Meet&CoCulp Inc. has unveiled a comprehensive strategic initiative to integrate its two independent divisions—Culp Upholstery Fabrics and Culp Home Fashions—into a unified organizational structure. This restructuring aims to enhance operational efficiency, foster cross-functional collaboration, reduce costs, and improve responsiveness to evolving customer demands and industry dynamics.
As part of the transition, the company will cease operations at its leased Burlington, North Carolina facility, managed by the upholstery fabrics division. Production and distribution activities will be consolidated under a shared management framework at its company-owned Stokesdale, North Carolina location, currently operated by the mattress fabrics division. Culp anticipates annualized cost savings and efficiency gains of approximately $3 million following the Burlington closure and related integration efforts, with prospects for further financial improvements.
These savings are in addition to the 10 million to 11 million in annualized cost reductions achieved through a recently completed restructuring plan, announced in May 2024. That initiative focused on consolidating sewn cover operations, outsourcing select knitting and damask weaving processes, and shuttering the company’s Canadian manufacturing facility. The impending sale of the Canadian site, expected to finalize imminently, will direct proceeds toward repaying outstanding debt.
Iv Culp, President and Chief Executive Officer, emphasized the strategic rationale behind the integration: “As we advanced our restructuring efforts, it became evident that unifying our divisions under a singular operational model would enhance efficiency and customer service. A centralized structure enables synergistic opportunities, leveraging a cohesive management team to address the home furnishings sector holistically, free from product or market-specific constraints.”
He further noted the initiative would not impact production capacity but acknowledged workforce reductions. “This streamlined approach fortifies our organizational agility, positioning Culp to thrive amid macroeconomic uncertainties while driving shareholder value. Combined with prior restructuring savings, these measures bolster our competitive edge and capacity to capture market share,” he added.
Concurrent with the integration, leadership appointments include Mary Beth Hunsberger, former President of Culp Upholstery Fabrics, as Chief Operating Officer, and Tommy Bruno, previously President of Culp Home Fashions, as Chief Commercial Officer. These changes reflect the company’s commitment to aligning executive expertise with its consolidated operational vision.
This strategic transformation underscores Culp’s focus on long-term resilience, operational excellence, and adaptive growth in a dynamic market landscape.
