SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) March 11, 2003
STANLEY FURNITURE COMPANY, INC.
(Exact name of registrant as specified in its charter)
Delaware 0-14938 54-1272589
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(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
1641 Fairystone Park Highway, Stanleytown, Virginia 24168
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (276) 627-2000
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(Former name or former address, if changed since last report.)
ITEM 5. OTHER EVENTS
On March 11, 2003, the Registrant issued a press release announcing
plans to realign production at its Lexington, N.C. facility. The press release
is attached hereto as Exhibit 99.1 and incorporated herein by reference.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
The following exhibits are filed as a part of this report.
99.1 Press release dated March 11, 2003.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
STANLEY FURNITURE COMPANY, INC.
March 11, 2003 By: /s/Jeffrey R. Scheffer
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Date Jeffrey R. Scheffer
President and Chief Executive
Officer
EXHIBIT 99.1
FOR IMMEDIATE RELEASE: MEDIA CONTACT: ROBIN CAMPBELL
March 11, 2003 Manager, Advertising and Marketing Services
(276) 627-2245
e-mail: rcampbell@stanleyfurniture.com
INVESTOR CONTACT: DOUGLAS I. PAYNE
Executive V.P. - Finance and Administration
(276) 627-2157
e-mail: dpayne@stanleyfurniture.com
STANLEY FURNITURE ANNOUNCES PLANS TO
REALIGN PRODUCTION AT ITS LEXINGTON, N.C. FACILITY
STANLEYTOWN, VA, MARCH 11, 2003/PRNewswire -- Stanley Furniture Company, Inc.
(Nasdaq-NNM: STLY) today announced plans to realign production at its
Lexington, N.C. facility.
Currently this facility produces a combination of adult bedroom and Young
America(R) youth bedroom furniture. After a transition period, the Lexington
plant will focus exclusively on Young America(R) products. Adult bedroom
products currently manufactured at the Lexington facility, will be absorbed by
the Stanleytown, Va. plant, which will produce all adult bedroom and dining room
products. The Martinsville, Va. location will continue to manufacture home
entertainment and home office furniture while the Robbinsville, N.C. plant
remains focused on the production of Young America(R) products. The realignment
will reduce operations at the Lexington plant impacting approximately 150 of the
525 associates there.
"This realignment allows us to better focus manufacturing operations, thereby
producing the most suitable products in each plant and enabling the Company to
operate all of our facilities more efficiently," commented Jeffrey R. Scheffer,
president and chief executive officer. "We sincerely regret the impact on some
of our Lexington associates. However, these difficult decisions are necessary
for the long-term competitiveness of the Company. We believe the blending of
efficient domestic manufacturing in tightly focused facilities, with intelligent
outsourcing of certain component parts and finished goods, provides a
competitive advantage by offering higher value and well-styled furniture,
without sacrificing our culture of high quality and shorter delivery times."
"While the economy is extremely uncertain, we reaffirm our sales and earnings
guidance for the first quarter of and total year 2003. Accordingly, net sales
should be between $58 million and $61 million and diluted earnings per share in
the range of $.47 to $.52 for the first quarter of 2003. The combination of
severe winter weather, geo-political issues, and the general economy continue to
create a challenging business environment. These issues combined with import
competition make it imperative to improve operating efficiencies. We are
confident Stanley is positioned to compete in this global environment very
effectively," concluded Scheffer.
The Company plans to report results for the first quarter on April 16, 2003.
Established in 1924, Stanley Furniture Company, Inc. is a leading manufacturer
of wood furniture targeted at the upper-medium price range of the residential
market. Manufacturing facilities are located in Stanleytown and Martinsville,
Va. and Robbinsville and Lexington, N.C.
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Certain statements made in this release are not based on historical facts, but
are forward-looking statements. These statements can be identified by the use of
forward-looking terminology such as "believes," "estimates," "expects," "may,"
"will," "should," or "anticipates" or the negative thereof or other variations
thereon or comparable terminology, or by discussions of strategy. These
statements reflect the Company's reasonable judgment with respect to future
events and are subject to risks and uncertainties that could cause actual
results to differ materially from those in the forward-looking statements. Such
risks and uncertainties include competition in the furniture industry including
competition from lower-cost foreign manufacturers, the Company's success in
implementing its blended strategy of expanded offshore sourcing and domestic
manufacturing, disruptions in offshore sourcing including those arising from
supply or distribution disruptions or changes in political or economic
conditions affecting the countries from which the Company obtains offshore
sourcing, the cyclical nature of the furniture industry, fluctuations in the
price for lumber which is the most significant raw material used by the Company,
credit exposure to customers in the current economic climate, capital costs and
general economic conditions. Any forward-looking statement speaks only as of the
date of this press release, and the Company undertakes no obligation to update
or revise any forward-looking statements, whether as a result of new
developments or otherwise.
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