La-Z-Boy
| Company type | Public |
|---|---|
| Industry | Furniture manufacturing |
| Founded | 1 January 1927 in Monroe, Michigan, United States |
| Founder | Edward M. Knabusch, Edwin J. Shoemaker |
| Headquarters | Monroe , United States |
Area served | United States, Canada, international markets (United Kingdom, Australia, Germany, Indonesia, Italy, Japan, Mexico, New Zealand, Turkey, South Africa, Kuwait, Qatar) |
| Products | Upholstered recliner chairs, sofas, stationary seating, lift chairs, sleeper sofas |
Number of employees | 11,000+ |
| Website | www |
La-Z-Boy Inc. (pronounced "lazy boy") is a U.S.-based furniture manufacturer with its corporate headquarters located in Monroe, Michigan. The company specializes in producing residential furniture such as upholstered recliner chairs, sofas, stationary seating, lift chairs, and sleeper sofas, employing a workforce exceeding 11,000 individuals.
La-Z-Boy distributes its merchandise through retail channels throughout the United States and Canada. Additionally, it licenses manufacturing in international markets including the United Kingdom, Australia, Germany, Indonesia, Italy, Japan, Mexico, New Zealand, Turkey, South Africa, Kuwait, and Qatar. The firm holds over 200 patents covering various designs and mechanisms both domestically and internationally.
The company’s operational structure features a wholesale division that encompasses England Furniture Incorporated, La-Z-Boy itself, American Drew, Hammary, Kincaid, alongside its global manufacturing affiliates. Its retail operations consist of roughly 165 company-owned La-Z-Boy Furniture Galleries stores out of approximately 350 total locations. Furthermore, Joybird functions as an online retailer and producer specializing in upholstered furniture.
Founding and Early Development
La-Z-Boy was established in 1927 by cousins Edward M. Knabusch and Edwin J. Shoemaker in Monroe, Michigan. The origin story involves designing a recliner chair inspired by "nature's way of relaxing." Utilizing orange crates for prototype construction, they created a wooden slat porch chair equipped with a reclining mechanism that was upholstered for year-round use. The name La-Z-Boy was selected via a public naming contest.
By 1969, the company had broadened its product range beyond recliners to include reclining sofas, sleeper sofas, and modular seating groups. Sales escalated to $150 million by 1981. In 1983, La-Z-Boy introduced its inaugural collection of stationary sofas and occasional chairs, eventually expanding into a full spectrum of home furnishings.
LADD Furniture Acquisition: Challenges and Turnaround
In 1981, Richard R. Allen, Don A. Hunziker, and William O. Fenn secured $70 million in financing to purchase Lea, American Drew, and Daystrom from Sperry & Hutchinson, forming LADD. After going public in 1982, LADD became the nation’s third-largest home furniture manufacturer with over $600 million in revenue by 1990. That year also saw expansion through acquiring six Maytag divisions. In 1997, LADD relocated its headquarters to Grandover in Greensboro, North Carolina. At this time it ranked as the fifth-largest U.S. furniture producer with $500 million in sales and owned brands such as American Drew, Barclay, Clayton Marcus, Lea, Pennsylvania House, and Pilliod.
La-Z-Boy purchased LADD in September 1999 for $197.8 million in stock plus $101.5 million in assumed debt. This acquisition established La-Z-Boy as an industry leader with $2 billion in annual sales and positioned it alongside Furniture Brands International as one of the two largest American furniture manufacturers. The merger strengthened La-Z-Boy’s market position and diversified its product offerings.
Following the acquisition, the LADD brand was phased out in 2001 as La-Z-Boy restructured into upholstery and casegoods divisions under new leadership to optimize operations. However, competition from inexpensive Chinese imports eroded some strategic advantages gained from the deal. By 2005, La-Z-Boy’s chairman publicly acknowledged that acquiring LADD had been a major error. Subsequently, several former LADD units were divested or shuttered: Pilliod was sold in 2001; Barclay ceased operations; American of Martinsville was sold in 2006; Pennsylvania House was transferred to Universal Furniture in 2007; Clayton Marcus was sold to Lexington-Rowe (a Sun Capital affiliate); and Sam Moore was acquired by Hooker Furniture.
By late 2006, La-Z-Boy had downsized its employee base from 13,000 to approximately 7,000 workers while redirecting its business approach to elevate brand perception beyond recliners alone. The company streamlined its warehouse network from twelve facilities down to five and expanded its New Generation store concept to enhance retail footprint.
In late 2014, La-Z-Boy closed the Lea brand after unsuccessful attempts to find a buyer but continued operations for American Drew, Hammary, and Kincaid at its High Point office location.
Licensed manufacturers
Morgan Furniture, based in Takapuna, New Zealand, was established by Jack Morgan and began producing La-Z-Boy recliners for the Australian and New Zealand markets in 1970. In September 2007, Graham Morgan, Jack's son, revealed plans to relocate manufacturing operations to China and Thailand, which led to approximately 200 job losses in Auckland.
In media
The 2024 motion picture Here includes a narrative centered on a fictionalized version of the creation of La-Z-Boy, underscoring the brand’s influence on popular culture.
See also
External links
- 1927 establishments in Michigan
- American companies established in 1927
- Companies listed on the New York Stock Exchange
- Furniture companies of the United States
- Manufacturing companies based in Michigan
- Manufacturing companies established in 1927
- Monroe, Michigan
- Companies of the United States by year of establishment