by News follows settlement with Fireman’s Fund Insurance Co. over a claim related to the devastation from Hurricane Helene last September
MORGANTON, N.C. — Following the settlement of a claim with its insurer over the devastation it experienced from Hurricane Helene last September, luxury upholstery and case goods manufacturer EJ Victor has officially decided not to resume operations.
In a letter to customers dated July 24 sent to Home News Now, company President and CEO Richard Oliver said that the company’s shareholders instead have decided to begin liquidating company assets.
“As you are aware, it took nearly nine months to resolve our insurance claim, in which we greatly appreciate your patience and support during that long process,” Oliver said of the company’s Nov. 7, 2024, claim against Fireman’s Fund Insurance Co., which the two companies settled confidentially on May 22. “Unfortunately, due to this extended amount of elapsed time, most of our designers and retail customers have had to seek alternative sources to continue their businesses.”
In addition, the company would have to make significant repairs at its Morganton, North Carolina, plant in order to resume operations. Thus, it could take an even longer time to begin producing and shipping product to customers.
To restart production, it also would need to rehire between 50 and 70 of the 120 workers who were laid off last November, although Oliver previously told Home News Now that many have said they would return if the company resumed operations.
Thanking customers for their many years of dedication and support, he said, “Given these considerations and other factors, it is with heavy hearts that EJ shareholders have decided to begin the liquidation process of the company.”
The complete liquidation process is expected to occur on or before Dec. 31, 2026. Assets from the liquidation would be distributed to the shareholders.
This news also follows the recent passing of company co-founder John V. Jokinen, who died on June 28. The family held a memorial service for him at Grace Episcopal Church in Morganton on July 17, with a reception that followed.
Jokinen co-founded the company in 1989 with Edward W. Phifer III and Joseph B. Manderson.
“It was a wonderful 35 years, and we had the most talented and loyal craftsmen working for us along with great leadership,” Phifer told Home News Now. “We are sorry for the hurricane that wiped us out, but we had a good ride and a wonderful 35 years in running the business.
“It was a well-known and highly respected business in the furniture industry. We are all just so grateful, not only for our employees, but also for the connections around the country and the world. … We made wonderful friendships around the world. Even though we don’t get to see them like we used to, they are still dear friends. I was proud to be a part of that organization from the start to the finish, and I hate to see that it finished this way, but it was a good ride.”
Efforts to reach Manderson, who attended the memorial last week, were unsuccessful.
Upon graduating from the University of Georgia, our youngest of three sons first real job was a sales rep. with E.J. Victor (my wife and I graduated from UGA during the Manderson attendance there). So we knew all the founders/management at E. J. Victor. They took a chance on a rookie, and Stewart Hunt came through for them. It was a great first experience for our son, observing how people can cooperatively work hard at producing a good quality product, service their good customers well, enjoy it and reap the earned rewards.
Former and present employees, customers, the furniture industry will miss E.J. Victor. Yes, it was “a good 35 years”, for all involved with the company. Be proud of your reputation and heritage E.J. Victor.
Well said, Clyde! Thank you for your thoughts and comments!