Vosges-based manufacturer Parisot Industrie placed under judicial reorganization

Parisot Industrie, a flat-pack furniture manufacturer based in the Vosges and Haute-Saône regions, was placed under court-ordered administration on Monday by the commercial court. The company employs some 400 people and supplies several national furniture retailers, including But, Conforama, and Leroy Merlin. This decision comes just one week after the same ruling was made for CBA Meubles, formerly Demeyere, another subsidiary of the P3G group, to which Parisot Industrie belongs.

A sector weakened by the crisis

The entry-level furniture sector is going through a difficult period, hit hard by the decline in French household spending. The housing crisis is exacerbating the situation by reducing the need for furniture in new homes. French manufacturers of flat-pack furniture are also suffering from foreign competition and changing consumer habits.

This receivership highlights the fragility of an industrial sector long established in eastern France. The court will now have to examine proposals for the takeover or continuation of operations in an attempt to preserve jobs in these areas of the Vosges and Haute-Saône departments. The company's lawyer confirmed the proceedings initiated on Monday without specifying the schedule for the upcoming hearings.