Rescuing a U.S. wood plant: But will it work?
An insider's view
Jerry Epperson -- Furniture Today, April 10, 2006
The recent reopening of Lexington’s Plant No. 2 after it was closed late last year by Lexington Home Brands rightfully has received a great deal of attention. It is a rare promising sign for U.S. furniture manufacturing. (see earlier story)
More than 250 domestic wood furniture factories have closed since 2000. Everyone has high hopes for the new Linwood Furniture.
The World of Bob Timberlake is the most significant product introduction — including its accessories, textiles and related items (remember the birdhouses, canoes, drums and miniature chairs?) — of the 1960-2000 period, by our analysis released in 2002. When introduced in 1990, Lexington’s predecessor companies (Dixie, Henry-Link, Link-Taylor and Young-Hinkle) agreed it would be made domestically or, more accurately, locally, since all parties lived in Lexington, N.C., the barbecue capital.The Timberlake line helped propel Lexington into our industry’s most successful wood furniture manufacturer for much of the 1990s, and made artist Bob Timberlake an even more recognized personality.Fast-forward 15 years and Lexington Home Brands has a list of recognized brands, including Timberlake, and has closed all 14 of its wood furniture factories since 2001.It’s easy to vilify Lexington for abandoning those factories and their employees, but nearly 57% of wood furniture in 2005 was imported vs. 21% in 1990, and at some price points the percentage is much higher. To remain competitive, save corporate jobs and reward shareholders, Lexington did what it felt necessary. Its private-equity owner, Sun Capital, is known for its global sourcing expertise.Lexington Home Brands now operates as a pure marketing company that sources from wherever is most advantageous, a model that more companies are adopting, especially those blessed with consumer-recognized brands.Plant No. 2 is modern, well-equipped and staffed. As the other factories were closed, the best equipment and employees were shifted to the remaining facility. Lumberman Jimmy Kepley was having Lexington kiln dry and store lumber at No. 2 for his company, so he had an interest in its future. He negotiated to buy it and, in doing so, got the rights to make The World of Bob Timberlake in the same factory where it’s been made for years.Take all these individuals and entities, add some help from state and local governments and, hopefully, furniture will be flowing out of Plant No. 2 for years.Can this kind of effort succeed elsewhere? Perhaps, but this was a singular event, created by some very dedicated individuals who want domestic wood furniture manufacturing to succeed.Will our retailers and consumers help make it work?
Lexington to keep Timberlake license
09/20/2009Linwood's Shaak retires; Starnes promoted
08/10/2009Linwood grows with Timberlake, more
11/25/2006
