"The increase in our cash dividend recognizes the Company's growth in sales and earnings during the last several years," stated James D. Ferguson, president and chief executive officer of Span-America. "We recently reported strong increases in sales and earnings for our third quarter and first nine months of fiscal 2004 compared with last year. We believe the increase in Span-America's cash dividend reflects the Board's confidence in the future of the Company."
The Company also announced that James M. Shoemaker, Jr., a director of the Company since 1992, retired from the Board effective July 29, 2004. "Mr. Shoemaker has been involved with Span-America as attorney or board member for 23 years and we greatly appreciate his countless contributions to the success of the Company," said Mr. Ferguson. "We are sorry to see him retire from the Board, but we look forward to continuing our relationship with Mr. Shoemaker and Wyche, Burgess, Freeman & Parham, P.A. as the Company's corporate counsel."
The Board has selected Peter S. Nyberg to take Mr. Shoemaker's place as director until the next annual shareholders' meeting in 2005. Mr. Nyberg is President and co-founder of 21 CD, Inc. in Durham, NC. 21 CD creates and supplies custom designed multimedia presentations on uniquely shaped CD-ROMs to enhance customers' marketing and advertising initiatives. Prior to founding 21 CD, Mr. Nyberg worked in the health care industry for Promedix and Broadlane, Inc., serving various roles in strategic business development, sales and marketing. Mr. Nyberg also worked for Duke University Health System for seven years as administrative director and vice president of business development. He holds an MBA from Yale School of Management and a BA from Yale College. "Mr. Nyberg brings a broad knowledge of the health care industry and excellent experience to the Board. We are very pleased to have him associated with Span-America," concluded Mr. Ferguson.
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(R), PressureGuard(R), Geo-Mattress(R), Span+Aids(R), Isch-Dish(R), and Selan(R) 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." For more information, visit www.spanamerica.com.
The Company has made forward-looking statements in this release, regarding management's expectations for future sales and earnings performance. Management wishes to caution the reader that these statements are only predictions. Actual events or results may differ materially as a result of risks and uncertainties facing the Company including: (a) the loss of a key distributor of the Company's medical or custom products, (b) inability to achieve anticipated sales volumes of medical or custom products, (c) raw material cost increases, (d) changes in relationships with large customers, (e) the inability to achieve sales and cost targets for the Secure I.V. product line, (f) the impact of competitive products and pricing, (g) government reimbursement changes in the medical market, (h) FDA regulation of medical device manufacturing, and other risks referenced in the Company's Securities and Exchange Commission filings. The Company disclaims any obligation to update publicly any forward-looking statement, whether as a result of new information, future events or otherwise. Span-America Medical Systems, Inc. is not responsible for changes made to this document by wire services or Internet services.