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American to rebound

Operations to resume in wake of fire

By Gary Evans -- Furniture Today, February 18, 2008

Promotional upholstery maker American Furniture expects to resume manufacturing operations within two weeks, bouncing back after a fire last week that destroyed much of its factory complex here.

President Lyle Harris said that the day after the fire, company officials were looking for other manufacturing space.

"Fortunately, there's quite a bit of it," said Harris, adding, "More fortunately for us is that there was no loss of people (in the fire)."

Fire swept through the center of the company's 1.2-million-square-foot facility at about 5:30 p.m. Tuesday, Feb. 12, destroying a major portion of the building where stationary upholstery was made.

Harris said the company's motion and reclining chair facility was undamaged and that raw materials are housed off-site, "which is a real blessing. So what we lost was work in progress in stationary and most of our stationary finished goods that were in our warehouse."

He said motion and recliner operations could resume as soon as American "gets the green light" from state and local officials.

Harris said the company's orders have been strong. Promotional manufacturers usually stockpile inventory this time of year in anticipation of business generated by tax refunds, but Harris said that because of its high order level, American wasn't building inventory.

"The message I'd most like to get across to our customers is that we're going to be back and we're committed more than ever to regaining the business," he said. He said customers with questions can call the factory at (662) 489-2633.

The cause of the fire has not been determined. An estimate of damages also was unavailable.

Harris said the company's computer equipments and vital records, including orders, remain intact.

He said the company's owners, Connecticut-based Compass Diversified Holdings, were on the scene the day after the fire "and they've been incredibly supportive. Whatever we need to get up and running, they're going to make sure that we're back in business in the quickest order."

Harris said that V.M. Cleveland and Bill Cleveland, chairman and president, respectively, of the Tupelo Furniture Market, also offered assistance. "The outpouring has been totally positive and we've been overwhelmed by it," said Harris.

American will show as planned at this week's Tupelo market, which opens Wednesday.

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