Havertys Reports 7.6% Sales Decrease for July

Furniture World News

avertys' July sales decreased 7.6% to $67.8 million, compared with $73.4 million in July 2006. On a comparable-store basis, July sales decreased 8.6%. Comparable-store sales do not include stores or locations opened, closed or otherwise non-comparable during the last 12 months. Sales for the first seven months of 2007 decreased 9.6% to $446.0 million compared with $493.5 million in 2006. On a comparable-store basis, sales decreased 11.1% for the first seven months. Clarence H. Smith, president and chief executive officer, said, "July comparable store sales were off by 8.6% versus strong results for the same month last year when comps had increased by 8.0%. These results reflect the general weakness in home furnishings in our markets, but do not accurately demonstrate the improving trend from double digit percentage decreases earlier in the year. "The calendar this year had an extra Saturday in June and one less in July relative to last year. We believe combining the months of June and July 2007 creates a more comparable measure and shows total sales written in our stores were off by 3.1%. This is a marked change from the first four months of 2007 when total written sales were down by 11.5% versus the same four month period last year. "We are disappointed with the sales decreases recorded this year but are encouraged by the expectation for the stronger seasonal demand typically seen in our third and fourth quarters and by the progress we have made in very recent months closing the gap versus last year's volume." Havertys is a full-service home furnishings retailer with 122 showrooms in 17 states in the Southern and Midwestern regions providing its customers with a wide selection of quality merchandise in middle- to upper-middle price ranges. Additional information is available on the Company's web site at www.havertys.com.