CULP REPORTS GAINS FOR SECOND QUARTER FIRST HALF RESULTS REFLECT INCREASED SALES AND EARNINGS.

HIGH POINT, N.C.--(BUSINESS WIRE)--Nov. 9, 1995--Culp, Inc. today reported higher sales and earnings for the second quarter and first half of its 1996 fiscal year.

For the three months ended October 29, 1995, Culp reported net sales of $90.7 million, an increase of 16%, compared with $78.4 million a year ago. Net income for the quarter totaled $3.0 million, or $0.27 per share, compared with $2.8 million, or $0.25 per share, in the second quarter of fiscal 1995.

The gains for the second quarter brought net sales for the first half to $163.0 million, up from $144.8 million in the first six months of fiscal 1995. Net income for the first half was $4.5 million, or $0.40 per share, up from $4.3 million, or $0.38 per share, in the year-earlier period.

Commenting on the results, Robert G. Culp, III, Chief Executive Officer, said, "Culp's gains for the second quarter are especially gratifying because they were achieved against the backdrop of continued caution by retailers about the near term of consumer spending on home furnishings. Our ability to counter this trend was aided significantly by increased exports of upholstery fabrics, but shipments during the quarter to U.S.-based customers were also up from a year ago. We did receive a benefit during the second quarter from the inclusion of Rayonese Textile, which was acquired during the fourth quarter of fiscal 1995, but recorded a 13% gain in sales even without that incremental business. Acquisitions over the past two years have significantly broadened the company's product offerings, enabling us to supply more of our existing customers' needs while supporting an aggressive marketing initiative to expand Culp's overall base of business."

Culp remarked, "The overall trend in purchases of home furnishings certainly remains an important factor underlying Culp's performance, but we are continuing to capitalize on opportunities to enhance the company's basic competitive stance. The steady increase in sales to customers outside the United States is serving as a tangible measure of the return from the considerable investment we have made to establish -- and meet -- world-class standards for service, quality and value. Over the past six years through fiscal 1995, our exports rose more than tenfold. The continuation of that growth in the current fiscal year reflects our firm commitment to utilize our resources as effectively as possible, operating efficiently and containing costs while increasing our capabilities to offer customers innovative, market- driven fabric designs.

"We recognize the caution prevailing among retailers and manufacturers, which suggests a challenging environment for Culp during the important second half of our fiscal year. The current momentum in our incoming orders, however, remains generally positive, and we are confident that our strategic plan is sound for building on the company's longer term success, which includes increased sales and net earnings in each of the past five years."

Culp, Inc. is a leading manufacturer and marketer of fabrics for the furniture, bedding, and institutional furnishings markets. The company's common shares are traded on The Nasdaq Stock Market (National Market) under the symbol CULP. -0-

                           CULP, INC.
                 Condensed Financial Highlights
                           (Unaudited)

                                         Three Months Ended
                                     October 29,    October 30,
                                        1995           1994
Net sales                            $90,672,000    $78,445,000
Net income                           $ 3,000,000    $ 2,800,000
Earnings per share                   $      0.27    $      0.25

                                          Six Months Ended
                                     October 29,    October 30,
                                        1995           1994
Net sales                            $163,029,000   $144,794,000
Net income                           $ 4,515,000    $ 4,250,000
Earnings per share                   $      0.40    $      0.38

CONTACT: Culp, Inc., High Point

Frank Saxon, 910/888-6266