La-Z-Boy (LZB) 8-K Results of Operations and Financial Condition

EXHIBIT 99.2

LA-Z-BOY INCORPORATED

CONSOLIDATED STATEMENT OF INCOME

	Unaudited For the Quarter Ended						Unaudited For the Year Ended
(Amounts in thousands, except per share data)	4/27/2013			4/28/2012			4/27/2013			4/28/2012
Sales	$	359,535		$	327,388		$	1,332,525		$	1,231,676
Cost of sales		237,966			224,033			907,586			851,819
Gross profit		121,569			103,355			424,939			379,857
Selling, general and administrative expense		95,409			86,465			357,312			330,226
Operating income		26,160			16,890			67,627			49,631
Interest expense		234			297			746			1,384
Interest income		186			124			621			611
Income from Continued Dumping and Subsidy Offset Act, net		—			16,300			—			18,037
Other income (expense), net		713			(214	)		3,208			(38	)
Income before income taxes		26,825			32,803			70,710			66,857
Income tax expense (benefit)		8,333			12,769			23,528			(22,051	)
Net income		18,492			20,034			47,182			88,908
Net (income) loss attributable to noncontrolling interests		(184	)		(432	)		(793	)		(942	)
Net income attributable to La-Z-Boy Incorporated	$	18,308		$	19,602		$	46,389		$	87,966
Diluted average shares		53,754			52,609			53,685			52,478
Diluted net income per share attributable to La-Z-Boy Incorporated	$	0.33		$	0.37		$	0.85		$	1.64
Dividends declared per share	$	0.04		$	—		$	0.08		$	—

LA-Z-BOY INCORPORATED

CONSOLIDATED BALANCE SHEET

	Unaudited As of
(Amounts in thousands, except par value)	4/27/2013			4/28/2012
Current assets
Cash and equivalents	$	131,085		$	152,370
Restricted cash		12,686			2,861
Receivables, net of allowance of $21,607 at 4/27/13 and $22,254 at 4/28/12		160,005			167,232
Inventories, net		146,343			143,787
Deferred income tax assets – current		20,640			19,081
Other current assets		30,121			14,669
Total current assets		500,880			500,000
Property, plant and equipment, net		118,060			114,366
Goodwill		12,837			—
Other intangible assets		4,838			3,028
Deferred income tax assets – long-term		30,572			33,649
Other long-term assets, net		53,184			34,696
Total assets	$	720,371		$	685,739
Current liabilities
Current portion of long-term debt	$	513		$	1,829
Accounts payable		50,542			56,630
Accrued expenses and other current liabilities		99,108			91,300
Total current liabilities		150,163			149,759
Long-term debt		7,576			7,931
Other long-term liabilities		70,664			80,234
Contingencies and commitments		—			—
Shareholders’ equity
Preferred shares – 5,000 authorized; none issued		—			—
Common shares, $1 par value – 150,000 authorized; 52,392 outstanding at 4/27/13 and 52,244 outstanding at 4/28/12		52,392			52,244
Capital in excess of par value		241,888			231,332
Retained earnings		226,044			189,609
Accumulated other comprehensive loss		(35,496	)		(31,281	)
Total La-Z-Boy Incorporated shareholders' equity		484,828			441,904
Noncontrolling interests		7,140			5,911
Total equity		491,968			447,815
Total liabilities and equity	$	720,371		$	685,739

LA-Z-BOY INCORPORATED

CONSOLIDATED STATEMENT OF CASH FLOWS

	Unaudited Fiscal Year Ended
(Amounts in thousands)	4/27/2013			4/28/2012			4/30/2011
Cash flows from operating activities
Net income	$	47,182		$	88,908		$	17,373
Adjustments to reconcile net income to cash provided by operating activities
(Gain) loss on disposal of assets		(659	)		45			201
Gain on sale of investments		(3,170	)		(519	)		(529	)
Gain on deconsolidation of VIE		—			(1,125	)		—
Write-down of long-lived assets		—			—			4,471
Deferred income tax expense (benefit)		3,198			(42,146	)		(120	)
Restructuring		2,715			281			487
Provision for doubtful accounts		1,005			4,196			7,197
Depreciation and amortization		23,140			23,486			24,302
Stock-based compensation expense		11,458			5,718			3,720
Pension plan contributions		(23,480	)		(5,798	)		(4,495	)
Change in receivables		7,139			(6,182	)		1,599
Change in inventories		391			(7,414	)		(10,531	)
Change in other assets		(5,407	)		3,318			(563	)
Change in payables		(6,088	)		7,470			(4,429	)
Change in other liabilities		11,016			12,610			(10,837	)
Net cash provided by operating activities		68,440			82,848			27,846
Cash flows from investing activities
Proceeds from disposals of assets		4,455			372			506
Capital expenditures		(25,912	)		(15,663	)		(10,540	)
Purchases of investments		(49,589	)		(7,944	)		(10,200	)
Proceeds from sales of investments		18,662			8,649			10,655
Cash effects on deconsolidation of VIE		—			(971	)		(632	)
Acquisitions, net of cash acquired		(15,832	)		—			—
Change in restricted cash		(9,825	)		(2,861	)		—
Other		—			(676	)		(49	)
Net cash used for investing activities		(78,041	)		(19,094	)		(10,260	)
Cash flows from financing activities
Proceeds from debt		—			—			30,585
Payments on debt		(2,511	)		(25,936	)		(41,618	)
Payments for debt issuance costs		—			(568	)		—
Stock issued for stock and employee benefit plans		2,901			4,943			270
Excess tax benefit on stock option exercises		2,563			223			—
Purchases of common stock		(10,333	)		(5,179	)		—
Dividends paid		(4,236	)		—			—
Net cash used for financing activities		(11,616	)		(26,517	)		(10,763	)
Effect of exchange rate changes on cash and equivalents		(68	)		(129	)		12
Change in cash and equivalents		(21,285	)		37,108			6,835
Cash and equivalents at beginning of period		152,370			115,262			108,427
Cash and equivalents at end of period	$	131,085		$	152,370		$	115,262

