EE.UU. – La-Z-Boy Incorporated (NYSE: LZB) announced on April 16 it will restructure its casegoods business, which represents approximately 10% of revenue, by transitioning to an all-import model for its wood furniture. 

During the second quarter of fiscal 2015, La-Z-Boy will discontinue casegoods production at its Hudson, North Carolina facility.  That facility currently produces bedroom furniture collections for the Kincaid and American Drew lines that account for approximately 12% of the company’s wood furniture business. The company will also exit the hospitality business as that furniture is also manufactured at the Hudson facility.

The company will market for sale its youth furniture business, Lea Industries, as it does not align with the company’s long-term strategic objectives.

La-Z-Boy will consolidate and transition its warehouse and repair functions from its two North Wilkesboro, North Carolina facilities to Hudson.

Kurt L. Darrow, Chairman, President and Chief Executive Officer of La-Z-Boy Incorporated, said, “After careful analysis and much consideration, we made the difficult decision to transition our casegoods operation to become solely an importer of wood furniture.  We have implemented many changes to our casegoods manufacturing model over the past few years to be more competitive.  However, in the final analysis, we determined we can not generate enough domestic volume to support the size facility we operate in North Carolina and believe this move will strengthen our positioning and performance in the segment.”