Ashley seeks new distribution to replace business lost to Furniture Direct bankruptcy
Michael J. Knell -- Furniture Today, May 21, 2007
Kitchener, Ontario — Ashley Furniture is seeking to replace the distribution it has lost with the bankruptcy of Furniture Direct.
"We are looking to restore this business," said Ken Napier, vice president in charge of Ashley's Canadian operations. "We have a number of people interested in doing so. These are people who came to us, rather than us going to them."
Furniture Direct were Ashley Furniture HomeStores in everything but name, selling only Ashley product and Sealy-branded mattresses. Furniture Direct President Stan West said he believes his company was the largest Ashley retailer in Ontario.
Three stores operate under the HomeStores banner in Ontario, out of a total of 17 across Canada. The Ontario stores are in Stoney Creek, Mississauga and Orleans.
"We don't think this (Furniture Direct bankruptcy) has damaged the brand," said Napier. "We're continuing to sell furniture everyday and we're growing at 20% a year in Canada," Napier said. "We have a good model and we're going the consumer a good reason to buy."
He said he expects to open at least four other Ashley Furniture HomeStores in Canada this year.