LA-Z-BOY INCORPORATED

SEGMENT INFORMATION

	Unaudited For the Quarter Ended						Unaudited For the Year Ended
(Amounts in thousands)	4/27/2013			4/28/2012			4/27/2013			4/28/2012
Sales
Upholstery segment:
Sales to external customers	$	255,522		$	238,032		$	939,736		$	871,511
Intersegment sales		33,909			28,861			127,311			103,592
Upholstery segment sales		289,431			266,893			1,067,047			975,103
Casegoods segment:
Sales to external customers		29,911			33,224			125,753			133,479
Intersegment sales		2,335			2,113			8,241			6,160
Casegoods segment sales		32,246			35,337			133,994			139,639
Retail segment sales		73,634			55,578			264,723			215,490
VIEs, net of intercompany sales eliminations		—			—			—			8,840
Corporate and Other		468			554			2,313			2,356
Eliminations		(36,244	)		(30,974	)		(135,552	)		(109,752	)
Consolidated sales	$	359,535		$	327,388		$	1,332,525		$	1,231,676
Operating Income (Loss)
Upholstery segment	$	31,019		$	27,032		$	96,762		$	81,753
Casegoods segment		259			1,181			2,640			5,540
Retail segment		3,994			(1,112	)		4,099			(7,819	)
VIEs		—			—			—			959
Restructuring		1			(59	)		(2,715	)		(281	)
Corporate and Other		(9,113	)		(10,152	)		(33,159	)		(30,521	)
Consolidated operating income	$	26,160		$	16,890		$	67,627		$	49,631

LA-Z-BOY INCORPORATED

UNAUDITED QUARTERLY FINANCIAL DATA

(Dollar amounts in thousands, except per share data)	(13 weeks)			(13 weeks)			(13 weeks)			(13 weeks)
Fiscal Quarter Ended	7/28/2012			10/27/2012			1/26/2013			4/27/2013
Sales	$	301,501		$	322,341		$	349,148		$	359,535
Cost of sales		211,889			222,032			235,699			237,966
Gross profit		89,612			100,309			113,449			121,569
Selling, general and administrative expense		81,986			89,746			90,171			95,409
Operating income		7,626			10,563			23,278			26,160
Interest expense		173			191			148			234
Interest income		121			116			198			186
Other income (expense), net		(121	)		212			2,404			713
Income before income taxes		7,453			10,700			25,732			26,825
Income tax expense		2,758			3,868			8,569			8,333
Net income		4,695			6,832			17,163			18,492
Net income attributable to noncontrolling interests		(297	)		(213	)		(99	)		(184	)
Net income attributable to La-Z-Boy Incorporated	$	4,398		$	6,619		$	17,064		$	18,308
Diluted weighted average shares		53,040			53,268			53,401			53,754
Diluted net income per share attributable to La-Z-Boy Incorporated	$	0.08		$	0.12		$	0.32		$	0.33
Dividends declared per share	$	—		$	—		$	0.04		$	0.04

LA-Z-BOY INCORPORATED

UNAUDITED QUARTERLY FINANCIAL DATA

(Dollar amounts in thousands, except per share data)	(13 weeks)			(13 weeks)			(13 weeks)			(13 weeks)
Fiscal Quarter Ended	7/30/2011			10/29/2011			1/28/2012			4/28/2012
Sales	$	280,094		$	307,679		$	316,515		$	327,388
Cost of sales		199,166			211,896			216,724			224,033
Gross profit		80,928			95,783			99,791			103,355
Selling, general and administrative expense		77,455			83,535			82,771			86,465
Operating income		3,473			12,248			17,020			16,890
Interest expense		424			389			274			297
Interest income		183			166			138			124
Income from Continued Dumping and Subsidy Offset Act, net		322			—			1,415			16,300
Other income (expense), net		373			(108	)		(89	)		(214	)
Income before income taxes		3,927			11,917			18,210			32,803
Income tax expense (benefit)		(41,929	)		4,245			2,864			12,769
Net income		45,856			7,672			15,346			20,034
Net (income) loss attributable to noncontrolling interests		(320	)		198			(388	)		(432	)
Net income attributable to La-Z-Boy Incorporated	$	45,536		$	7,870		$	14,958		$	19,602
Diluted weighted average shares		52,443			52,475			52,379			52,609
Diluted net income per share attributable to La-Z-Boy Incorporated	$	0.85		$	0.15		$	0.28		$	0.37
Dividends declared per share	$	—		$	—		$	—		$	—