Flexsteel Industries, Inc. today reported residential net sales decreased 8.7% from the prior year quarter.

In a press release issued today, Flexsteel said suppliers for steel and petroleum-based products, including fuel and poly foam, continue to pass on additional cost increases to the company. At the same time, many furniture manufacturers, including Flexsteel, are dealing with competition and pricing pressures from imported products.

Flexsteel added that it believes U.S. consumer confidence has been hampered by several uncertainties in the marketplace, including the upcoming U.S. presidential election, the war in Iraq, fluctuations in interest rates, and record high and unstable oil prices. The company believes this situation has caused consumers to postpone purchases of furniture.