Daily News
From Home Furnishing Business
Report Signals Closure of Furniture Plant in High Point
June 11,
2024 by HFBusiness Staff in Business Strategy, Industry 
According to a notice reported on the Department of Commerce website, Leggett & Platt, the leading diversified manufacturer that is a supplier of bedding, home and work furniture components plans to permanently close their plant at Blandwood Drive in High Point, North Carolina.
The closing will affect 158 jobs at the facility and is effective beginning on July 25 of this year.
Dated May 20, the notice was received by the Department of Commerce on June 10.
Leggett & Platt is based in Carthage, Missouri and in addition to the furniture components, makes components automotive seat comfort and convenient seat systems, geo components, flooring underlayment, hydraulic cylinders for heavy construction and aerospace tubing and fabricated assemblies.
In an initiative that was released in January of this year, Leggett & Platt CEO Mitch Dolloff commented, "We are taking actions to create a more focused, agile organization with a portfolio of products and operating footprint aligned with the markets we serve.”
The strategy and initiatives are expected to enable profitable growth for the company through expanded product capabilities and increased content at attractive price points, reduce costs, and create shareholder value.
Part of the plan, included optimizing their manufacturing and distribution footprint of 50 facilities to approximately 30 to 35 facilities. By doing this, a more efficient regional distribution network that will support the ability to maintain sufficient manufacturing capacity in fewer, higher-output facilities will be created to better align with anticipated future market demand.
In the most recent financial reports in May, Dolloff reported, “Looking forward, the (restructuring) initiatives are expected to enable us to advance key product growth, improve profitability, and create enhanced value for our customers and shareholders.”
"Our 2024 guidance reflects continued soft residential end market demand. Our actions to improve operating efficiency across our businesses, drive cash flow, and execute our restructuring plan will allow us to navigate the challenging near-term environment and better position us for long-term success. We are focused on maintaining our investment grade credit rating and managing debt leverage while balancing continued investment in our business for future growth and our dividend track record."