Q.E.P. Closes on ArborCraft Acquisition

Boca Raton, FL, Feb. 15, 2010--Q.E.P. Co said it has completed the acquisition of Johnson City, Tenn. hardwood firm ArborCraft, LLC.

ArborCraft, formerly Harris-Tarkett, was founded in 1898 as The Harris Manufacturing Company.

"We are very pleased to report to our shareholders the completion of this important acquisition," said board chair Lewis Gould.

"The acquisition will be a key component of the Company's strategy to become a full line supplier to the flooring industry."

ArborCraft had 2009 net sales of approximately $27.8 million. Consideration for the transaction included approximately $6.2 million of cash, subject to a post-closing working capital adjustment, and the issuance of a subordinated term note to the seller of approximately $3.8 million.