Kimball Hospitality Announces Partnership With Linwood Furniture

Kimball Hospitality announces the company has entered into a strategic manufacturing partnership with Linwood Furniture, LLC, of North Carolina, to produce North American made Kimball Hospitality casegoods. The new business relationship provides for exclusive manufacturing of hospitality product by Linwood, for Kimball only. This partnership is a natural extension of Kimball’s global supply chain capability and a great addition of North American produced product.

Kimball Hospitality, a brand unit of Kimball International, Inc. (NASDAQ: KBALB), is a global contract manufacturer that specializes in proprietary and custom designed furnishings for the hotel, casino, and resort industries. Linwood Furniture is a leading domestic OEM producer of private label, high quality wood furniture. This strategic business arrangement allows for total collaboration with Linwood, who will sub-contract manufacture Kimball Hospitality furniture.

Stan Sapp, President of Kimball Hospitality, Vice President Kimball International, announced the new partnership and stated: “We believe our customers will be very eager to take advantage of the additional domestic manufacturing capacity this new partnership brings to our global portfolio. This relationship when combined with our nearby Martinsville, Virginia upholstery operation provides a particularly attractive solution to customers with properties in the Eastern US.”

Mike Mebane, CEO of Linwood Furniture, noted, “This is a major milestone in our quest to partner with the top hospitality company in the industry. To become a supply partner with Kimball recognizes our reputation and our ability to provide the highest quality products able to bear the Kimball name.”

Bob Bomholt, Vice President and General Manager of Kimball Hospitality, explained: “This partnership brings us a very competitive offering in terms of North American made Kimball product and complements our Indiana, Virginia and Asian supply chain capability.”

Chad Wilkey, Director U.S. Operations of Kimball Hospitality, stated, “We have already begun integrating our processes, systems and people to ensure the combination of Kimball with Linwood’s manufacturing to provide our customers with the distinctive furniture solutions that Kimball is known for in the marketplace.”

Kimball’s reputation for quality and outstanding service is well known among designers, procurement companies and owner/developers of hotel properties worldwide. Linwood Furniture has long been known for their unique ability to produce quality furniture with world class finish. This partnership will bring the power of Kimball’s unique legacy and heritage in providing hotel furniture with Linwood’s long standing reputation of fine furniture craftsmanship.

Kimball Hospitality strategically focuses on providing products via three market sectors: custom, program and catalog. Recently celebrating its 25th anniversary, Kimball Hospitality has furnished hundreds of thousands of guest rooms and suites across the globe.

About Kimball Hospitality:

Kimball Hospitality, a brand unit of Kimball International, is a leading provider of both standard and unique, custom furnishings for the global hospitality industry. From major destination resorts and urban center hotels, to well-known hotel chains, Kimball Hospitality provides hotel planners and designers with the products, services, and capabilities they can rely upon to furnish facilities around the world.

To learn more about Kimball Hospitality, visit their website at: www.KimballHospitality.com

About Linwood Furniture, LLC:

Celebrating a rich tradition of American-made fine furnishings, Linwood Furniture LLC manufactures high quality wood furniture for the residential and hospitality markets. The company also serves as a leading domestic OEM producer and private label resource for other residential brands, augmenting a global sourcing footprint. Founded in 2006 by Bob Timberlake with industry and community leaders, Linwood Furniture combines time-honored artisan craftsmanship and modern technology at its production facility in Lexington, NC. The company is devoted to sustainable timber and green environmental practices.

To learn more about Linwood Furniture, visit their website at: www.linwoodfurniture.com

About Kimball International:

Recognized with a reputation for excellence, Kimball International is committed to a high performance culture that values personal and organizational commitment to quality, reliability, value, speed, and ethical behavior. Kimball employees know they are part of a corporate culture that builds success for Customers while enabling employees to share in the Company’s success through personal, professional and financial growth.

Kimball International, Inc. (NASDAQ: KBALB) provides a variety of products from its two business segments: the Electronic Manufacturing Services segment and the Furniture segment. The Electronic Manufacturing Services segment provides engineering and manufacturing services which utilize common production and support capabilities to a variety of industries globally. The Furniture segment provides furniture for the office and hospitality industries, sold under the Company’s family of brand names.

To learn more about Kimball International, Inc., visit the Company’s website on the Internet at: www.kimball.com

“Kimball International … We Build Success!”

Copyright Business Wire 2010

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