Culp (CULP) 8-K Culp Announces Results for Third Quarter Fiscal 2020

 Exhibit 99(b)

 Page 1 of 13

CULP, INC. FINANCIAL INFORMATION RELEASE
CONSOLIDATED STATEMENTS OF NET (LOSS) INCOME
FOR THREE MONTHS ENDED FEBRUARY 2, 2020 AND JANUARY 27, 2019
(UNAUDITED)
(Amounts in Thousands, Except for Per Share Data)
		THREE MONTHS ENDED
		(9)			Amounts		(9)						Percent of Sales
		February 2,					January 27,			% Over			February 2,			January 27,
		2020					2019			(Under)			2020			2019
Net sales		$	71,998					77,226			(6.8	)%		100.0	%		100.0	%
Cost of sales			59,614			(4)		63,103			(5.5	)%		82.8	%		81.7	%
Gross profit			12,384					14,123			(12.3	)%		17.2	%		18.3	%
Selling, general and
administrative expenses			9,952			(5)		10,038			(0.9	)%		13.8	%		13.0	%
Asset impairments	(1)		13,639					-			100.0	%		18.9	%		0.0	%
Reversal of contingent consideration - earn-out obligation	(2)		(6,081	)				-			100.0	%		(8.4	)%		0.0	%
Restructuring credit	(3)		(35	)		(6)		(214	)		(83.6	)%		(0.0	)%		(0.3	)%
(Loss) income from operations			(5,091	)				4,299			(218.4	)%		(7.1	)%		5.6	%
Interest expense			8					-			100.0	%		0.0	%		0.0	%
Interest income			(242	)				(251	)		(3.6	)%		(0.3	)%		(0.3	)%
Other expense			267					288			(7.3	)%		0.4	%		0.4	%
(Loss) income before income taxes			(5,124	)				4,262			(220.2	)%		(7.1	)%		5.5	%
Income tax (benefit) expense *			(973	)		(7)		1,225			(179.4	)%		19.0	%		28.7	%
Loss (income) from investment in unconsolidated joint venture			56					(23	)		(343.5	)%		0.1	%		(0.0	)%
Net (loss) income			(4,207	)				3,060			(237.5	)%		(5.8	)%		4.0	%
Net loss attributable to non-controlling interest			4,149			(8)		94		N.M				5.8	%		0.1	%
Net (loss) income attributable to Culp Inc. common shareholders		$	(58	)				3,154			(101.8	)%		(0.1	)%		4.1	%
Net (loss) income attributable to Culp Inc. common shareholders per share - basic		$	0.00				$	0.25			(100.0	)%
Net (loss) income attributable to Culp Inc. common shareholders per share - diluted		$	0.00				$	0.25			(100.0	)%
Average shares outstanding-basic			12,409					12,438			(0.2	)%
Average shares outstanding-diluted			12,409					12,465			(0.4	)%

* Percent of sales column for income tax (benefit) expense is calculated as a % of income before income taxes.

Notes
(1)	During the three-month period ending February 2, 2020, our home accessories segment incurred asset impairment charges totaling $13.6 million of which $11.2 million and $2.4 million pertained to this segment's goodwill and tradename, respectively.
(2)	During the three-month period ending February 2, 2020, we recorded a reversal of $6.1 million that pertained to a contingent earn-out obligation associated with the purchase of our 80% ownership interest in eLuxury, LLC.
(3)	The $35 restructuring credit pertains to employee termination benefits associated with the closure of our Anderson, SC upholstery fabrics facility.
(4)	Cost of sales for the three-month period ending January 27, 2019, includes a $514 restructuring related charge for operating costs associated with our closed upholstery fabrics facility located in Anderson, SC.
(5)	Selling, general, and administrative expenses for the three-months ending January 27, 2019, includes a $469 non-recurring charge associated with the accelerated vesting of certain stock-based compensation agreements. Of this $469 non-recurring charge, $429 and $40 pertain to unallocated corporate expenses and a restructuring related charge associated with our closed Anderson, SC upholstery fabrics facility.
(6)	The $214 restructuring credit represents a $362 gain on sale of the building and land associated with our closed Anderson, SC upholstery fabrics facility, partially offset by a $148 charge for employee termination benefits.
(7)	During the three-months ending January 27, 2019, we recorded an income tax benefit of $593 related to provisional adjustments in connection with the Tax Cuts and Jobs Act (TCJA) enacted on December 22, 2017.
(8)	During the three-month period ending February 2, 2020,  the net loss attributable to non-controlling interest included its proportionate share of asset impairments totaling $4.1 million.
(9)	See page 8 for our Reconciliation of Selected Income Statement Information to Adjusted Results for the three-month periods February 2, 2020 and January 27, 2019, which exclude certain charges and credits.

 Page 2 of 13

CULP, INC. FINANCIAL INFORMATION RELEASE
CONSOLIDATED STATEMENTS OF NET (LOSS) INCOME
FOR NINE MONTHS ENDED FEBRUARY 2, 2020 AND JANUARY 27, 2019
(UNAUDITED)
(Amounts in Thousands, Except for Per Share Data)
		NINE MONTHS ENDED
		(10)			Amounts		(10)						Percent of Sales
		February 2,					January 27,			% Over			February 2,			January 27,
		2020					2019			(Under)			2020			2019
Net sales		$	219,465					225,705			(2.8	)%		100.0	%		100.0	%
Cost of sales			179,612			(4) (5)		187,697			(4.3	)%		81.8	%		83.2	%
Gross profit			39,853					38,008			4.9	%		18.2	%		16.8	%
Selling, general and
administrative expenses			30,783			(5) (6)		28,174			9.3	%		14.0	%		12.5	%
Asset impairments	(1)		13,639					-			100.0	%		6.2	%		0.0	%
Reversal of contingent consideration - earn-out obligation	(2)		(6,081	)				-			100.0	%		(2.8	)%		0.0	%
Restructuring credit	(3)		(70	)		(7)		(825	)		(91.5	)%		(0.0	)%		(0.4	)%
Income from operations			1,582					10,659			(85.2	)%		0.7	%		4.7	%
Interest expense			47					38			23.7	%		0.0	%		0.0	%
Interest income			(732	)				(552	)		32.6	%		(0.3	)%		(0.2	)%
Other expense			441					688			(35.9	)%		0.2	%		0.3	%
Income before income taxes			1,826					10,485			(82.6	)%		0.8	%		4.6	%
Income tax expense *			2,607			(8)		3,407			(23.5	)%		142.8	%		32.5	%
Loss from investment in unconsolidated joint venture			60					109			(45.0	)%		0.0	%		0.0	%
Net (loss) income			(841	)				6,969			(112.1	)%		(0.4	)%		3.1	%
Net loss attributable to non-controlling interest			4,421			(9)		75		N.M.				2.0	%		0.0	%
Net income attributable to Culp Inc. common shareholders		$	3,580					7,044			(49.2	)%		1.6	%		3.1	%
Net income attributable to Culp Inc. common shareholders per share - basic		$	0.29				$	0.56			(48.2	)%
Net income attributable to Culp Inc. common shareholders per share - diluted		$	0.29				$	0.56			(48.2	)%
Average shares outstanding-basic			12,405					12,488			(0.7	)%
Average shares outstanding-diluted			12,421					12,593			(1.4	)%

