Hooker Furniture Plans To Close Woodleaf Plant

Posted by MCC on August 14th, 2009 at 07:00am

Hooker Furniture announced the companies plans to close a frame manufacturing plant in Woodleaf by the end of the year. The plant is part of it’s Bradington - Young subsidiary and employees about 23 workers. The production is being transferred to a plant in Cherryville.

The companies goal is to sell all the equipment and the 34,000 square foot facility at a on going business sell. But, Hooker also said that if the deal couldn’t be reached by the end of the year, it would sell all the equipment separately.

The move is needed to reduce the companies fixed overhead cost that range between $350,000 and $550,000 yearly. If the company don’t find a buyer for the plant, it is expecting to have to take a restructuring charge of around $140,000 in the third quarter.

Under Furniture News