Mohawk Closing Both Swedish Pergo Plants

Calhoun, GA, Aug. 6, 2013 -- Mohawk Industries plans to close down its two laminate plants in Sweden in the third quarter, the firm revealed in its quarterly conference call.

One of the plants was responsible for the origin of the Pergo name.

Mohawk said it is shifting production to factories in Belgium and Malaysia. However, it will keep its warehousing in Sweden.

The shifting of production, Mohawk said, will "enhance the product offering with new technology and substantially improve Pergo's profitability."

Mohawk said it has integrated the management teams of its Unilin and Pergo businesses so that it is operating as a single entity. North American Pergo production is up, and a "mothballed" Unilin laminate line has been revived.