* Percent of sales column for income tax expense is calculated as a % of income before income taxes.
Notes
(1)	During the nine-month period ending February 2, 2020, our home accessories segment incurred asset impairment charges totaling $13.6 million of which $11.2 million and $2.4 million pertained to this segment's goodwill and tradename, respectively.
(2)	During the nine-month period ending February 2, 2020, we recorded a reversal of $6.1 million that pertained to a contingent earn-out obligation associated with the purchase of our 80% ownership interest in eLuxury, LLC.
(3)	The $70 restructuring credit pertains to employee termination benefits associated with the closure of our Anderson, SC upholstery fabrics facility.
(4)	Cost of sales for the nine-month period ending January 27, 2019, includes restructuring related charges totaling $2.3 million, of which $1.6 million pertains to inventory markdowns and $784 pertains to operating costs associated with our closed upholstery fabrics facility located in Anderson, SC.
(5)	During the nine-month period ending January 27, 2019, our mattress fabrics segment incurred non-recurring charges totaling $248 that pertained to employee termination benefits and other operational reorganization costs. Of the $248 total non-recurring charge, $159 and $89 were recorded in cost of sales and selling, general, and administrative expenses, respectively.
(6)	Selling, general, and administrative expenses for the nine-months ending January 27, 2019, includes a $469 non-recurring charge associated with the accelerated vesting of certain stock-based compensation agreements. Of this $469 non-recurring charge, $429 and $40 pertain to unallocated corporate expenses and a restructuring related charge, respectively, associated with our closed Anderson, SC upholstery fabrics facility.
(7)	The $825 restructuring credit represents a $1.5 million gain on sale of property, plant, and equipment associated with our closed Anderson, SC upholstery fabrics facility, partially offset by a charge of $661 for employee termination benefits.
(8)	During the nine-month period ending January 27, 2019, we recorded an income tax benefit of $593 related to provisional adjustments in connection with the Tax Cuts and Jobs Act (TCJA) enacted on December 22, 2017.
(9)	During the three-month period ending February 2, 2020,  the net loss attributable to non-controlling interest included its proportionate share of asset impairments totaling $4.1 million.
(10)	See page 9 for our Reconciliation of Selected Income Statement Information to Adjusted Results for the nine-month periods February 2, 2020 and January 27, 2019, which exclude certain charges and credits.

 Page 3 of 13

CULP, INC. FINANCIAL INFORMATION RELEASE
CONSOLIDATED BALANCE SHEETS
FEBRUARY 2, 2020, JANUARY 27, 2019, AND APRIL 28, 2019
Unaudited
(Amounts in Thousands)
	Amounts
	(Condensed)				Increase
	February 2,		January 27,		(Decrease)						* April 28,
	2020		2019		Dollars			Percent			2019
Current assets
Cash and cash equivalents	$	21,872		26,418		(4,546	)		(17.2	)%		40,008
Short-term investments - Held-To-Maturity		3,171		13,544		(10,373	)		(76.6	)%		5,001
Short-term investments - Available for Sale		7,580		-		7,580			100.0	%		-
Accounts receivable		26,614		26,142		472			1.8	%		23,751
Inventories		57,575		55,415		2,160			3.9	%		50,860
Current income taxes receivable		776		-		776			100.0	%		776
Assets held for sale		67		-		67			100.0	%		-
Other current assets		3,219		2,954		265			9.0	%		2,849
Total current assets		120,874		124,473		(3,599	)		(2.9	)%		123,245
Property, plant & equipment, net		46,380		50,129		(3,749	)		(7.5	)%		48,389
Goodwill		16,011		27,222		(11,211	)		(41.2	)%		27,222
Intangible assets		7,738		10,542		(2,804	)		(26.6	)%		10,448
Long-term investments - Rabbi Trust		7,804		6,834		970			14.2	%		7,081
Long-term investments - Held-To-Maturity		2,224		-		2,224			100.0	%		-
Right of use asset		5,524		-		5,524			100.0	%		-
Noncurrent income taxes receivable		733		-		733			100.0	%		733
Deferred income taxes		920		3,224		(2,304	)		(71.5	)%		457
Investment in unconsolidated joint venture		1,668		1,512		156			10.3	%		1,508
Other assets		464		972		(508	)		(52.3	)%		643
Total assets	$	210,340		224,908		(14,568	)		(6.5	)%		219,726
Current liabilities
Accounts payable - trade	$	21,835		28,401		(6,566	)		(23.1	)%		24,377
Accounts payable - capital expenditures		177		91		86			94.5	%		78
Operating lease liability - current		2,227		-		2,227			100.0	%		-
Deferred revenue		398		492		(94	)		(19.1	)%		399
Accrued expenses		7,742		9,740		(1,998	)		(20.5	)%		9,192
Accrued restructuring costs		-		228		(228	)		(100.0	)%		124
Income taxes payable - current		455		642		(187	)		(29.1	)%		1,022
Total current liabilities		32,834		39,594		(6,760	)		(17.1	)%		35,192
Accrued expenses - long-term		233		-		233			100.0	%		333
Subordinated loan payable		925		-		925			100.0	%		675
Operating lease liability - long-term		3,160		-		3,160			100.0	%		-
Contingent consideration - Earn-Out Obligation		-		5,781		(5,781	)		(100.0	)%		5,856
Income taxes payable - long-term		3,442		3,294		148			4.5	%		3,249
Deferred income taxes		2,013		2,225		(212	)		(9.5	)%		3,176
Deferred compensation		7,637		6,782		855			12.6	%		6,998
Total liabilities		50,244		57,676		(7,432	)		(12.9	)%		55,479
Shareholders' equity
Shareholders' equity attributable to Culp Inc.		159,843		162,775		(2,932	)		(1.8	)%		159,933
Non-controlling interest		253		4,457		(4,204	)		(94.3	)%		4,314
		160,096		167,232		(7,136	)		(4.3	)%		164,247
Total liabilities and
shareholders' equity	$	210,340		224,908		(14,568	)		(6.5	)%		219,726
Shares outstanding		12,361		12,368		(7	)		(0.1	)%		12,391
*  Derived from audited financial statements.

