Source: Company Press Release
 
Simmons Bedding Company ("Simmons Bedding"), a subsidiary of Simmons Company ("Simmons" or the "Company") and a leading manufacturer of premium-branded bedding products, today announced that it has proposed to extend to March 31, 2009 a forbearance period previously granted by its senior lenders.
 
The proposed forbearance extension, which has the support of certain of Simmons' senior lenders, as well as the senior lenders' administrative agent, is designed to provide the Company with sufficient time to reduce the leverage on its balance sheet by pursuing an organized financial restructuring. Simmons plans to work with its various stakeholders to design and implement the restructuring in a manner that maximizes value and preserves and protects its relationships with customers and suppliers. Simmons' senior lenders are being asked to provide their consent by 5:00 p.m. ET on December 9, 2008.
 
"When approved by our senior lenders, this forbearance extension will be very good news for Simmons as well as its customers and suppliers," said Stephen G. Fendrich, Simmons' President and Chief Operating Officer. "We can continue to operate normally and deliver our products without interruption while we reduce the risk of our current capital structure."
 
Simmons Bedding has engaged Miller Buckfire & Co., LLC as its financial advisor and Weil, Gotshal & Manges LLP as its legal counsel in connection with its proposed restructuring.
 
The Company will file a Form 8-K with the U.S. Securities and Exchange Commission describing in detail the proposed terms of the forbearance extension.