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    shley acquires Statesville facility to launch RTA production

    Time:2019-12-20 16:05:07    Share:

    Ashley Furniture Inds. today announced the acquisition of Homestar North America LLC’s facility in Statesville, N.C., to launch the company’s latest initiative of ready-to-assemble (RTA) furniture.

    “This is a major investment by our company, and one we feel will allow us to better serve our customers worldwide,” said Todd Wanek, president and CEO of Ashley. “As an industry, we’re starting to see more people live in urban spaces. The production of RTA furniture allows the product to be easily navigated into these spaces and assembled at the point of use.”

    The 309,620-square-foot facility, which currently generates more than $50 million in annual sales, will provide the capacity to produce more than 500 SKUs, which include bedroom, entertainment, upholstered beds, occasional tables and home office furniture.

    Ashley officials said it believes the Statesville location provides “excellent expansion capability” to produce additional RTA products and grow the facility’s revenue significantly.

    “We are excited to grow the RTA assortment and provide proven products to our customers,” said Wanek. “By December, we will expand the RTA product to all of our U.S. distribution centers and will be well-positioned to supply the products to our customers, with key focus on our GMROI.”

    Located less than 40 miles away from Ashley’s Mid-Atlantic Advanced Manufacturing and Distribution facility in Advance, N.C., the Statesville location will add to the company’s regional economic-impact. It has approximately 180 workers, with opportunity for expansion of the workforce as production increases.

    “When we considered commencing RTA operations, one of the major attractions was the workforce at this facility in Statesville,” said Travis Wagner, senior vice president of global manufacturing for Ashley. “We’re excited to welcome the employees to the new team and look forward to making this site a world-class RTA operation.”

    Through its new RTA furniture offering, the Ashley brand is expanding its offering with an additional lower price-point and packaging system geared around a timelier customer delivery process.

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