ROSWELL, Ga. \u00e2\u20ac\u201d O\u00e2\u20ac\u2122Sullivan Inds., which emerged from Chapter 11 bankruptcy protection in April, has announced it will close its South Boston, Va., factory by the end of the year.
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\nThe closing will leave the ready-to-assemble furniture producer with a single factory \u00e2\u20ac\u201d a 1.1 million-square-foot facility in Lamar, Mo. Rick Walters, president and CEO, said the Lamar plant will absorb the South Boston production.<\/p>\n
\u00e2\u20ac\u0153This has been a difficult, but necessary decision for us,\u00e2\u20ac\u009d he said. \u00e2\u20ac\u0153The closure is a result of industry wide excess capacity and is not a reflection on the work force or management team in South Boston.\u00e2\u20ac\u009d<\/p>\n
Walters said the plant has consistently met product quality and delivery requirements, but said there also \u00e2\u20ac\u0153is an immediate need to improve capacity utilization and optimize overall company performance.\u00e2\u20ac\u009d<\/p>\n
The South Boston facility has about 200 employees. The company said about 150 jobs would be added in Lamar as a result of the consolidation.<\/p>\n
Amid increasing competition from imported wood furniture, reduced demand for its products, and the bankruptcy of several major customers, O\u00e2\u20ac\u2122Sullivan\u00e2\u20ac\u2122s sales slid from $358.8 million in the fiscal year ended June 30, 2001, to $249.9 million for the year ended June 30, 2012. Sales for the most recent fiscal year are not available.<\/p>\n
The company filed for Chapter 11 protection in October 2012 and emerged from bankruptcy in April.<\/p>\n","protected":false},"excerpt":{"rendered":"
ROSWELL, Ga. \u00e2\u20ac\u201d O\u00e2\u20ac\u2122Sullivan Inds., which emerged from Chapter 11 bankruptcy protection in April, has announced it will close its South Boston, Va., factory by the end of the year.<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[],"class_list":["post-1156","post","type-post","status-publish","format-standard","hentry","category-furniture-world-news"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/indonesia-furniture.com\/articles\/wp-json\/wp\/v2\/posts\/1156","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/indonesia-furniture.com\/articles\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/indonesia-furniture.com\/articles\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/indonesia-furniture.com\/articles\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/indonesia-furniture.com\/articles\/wp-json\/wp\/v2\/comments?post=1156"}],"version-history":[{"count":0,"href":"https:\/\/indonesia-furniture.com\/articles\/wp-json\/wp\/v2\/posts\/1156\/revisions"}],"wp:attachment":[{"href":"https:\/\/indonesia-furniture.com\/articles\/wp-json\/wp\/v2\/media?parent=1156"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/indonesia-furniture.com\/articles\/wp-json\/wp\/v2\/categories?post=1156"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/indonesia-furniture.com\/articles\/wp-json\/wp\/v2\/tags?post=1156"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}