S&P Maintains Ratings, Outlook on Mohawk

New York, NY, July 10, 2008--Standard & Poor's Rating Services said its ratings and outlook on Mohawk Industries Inc. would remain unchanged for the time being, despite the maker of floor and carpets warning that its second-quarter earnings will miss analyst estimates.

However, the credit ratings agency said it could revise its credit outlook to "negative" if the company continues to experience weak performance from the soft business environment or if credit measures deteriorate in the second half of the year.

S&P currently has an investment-grade 'BBB-' rating with a stable outlook on the Calhoun, Ga. company.

On Monday, Mohawk lowered its second-quarter outlook to between $1.23 and $1.26 per share due to weakness in the U.S. housing market, slowing demand in Europe and higher raw materials and energy costs.

The company previously expected earnings between $1.36 and $1.35 per share. Analysts polled by Thomson Financial expect $1.31 per share.