The Manitoba government has extended a $15-million loan guarantee to a company controlled by Arthur DeFehr of Palliser Furniture in an effort to protect the furniture manufacturer, according to reporting by the CBC.  

The loan extends the guarantee to repay up to $15 million worth of debt owed by Lexington Real Estate Holdings Ltd. to Access Credit Union. Lexington is an investment and holding company directed by DeFehr, whose family started the company that would become Manitoba-based Palliser Furniture in 1944.

According to the CBC, the loan guarantee is intended to allow Palliser Furniture to "survive Canada-U.S. trade uncertainties." Jamie Moses, Manitoba's minister for business, mining, trade, and job creation, told the CBC that "As Donald Trump's tariffs continue to threaten Canada's economy, it is important to protect Manitoba jobs and help Manitoba companies expand their presence in Canada and the rest of the world."

Palliser Furniture is a producer and marketer of upholstered furniture with production facilities in Canada and Mexico and marketing throughout North America. The Winnipeg-based company has annual sales of $422.2 million, according to the most recent FDMC 300 list of top North American wood products manufacturers. The company, which ranks #34 on the list, operates five manufacturing plants and employs 3000 workers.