US furniture manufacturer and retailer, Ethan Allen Interiors Inc. has announced that it is to convert one of its existing manufacturing facilities into a regional distribution centre.

The company will permanently cease production at the plant in Dublin, Virginia. and consolidate the distribution operations of its existing Old Fort, North Carolina location into the new facility. The closure of the plant as a manufacturing facility will lead to the loss of approximately 250 jobs.

Farooq Kathwari, chairman and CEO, commented, "We sincerely regret the impact that this decision will have on many of our employees. We believe, however, that this action will strengthen our logistical capabilities and improve the company's remaining US manufacturing operations."