By Alan Wolf, YSN
Tempur Sealy International plans to open a new production facility on the West Coast in the first quarter of 2021.
The plant will represent the manufacturer’s 30th factory in North America and will be the third new facility to open within a six-month period.
Tempur Chairman and CEO Scott Thompson said the expanded production capacity was prompted by strong demand for bedding in general and Tempur Sealy products in particular, which has extended into the third quarter and is projected to continue for the foreseeable future.
“We are optimistic about the fundamental trajectory of the business,” he said.
Thompson acknowledged that the company is facing capacity constraints on U.S. Sealy and Sherwood products amid double-digit growth, which is “limiting our ability to meet our customer demand.”
In contrast, Tempur-Pedic factories are keeping pace with current market demand, he said.
Thompson added that the new West Coast plant, along with planned factory expansions in Dallas and the Northeast, are expected to support the increased demand and will be funded from operating cash flow.