 Page 4 of 13

CULP, INC. FINANCIAL INFORMATION RELEASE
SUMMARY OF CASH AND INVESTMENTS
FEBRUARY 2, 2020, JANUARY 27, 2019, AND APRIL 28, 2019
Unaudited
(Amounts in Thousands)
			Amounts
	February 2,		January 27,		April 28,
	2020		2019		2019*
Cash and cash equivalents	$	21,872	$	26,418	$	40,008
Short-term investments - Available for Sale		7,580		-		-
Short-term investments - Held-To-Maturity		3,171		13,544		5,001
Long-term investments - Held-To-Maturity		2,224		-		-
Total Cash and Investments	$	34,847	$	39,962	$	45,009
* Derived from audited financial statements.

 Page 5 of 13

CULP, INC. FINANCIAL INFORMATION RELEASE
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE NINE MONTHS ENDED FEBRUARY 2, 2020 AND JANUARY 27, 2019
Unaudited
(Amounts in Thousands)
	NINE MONTHS ENDED
	Amounts
	February 2,			January 27,
	2020			2019
Cash flows from operating activities:
Net (loss) income	$	(841	)		6,969
Adjustments to reconcile net (loss) income to net cash (used in)
provided by operating activities:
Depreciation		5,880			6,087
Amortization		530			592
Asset impairments		13,639			-
Reversal of contingent consideration - earn-out obligation		(6,081	)		-
Stock-based compensation		831			373
Deferred income taxes		(1,626	)		(1,691	)
Realized loss on sale of short-term investments (Available for Sale)		-			94
Gain on sale of equipment		(276	)		(1,456	)
Loss from investment in unconsolidated joint venture		60			109
Foreign currency exchange (gain) loss		(15	)		12
Changes in assets and liabilities, net of effects of acquisition of businesses:
Accounts receivable		(2,885	)		(38	)
Inventories		(7,016	)		(658	)
Other current assets		(527	)		(43	)
Other assets		159			6
Accounts payable		(2,475	)		486
Deferred revenue		(1	)		(317	)
Accrued expenses and deferred compensation		542			(1,513	)
Accrued restructuring costs		(124	)		228
Income taxes		(293	)		(1,155	)
Net cash (used in) provided by operating activities		(519	)		8,085
Cash flows from investing activities:
Net cash paid for acquisition of businesses		-			(12,096	)
Capital expenditures		(4,072	)		(2,954	)
Proceeds from the sale of property, plant, and equipment		672			1,894
Investment in unconsolidated joint venture		-			(120	)
Proceeds from the sale of short-term investments (Held to Maturity)		5,000			17,150
Purchase of short-term and long-term investments (Held to Maturity)		(5,397	)		-
Proceeds from the sale of short-term investments (Available for Sale)		-			2,458
Purchase of short-term investments (Available for Sale)		(7,532	)		(10	)
Proceeds from the sale of long-term investments (Rabbi Trust)		-			1,233
Purchase of long-term investments (Rabbi Trust)		(707	)		(795	)
Net cash (used in) provided by investing activities		(12,036	)		6,760
Cash flows from financing activities:
Proceeds from line of credit		-			12,000
Payments on line of credit		-			(12,000	)
Payments on vendor-financed capital expenditures		-			(1,412	)
Proceeds from subordinated loan payable		250			-
Cash paid for acquisition of businesses		(1,532	)		-
Dividends paid		(3,786	)		(3,493	)
Common stock surrendered for withholding taxes payable		(51	)		(1,303	)
Capital contribution from non-controlling interest		360			-
Common stock repurchased		(728	)		(3,316	)
Payments of debt issuance costs		-			(50	)
Net cash used in financing activities		(5,487	)		(9,574	)
Effect of exchange rate changes on cash and cash equivalents		(94	)		(81	)
Increase (decrease) in cash and cash equivalents		(18,136	)		5,190
Cash and cash equivalents at beginning of period		40,008			21,228
Cash and cash equivalents at end of period	$	21,872			26,418
Free Cash Flow (1)	$	(4,720	)		5,850

(1) Free Cash Flow reconciliation is as follows:
		FY 2020			FY 2019
A)	Net cash (used in) provided by operating activities	$	(519	)		8,085
B)	Minus:  Capital Expenditures		(4,072	)		(2,954	)
C)	Plus:     Proceeds from the sale of property, plant, and equipment		672			1,894
D)	Minus:  Investment in unconsolidated joint venture		-			(120	)
E)	Minus:  Payments on vendor-financed capital expenditures		-			(1,412	)
F)	Plus:     Proceeds from the sale of long-term investments (Rabbi Trust)		-			1,233
G)	Minus:  Purchase of long-term investments (Rabbi Trust)		(707	)		(795	)
H)	Effects of exchange rate changes on cash and cash equivalents		(94	)		(81	)
	Free Cash Flow	$	(4,720	)		5,850

