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La-Z-Boy Combines Pennsylvania House and Clayton Marcus

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La-Z-Boy Incorporated announced that it will combine Pennsylvania House and Clayton Marcus into one operating company, effective immediately. Mac McCall, President of Clayton Marcus, will become President of the collective entity with each retaining a separate and distinct product offering with their own independent sales and marketing teams. La-Z-Boy President and CEO Kurt L. Darrow said, "There are a number of synergies between Clayton Marcus and Pennsylvania House. Operating at the higher end of the market, they have a similar product line focus and customer base. The combination of these two companies will enable us to leverage the best of marketing, merchandising and manufacturing within each and will improve our product offering to our dealers and consumers. At the same time, the new entity will benefit from combining a number of back-office operations while making our entire enterprise more efficient." Pennsylvania House, a member of the La-Z-Boy Incorporated family of companies, markets fine wood residential furniture and custom-made upholstery under one of the best-known consumer brand names in the industry. Pennsylvania House specializes in solid wood and veneered traditional designs. The company was established in the late 1800s as the Lewisburg Chair Company and renamed Pennsylvania House in 1933. Based in Hickory, North Carolina, Clayton Marcus is a leading manufacturer of medium-to-higher end residential upholstery as well as occasional product which marries with its upholstery offering. Products include eight-way hand tied sofas, sleeper sofas, loveseats, chairs and ottomans in traditional, casual and transitional styles. Background Information La-Z-Boy Incorporated is one of the world's leading residential furniture producers, marketing furniture for every room of the home. The La-Z-Boy Upholstery Group companies are Bauhaus, Centurion, Clayton Marcus, England, La-Z-Boy, and Sam Moore. The La-Z-Boy Casegoods Group companies are American Drew, Hammary, Kincaid, Lea and Pennsylvania House. The corporation's vast proprietary distribution network is dedicated exclusively to selling La-Z-Boy Incorporated products and brands, and includes 337 stand-alone La-Z-Boy Furniture Galleries(R) stores, of which 63 are company owned, and 340 La-Z-Boy In-Store Galleries, in addition to in-store gallery programs at the company's Kincaid, Pennsylvania House, Clayton Marcus, England and Lea operating units. According to industry trade publication In Furniture, the La-Z-Boy Furniture Galleries retail network is North America's largest single-brand furniture retailer. Additional information is available at http://www.la-z-boy.com/ .

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