Span-America Renews Distribution Agreement
With Louisville Bedding Company

Shareholders Elect Directors at Annual Meeting

 

GREENVILLE, S.C.  (February 13, 2002)  -- James D. Ferguson, president and chief executive officer of Span-America Medical Systems, Inc. (Nasdaq/NM: SPAN), announced today the signing of an exclusive marketing and distribution agreement for the Company's consumer foam bedding products with Louisville Bedding Company. 

The new distribution agreement with Louisville Bedding is for five years, extending our initial contract that was set to expire in March 2002.  Last year, consumer foam bedding products accounted for approximately $8.4 million of Span-America's sales, rising 22% from the prior year.  We are extremely pleased to solidify our position with Louisville Bedding, a 110-year-old home textiles company and the largest manufacturer of quilted mattress pads in the country. This agreement combines the complementary skills of Span-America's expertise in product design and manufacturing with Louisville Bedding's marketing relationships with many of the top retailers in the nation," Mr. Ferguson stated.


"We have been very successful in leveraging our proprietary Geo-Matt® design for the consumer market with our Geo-SystemsTM line of mattress overlays that are marketed through Louisville Bedding. Our exclusive mattress design provides customers with superior comfort and excellent value compared with traditional convoluted foam pads.  Combined with our broad selection of contour foam pillows, we continue to provide Louisville Bedding with a very attractive line of comfort bedding products.  We look forward to building on this relationship in the future," concluded Mr. Ferguson.


At the annual meeting on February 1, 2002, shareholders approved the election of the following directors whose terms will expire in 2005:

Thomas F. Grady, Jr., Retired executive from International Paper Company

J. Ernest Lathem, M.D., Retired urological surgeon

James M. Shoemaker, Jr., Member of the law firm Wyche, Burgess, Freeman & Parham, P.A.

About Span-America Medical Systems, Inc.

Span-America manufactures and markets a comprehensive selection of pressure management products for the medical market, including Geo-Matt®, PressureGuard®, Geo-Mattress®, Span+Aids®, and Isch-Dish® products.  The Company also supplies custom foam and packaging products to the consumer and industrial markets. Span-America's stock is traded on The Nasdaq Stock Market's National Market under the symbol SPAN.

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