 Page 6 of 13

CULP, INC. FINANCIAL INFORMATION RELEASE
STATEMENTS OF OPERATIONS BY SEGMENT
FOR THE THREE MONTHS ENDED FEBRUARY 2, 2020 AND JANUARY 27, 2019
(Unaudited)
(Amounts in thousands)
		THREE MONTHS ENDED
		Amounts										Percent of Total Sales
		February 2,				January 27,			% Over			February 2,			January 27,
Net Sales by Segment		2020				2019			(Under)			2020			2019
Mattress Fabrics		$	33,105				35,732			(7.4	)%		46.0	%		46.3	%
Upholstery Fabrics			34,987				37,104			(5.7	)%		48.6	%		48.0	%
Home Accessories			3,906				4,390			(11.0	)%		5.4	%		5.7	%
Net Sales		$	71,998				77,226			(6.8	)%		100.0	%		100.0	%
Gross Profit by Segment												Gross Profit Margin
Mattress Fabrics		$	4,614				5,963			(22.6	)%		13.9	%		16.7	%
Upholstery Fabrics			6,906				7,624			(9.4	)%		19.7	%		20.5	%
Home Accessories			864				1,050			(17.7	)%		22.1	%		23.9	%
Subtotal			12,384				14,637			(15.4	)%		17.2	%		19.0	%
Restructuring related charges			-		(1)		(514	)		(100.0	)%		0.0	%		(0.7	)%
Gross Profit		$	12,384				14,123			(12.3	)%		17.2	%		18.3	%
Selling, General and Administrative Expenses by Segment												Percent of Sales
Mattress Fabrics		$	2,836				2,755			2.9	%		8.6	%		7.7	%
Upholstery Fabrics			3,876				3,825			1.3	%		11.1	%		10.3	%
Home Accessories			1,046				1,361			(23.1	)%		26.8	%		31.0	%
Unallocated Corporate expenses			2,194				1,628			34.8	%		3.0	%		2.1	%
Subtotal			9,952				9,569			4.0	%		13.8	%		12.4	%
Other non-recurring charges			-		(1)		429			(100.0	)%		0.0	%		0.6	%
Restructuring related charges			-		(1)		40			(100.0	)%		0.0	%		0.1	%
Selling, General and Administrative Expenses		$	9,952				10,038			(0.9	)%		13.8	%		13.0	%
Operating Income (loss) by Segment												Operating Income (Loss) Margin
Mattress Fabrics		$	1,777				3,208			(44.6	)%		5.4	%		9.0	%
Upholstery Fabrics			3,030				3,799			(20.2	)%		8.7	%		10.2	%
Home Accessories			(181	)			(311	)		(41.8	)%		(4.6	)%		(7.1	)%
Unallocated corporate expenses			(2,194	)			(1,628	)		34.8	%		(3.0	)%		(2.1	)%
Subtotal			2,432				5,068			(52.0	)%		3.4	%		6.6	%
Asset Impairments	(1)		(13,639	)			-			100.0	%		(18.9	)%		0.0	%
Reversal of contingent consideration - earn-out obligation	(1)		6,081				-			100.0	%		8.4	%		0.0	%
Restructuring credit (expense) and related charges	(1)		35		(1)		(340	)		(110.3	)%		0.0	%		(0.4	)%
Other non-recurring items			-		(1)		(429	)		(100.0	)%		0.0	%		(0.6	)%
Operating (loss) income		$	(5,091	)			4,299			(218.4	)%		(7.1	)%		5.6	%
Depreciation Expense by Segment
Mattress Fabrics		$	1,696				1,752			(3.2	)%
Upholstery Fabrics			195				182			7.1	%
Home Accessories			96				97			(1.0	)%
Depreciation Expense		$	1,987				2,031			(2.2	)%

Notes
(1)	See page 8 for our Reconciliation of Selected Income Statement Information to Adjusted Results for the three-month periods February 2, 2020 and January 27, 2019 for
	descriptions of these charges and credits.

  Page 7 of 13

CULP, INC. FINANCIAL INFORMATION RELEASE
STATEMENTS OF OPERATIONS BY SEGMENT
FOR THE NINE MONTHS ENDED FEBRUARY 2, 2020 AND JANUARY 27, 2019
(Unaudited)
(Amounts in thousands)
		NINE MONTHS ENDED
		Amounts										Percent of Total Sales
		February 2,				January 27,			% Over			February 2,			January 27,
Net Sales by Segment		2020				2019			(Under)			2020			2019
Mattress Fabrics		$	107,250				107,335			(0.1	)%		48.9	%		47.6	%
Upholstery Fabrics			100,730				106,611			(5.5	)%		45.9	%		47.2	%
Home Accessories			11,485				11,759			(2.3	)%		5.2	%		5.2	%
Net Sales		$	219,465				225,705			(2.8	)%		100.0	%		100.0	%
Gross Profit by Segment												Gross Profit Margin
Mattress Fabrics		$	16,553				17,050			(2.9	)%		15.4	%		15.9	%
Upholstery Fabrics			20,905				20,031			4.4	%		20.8	%		18.8	%
Home Accessories			2,395				3,435			(30.3	)%		20.9	%		29.2	%
Subtotal			39,853				40,516			(1.6	)%		18.2	%		18.0	%
Other non-recurring charges			-		(1)		(159	)		(100.0	)%		0.0	%		(0.1	)%
Restructuring related charges			-		(1)		(2,349	)		(100.0	)%		0.0	%		(1.0	)%
Gross Profit		$	39,853				38,008			4.9	%		18.2	%		16.8	%
Selling, General and Administrative Expenses by Segment												Percent of Sales
Mattress Fabrics		$	8,860				8,141			8.8	%		8.3	%		7.6	%
Upholstery Fabrics			11,528				10,985			4.9	%		11.4	%		10.3	%
Home Accessories			3,462				3,690			(6.2	)%		30.1	%		31.4	%
Unallocated Corporate expenses			6,933				4,800			44.4	%		3.2	%		2.1	%
Subtotal			30,783				27,616			11.5	%		14.0	%		12.2	%
Other non-recurring charges			-		(1)		518			(100.0	)%		0.0	%		0.2	%
Restructuring related charges			-		(1)		40			(100.0	)%		0.0	%		0.0	%
Selling, General and Administrative Expenses		$	30,783				28,174			9.3	%		14.0	%		12.5	%
Operating Income (loss) by Segment												Operating Income (Loss) Margin
Mattress Fabrics		$	7,693				8,910			(13.7	)%		7.2	%		8.3	%
Upholstery Fabrics			9,378				9,044			3.7	%		9.3	%		8.5	%
Home Accessories			(1,068	)			(254	)		320.5	%		(9.3	)%		(2.2	)%
Unallocated corporate expenses			(6,933	)			(4,800	)		44.4	%		(3.2	)%		(2.1	)%
Subtotal		$	9,070				12,900			(29.7	)%		4.1	%		5.7	%
Asset Impairments	(1)		(13,639	)			-			100.0	%		(6.2	)%		0.0	%
Reversal of contingent consideration - earn-out obligation	(1)		6,081				-			100.0	%		2.8	%		0.0	%
Other non-recurring charges			-		(1)		(678	)		(100.0	)%		0.0	%		(0.3	)%
Restructuring credit (expense) and related charges	(1)		70		(1)		(1,563	)		(104.5	)%		0.0	%		(0.7	)%
Operating income			1,582				10,659			(85.2	)%		0.7	%		4.7	%
Return on Capital (2)
Mattress Fabrics			14.1	%			19.4	%
Upholstery Fabrics			53.8	%			56.3	%
Home Accessories		N.M.				N.M.
Unallocated Corporate		N.M.				N.M.
Consolidated			8.7	%			15.7	%
Capital Employed (2) (3)
Mattress Fabrics		$	78,177				75,103			4.1	%
Upholstery Fabrics			24,151				20,614			17.2	%
Home Accessories			3,109				3,439			(9.6	)%
Unallocated Corporate			24,051				30,999			(22.4	)%
Consolidated		$	129,488				130,155			(0.5	)%
Depreciation Expense by Segment
Mattress Fabrics		$	5,017				5,265			(4.7	)%
Upholstery Fabrics			577				595			(3.0	)%
Home Accessories			286				227			26.0	%
Depreciation Expense		$	5,880				6,087			(3.4	)%

