40 jobs go as upholstery supplier goes to the wall citing bad debts and ‘suicidal dumping’ by competitors

9th February | upholstery | Sofa manufacturer and importer Mack-Line has ceased trading with the loss of 40 jobs.  John Mack, chairman, told the Furnishing Report that it had suffered a number of bad debts in 2008 with a host of retailers failing to pay the firm.

He also pinpointed ‘suicidal dumping’ by competitors. ‘There are three firms out there, and people in the industry know who they are, who are selling goods for 40% less than they should be,’ he said.

‘The bank considers our industry to be high risk and wanted personal guarantees that the directors felt they weren’t able to give.’

Mack-Line, based in Gloucester, manufactured 80% of its sofas, with the rest factored in from overseas. John Mack said he was in talks with a number of people regarding a possible return to the industry.

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