ASHEBORO, N.C. - Klaussner Home Furnishings is shuttering its operations effective immediately.

The residential furniture company manufactured more than 70 percent of its products domestically through its five manufacturing campuses in North Carolina, including at its Asheboro headquarters. Klaussner was ranked #36 on the FDMC 300, a listing of the largest North American wood products producers, with estimated sales of more than $300 million in 2022.

A statement posted on Klaussner's website reads in part:

"As the result of challenging and unexpected business circumstances impacting our operations, Klaussner Furniture Industries, Inc. and its direct and indirect subsidiaries ("Klaussner" or the "Company") must unexpectedly wind down the operations.

"Klaussner's lending source has unexpectedly refused to continue to fund the Company's operations. This outcome was not reasonably foreseeable, but due to these unexpected circumstances, Klaussner can no longer sustain its operations. As a result, Klaussner has made the difficult decision to permanently cease operations and is providing as much notice as possible.

"Klaussner anticipates closing all of its facilities entirely, and that process is underway as of today, August 7, 2023.

Klaussner is working to provide information and resources to assist with next steps for displaced employees as it becomes available. This information will be communicated directly to employees via the contact information we have on file."

A WARN notice filed with the North Carolina Department of Commerce lists the company's employees at 884, with terminations beginning Aug. 7 and continuing through Aug. 21.

Founded in 1963, Klaussner Home Furnishings has been a leading provider of residential furniture, including upholstery, motion, sleepers, bedroom, dining occasional and accent furniture. Its licensed lifestyle collections included Trisha Yearwood Home Collection and Stacey Garcia Home. It is also affiliated with Prestige Fabricators Inc., a foam manufacturing company based in Asheboro.

Editor's note: This article was updated Aug. 8 to reflect the employee number indicated in the WARN notice.