Notes
(1)	See page 9 for our Reconciliation of Selected Income Statement Information to Adjusted Results for the nine-month periods February 2, 2020 and January 27, 2019 for descriptions of these charges and credits.
(2)	See pages 11 and 12 of this financial information release for calculations.
(3)	The capital employed balances are as of February 2, 2020 and January 27, 2019.

  Page 8 of 13

CULP, INC.
RECONCILIATION OF SELECTED INCOME STATEMENT INFORMATION TO ADJUSTED RESULTS
FOR THE THREE MONTHS ENDED FEBRUARY 2, 2020 AND JANUARY 27, 2019

									THREE MONTHS ENDED (UNAUDITED)
	As Reported								February 2, 2020		As Reported								January 27, 2019
	February 2,								Adjusted		January 27,								Adjusted
	2020					Adjustments			Results		2019					Adjustments			Results
Gross Profit		12,384					-			12,384		14,123		(4	)		514			14,637
Selling, general and
administrative expenses		9,952					-			9,952		10,038		(5	)		(469	)		9,569
Asset impairments		13,639		(1	)		(13,639	)		-		-					-			-
Reversal of contingent consideration - earn-out obligation		(6,081	)	(2	)		6,081			-		-					-			-
Restructuring credit		(35	)	(3	)		35			-		(214	)	(6	)		214			-
(Loss) income from operations		(5,091	)				7,523			2,432		4,299					769			5,068
(Loss) income before income taxes		(5,124	)				7,523			2,399		4,262					769			5,031
Notes

(1)	During the three-month period ending February 2, 2020, our home accessories segment incurred asset impairment charges totaling $13.6 million of which $11.2 million and $2.4 million pertained to this segment's goodwill and tradename, respectively.
(2)	During the three-month period ending February 2, 2020, we recorded a reversal of $6.1 million that pertained to a contingent earn-out obligation associated with the purchase of our 80% ownership interest in eLuxury, LLC.
(3)	The $35 restructuring credit pertains to employee termination benefits associated with the closure of our Anderson, SC upholstery fabrics facility.
(4)	Cost of sales for the three-month period ending January 27, 2019, includes a $514 restructuring related charge for operating costs associated with our closed upholstery fabrics facility located in Anderson, SC.
(5)	Selling, general, and administrative expenses for the three-months ending January 27, 2019, includes a $469 non-recurring charge associated with the accelerated vesting of certain stock-based compensation agreements. Of this $469 non-recurring charge, $429 and $40 pertain to unallocated corporate expenses and a restructuring related charge, respectively, associated with our closed Anderson, SC upholstery fabrics facility.
(6)	The $214 restructuring credit represents a $362 gain on sale of the building and land associated with our closed Anderson, SC upholstery fabrics facility, partially offset by a $148 charge for employee termination benefits.

  Page 9 of 13

CULP, INC.

RECONCILIATION OF SELECTED INCOME STATEMENT INFORMATION TO ADJUSTED RESULTS

FOR THE NINE MONTHS ENDED FEBRUARY 2, 2020 AND JANUARY 27, 2019

									NINE MONTHS ENDED (UNAUDITED)
	As Reported								February 2, 2020		As Reported								January 27, 2019
	February 2,								Adjusted		January 27,								Adjusted
	2020					Adjustments			Results		2019					Adjustments			Results
Gross Profit		39,853					-			39,853		38,008		(4	)(5)		2,508			40,516
Selling, general and
administrative expenses		30,783					-			30,783		28,174		(5	)(6)		(558	)		27,616
Asset impairments		13,639		(1	)		(13,639	)		-		-					-			-
Reversal of contingent consideration - earnout obligation		(6,081	)	(2	)		6,081			-		-					-			-
Restructuring credit		(70	)	(3	)		70			-		(825	)	(7	)		825			-
Income from operations		1,582					7,488			9,070		10,659					2,241			12,900
Income before income taxes		1,826					7,488			9,314		10,485					2,241			12,726
Notes

(1)	During the nine-month period ending February 2, 2020, our home accessories segment incurred asset impairment charges totaling $13.6 million of which $11.2 million and $2.4 million pertained to this segment's goodwill and tradename, respectively.
(2)	During the nine-month period ending February 2, 2020, we recorded a reversal of $6.1 million that pertained to a contingent earn-out obligation associated with the purchase of our 80% ownership interest in eLuxury, LLC.
(3)	The $70 restructuring credit pertains to employee termination benefits associated with the closure of our Anderson, SC upholstery fabrics facility.
(4)	Cost of sales for the nine-month period ending January 27, 2019, includes restructuring related charges totaling $2.3 million, of which $1.6 million pertains to inventory markdowns and $784 pertains to operating costs associated with our closed upholstery fabrics facility located in Anderson, SC.
(5)	During the nine-month period ending January 27, 2019, our mattress fabrics segment incurred non-recurring charges totaling $248 that pertained to employee termination benefits and other operational reorganization costs. Of the $248 total non-recurring charge, $159 and $89 were recorded in cost of sales and selling, general, and administrative expenses, respectively.
(6)	Selling, general, and administrative expenses for the nine-months ending January 27, 2019, includes a $469 non-recurring charge associated with the accelerated vesting of certain stock-based compensation agreements. Of this $469 non-recurring charge, $429 and $40 pertain to unallocated corporate expenses and a restructuring related charge, respectively, associated with our closed Anderson, SC upholstery fabrics facility.
(7)	The $825 restructuring credit represents a $1.5 million gain on sale of property, plant, and equipment associated with our closed Anderson, SC upholstery fabrics facility, partially offset by a charge of $661 for employee termination benefits.

