MIRA INFORM REPORT

Report Date :

30.08.2012

IDENTIFICATION DETAILS

Name :	HANCOCK FABRICS, INC.

Registered Office :	One Fashion Way, Baldwyn, MS, 38824, Lee County

Country :	United States

Financials (as on) :	28.01.2012

Date of Incorporation :	1987

Legal Form :	Public Parent

Line of Business :	Retail sale of textiles

No. of Employees :	3,700

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear

NOTES :

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – March 31^st, 2012

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

United States

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

Company name and address

Hancock Fabrics, Inc.

One Fashion Way


Baldwyn, MS 38824
United States
Tel:	662-365-6000
Fax:	302-655-5049

www.hancockfabrics.com

Employees:

3,700

Company Type:

Public Parent

Corporate Family:

259 Companies

Traded:

Over The Counter:

HKFI

Incorporation Date:

1987

Auditor:

Burr, Pilger & Mayer

Fiscal Year End:	28-Jan-2012
Reporting Currency:	US Dollar
Annual Sales:	272.0 ¹
Net Income:	(11.3)
Total Assets:	146.4 ²
Market Value:	7.6
	(17-Aug-2012)

Business Description

Hancock Fabrics, Inc. (Hancock) is a is a fabric retailer in the United States, which provides a range of fashion and home decorating textiles, sewing accessories, needlecraft supplies and sewing machines. As of January 29, 2011, Hancock operated 265 stores in 37 states and an Internet store under the domain name hancockfabrics.com. Its stores offer a selection of apparel fabrics, home decorating products (which include drapery and upholstery fabrics and home accent pieces), quilting materials, and notions (which include sewing aids and accessories such as zippers, buttons, threads, sewing machines, and patterns). Its stores are primarily located in strip shopping centers. During the fiscal year ended January 29, 2011, (fiscal 2010), the Company closed one store, opened one store, remodeled 12 stores, and relocated seven existing stores. For the thirty nine weeks ended 30 October 2010, Hancock Fabrics, Inc.'s revenues increased less than 1% to $197M. Net loss from continuing operations totaled $727K, up from $179K. Revenues reflect an increase in sale from retail comparable store base. Higher loss was offset by an increase in cost of sales & also an increase in depreciation & amortization expenses. The Company is retailer committed to a complete selection of fashion.

Industry

Industry	Retail (Specialty)
ANZSIC 2006:	4259 - Other Personal Accessory Retailing
NACE 2002:	5241 - Retail sale of textiles
NAICS 2002:	45113 - Sewing, Needlework, and Piece Goods Stores
UK SIC 2003:	5241 - Retail sale of textiles
US SIC 1987:	5949 - Sewing, Needlework, and Piece Goods Stores

Key Executives (Emails Available)

Name	Title
Steven R. Morgan	President, Chief Executive Officer and Director
Robert W. Driskell	Chief Financial Officer, Executive Vice President, Secretary
Dennis Lyons	Senior Vice President - Store Operations
William A. Sheffield	Senior Vice President - Distribution
Susan Van Benten	Senior Vice President - Merchandising

News

Title	Date
Hancock Fabrics sales rise, loss narrows Northeast Mississippi Daily Journal (Tupelo) (348 Words)	24-Aug-2012
A sisterhood of quilters Herald-Sun (Durham, NC) (743 Words)	23-Aug-2012
Hancock Fabrics Announces Fiscal 2012 Second Quarter Financial Results Business Wire (2968 Words)	23-Aug-2012
Academy designed to focus on fashion Free Lance-Star (Fredericksburg, VA) (856 Words)	26-Jul-2012
FORM 8-K: HANCOCK FABRICS FILES CURRENT REPORT U.S. Fed News (216 Words)	26-Jul-2012

Financial Summary

As of 28-Apr-2012

Key Ratios	Company	Industry
Current Ratio (MRQ)	3.02	2.11
Quick Ratio (MRQ)	0.28	0.61
Debt to Equity (MRQ)	4.88	0.58
Sales 5 Year Growth	-1.24	9.32
Net Profit Margin (TTM) %	-4.22	5.93
Return on Assets (TTM) %	-8.09	8.25
Return on Equity (TTM) %	-52.01	15.46

Stock Snapshot

Traded: Over The Counter: HKFI

As of 17-Aug-2012

Financials in: USD

Recent Price	0.36	EPS	-0.37
52 Week High	1.15	Price/Sales	0.03
52 Week Low	0.31	Price/Book	0.53
Avg. Volume (mil)	0.02
Market Value (mil)	7.62

	Price % Change	Rel S&P 500%
4 Week	-25.99%
13 Week	-58.12%
52 Week	-67.64%
Year to Date	-60.22%

1 - Profit & Loss Item Exchange Rate: USD 1 = USD 1

2 - Balance Sheet Item Exchange Rate: USD 1 = USD 1

Corporate Overview

Location
One Fashion Way
Baldwyn, MS, 38824
Lee County
United States

Tel:	662-365-6000
Fax:	302-655-5049

www.hancockfabrics.com

Quote Symbol - Exchange
HKFI - Over The Counter

Sales USD(mil):	272.0
Assets USD(mil):	146.4
Employees:	3,700
Fiscal Year End:	28-Jan-2012



