On December 18, the Paris Commercial Court announced that the French mattress brand Dunlopillo has officially commenced judicial reorganization proceedings and will enter a three-month bankruptcy protection observation period during which the company's debt will be temporarily frozen.

According to sources within the company, the company will conduct business activities as usual during the three months and the company's management will develop a plan for auditing the accounts. After the three-month observation period ends, the court judge will decide the judicial restructuring period or declare the company bankrupt according to the actual situation.

If Dunlopillo declares bankruptcy, it means that the company's 217 employees employed in Mantes-la-Jolie and Limay will face unemployment. However, the company's relevant management said: "We will do everything possible to repay the debt and avoid bankruptcy." Dunlopillo expects to rely on the parent company Adova Group to restructure the current business. Adova is committed to the research and development and production of bedding and household products. Its brands include Simmon, TREC, etc.

According to the French "Echo", Dunlopillo is facing bankruptcy, in large part due to the current decline in the French furniture market (the market size fell by 2.7% in 2018). Conforama, the second largest home retail chain in Europe, also announced that it will close in The drop of 42 stores and the reduction of 1,905 jobs has greatly affected Dunlopillo. In addition, the current competition in the home furnishing industry on the Internet is becoming increasingly fierce: online sales of home furnishing brands account for 15% of the entire industry's sales.

Currently, the Adova Group has begun workforce restructuring of 14% of its employees at the Mantes-la-Jolie plant and has also formulated a work protection plan that is expected to lay off 61 jobs.

About Dunlopillo
 

The founder of Dunlopillo, the inventor of the world's first pneumatic rubber tire, John Boyd Dunlop discovered the material of latex in 1929; in 1932, he successfully made the first latex bed pad. Because latex mattresses have good ventilation and low allergenicity, they have attracted many consumers, but due to the high price of mattresses, they have not been able to expand to a more popular market.

During the past 80 years of development, Dunlopillo has continuously improved the production technology and innovative design of latex mattresses. At present, the company has 5 patented technologies: Airfoam (an expanded foam that can guarantee the excellent ventilation effect of mattresses), Cocoon ( A foam that is both inflatable and light and flexible, making the mattress lighter and suitable for people to carry when traveling), Memofoam (a memory foam), and Smartfoam (a foam that is both light and breathable, ensuring the mattress Ventilation and hygiene), Toniflex (a foam with both ventilation and resilience). Depending on the material, function and size of the mattress, the price of each mattress ranges from € 400 to € 700.