  Page 10 of 13

CULP, INC.  FINANCIAL INFORMATION RELEASE
CONSOLIDATED STATEMENTS OF ADJUSTED EBITDA
FOR THE TWELVE MONTHS ENDED FEBRUARY 2, 2020 AND JANUARY 27, 2019
(UNAUDITED)
(AMOUNTS IN THOUSANDS)

	Quarter Ended
													Trailing 12
													Months
	4/28/2019			8/4/2019			11/3/2019			2/2/2020			2/2/2020
Net (loss) income	$	(1,511	)	$	1,174		$	2,192		$	(4,207	)	$	(2,352	)
Income tax expense (benefit)		3,017			1,682			1,898			(973	)		5,624
Interest income, net		(210	)		(241	)		(210	)		(234	)		(895	)
Other non-recurring charges		500			-			-			-			500
Restructuring credit		-			(35	)		-			(35	)		(70	)
Asset impairments		-			-			-			13,639			13,639
Reversal of contingent consideration - earn-out obligation		-			-			-			(6,081	)		(6,081	)
Depreciation and amortization expense		2,218			2,081			2,165			2,164			8,628
Stock based compensation		(243	)		154			313			364			588
Adjusted EBITDA	$	3,771		$	4,815		$	6,358		$	4,637		$	19,581
% Net Sales		5.3	%		6.4	%		8.8	%		6.4	%		6.7	%
	Quarter Ended
													Trailing 12
													Months
	4/29/2018			7/29/2018			10/28/2018			1/27/2019			1/27/2019
Net income	$	12,666		$	965		$	2,944		$	3,060		$	19,635
Income tax (benefit) expense		(6,217	)		906			1,276			1,225			(2,810	)
Interest income, net		(117	)		(130	)		(133	)		(251	)		(631	)
Other non-recurring charges		-			-			248			429			677
Restructuring expense (credit) and related charges		-			2,016			(791	)		340			1,565
Depreciation and amortization expense		2,096			2,160			2,287			2,232			8,775
Stock based compensation		(210	)		(501	)		395			479			163
Adjusted EBITDA	$	8,218		$	5,416		$	6,226		$	7,514		$	27,374
% Net Sales		10.5	%		7.6	%		8.1	%		9.7	%		9.0	%
% Over (Under)		-54.1	%		-11.1	%		2.1	%		-38.3	%		-28.5	%

 Page 11 of 13

CULP, INC. FINANCIAL INFORMATION RELEASE
RETURN ON CAPITAL EMPLOYED BY SEGMENT
FOR THE TWELVE MONTHS ENDED FEBRUARY 2, 2020
(Amounts in Thousands)
(Unaudited)
	Operating Income
	Twelve Months			Average			Return on
	Ended			Capital			Avg. Capital
	February 2, 2020 (1)			Employed (2)			Employed (3)
Mattress Fabrics	$	10,391		$	73,455			14.1	%
Upholstery Fabrics		11,155			20,739			53.8	%
Home Accessories		(1,548	)		3,722		N.M.
(less: Unallocated Corporate)		(8,970	)		29,470		N.M.
Total	$	11,028		$	127,386			8.7	%
Average Capital Employed	As of the three Months Ended February 2, 2020															As of the three Months Ended November 3, 2019															As of the three Months Ended August 4, 2019
	Mattress			Upholstery			Home			Unallocated						Mattress			Upholstery			Home			Unallocated						Mattress			Upholstery			Home			Unallocated
	Fabrics			Fabrics			Accessories			Corporate			Total			Fabrics			Fabrics			Accessories			Corporate			Total			Fabrics			Fabrics			Accessories			Corporate			Total
Total assets (4)	$	88,641			42,248			7,183			72,268			210,340		$	84,473			42,122			7,280			97,847			231,722		$	83,056			40,456			6,414			94,521			224,447
Total liabilities (5)		(10,464	)		(18,097	)		(4,074	)		(17,609	)		(50,244	)		(14,079	)		(22,711	)		(2,732	)		(26,278	)		(65,800	)		(11,854	)		(20,352	)		(2,301	)		(25,604	)		(60,111	)
Subtotal	$	78,177		$	24,151		$	3,109		$	54,659		$	160,096		$	70,394		$	19,411		$	4,548		$	71,569		$	165,922		$	71,202		$	20,104		$	4,113		$	68,917		$	164,336
Less:
Cash and cash equivalents		-			-			-			(21,872	)		(21,872	)		-			-			-			(47,183	)		(47,183	)		-			-			-			(44,236	)		(44,236	)
Short-term investments - Held-To-Maturity		-			-			-			(3,171	)		(3,171	)		-			-			-			-			-			-			-			-			-			-
Short-term investments - Available for Sale		-			-			-			(7,580	)		(7,580	)		-			-			-			-			-			-			-			-			-			-
Current income taxes receivable		-			-			-			(776	)		(776	)		-			-			-			(776	)		(776	)		-			-			-			(776	)		(776	)
Long-term investments - Rabbi Trust		-			-			-			(7,804	)		(7,804	)		-			-			-			(7,575	)		(7,575	)		-			-			-			(7,347	)		(7,347	)
Long-term investments - Held-to Maturity		-			-			-			(2,224	)		(2,224	)		-			-			-			-			-			-			-			-		��	-			-
Noncurrent income taxes receivable		-			-			-			(733	)		(733	)		-			-			-			(733	)		(733	)		-			-			-			(733	)		(733	)
Deferred income taxes - non-current		-			-			-			(920	)		(920	)		-			-			-			(511	)		(511	)		-			-			-			(486	)		(486	)
Income taxes payable - current		-			-			-			455			455			-			-			-			1,539			1,539			-			-			-			1,116			1,116
Income taxes payable - long-term		-			-			-			3,442			3,442			-			-			-			3,442			3,442			-			-			-			3,640			3,640
Deferred income taxes - non-current		-			-			-			2,013			2,013			-			-			-			3,283			3,283			-			-			-			2,543			2,543
Subordinated loan payable		-			-			-			925			925			-			-			-			925			925			-			-			-			925			925
Deferred compensation - non-current		-			-			-			7,637			7,637			-			-			-			7,429			7,429			-			-			-			7,232			7,232
Total Capital Employed	$	78,177		$	24,151		$	3,109		$	24,051		$	129,488		$	70,394		$	19,411		$	4,548		$	31,409		$	125,762		$	71,202		$	20,104		$	4,113		$	30,795		$	126,214
				As of the three Months Ended April 28, 2019												As of the three Months Ended January 27, 2019
	Mattress			Upholstery			Home			Unallocated						Mattress			Upholstery			Home			Unallocated
	Fabrics			Fabrics			Accessories			Corporate			Total			Fabrics			Fabrics			Accessories			Corporate			Total
Total assets (4)	$	83,393			37,529			5,618			93,186			219,726		$	86,707			43,097			5,607			89,497			224,908
Total liabilities (5)		(10,996	)		(18,114	)		(2,215	)		(24,154	)		(55,479	)		(11,604	)		(22,483	)		(2,168	)		(21,421	)		(57,676	)
Subtotal	$	72,397		$	19,415		$	3,403		$	69,032		$	164,247		$	75,103		$	20,614		$	3,439		$	68,076		$	167,232
Less:
Cash and cash equivalents		-			-			-			(40,008	)		(40,008	)		-			-			-			(26,418	)		(26,418	)
Short-term investments - Held-To-Maturity		-			-			-			(5,001	)		(5,001	)		-			-			-			(13,544	)		(13,544	)
Short-term investments - Available for Sale		-			-			-			-			-			-			-			-			-			-
Current income taxes receivable		-			-			-			(776	)		(776	)		-			-			-			-			-
Long-term investments - Rabbi Trust		-			-			-			(7,081	)		(7,081	)		-			-			-			(6,834	)		(6,834	)
Long-term investments - Held-to Maturity		-			-			-			-			-			-			-			-			-			-
Noncurrent income taxes receivable		-			-			-			(733	)		(733	)		-			-			-			-			-
Deferred income taxes - non-current		-			-			-			(457	)		(457	)		-			-			-			(3,224	)		(3,224	)
Income taxes payable - current		-			-			-			1,022			1,022			-			-			-			642			642
Income taxes payable - long-term		-			-			-			3,249			3,249			-			-			-			3,294			3,294
Deferred income taxes - non-current		-			-			-			3,176			3,176			-			-			-			2,225			2,225
Subordinated loan payable		-			-			-			675			675			-			-			-			-			-
Deferred compensation - non-current		-			-			-			6,998			6,998			-			-			-			6,782			6,782
Total Capital Employed	$	72,397		$	19,415		$	3,403		$	30,096		$	125,311		$	75,103		$	20,614		$	3,439		$	30,999		$	130,155
	Mattress			Upholstery			Home			Unallocated
	Fabrics			Fabrics			Accessories			Corporate			Total
Average Capital Employed (3)	$	73,455		$	20,739		$	3,722		$	29,470		$	127,386

