Hollander Sleep Products to close Munfordville Plant
MUNFORDVILLE, Ky.- Hollander Sleep Products announced Tuesday that the company is closing its Munfordville production plant this year. The move follows the company’s decision in May to voluntarily restructure the business through Chapter 11 bankruptcy proceedings.
Hollander acquired the Munfordville plant, which manufactures mattress pads, with the acquisition of Louisville Bedding Company in 2013. According to a news release, the decision to close the plant was a direct result of decreased customer demand for mattress pads as well as a shift in the market to import goods which greatly impacts the profitability of this location in the future.
“Closing the Kentucky plant was a necessary but difficult decision to make as we maintain our strategic focus on becoming more efficient and cost-effective in our distribution to the industry,” said Marc Pfefferle, Hollander’s chief executive officer.
In the short-term, Hollander will continue to operate the Munfordville plant at current staffing levels and on a normal course basis. The company anticipates officially closing the plant in the late fall, with the exact date still to be determined. Hollander leadership will provide support for plant management and production staff through the transition.
“We greatly appreciate the service and dedication of our Munfordville employees,” Pfefferle said. “We intend to work with the employees and their managers over the summer to provide financial support and resources and assist with identifying employment opportunities and job placement services.”
Other Hollander offices and plants around the world will remain open, staffed and supplied.