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Rowe to close Clayton Marcus plant

Will shift production to Virginia later this year or early next year

Gary Evans -- Furniture Today, March 14, 2008

HICKORY, N.C. — Virginia-based manufacturer Rowe Furniture said this week that it plans to move production of its Clayton Marcus brand from its factory here to its modern facility in Elliston, Va., to maximize efficiencies.

The transition is expected to be done by the end of this year or early next year. The company said it was announcing the decision “sooner than later” out of respect for the Hickory plant’s employees. Rowe bought Clayton Marcus from La-Z-Boy in October.

Stefanie Lucas, Rowe president and CEO, said the Ellison facility was built eight years ago and has open capacity.

She said that despite the move, the distinctiveness and quality of the Clayton Marcus brand will be maintained. “We intend to look at any needed areas within our Elliston facility in order to ensure this distinction continues,” she said.

“From a customer perspective, we believe this will allow us to service our dealers at higher levels and to maintain or even improve quality and delivery times,” Lucas said. “When the transition occurs, we intend to make it seamless and easy for our customers, so as not to disrupt their business in any way.”

The company did not say how many employees were at the Clayton Marcus plant, but the number is believed to have declined significantly from the 400 who were working at three facilities several years ago.

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