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CULP REPORTS GAINS FOR FISCAL 1993 HIGHER EARNINGS MARK FOURTH CONSECUTIVE YEAR OF GROWTH

 HIGH POINT, N.C., June 15 /PRNewswire/ -- Culp, Inc. (NASDAQ-NMS: CULP) today reported higher earnings for the fourth quarter and fiscal year ended May 2, 1993.
 For the fourth quarter of fiscal 1993, Culp reported net sales of $56.3 million compared with $57.4 million a year ago. Net income for the quarter totaled $2.5 million, or $0.44 per share, compared with $1.2 million, or $0.20 per share, in the year-earlier period. The prior-year period consisted of 14 weeks compared with 13 weeks for the fourth quarter of fiscal 1993.
 For the fiscal year ended May 2, 1993, net sales totaled $200.8 million, up from $191.3 million in fiscal 1992. Net income for fiscal 1993 amounted to $4.5 million, or $0.78 per share, compared with $3.0 million, or $0.51 per share, in fiscal 1992. The year-earlier period consisted of 53 weeks compared with 52 weeks for fiscal 1993.
 The earnings for fiscal 1993 include $243,000, or $0.04 per share, and $933,000, or $0.16 per share, for the fourth quarter and full year, respectively, from the previously announced adjustment regarding the estimated useful lives of certain depreciable assets. The earnings per share for the fourth quarter and year ended May 3, 1992, have been adjusted to reflect the 30 percent stock dividend distributed in July 1992.
 "Culp's sales of $201 million and the sharp gain in earnings for fiscal 1993 provide sound support to our continuing plans for growth," remarked Robert G. Culp, III, chief executive officer. "The year began on a more challenging note than expected but concluded with a definite improvement in profitability in the final quarter. The advance in earnings for fiscal 1993 highlights the positive momentum established through programs designed to increase the company's product quality, customer service and return on capital. The more moderate rise in sales for the year, however, testifies that Culp's business remains very competitive and reinforces our awareness that discipline and careful planning will be required to build on the favorable developments that occurred during fiscal 1993."
 Culp commented, "The company's sales for fiscal 1993 include higher shipments to U.S.-based furniture and bedding manufacturers and increased exports of upholstery fabrics. We are gratified with the expansion being realized in our overall base of business. Our plans are to extend that momentum although we are currently experiencing some shift in the relative importance of sales from shipments to customers outside the United States. We have been expecting a slowing in the contribution to sales from exports which represented 20 percent of Culp's business in fiscal 1993, up from 12 percent just two years ago.
 "Achieving higher standards for product quality and lowering unit costs remain key strategic goals for us. We recognize that the definition of quality to most customers includes our overall level of service and especially their experience in terms of deliveries. During fiscal 1993 we were successful in raising our record of on-time deliveries to a new high and fully anticipate achieving further improvement in that key measure of efficiency. We are committed to supporting the drive for excellent customer service with modern production capacity. The replacement of older equipment remains a major component of Culp's capital spending program that amounted to $11.9 million during fiscal 1993. That amount represented the third highest annual total for the company. Initial plans for fiscal 1994 involve a similar level of investment including the completion of a significant upgrading of the company's jacquard weaving capacity."
 Culp concluded, "The company's incoming orders, backlogs and shipments thus far in the first quarter of fiscal 1994 confirm reports that the level of consumer confidence is more erratic than even a few months ago. Relatively low interest rates and the deferred replacement demand for home furnishings argue that this near-term softness in demand will prove temporary. Our planning for fiscal 1994 as a whole is based on containing operating expenses while extending the positive momentum in Culp's fundamental competitive position."
 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.
 CULP, INC.
 Condensed Financial Highlights
 Three Months Ended
 May 2, May 3,
 1993 1992
 (13 Weeks) (14 Weeks)
 Net sales 56,308,000 57,395,000
 Net income 2,544,000 1,163,000
 Earnings per share 0.44 0.20
 Fiscal Year Ended
 May 2, May 3,
 1993 1992
 (52 Weeks) (53 Weeks)
 Net sales 200,783,000 191,311,000
 Net income 4,501,000 2,973,000
 Earnings per share 0.78 0.51
 -0- 6/15/93
 /CONTACT: Frank Saxon, Vice President and Chief Financial Officer, Culp, Inc., 919-888-6266/
 (CULP)


CO: Culp, Inc. ST: North Carolina IN: TEX SU: ERN

CM -- CH007 -- 2182 06/15/93 13:41 EDT
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Date:Jun 15, 1993
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