Three weeks after a fire ruined American Furniture Manufacturing Incorporated's manufacturing facility in Ecru, Mississippi, it will be back to almost 100 percent production capacity. Compass Diversified Holdings, the parent company of American Furniture announced that their subsidiary will return to almost 90 percent production capacity.
This is made possible after American Furniture secured a month-to-month lease on a new manufacturing facility. Said facility will be the home of the company's eight stationary product lines. Ten manufacturing lines are needed for the company to at least regain 90 percent of its production capacity and the two remaining lines are found at the company's existing "flex" facility.
The ten lines are now undergoing tweaking and are expected to be fully operational by the start of March. Most of these lines will run for two shifts a day to make up for the slack in production. Apart from these ten lines, the motion and recliner lines in the original manufacturing facility in Ecru were spared from the fire and started operation on February 21, nine days after the fire.
Joe Massoud, Chief Executive Officer of Compass Diversified Holdings said that they have done whatever it takes to bring back American Furniture to full production capacity. "In under two weeks, we have made significant progress towards returning American Furniture to near full production capacity."
Massoud also pointed out that they have ironed out the matter about the insurance of the manufacturing facility. "Further, as a result of our discussions with our insurance provider, we are confident that American Furniture has adequate coverage for the incident and that we have in place an actionable plan to move forward swiftly on our claims."
It is this speedy decision making which has made production resume immediately for American Furniture. "Our interim production plan includes shifting production to temporary and "flex plant" facilities until the main 1.2 million square foot plant is restored. We currently anticipate being able to meet substantially all the needs of our customers from these facilities," added Massoud.
Massoud also acknowledged the support showered on their subsidiary from different groups. "We are very pleased with the positive feedback we have received from our largest customers, reiterating their continued support for and loyalty to American Furniture Manufacturing, as well as with the support we have received from the many local and state government agencies that have assisted us in our efforts," said the CEO.
With American Furniture back to 90 percent production capacity, there will be no shortage of their products which have proven to be popular among consumers. This is a good sign for the company which also produces furniture pieces like chairs.
Author Resource:-
Chad Isenberg is an antique collector. This 33-year old is based in the Midwest constantly on the road looking for antiques. He is also venturing on his own furniture business. On his free time, he can be found designing new furniture/fixtures.