Furniture Brands to cut 1400 jobs
Posted: December 14th, 2008 | Author: dubaidude | Filed under: By Location, USA | No Comments »
St. Louis-based Furniture Brands International Inc. said Thursday it will cut 1,400 jobs, or 15 percent of its U.S. work force, potentially the largest one-time job cut in its history.
The staff reductions, which will be effective immediately, were blamed on weak retail market.
The cuts include management and hourly workers and will save the company $20 million a year. The company has slashed at least 8,726 jobs in North Carolina, including at least 2,740 in the Triad, since January 2000.
Furniture Brands International, parent company of manufacturers Broyhill, Hickory Chair and Drexel Heritage, among others, reported a net loss of $41.7 million in the third quarter of this year, following a loss of $23.9 million in the second quarter.
Shares of Furniture Brands, which hit a 16-year low in November, fell 7.5 percent on Thursday on the New York Stock Exchange to close at $3.06.
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