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No Respite For Stanley And The Furniture Industry (STLY)

While some investors may feel that the time is right to buy into the furniture sector, thinking that years of restructuring will finally start to improve the bottom line, it appears the industry may still be facing a slew of issues aside from weak demand, including rising raw material costs and transport costs, and a weakening dollar. The latest example of the industry's woes came when Stanley Furniture (Nasdaq:STLY) reported a loss of 1 penny per share in the second quarter of 2008; unfortunately, analysts had expected that penny to fall on the positive side. Stanley's Q2 Wrap-Up Revenue for Stanley Furniture was $59.1 million, which beat revenue estimates of $55.2 million, but fell 12.7% from the same quarter last year. The company also lowered guidance for the rest of the year. Stanley Furniture's president and CEO Jeffrey... [read full story]                    

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