Notes:
(1)	See reconciliation per page 13 of this financial information release.
(2)	Average capital employed was computed using the five quarterly periods ending February 2, 2020, November 3, 2019, August 4, 2019, April 28, 2019, and January 27, 2019.
(3)	Return on average capital employed represents the last twelve months operating income as of February 2, 2020, divided by average capital employed. Average capital employed does not include cash and cash equivalents, short-term investments - Held-To-Maturity, short-term investments - Available for Sale, long-term investments - Rabbi Trust, long-term investments-Held-To-Maturity, noncurrent deferred income tax assets and liabilities, income taxes receivable and payable, subordinated loan payable, and noncurrent deferred compensation
(4)	Intangible assets and goodwill are included in unallocated corporate for all periods presented and therefore, have no affect on the capital employed and return on capital employed for our mattress fabrics, upholstery fabrics, and home accessories segments
(5)	Accrued restructuring costs and certain obligations associated with our acquisitions are included in unallocated corporate for all periods presented and therefore, have no affect on capital employed and return on capital employed for our mattress fabrics, upholstery fabrics, and home accessories segments.

 Page 12 of 13

CULP, INC. FINANCIAL INFORMATION RELEASE
RETURN ON CAPITAL EMPLOYED BY SEGMENT
FOR THE TWELVE MONTHS ENDED JANUARY 27, 2019
(Amounts in Thousands)
(Unaudited)
	Operating Income
	Twelve Months			Average			Return on
	Ended			Capital			Avg. Capital
	January 27, 2019 (1)			Employed (2)			Employed (3)
Mattress Fabrics	$	14,995		$	77,132			19.4	%
Upholstery Fabrics		11,229			19,945			56.3	%
Home Accessories		(255	)		1,887		N.M.
(less: Unallocated Corporate)		(6,605	)		24,653		N.M.
Total	$	19,364		$	123,617			15.7	%
Average Capital Employed				As of the three Months Ended January 27, 2019												As of the three Months Ended October 28, 2018															As of the three Months Ended July 29, 2018
	Mattress			Upholstery			Home			Unallocated						Mattress			Upholstery			Home			Unallocated						Mattress			Upholstery			Home			Unallocated
	Fabrics			Fabrics			Accessories			Corporate			Total			Fabrics			Fabrics			Accessories			Corporate			Total			Fabrics			Fabrics			Accessories			Corporate			Total
Total assets (4)	$	86,707			43,097			5,607			89,497			224,908		$	86,494			37,442			5,203			93,072			222,211		$	93,601			37,386			4,463			90,922			226,372
Total liabilities (5)		(11,604	)		(22,483	)		(2,168	)		(21,421	)		(57,676	)		(9,790	)		(19,646	)		(1,960	)		(23,346	)		(54,742	)		(12,883	)		(17,880	)		(1,710	)		(27,869	)		(60,342	)
Subtotal	$	75,103		$	20,614		$	3,439		$	68,076		$	167,232		$	76,704		$	17,796		$	3,243		$	69,726		$	167,469		$	80,718		$	19,506		$	2,753		$	63,053		$	166,030
Less:
Cash and cash equivalents		-			-						(26,418	)		(26,418	)		-			-						(14,768	)		(14,768	)		-			-						(8,593	)		(8,593	)
Short-term investments - Available-For-Sale		-			-						-			-			-			-						-			-			-			-						-			-
Short-term investments - Held-To-Maturity		-			-						(13,544	)		(13,544	)		-			-						(26,719	)		(26,719	)		-			-						(30,756	)		(30,756	)
Long-term investments - Held-To-Maturity		-			-						-			-			-			-						-			-			-			-						-			-
Long-term investments - Rabbi Trust		-			-						(6,834	)		(6,834	)		-			-						(7,851	)		(7,851	)		-			-						(7,671	)		(7,671	)
Deferred income taxes - non-current		-			-						(3,224	)		(3,224	)		-			-						(3,614	)		(3,614	)		-			-						(3,721	)		(3,721	)
Deferred compensation - current		-			-						-			-			-			-						714			714			-			-						-			-
Income taxes payable - current		-			-						642			642			-			-						2,044			2,044			-			-						1,244			1,244
Income taxes payable - long-term		-			-						3,294			3,294			-			-						3,233			3,233			-			-						3,733			3,733
Deferred income taxes - non-current		-			-						2,225			2,225			-			-						2,225			2,225			-			-						2,150			2,150
Line of credit		-			-						-			-			-			-						-			-			-			-						4,000			4,000
Deferred compensation - non-current		-			-						6,782			6,782			-			-						7,120			7,120			-			-						7,679			7,679
Total Capital Employed	$	75,103		$	20,614		$	3,439		$	30,999		$	130,155		$	76,704		$	17,796		$	3,243		$	32,110		$	129,853		$	80,718		$	19,506		$	2,753		$	31,118		$	134,095
	As of the three Months Ended April 29, 2018															As of the three Months Ended January 28, 2018
	Mattress			Upholstery			Home			Unallocated						Mattress			Upholstery			Home			Unallocated
