Net sales from continuing operations for the 2009 second quarter were $288.3 million, compared with $449.9 million in the second quarter of 2008. Results from continuing operations were a loss of $0.33 per diluted share in the 2009 quarter compared to a loss of $0.49 per diluted share for the second quarter of 2008.

Ralph P. Scozzafava, Chairman of the Board and Chief Executive Officer, commented: "Global and domestic economic indicators point to continued weak consumer spending trends that offer little immediate relief from the industry's current depressed state. Furniture Brands' sales results for the quarter reflect these trends as well as management's decisions to limit the credit exposure to weak retail partners and by exiting unprofitable licensing arrangements. The long-term benefit to Furniture Brands' balance sheet from these decisions more than outweighs the short-term gains of overhead absorption that come from unprofitable sales. While we are not satisfied with our results for this seasonally weak quarter, the decisive actions that we are taking in the face of a rapidly deteriorating market have enabled us to stabilize our gross profit margin and protect our balance sheet, making us a much more resilient company."

Gross margin for the 2009 second quarter was 21.4% compared to 22.3% in the same quarter of 2008. Selling, general, and administrative costs for the 2009 second quarter totaled $76.0 million, which is a significant decrease from the $132.0 million in SG&A costs reported in the 2008 quarter. Results for both quarters include numerous selected items that are detailed in a table attached to this press release.

At June 30, 2009 the company reported cash and cash equivalents of $77.3 million and debt of $129.0 million resulting in net debt of $51.7 million. The company expects to generate positive cash flow for the year, exclusive of changes in debt balances and without the impact of tax refunds.

"Furniture Brands continues to focus on the key areas that are very much under our control: operational efficiency and effectiveness, cost control and balance sheet strength. Maintaining gross margins and lowering operating expenses during this severe industry downturn helps to strengthen our balance sheet while creating operating leverage that will benefit financial performance when industry conditions improve," Mr. Scozzafava said. "In addition, Furniture Brands is investing in product development and marketing programs that leverage the power of our brands and drive traffic to our retail partners. Several of these initiatives include new websites that enhance the on-line presence of our brands, the success of Broyhill's quick-ship upholstery program, the Lane mobile showroom national tour, and a new e-mail marketing campaign that better connects the nation's top interior designers with our high-end brands -- Henredon, Hickory Chair, Pearson, Laneventure and Maitland-Smith. At Thomasville, we're preparing for a strong Labor Day sales event featuring new products from April market and supported by national television advertising. These and other commercial initiatives underscore our commitment to helping our dealers and retail partners drive their business through this challenging period," Mr. Scozzafava said.

Upcoming Investor Event

A conference call will be held to discuss second quarter results at 7:30 a.m. (Central Time) on August 5, 2009. The call can be accessed in Upcoming Investor Events on the company's website at furniturebrands.com under "Investor Info." Access to the call and the release will be archived for one year.

About Furniture Brands

Furniture Brands International (NYSE:FBN) is a global operating company that is one of the nation's leading designers, manufacturers, and retailers of home furnishings. It markets through a wide range of retail channels, from mass merchant stores to single-brand and independent dealers to specialized interior designers. Furniture Brands serves its customers through some of the best known and most respected brands in the furniture industry, including Broyhill, Lane, Thomasville, Drexel Heritage, Henredon, Pearson, Hickory Chair, Laneventure, and Maitland-Smith.

The Furniture Brands International logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=2757

Cautionary Statement Regarding Forward-Looking Statements

Matters discussed in this document and in our public disclosures, whether written or oral, relating to future events or our future performance, including any discussion, express or implied, of our anticipated growth, operating results, future earnings per share, plans and objectives, contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are often identified by the words "will," "believe," "positioned," "estimate," "project," "target," "continue," "intend," "expect," "future," "anticipates," and similar expressions that are not statements of historical fact. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions that are difficult to predict. Our actual results and timing of certain events could differ materially from those anticipated in these forward-looking statements as a result of certain factors, including, but not limited to, those set forth under "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2008, and in our other public filings with the Securities and Exchange Commission. Such factors include, but are not limited to: risks associated with the execution of our strategic plan; changes in economic conditions; loss of market share due to competition; failure to forecast demand or anticipate or respond to changes in consumer tastes and fashion trends; failure to achieve projected mix of product sales; business failures of large customers; distribution and cost savings programs; manufacturing realignments; increased reliance on offshore (import) sourcing of various products; fluctuations in the cost, availability and quality of raw materials; product liability uncertainty; environmental regulations; future acquisitions; impairment of goodwill and other intangible assets; anti-takeover provisions which could result in a decreased valuation of our common stock; loss of funding sources; and our ability to open and operate new retail stores successfully. It is routine for internal projections and expectations to change as the year or each quarter in the year progresses, and therefore it should be clearly understood that all forward-looking statements and the internal projections and beliefs upon which we base our expectations included in this report or other periodic reports are made only as of the date made and may change. While we may elect to update forward-looking statements at some point in the future, we do not undertake any obligation to update any forward-looking statements whether as a result of new information, future events or otherwise.