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Baker Furniture to close 2 plants

Jeff Linville -- Furniture Today, July 30, 2007

Baker Furniture has announced the closing of two plants here, with the production moving to its plant in Hildebran, N.C. The company said it will take about a year to complete the closings and consolidation.

The two plants have more than 300,000 square feet of space and employ about 200 workers. Some of the employees could transfer to Hildebran.

The announcement came one year after parent company Kohler announced that Baker was moving its headquarters from Grand Rapids, Mich., to Hickory, N.C., to be closer to the plants.

The 176,000-square-foot case goods plant and the Milling Road upholstery plant (166,000 square feet) will be sold. The Hildebran plant is known primarily for its case goods, but also handles fabric and produces upholstered chairs and beds.

The company said the closing of the plant did not indicate any outsourcing of product to Asia, nor did it have anything to do with the recent troubles at Quaker Fabric. Instead, the company said in a press release, "This strategic initiative allows Baker to fully maximize available manufacturing capacity in its newer Hildebran plant."

"The furniture industry continues to be extremely competitive," said Kevin Ward, president of Baker Knapp & Tubbs. "This consolidation enables Baker to reduce overall costs, eliminate redundancies in production and improve delivery times."

With the moves, Baker's production will be limited to Hildebran and two facilities in High Point. The company also has a distribution center at its headquarters in Hickory.

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