Item 5.02 Departure of Directors or Certain Officers; Election of Directors;

Appointment of Certain Officers; Compensatory Arrangements of Certain

Officers.

Compensation Committee Reinstates 2020 Base Salaries for Executive Officers

As previously reported, the Company instituted a variety of cost-cutting measures in response to the economic downturn and uncertainty caused by the COVID-19 pandemic. On April 9, 2020, upon the recommendation of the senior management team, the Compensation Committee of the Board of Directors (the "Committee") reduced the biweekly rate for the 2020 base salaries for all of our executive officers. The 2020 base salaries were reduced by 50%, effective April 12, 2020 for an indefinite time period. On June 29, 2020, the Committee reinstated all executive officer 2020 base salaries to their initial levels, to be effective July 5, 2020. Our named executive officers' base salaries are provided below.



                                                                Reduced      Reinstated
                                                                 2020           2020
                                                                Annual         Annual
                                                                 Base           Base
                                                                Salary         Salary
Named Executive Officers                                         Rate           Rate3
Karl G. Glassman, Chairman & CEO                               $ 612,500     $ 1,225,000

J. Mitchell Dolloff, President & COO, President - Bedding Products

$ 350,000     $   700,000
Jeffrey L. Tate, EVP & CFO                                     $ 285,000     $   570,000
Scott S. Douglas, SVP - General Counsel & Secretary            $ 225,000     $   450,000

Perry E. Davis, Former EVP, President - Residential Products & Industrial Products (SVP - Operations, 1/1/2020 through 2/7/2020)1

                       N/A             N/A
Matthew C. Flanigan, Former EVP & CFO2                               N/A             N/A

1 Mr. Davis retired February 7, 2020.

2 Mr. Flanigan retired December 31, 2019.




3   The initial 2020 base salaries were approved by the Committee at its meeting
    on November 4, 2019.

Attached and incorporated herein by reference as Exhibit 10.1 is the Company's updated Summary Sheet of Executive Cash Compensation .

Item 8.01 Other Events.

As previously reported, on April 9, 2020, the Board of Directors of the Company reduced director cash compensation by 50% in response to the economic downturn and uncertainty caused by the COVID-19 pandemic. The reduction applied to annual Board cash retainers, committee chair cash retainers and committee member cash retainers, all of which are paid on a quarterly basis. The reduction in compensation was applicable to the second quarter 2020 director fees. On June 29, 2020, the Board reinstated the quarterly cash payment rates to levels that existed prior to the April 9, 2020 Board meeting. The reinstated rates will be effective as of the Board's third quarter 2020 cash payments.

Attached and incorporated herein by reference as Exhibit 10.2 is the Company's updated Summary Sheet of Director Compensation .



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