furniture Brands includes Broyhill, Lane, Henredon, Drexel Heritage and Maitland Smith.

In May, Thomasville shut another plant in a move that eliminated 278 jobs. In June, the company announced the closing of a Broyhill factory that employs 700 people.