La-Z-Boy Finalizes Previously Announced Newton, MS Facility Closure
July 18 2022 - 4:15PM
La-Z-Boy Incorporated (NYSE: LZB), a global leader in residential
furniture, today announced that it is finalizing the planned
closure of its Newton, Mississippi upholstery manufacturing
facility, expected to be effective September 16, 2022. In June
2020, the company announced that it would close the Newton facility
as part of its plan to strengthen and re-align the business to
thrive in what was a new external environment marked by COVID-19.
However, with stronger-than-expected demand ensuing immediately
thereafter, the company temporarily re-activated a portion of the
Newton facility in October 2020. Over the past two years, La-Z-Boy
has added capacity to its manufacturing footprint and rebalanced
production across more than 5 million square feet of North American
manufacturing space to leverage efficiencies and manage its
backlog.
The company’s Newton assembly plant, built in
1960, currently accounts for less than 5% of the La-Z-Boy branded
business total upholstery production. Approximately 180 employees
will be affected by the closure; the Newton-based integrated
internal supply and other functions will remain in operation and
approximately 235 individuals work across these areas and will
remain with the company.
Cautionary Note Regarding
Forward-Looking Statements
This news release contains “forward-looking”
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements can be identified by
the fact that they do not relate strictly to historical or current
facts. Generally, forward-looking statements include information
concerning expectations, projections or trends relating to our
results of operations, financial results, financial condition,
strategic initiatives and plans, expenses, dividends, share
repurchases, liquidity, use of cash and cash requirements,
borrowing capacity, investments, future economic performance,
business and industry and the effect of the novel coronavirus
(“COVID-19”) pandemic on our business operations and financial
results.
The forward-looking statements in this press
release are based on certain assumptions and currently available
information and are subject to various risks and uncertainties,
many of which are unforeseeable and beyond our control, such as the
continuing and developing impact of, and uncertainty caused by, the
COVID-19 pandemic. Additional risks and uncertainties that we do
not presently know about or that we currently consider to be
immaterial may also affect our business operations and financial
results. Our actual future results and trends may differ materially
depending on a variety of factors, including, but not limited to,
the risks and uncertainties discussed in our fiscal 2022 Annual
Report on Form 10-K and other factors identified in our reports
filed with the Securities and Exchange Commission (the "SEC"),
available on the SEC's website at www.sec.gov. Given these risks
and uncertainties, you should not rely on forward-looking
statements as a prediction of actual results. Any or all of the
forward-looking statements contained in this press release may turn
out to be incorrect. We are including this cautionary note to make
applicable and take advantage of the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995 for
forward-looking statements. We undertake no obligation to update or
revise any forward-looking statements, whether as a result of new
information, future events or for any other reason.
Additional Information
This news release is just one part of La-Z-Boy’s
financial disclosures and should be read in conjunction with other
information filed with the SEC, which is available at:
https://lazboy.gcs-web.com/financial-information/sec-filings.
Investors and others wishing to be notified of future La-Z-Boy news
releases, SEC filings and quarterly investor conference calls may
sign up at: https://lazboy.gcs-web.com/.
Background Information
La-Z-Boy Incorporated is one of the world’s
leading residential furniture producers, marketing furniture for
every room of the home. The Wholesale segment includes England,
La-Z-Boy, American Drew®, Hammary®, Kincaid® and the company's
international wholesale and manufacturing businesses. The
company-owned Retail segment includes 161 of the 348 La-Z-Boy
Furniture Galleries® stores. Joybird is an e-commerce retailer and
manufacturer of upholstered furniture.
The corporation’s branded distribution network
is dedicated to selling La-Z-Boy Incorporated products and brands,
and includes 348 stand-alone La-Z-Boy Furniture Galleries® stores
and 531 independent Comfort Studio® locations, in addition to
in-store gallery programs for the company’s Kincaid and England
operating units. Additional information is available at
http://www.la-z-boy.com/.
Contact: Kathy
Liebmann (734)
241-2438
kathy.liebmann@la-z-boy.com
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