As was previously reported by FCNews at the time of the announcement, just a few short years after its acquisition of Phenix Flooring, Mannington has made the difficult decision to discontinue production of the carpet brand, essentially marking its exit from the residential soft surface business.
Specifically, Mannington will shutter its Phenix flooring division in Dalton, along with Pharr Fibers and Yarns in McAdenville, N.C., and Georgia Carpet Finishers in Chatsworth, Ga. All three locations will cease operating by the end of the first quarter of 2026, and reductions in workforce will occur as a result.
Most of the 550 employees in the residential carpet division will be laid off. The company plans to transition portions of its North Carolina yarn processing operations and Chatsworth finishing operations to the Calhoun campus and will focus on filling open roles there with impacted associates.
“While we are confident that this decision is in the best interest of Mannington Mills’ long-term future, it is an extremely hard one, as we understand the impact it has on our people,” said Tom Pendley, president and CEO of Mannington. “One of the hardest things a mentor once told me is having to tell really good people [who were being let go] that they did nothing wrong, which is the case here.”
Mannington Mills will continue to run operations as normal at its Calhoun and Madison facilities in Georgia, as well as Salem, N.J.; Eustis, Fla., and its Amtico International locations.
In retrospect
When Mannington Mills acquired Phenix Flooring back in 2020, it seemed like the perfect marriage: a hard surface dominant manufacturer entering the residential carpet sector by purchasing a well-respected brand that made money for retailers.
“It checked all the boxes; it was everything we were looking for,” Tom Pendley, president and CEO of Mannington, told FCNews. “With the facts we had at the time, I wouldn’t have made a different decision.”
But the facts did change. The departure of Invista and the Stainmaster brand from the carpet fibers business in 2022 sent the residential carpet segment reeling and proved to be a turning point for Mannington’s residential carpet hopes. That development, coupled with the fact residential carpet continued to struggle, made the Phenix acquisition look less rosy by the day. “We thought two years ago that carpet had hit its bottom,” Pendley noted. “That proved to be wrong as carpet still has not found its bottom.”
Mannington will allocate its resources to more profitable segments—residential hard surface products, its hard and soft surface commercial portfolio and its Amtico International business.
Retail reaction
Flooring retailers were saddened to see Phenix depart but said they understood the business implications. “It’s unfortunate to see Phenix go,” said Susan Hadinger, CEO, Hadinger Company of Naples, based in Florida. “When Mannington acquired the brand in 2020, it seemed like a strong strategic move—especially given their reputation. But between the pandemic’s disruption, supply chain challenges and the exit of Invista/Stainmaster, the timing never worked in their favor. It’s a tough loss for the residential carpet segment.”
Olga Robertson, president of the FCA Network, Shorewood, Ill., said her team was on a scheduled call with Mannington/Phenix on the morning of the announcement to discuss plans for 2026. “Obviously it took a different turn,” she shared with FCNews. “Quite frankly, when Mannington made the announcement five years ago, I thought why would a hard surface manufacturer buy a soft surface manufacturer; it made no sense. When Invista made the decision to stop making nylon fiber for the residential carpet industry, it was the beginning of the end. In their heyday Phenix made beautiful carpet, serviced a niche market remarkably well and retailers made money on their products.”
Sam O’Krent, CEO of O’Krent Floors, San Antonio, said that while it’s disappointing the Phenix move didn’t work out he feels this will allow the leadership of Mannington to focus on those product categories where they excel.
