Home / Knowledge / News / Textiles / Interface to cease manufacturing operations at Belleville facility
Interface to cease manufacturing operations at Belleville facility
Jan '09
Interface Inc announced restructuring actions as part of the Company's plan to reduce costs across its global operations in response to softening demand.

Pursuant to the Company's restructuring plan, Interface will cease manufacturing operations at its facility in Belleville, Canada, and reduce its worldwide employee base by a total of approximately 530 employees in the areas of manufacturing, sales and administration.

The headcount reductions amount to about 14% of the Company's worldwide workforce. The Company will retain its sales and distribution presence in Canada and will source products from other Interface facilities to service customers in the region. As a result of the restructuring, Interface expects annualized cost savings of approximately $30 million.

Interface plans to complete the restructuring activities in the first quarter of 2009 and expects to report a pre-tax restructuring charge in the fourth quarter of 2008 of approximately $11 million related to employee severance, asset impairment related to the manufacturing cessation in Canada and other exit costs. Approximately $8.5 million of the restructuring charge will be cash expenditures, primarily severance expense.

"Interface continues to be focused on reducing expenses, increasing operational efficiencies and generating cash for debt reduction," said Daniel T. Hendrix, President and Chief Executive Officer.

"While the decision to take the actions we are announcing today was a difficult one and we sincerely regret the impact it will have on many of our hard working associates, it was also a necessary step in adapting our Company to the current demand levels."

"Interface remains the global leader in modular carpet tile, and it is important that we protect our profitability, cash flows and positioning in the marketplace, while also preserving our ability to invest in strategic initiatives such as market diversification and emerging geographic markets. As a result of our restructuring, we are moving forward as a leaner company while maintaining our ability to provide superior service to our customers globally."

Interface Inc is the world's largest manufacturer of modular carpet, which it markets under the InterfaceFLOR, FLOR, Heuga and Bentley Prince Street brands, and, through its Bentley Prince Street brand, enjoys a leading position in the designer quality segment of the broadloom carpet market. The Company is committed to the goal of sustainability and doing business in ways that minimize the impact on the environment while enhancing shareholder value.

Interface Inc

Must ReadView All

Textiles | On 27th Oct 2016

Teijin Frontier develops Solotex RC lightweight fibre

Teijin Frontier Co. Ltd, fibre products converting company and part...

Tosha Hays addressing the conference. Courtesy: College of Family and Consumer Sciences, UGA

Textiles | On 27th Oct 2016

Industry experts discuss future of fabrics at UGA

Industry experts, researchers and military officials discussed the...

Courtesy: Global Denim Awards

Fashion | On 27th Oct 2016

Anbasja Blanken & Italian mill ITV Denim win GDA

Dutch designer Anbasja Blanken and Italian mill ITV Denim was the...

Interviews View All

Rahuul Jashnani

‘Online economy has changed the whole dynamics of buying habits.’

Divyesh Mashruwala
Akshar Industries

Surat dominates foiling, embossing and pleating

Veronique Lee

‘Sustainable fashion is trending upwards, slowly but surely, as people...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search