Profile: Jennifer Convertibles, Inc. (JEN)

Jennifer Convertibles, Inc., incorporated in 1986, is the owner and licensor of a group of sofabed specialty retail stores and leather specialty retail stores in the United States, with stores located throughout the Eastern seaboard, in the Midwest, on the West Coast and in the Southwest. As of August 29, 2009, its stores included 149 Jennifer Convertibles stores and 14 Jennifer Leather stores. Of these 163 stores, the Company owned 142 and licensed 21, including 19 owned and operated by a related private company, the related company, and two owned by a third party operated by the related company. The Company’s operations are classified into two operating segments organized by product line: Jennifer and Ashley. The Jennifer segment owns and licenses the sofabed specialty retail stores. The Ashley segment is a big box, full line home furniture retail store.

Jennifer

Jennifer Convertibles stores specialize in the retail sale of a complete line of sofabeds. The stores also sell companion pieces, such as sofas, loveseats, chairs and ottomans. Jennifer Leather stores specialize in the sale of leather living room furniture and offer the same complement of companion pieces and accessories. Its products are manufactured by several manufacturers. It is a dealer of Sealy sofabeds, as well as the dealer of Simmons sofabeds.

Ashley

Ashley stores are open seven days per week. Its showrooms feature a complete home furnishing lines available, including furniture and accessories for the living/family room, bedroom, dining room (both casual and formal), home theater and home office. Its Carle Place, NY location has an Ashley Sleep Center, which offers a line of Sealy mattresses. It also generates additional revenue by selling fabric protection services to its Ashley store customers, which are provided by an unaffiliated company.