ROW Rowe

The Rowe Companies Announces Amendment of Term and Revolving Credit Facilities McLEAN, Va., Dec 4 /PRNewswire-FirstCall/ -- The Rowe Companies , a leading furniture manufacturer and retailer, today reported that it has entered into an agreement with Fleet Capital and CIT to modify the terms of its existing term and revolving credit facilities. Such agreement reflects reduced collateral for asset-based loans and elimination of earnings and cash flow from operations due to the sale of the Company's Mitchell Gold subsidiary in April 2003 and the reduction of outstanding debt as a result of using the net proceeds from such sale to reduce existing loan balances. Such modification revises various performance covenants. As a result thereof the Company continues to maintain substantial borrowing capacity, with less than half of the amount available under the Fleet and CIT credit facilities being currently utilized. "We appreciate the ongoing support of our key lenders," stated Gerald Birnbach, Chairman and CEO of The Rowe Companies, "and are pleased with the recognition of the continuing progress we are making in all phases of our operations. This positions us well to fund the ongoing growth of our company as we begin 2004." Separately, the Company announced the opening of its sixtieth Storehouse location in The Forum in Atlanta, GA. The Rowe Companies operates two subsidiaries in the home furnishings industry: Rowe Furniture, Inc., a major manufacturer of quality upholstered furniture serving the middle and upper middle market through the U.S.; and Storehouse, Inc. a multi-channel, lifestyle home furnishings business including 60 retail home furnishing stores. Storehouse makes good design accessible by selling an edited assortment of casual, contemporary home furnishings through its stores located in the Southeast, Southwest, and Mid- Atlantic markets and its catalog. Statements in this press release concerning Rowe's business outlook or future economic performance, anticipated profitability, revenues, expenses or other financial items; together with other statements that are not historical facts, are "forward-looking statements" as that term is defined under Federal Securities Laws. "Forward-looking statements" are subject to risks, uncertainties and other factors which could cause actual results to differ materially from those stated in such statements. Such risks, uncertainties and factors include, but are not limited to, industry cyclicality, fluctuations in customer demand and order patterns, the seasonal nature of the business, changes in pricing, and general economic conditions, as well as other risks detailed in Rowe's filings with the Securities and Exchange Commission. DATASOURCE: The Rowe Companies CONTACT: Gene S. Morphis, Chief Financial Officer of The Rowe Companies, +1-703-847-8670 Web site: http://www.rowefurniture.com/

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