	Fabrics			Fabrics			Accessories			Corporate			Total			Fabrics			Fabrics			Accessories			Corporate			Total
Total assets (4)	$	95,061			39,812			-			83,111			217,984		$	93,827			43,458			-			79,559			216,844
Total liabilities (5)		(17,335	)		(18,679	)		-			(18,594	)		(54,608	)		(18,418	)		(22,781	)		-			(23,463	)		(64,662	)
Subtotal	$	77,726		$	21,133		$	-		$	64,517		$	163,376		$	75,409		$	20,677		$	-		$	56,096		$	152,182
Less:
Cash and cash equivalents		-			-						(21,228	)		(21,228	)		-			-						(22,428	)		(22,428	)
Short-term investments - Available-For-Sale		-			-						(2,451	)		(2,451	)		-			-						(2,472	)		(2,472	)
Short-term investments - Held-To-Maturity		-			-						(25,759	)		(25,759	)		-			-						(17,206	)		(17,206	)
Long-term investments - Held-To-Maturity		-			-						(5,035	)		(5,035	)		-			-						(13,625	)		(13,625	)
Long-term investments - Rabbi Trust		-			-						(7,326	)		(7,326	)		-			-						(7,176	)		(7,176	)
Deferred income taxes - non-current		-			-						(1,458	)		(1,458	)		-			-						(1,942	)		(1,942	)
Deferred compensation - current		-			-						-			-			-			-						-			-
Income taxes payable - current		-			-						1,437			1,437			-			-						1,580			1,580
Income taxes payable - long-term		-			-						3,758			3,758			-			-						10,940			10,940
Deferred income taxes - non-current		-			-						2,150			2,150			-			-						2,096			2,096
Line of credit		-			-						-			-			-			-						-			-
Deferred compensation - non-current		-			-						7,353			7,353			-			-						7,216			7,216
Total Capital Employed	$	77,726		$	21,133		$	-		$	15,958		$	114,817		$	75,409		$	20,677		$	-		$	13,079		$	109,165
	Mattress			Upholstery			Home			Unallocated
	Fabrics			Fabrics			Accessories			Corporate			Total
Average Capital Employed (3)	$	77,132		$	19,945		$	1,887		$	24,653		$	123,617

Notes:
(1)	See reconciliation per page 13 of this financial information release.
(2)	Average capital employed was computed using the quarterly five periods ending January 27, 2019, October 28, 2018, July 29, 2018, April 29, 2018, and January 28, 2018.
(3)	Return on average capital employed represents the last twelve months operating income as of January 27, 2019, divided by average capital employed. Average capital employed does not include cash and cash equivalents,  short-term investments - Available- For-Sale, short-term investments Held-To-Maturity, long-term investments Held-To-Maturity, long-term investments - Rabbi Trust, noncurrent deferred income tax assets and liabilities, income taxes payable, line of credit, and current and noncurrent deferred compensation.
(4)	Intangible assets and goodwill are included in unallocated corporate for all periods presented and therefore, have no affect on the capital employed and return on capital employed for our mattress fabrics, upholstery fabrics, and home accessories segments.
(5)	Accrued restructuring costs and certain obligations associated with our acquisitions are included in unallocated coporate for all periods presented and therefore, have no affect on capital employed and return on capital employed for our mattress fabrics, upholstery fabrics, and home accessories segments.

 Page 13 of 13

CULP, INC.  FINANCIAL INFORMATION RELEASE
CONSOLIDATED STATEMENTS OF OPERATING INCOME (LOSS)
FOR THE TWELVE MONTHS ENDED FEBRUARY 2, 2020 AND JANUARY 27, 2019
(UNAUDITED)
(AMOUNTS IN THOUSANDS)
	Quarter Ended
													Trailing 12
													Months
	4/28/2019			8/4/2019			11/3/2019			2/2/2020			2/2/2020
Mattress Fabrics	$	2,698		$	2,623		$	3,293		$	1,777		$	10,391
Upholstery Fabrics		1,777			2,875			3,473			3,030			11,155
Home Accessories		(479	)		(538	)		(350	)		(181	)		(1,548	)
Unallocated Corporate		(2,037	)		(2,306	)		(2,433	)		(2,194	)		(8,970	)
Subtotal		1,959			2,654			3,983			2,432			11,028
Asset Impairments		-			-			-			(13,639	)		(13,639	)
Reversal of contingent consideration - earn-out obligation		-			-			-			6,081			6,081
Restructuring credit		-			35			-			35			70
Operating income	$	1,959		$	2,689		$	3,983		$	(5,091	)	$	3,540
	Quarter Ended
													Trailing 12
													Months
	4/29/2018			7/29/2018			10/28/2018			1/27/2019			1/27/2019
Mattress Fabrics	$	6,088		$	2,790		$	2,909		$	3,208		$	14,995
Upholstery Fabrics		2,181			2,527			2,722			3,799			11,229
Home Accessories		-			33			23			(311	)		(255	)
Unallocated Corporate		(1,805	)		(1,259	)		(1,913	)		(1,628	)		(6,605	)
Subtotal	$	6,464		$	4,091		$	3,741		$	5,068		$	19,364
Other non-recurring charges		-			-			(248	)		(429	)		(677	)
Restructuring (expense) credit and related charges		-			(2,016	)		791			(340	)		(1,565	)
Operating income	$	6,464		$	2,075		$	4,284		$	4,299		$	17,122
% Over (Under)		-69.7	%		29.6	%		-7.0	%		-218.4	%		-79.3	%