We believe any sound business must have a strategy that satisfies customer needs and differentiates itself from its competition.
The driving factors of demand for each of our two major product lines have become increasingly unique and our Company's transition is how we are adjusting to address these changes in the marketplace.
We continue to serve our Young America consumers with differentiating Made in USA products featuring multiple finish options and functional flexibility as well as new innovations we have introduced to the residential and youth furniture market such as GREENGUARD air quality certification and Intertek product safety certifications.
Conversely, the luxury segment of the adult market demands sophisticated finishes, exotic materials and labor-intensive features that domestic manufacturing in our Stanleytown facility can no longer profitably provide.
We have decided, as we did with our Young America line in the middle of last year, to embark on a renewal of our Stanley adult product line.
We believe our remaining domestic manufacturing efforts will add substantial value and further differentiate our products from competitors in our price segment because it has been our experience that an increasing number of affluent consumers around the world seek choice and customization.
We must have a plan for each product line that we believe will return us to profitability. Our Company is in a state of transition. We deeply regret the impact this will have on our associates affected by this decision, but after talking with many of them yesterday after what was a painful announcement, they understand, and they are committed to helping the Company get through this transition. |
