The covering on our Flexsteel captains chairs up front in our Phaeton also started to flake and deteriorate. We went to Mastercraft in Shipshewana, makers of RV furniture. They also told us that Flexsteel makes the furniture according to the RV manufacturer specs and they do use cheaper materials. It's where they cut costs.
Our chairs were fine, so we purchased a fabric from Mastercraft. While they would not reupholster them, they have an employee who works on the side and does just that. We had our two chairs redone for the same price as buying one new chair. I think it took less than two weeks to get them both back. We had to remove them from the coach and take them over to Mastercraft in Shipshewana and they handled it from there.
They are beautiful and we selected a slightly darker fabric that doesn't show dirt as much. We full time and they get heavy use.
Dale