Interface Profitable Despite Falling Sales

Atlanta, GA, July 29, 2009--Interface Inc. reported second quarter net income of $5.1 million, or $0.08 per share, compared to $15.9 million, or $0.25 per share a year ago.

Including special items, Interface reported net income of $3.7 million, or $0.06 per share.

Sales for the quarter were $211.3 million, compared with sales of $295.0 million in the second quarter of 2008, a decline of 28.4%.

Approximately 6% of the sales decline was related to fluctuations in currency exchange rates relative to the year ago period.

"Interface has made substantial progress during the second quarter of 2009, with sequential quarterly improvements in orders, sales and operating income in the face of a global marketplace that continues to be very challenging," said CEO Daniel T. Hendrix.

"Even though our results compared with a record second quarter last year reflect the continued pressure of current economic conditions, the non-office segments faired reasonably well, driven mostly by the education buying season. The corporate office segment, however, continued to deteriorate, which particularly impacted our performance in Europe and the emerging markets."

For the first six months of 2009, sales were $410.6 million, compared with $556.7 million for the same period a year ago, a decrease of 26.2%.