RALEIGH – Nearly 900 workers have been thrown out of work at one of North Carolina’s big furniture manufacturers – Klaussner Furniture -in Asheboro after the company was unable to resolve a financing dispute.
Asheboro-based Klaussner shut down on Monday and filed a mass layoff notice with the state of North Carolina that same day.
“The Company’s lending source has unexpectedly refused to continue to fund the Company’s operations,” wrote David Cybulski, the firm’s CEO, in the layoff notice. “This outcome was not reasonably foreseeable, but due to these unexpected circumstances the Company can no longer sustain the operations.”
Seven locations were closed. The biggest layoffs came at an operation at 405 Lewallen Road, affecting 556 employees.
In all, 884 workers lost jobs.
Business North Carolina notes that Klaussner was owned by New York-based Monomoy Capital Partners since 2013.
In 2022, the company had five N.C. plants and estimated sales of $300 million, ranking 36th on a ranking of the largest U.S. wood products manufacturers, according to Woodworking Network, a trade publication.
Stuart Love founded the company in 1963, then sold it to Hans Klaussner in 1979. It grew rapidly over the next three decades as a manufacturer or supplier of upholstery, motion furniture, case goods and mattresses.
Its product licenses included the Trisha Yearwood Home Collection and Stacy Garcia Home, Furniture Today reported.