Hooker Furniture to close plant in Va. |
|
|
|
Published
:
Thu, 18 Jan 2007 16:31
|
MARTINSVILLE, Va. (AFX) - Hooker Furniture will close its last U.S. wood furniture plant by the end of March, eliminating the jobs of 280 workers in a region hit hard by losses in the textile and furniture industries.The company said Wednesday the Martinsville plant closing resulted from decreased sales of domestically produced wood furniture and increased demand for its imported wood and metal furniture.Since 2003, Hooker has closed a domestic wood furniture plant each year as its product mix has shifted toward imported furniture.'It is sad to see Hooker's wood furniture manufacturing era come to an end and to close the factory that has been the workplace for so many fine employees since our beginnings in 1924,' Paul B. Toms Jr., chairman, chief executive officer and president, said in a statement.The Martinsville plant, which produces bedroom and home entertainment furniture, employs about 27 percent of Hooker's total work force.With the closing, the company expects to reduce fixed operating expenses by $2.8 million to $3.5 million annually.The company said it expected to record charges of $4.3 million to $4.8 million after taxes, or 36 to 40 cents per share.Hooker stock was at $15.35 on the Nasdaq at midmorning Thursday, up 4 cents from Wednesday.Copyright 2006 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
|
|
|
|
Print this Story
Hooker to shut U.S. wood furniture plant 