DANBURY, Conn.--(BUSINESS WIRE)--Aug. 6, 2009-- Ethan Allen (NYSE: ETH) has established an entirely new direction for its American case goods manufacturing operation, a shift unprecedented in its history: The company’s wood furniture is becoming a custom business. Products will be made to order, with an increasing number of custom options. Products will be made individually, rather than in large production runs. The company plans to convert its entire American-made case goods business to custom within twelve months.

“Our custom capability is one of our strongest assets and a strong point of differentiation,” said Chairman, President and CEO Farooq Kathwari, “During the last few years, we have been making affordable custom upholstery in our U.S. workrooms and shipping more than 80% of this custom product within thirty days. Now we are converting our U.S. case goods manufacturing to custom in manageable increments, starting with four popular dining room collections.“ For seventy-seven years, Ethan Allen has produced high-quality case goods in its manufacturing facilities in the Appalachian mountain range from Vermont to North Carolina.

“The transition to an entirely custom American case goods business will further enhance our ability to provide great products with unparalleled options at affordable prices,” Mr. Kathwari said. ”And the change will enable us to pursue our strategic objective of growing our strong U.S. manufacturing base.”

Ethan Allen is a vertically integrated interior design company, providing one-stop shopping for the well-designed home in approximately 300 Design Centers in the United States and abroad and online at ethanallen.com. The company offers clients the free interior design services of its approximately 2,000 in-house design professionals.

About Ethan Allen

Ethan Allen Interiors Inc. (NYSE: ETH) is a leading interior design company and manufacturer and retailer of quality home furnishings. The Company offers free interior design service to its clients and sells a full range of furniture products and decorative accessories through ethanallen.com and a network of approximately 300 Design Centers and Design Studios in the United States and abroad. Ethan Allen owns and operates six manufacturing facilities in the United States, which includes one sawmill, and one manufacturing facility in Mexico, and manufactures approximately sixty-five percent of its products in its United States plants. For more information on Ethan Allen’s products and services, visit ethanallen.com.

Source: Ethan Allen Interiors Inc.

Ethan Allen
November Rawlings, 203-743-8293
nrawlings@ethanalleninc.com