Rowe Restates Earnings Lower In Wake Of Homelife Furniture's Closing

Furniture World Magazine

The Rowe Companies a leading furniture manufacturer and retailer, reported revisions to operating results for the second quarter ended June 3, 2001. On July 11, 2001, Homelife Furniture Corporation, one of Rowe Furniture's largest customers in recent years, announced it was closing its doors and on July 16, 2001, filed for bankruptcy under Chapter 11. As a result, the company has revised its previously reported results for the three and six months ended June 3, 2001 to reflect the expected impact of this development. The company expects to release its Quarterly Report on Form 10-Q for the period ended June 3, 2001, on July 18, 2001, which will include these revisions. The company anticipates that loss per share for the three months ended June 3, 2001, previously reported as $(0.17) per share, will increase to $(0.37) per share. Loss per share for the six months ended June 3, 2001, will also increase, from the previously reported $(0.23) per share, to $(0.43) per share. The Rowe Companies is comprised of Rowe Furniture, Inc., a major manufacturer of quality upholstered furniture; The Mitchell Gold Co., an upholstered furniture manufacturer serving some of the nation's leading specialty retailers; Storehouse, Inc., a 43-store retail furniture chain; and Home Elements, Inc., a 19-store specialty retail furniture group.