Schnadig to import all its upholstery
By Jay McIntosh -- Furniture Today, January 14, 2007
Des Plaines, Ill. — Schnadig said last week it is shifting its upholstery line to all imports, convinced it can deliver the best values by outsourcing production.
Upholstery plants in Belmont, Miss., and Corona, Calif., will lay off production workers in the first half of this year. Stocking/distribution operations at both plants, which already handle imported case goods and occasional, will be expanded to handle upholstery as well.
Chairman and CEO Don Belgrad said the company has been moving toward an all-import model for months. All product introduced at the fall High Point Market was designed to be made overseas, he said.
Schnadig's upholstery price points will remain the same at about $799 to $2,500 retail for a sofa. Limited custom options will be available on imported product, but the company was "not a big custom-order house" anyway, Belgrad said.
"Our company was a pioneer in the outsourcing of wood products in the '80s and is now drawing upon its skills and expertise in the outsourcing and servicing of upholstered products," he said.
The company said its engineering and production staffs are working with suppliers to assure production efficiency, quality and value in upholstery.
Schnadig plans to provide direct container, including mixed container, shipments from Asia, and also will stock products at the Mississippi and California locations. Parts service for upholstery and wood products will be provided as usual.
Belgrad said the success of the Compositions Collection of imported upholstery and tables — introduced a year ago at the Las Vegas Market — confirmed management's belief the company could provide fashionable, high-quality imported goods at "astonishing values," delivered on a timely and reliable basis.
While a number of U.S. upholstery manufacturers import cut-and-sewn covers, Schnadig saw an advantage in moving the entire production process overseas, Belgrad said.
"We knew we had to do this for a long time," he said.
Schnadig will show in Las Vegas again at this month's market, Jan. 29–Feb. 2, in the World Market Center, B-1170.
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