Serta licensee Sleepmaster is emerging from a year in Chapter 11 bankruptcy as part of a merger with National Bedding Company. NBC and Sleepmaster, Serta’s two largest licensees, will operate 20 out of the brand’s 26 U.S. licensees. The U.S. Bankruptcy Court for the District of Delaware confirmed the Creditors Committee’s second amended joint plan of reorganization in January. The plan combines NBC and Sleepmaster into a new entity, National Bedding LLC.
Bedding industry veterans Richard Yulman and Burt Kaplan, co–chairmen of the NBC board, and NBC President Robert Sherman are the key executives of the new National Bedding LLC. The company is based at NBC headquarters in Hoffman Estates, Ill. “National Bedding Company has established itself as one of Serta’s most profitable and experienced licensees,” said Ed Lilly, Serta president and CEO. “We are confident this combination of NBC and Sleepmaster will make Serta a much stronger and healthier company, improving every part of our operations.”
“This means Serta will deliver a high level of continuity in service and competitiveness throughout the country,” Lilly added.
“Under the new structure, we plan to leverage the skill and experience of our management team to improve every aspect of Serta’s operations to achieve long–term financial stability,” said Sherman. “Our goal is to increase sales and market share, and to enhance our relationships with our retail customers.”
National Bedding LLC plans to maintain full operations at every plant and no layoffs are anticipated.
National Bedding LLC’s plants are located in: Batesville, Miss.; Beloit, Wisc.; Boston (Middleborough, Mass.); Cincinnati; Clearlake, Ia.; Cullman, Ala.; Denver; Glendale, Ariz.; Greensboro, N.C.; Grovetown, Ga.; Honolulu (Waipahu, Hi.); Houston; Jamestown, N.Y.; Lancaster, Pa.; New York (Linden, N.J.); Ontario, Calif.; San Francisco (Vacaville, Calif.); Seattle (Puyallup, Wash.); West Palm Beach (Riviera Beach, Fla.) and Whitsett, N.C. The plants cover 27 Serta licensed manufacturing territories.