Furniture Brands Sharpens Focus, Closing Locations

St. Louis, MO, October 24, 2007– Furniture Brands International intends to move to a more focused company serving the mid- and high-end markets for residential furnishings as part of its strategic plan, according to the St. Louis Business Journal. The plan was unveiled Tuesday at a meeting with the investment community in New York.

Ralph Scozzafava, chairman and chief executive officer-designate, emphasized Furniture Brands’ need to deliver “fresh” designs to the consumer and sharpen its multi-channel sales network to put products into the right multibrand retailers, dedicated single-brand stores and through the designer community.

That strategy, he said, will result in closing unprofitable locations, meaning “the company will likely incur one-time charges that, while a drain on near-term earnings, will set the stage for more profitable company-owned retail operations.”

The company plans to reduce costs by restructuring its global supply chain operations and moving to a shared service organization that will centralize processes such as information technology, finance and human resources.

Furniture Brands International Inc. manufactures furniture under the Thomasville, Henredon, Drexel Heritage, Maitland-Smith, Broyhill and Lane brands.