UPDATE 1-Stanley Furniture suspends dividend, sees weak sales

*Adjusted loss 14 cents vs. estimate loss 4 cents

*Dividend suspended

*More sales declines expected (Adds Reuters Estimates, sales)

ATLANTA, Jan 28 (Reuters) - Stanley Furniture Co (STLY.O) posted a fourth-quarter loss after adjusting for funds it received under an anti-dumping law, and said it expected further sales declines and was suspending its dividend to save cash.

The furniture maker also said giving sales and earnings forecasts for this year was neither "useful nor relevant" in light of the uncertain economy.

Net income came to $6.2 million, or 60 cents a share, for the fourth quarter, compared with nearly $5 million, or 48 cents a share, a year earlier.

Excluding income of $11.5 million tied to anti-dumping duties received on wooden bedroom furniture imported from China, Stanley had a loss of 14 cents a share for the latest period, compared with a loss of 4 cents a share expected by analysts on average, according to Reuters Estimates.

Quarterly sales fell about 25 percent to $50.4 million.

U.S. furnishings companies have been forced to trim operating costs as a deepening recession and declining home values pressure consumer spending.

Furniture Brands International (FBN.N) and La-Z-Boy (LZB.N) have announced job cuts in recent months. In the past year, Stanley has also cut jobs and consolidated manufacturing operations.

"We continue to experience a deteriorating demand environment and frankly anticipate further sales declines before seeing any improvement," Stanley Furniture Chief Executive Albert Prillaman said in a statement.

The suspension of quarterly cash dividends is expected to save about $4 million annually, Stanley Furniture said. (Reporting by Karen Jacobs; Editing by Phil Berlowitz)