LA-Z-BOY TO INVEST IN DAYTON, TN MANUFACTURING CAMPUS
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MONROE, Mich., February 2, 2017—La-Z-Boy Incorporated (NYSE: LZB) today announced it plans
to invest approximately $26 million over a three-year period in its largest U.S. manufacturing facility,
located in Dayton, Tennessee. The 1.2 million square-foot Dayton campus, which began operations in
1973 and employs approximately 1,400 people, is the only La-Z-Boy branded plant that manufactures
furniture in all three upholstery categories — recliners, motion sofas and stationary upholstery, making
nearly 90% of the various frame styles in the company’s manufactured-branded product line. The
Dayton plant services the northeast, southeast and Midwestern portions of the country. The campus
includes a small research and development operation and supply centers for metal stamping and wood
fabrication that provide material for the company’s four additional U.S. La-Z-Boy branded
manufacturing sites.
The scope of the project, which will run in two sequential phases, includes the construction of a new
state-of-the-art Innovation Center, followed by various upgrades and renovations throughout the
upholstery plant and supply centers. The new 70,000 square-foot facility will replace an existing
structure on site and will house a model shop, technology center, test lab and three-dimensional
printing lab. It will be home to approximately 70 to 75 employees. The company plans to break
ground on The La-Z-Boy Innovation Center in February 2017, with the project expected to run for
approximately 14 months. Subsequently, the company will begin an approximately 12-18 month
renovation project throughout the Dayton campus relating primarily to modernization, technology and
productivity enhancements.
Kurt L. Darrow, Chairman, President and Chief Executive Officer, of La-Z-Boy Incorporated, said,
“Our company was founded with an innovative spirit almost 90 years ago and that spirit remains at the
forefront of everything we do today. With the Dayton operation our largest facility, it is imperative
that we make the appropriate investment to maintain a high innovation quotient throughout the
business while making the plant as safe, productive and efficient as possible. We are making this
investment over a long period of time, in two distinct phases, and will be methodical throughout the
process to ensure there is no disruption of service to our customer base and that we continue to deliver
on our brand promise to the consumer – custom furniture delivered in four weeks or less – highlighting
La-Z-Boy’s unique competitive advantage within the industry.”
Darrow continued, “Having a new modern Innovation Center that provides our team of engineers and
design professionals with a collaborative work environment is critical as we bring exciting new
products to market. Additionally, with a strong commitment to sustainability and a responsibility to act as an environmental steward, we intend to construct a LEED-certified building utilizing recognized
sustainable building practices.”
Darrell Edwards, Senior Vice President and Chief Supply Chain Officer, said, “The Dayton upholstery
plant is our largest facility, responsible for nearly $400 million of our annual revenue. Ongoing
investment across our manufacturing operations is essential as we continue to enhance plant
productivity and efficiencies. Additionally, we pride ourselves in maintaining a safe work
environment and many of the upgrades we are making will further improve the practices and
safeguards already in place. La-Z-Boy is a leader in the motion furniture field, with the brand’s
heritage steeped in bringing revolutionary products to market. This new Innovation Center will help us
to attract and recruit the best talent to our team as we seek to expand our business.”
The final phase of the Dayton campus refresh will include the construction of a new transportation
terminal. Darrow said, “We would like to thank the State of Tennessee and the City of Dayton for
their cooperation, support and encouragement on this important series of projects. We have had an
almost 45-year-long history in Tennessee and we look forward to many more years of production in
Dayton. We appreciate the various incentives we are receiving at the state and local level to assist us
in completing this work.”
Additional information is available Here
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