Home / Knowledge / News / Textiles / Leggett & Platt announces impact from customer shutdown
Leggett & Platt announces impact from customer shutdown
09
May '09
Diversified manufacturer Leggett & Platt reported that Consolidated Bedding (the primary Spring Air manufacturer), a significant customer of Leggett's, notified Leggett on May 5 that it is ceasing operations. Although Leggett had previously established a significant bad debt reserve for this account, Leggett is increasing its bad debt expense by $8.5 million to reflect the full amount of the credit exposure it has with this customer.

As a result, today's 10Q SEC filing by Leggett will reflect first quarter earnings of $.02 per share rather than the $.06 announced in its press release of April 22. The $.04 per share earnings reduction is solely due to the shutdown of Consolidated Bedding's operations. Leggett is making no change to its full year guidance.

Consolidated Bedding's trade accounts with Leggett were current through May 1, 2009. In addition, the customer's owners had until recently indicated an enthusiasm for their restructuring plans and the business placements they were experiencing.

Leggett believes that the Consolidated Bedding volume of business will likely be dispersed among Leggett & Platt's other customers.

Leggett & Platt

Must ReadView All

Courtesy: Myntra

Apparel/Garments | On 3rd Dec 2016

Myntra to be EBITA positive by FY18: CEO Narayanan

Myntra is on track to achieve sustainable growth and be EBITA...

Courtesy: India ITME Society

Textiles | On 3rd Dec 2016

India ITME 2016 opens with over 1050 exhibitors

The India International Textile Machinery Exhibition (India ITME)...

Courtesy: Bruckner

Textiles | On 3rd Dec 2016

Indian textile companies opt for Brückner stenter lines

Indian textile firms Laxmipati Sarees, makers of polyester sarees and ...

Interviews View All

Amrit Sethia
SOIE

‘The intimatewear category in India is slowly becoming trend-sensitive.’

Sunil Kumar Sharma
Loknayak JPNSSSG Ltd

'The blend of cotton–linen yarn has high demand in the domestic and...

Awen Delaval
Samatoa

'Natural fibres are appreciated for traditional authenticity'

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Judy Frater
Somaiya Kala Vidya

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

Silvia Venturini Fendi
Fendi s.r.l

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

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
December 2016

December 2016

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

SUBSCRIBE


Browse Our Archives

GO


Advanced Search