A softening in business at retail has dampened our expectations for the current quarter. We believe this decline has been precipitated by rising energy prices and a decrease in housing activity.
Paul B. Toms Jr., Chairman and CEO, Hooker Furniture

Hooker Furniture (HOFT) is revising its 2006 second quarter sales forecast to a range of flat to 2% lower than its 2005 second quarter sales.

Previously, the Company had said it expected sales in the March 1 to May 31 time period to increase in a range of 3% to 7% when compared to 2005 second quarter sales of $88.7 million.

"A softening in business at retail has dampened our expectations for the current quarter," said Paul B. Toms Jr., chairman and chief executive officer. "We believe this decline has been precipitated by rising energy prices and a decrease in housing activity." Toms added, "We had a solid April International Home Furnishings Market. The new products we introduced there will begin to ship in late summer, which should help spur an upturn in business heading into the fourth quarter."

Hooker is the nation's sixth largest publicly traded furniture manufacturer. .