I was going to say, "let me guess - Thor or Damon?"! There is Ultraleather™ and then there is "knock off" Ultraleather. You should read the following thread:
http://www.irv2.com/forums/f254/ultra-leather-faux-leather-delaminating-124054.html, and pay particular attention to post #10, 12, and 13. There in lays your answer. It is what happens when a company specs something less than, just to save a few bucks.
As to blaming Flexsteel, I don't know that we can blame them. Many of the Motorhome manufacturers have their own upholstry shops. It is possible that the manufacturer purchased the basic seat frame from Flexsteel, and farmed them out to someone else to upholster them, or did them themselves. As someone pointed out on the thread I offered the link to, there was a tag on their seats that said Williamsburg Furniture.
Mine are not from Thor or Damon, but they are 19+ years old and have been misused and abused, and the previous owner used the wrong cleaning products on them too! It makes them delaminate, melt, and get sticky. They are not leather!!! At least mine have a excuse. And I too have seat covers from Camping World on them. Someday I will find new seats or better seat covers.