Domain Home Fashions Annouces Expansion Plan in Northeast: Aggressive initiatives position Company for 20 new store openings

Furniture World Magazine

Domain Home Fashions, a leading-edge specialty retailer of exclusive home furnishings, announced today their plans to rollout an expansion program that will add 20 stores to their existing 22 locations over the next three years. The company has signed two leases and is currently negotiating six more sites for openings within the next 12 months. The expansion plan is a result of improved sales growth and realized store productivity that far exceeds its competition, making Domain one of the top producing home furnishings specialty retailers in the United States. Domain President, Jim McCullagh commented, "This improvement in our performance was realized by streamlining operations and making significant investments to our distribution and infrastructure. Additionally, we recently added a new 200+ page web site (www.domain-home.com) designed as a marketing tool to extend our brand position at a fraction of the cost of direct-mail marketing. With the success of these initiatives over the last several years, the Company is well-positioned for significant growth and profitability." After completing a comprehensive, demographic-based market study, the Company decided to focus their expansion in the Northeast where Domain’s stores are currently concentrated. Domain clusters its stores in highly visible and high-traffic locations in upscale malls, lifestyle centers and freestanding units within major metropolitan markets. These upscale locations are a demographic match for Domain’s targeted customer and have been effective in growing its affluent customer base. The strategy to add more stores to these markets will resul in maximized operating efficiency and distribution capabilities, along with an opportunity for increased market share from its specialty furniture competitors. The new stores will range in size between 5,000 and 7,500 sq. ft. Domain’s management is confident that its streamlined position, along with its proven merchandising and real estate strategies will ensure the successful execution of this expansion plan and strengthen its position for the long-term profitability of the Company. Additionally, Domain believes the demand for its product exists in upscale markets nation-wide, but is not prepared to expand on this level until 2004. Domain Home Fashions, founded in 1985, is an upscale retailer of unique and high quality home furnishings. They currently operate 22 retail stores from Boston, MA to Washington, D.C. Well-loved for its affordable decorator looks, fully accessorized displays and classic European-style furnishings, Domain has won numerous industry and customer awards, including Outstanding National Furniture Store Chain. Domain’s Founder and CEO, Judy George, has also won many awards, is a best-selling author, motivational speaker, and has appeared on national TV, radio shows and in magazines. High-resolution press photography is available at www.domain-home.com/press/press.htm.