Ethan Allen to Close Two Factories, Convert One to DC

Ethan Allen Interiors Inc. (Danbury, Conn.) will close its Spruce Pine, N.C. case goods manufacturing facility and convert its Atoka, Okla., upholstery manufacturing facility into a regional distribution center. In a news release the company said that it will allocate production among its remaining domestic manufacturing locations and selected offshore vendors.

The 280,000-sq.-ft. Spruce Pine facility was built by the Company in 1989. The 256,000-sq.-ft. Atoka facility was built in 1973. Ethan Allen has 9 remaining plant locations, including 4 case goods plants, 4 upholstery plants, and 1 accessory plant. These facilities total nearly 3.0 million sq. ft. and employ approximately 2,300 people.

"We sincerely regret the impact that this decision will have on many of our employees. We believe, however, that this action will strengthen our logistical capabilities and improve the Company's remaining U.S. manufacturing operations," said Farooq Kathwari, chairman and CEO.

Ethan Allen Interiors is a manufacturer and retailer of home furnishings, selling its products through more than 300 stores located in the United States, Canada, and overseas. The company is vertically integrated with manufacturing facilities and sawmills located throughout the United States.

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