ST. LOUIS — Following a third quarter sales decline of 5.1% to $258 million compared to 2010 figures, Furniture Brands Intl revealed cost reduction actions for the quarter to offset the deficit included the layoff of 3.5 percent of its 8,700 member workforce during the time period.
The sale of the former Henredon facility in Morganton, NC, was completed shortly after the quarter ended, for proceeds of $5.9 million.
In announcing Furniture Brands' financials on Nov. 3, Chairman and CEO Ralph Scozzafava stated, “the cost improvement actions we are executing will result in ongoing annualized cost savings in excess of $30 million and will better position our company for the future.”
Scozzafava added “initiatives like compelling new product introductions at the recent High Point Market and strategic investments in our infrastructure, including the ongoing implementation of SAP ad the addition of our low-cost plants in Indonesia and Mexico, will better position us for the future.”
It was just three years ago that the company announced it would slash 1,400 jobs, or 15 percent of its U.S. workforce at the time.
Furniture Brands is the parent of residential furniture brands Broyhill, Lane, Thomasville, Drexel Heritage, Henredon, Hickory Chair, Pearson, Laneventure, Maitland-Smith and Creative Interiors.
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