Industry:	Retail (Specialty)

Incorporation Date:	1987
Company Type:	Public Parent
Quoted Status:	Quoted


President, Chief Executive Officer and Director:	Steven R. Morgan

Industry Codes

ANZSIC 2006 Codes:
4214	-	Manchester and Other Textile Goods Retailing
4310	-	Non-Store Retailing
4259	-	Other Personal Accessory Retailing

NACE 2002 Codes:
5241	-	Retail sale of textiles
5261	-	Retail sale via mail order house
5244	-	Retail sale of furniture, lighting equipment and household articles not elsewhere classified

NAICS 2002 Codes:
454113	-	Mail-Order Houses
442291	-	Window Treatment Stores
45113	-	Sewing, Needlework, and Piece Goods Stores

US SIC 1987:
5961	-	Catalog and Mail-order Houses
5949	-	Sewing, Needlework, and Piece Goods Stores
5714	-	Drapery, Curtain, and Upholstery Stores

UK SIC 2003:
5261	-	Retail sale via mail order house
5244	-	Retail sale of furniture, lighting equipment and household articles not elsewhere classified
5241	-	Retail sale of textiles

Business Description

Hancock Fabrics, Inc. (Hancock), incorporated in 1987, is a is a fabric retailer in the United States, which provides a range of fashion and home decorating textiles, sewing accessories, needlecraft supplies and sewing machines. As of January 29, 2011, Hancock operated 265 stores in 37 states and an Internet store under the domain name hancockfabrics.com. Its stores offer a selection of apparel fabrics, home decorating products (which include drapery and upholstery fabrics and home accent pieces), quilting materials, and notions (which include sewing aids and accessories such as zippers, buttons, threads, sewing machines, and patterns). Its stores are primarily located in strip shopping centers. During the fiscal year ended January 29, 2011, (fiscal 2010), the Company closed one store, opened one store, remodeled 12 stores, and relocated seven existing stores.

The Company serves the sewing, needle arts, and home decorating markets. These markets primarily consist of women making clothing and gifts for their families and friends, and decorating their homes. In addition to staple fabrics and notions for apparel, quilting, and home decoration, the Company provides a variety of seasonal and fashion merchandise. The Company uses promotional advertising, primarily direct mail and newspaper inserts, to reach its target customers.

The Companyâ€™s retail stores are served by its corporate headquarters and a 650,000 square foot warehouse and distribution facility in Baldwyn, Mississippi. Contract trucking firms, common carriers, and parcel delivery are used to deliver merchandise to our warehouse. These types of carriers are also used to deliver merchandise from its warehouse and vendors to its retail stores.

The Company competes with Jo-Ann Stores, Inc. and Wal-Mart

Source: Reuters

More Business Descriptions

Source: Reuters

Establishments primarily engaged in the retail sale of sewing supplies, fabrics, patterns, yarn and other needlework accessories.

Source: infoUSA

Hancock Fabrics is a specialty retailer of fabric and related home sewing and decorating accessories. The company operates more than 400 retail fabric stores in 43 states and operates an Internet store under the domain name www.hancockfabrics.com. Founded in 1957, Hancock Fabrics ranks as one of the leading fabric chains serving the home sewing market. Hancock carries a wide selection of fashion merchandise at guaranteed every day low prices. Hancock shares trade on the New York Stock Exchange under the symbol HKF. Hancock Fabrics is committed to serving creative enthusiasts with a complete selection of fashion and home decorating fabrics, sewing accessories, needlecraft supplies and sewing machines. In addition to a wide variety of fabrics and patterns, the company sells home dÃ©cor items, books on knitting, cross-stitching, embroidery and quilting, and sells quilting tools and supplies.

Source: infoUSA

Top

Financial Data

Financials in:	USD(mil)

Revenue:	272.0
Net Income:	-11.3
Assets:	146.4
Long Term Debt:	52.3
Total Liabilities:	132.5
Working Capital:	0.1

Date of Financial Data:	28-Jan-2012

1 Year Growth

-1.3%

3.9%

Top

Market Data

Quote Symbol:	HKFI
Exchange:	Over The Counter
Currency:	USD
Stock Price:	0.4
Stock Price Date:	08-17-2012
52 Week Price Change %:	-67.6
Market Value (mil):	7,624.9

SEDOL:	2407524
ISIN:	US4099001079

Equity and Dept Distribution:
Common Stock $.01 Par, 10/10, 80M auth., 33,449,125 issd., less 13,397,264 shs. in Treas. @ $153.7M. Insiders & Strategic holders own 22.74%. Stock issued 5/87 per spin-off from LuckyStores, Inc. 4/91, 2-for-1 stock split. 03/07, Company delisted from NYSE to OTC Pink Sheets.
Top

Key Corporate Relationships

Auditor:	Burr, Pilger & Mayer
Bank:	Ikon Financial Services

Auditor:	Burr, Pilger & Mayer

Top

Additional Infomation
ABI Number:	005472527
Top

Hancock Fabrics, Inc.

The Strategic Initiatives report is created using technology to extract meaningful insights from analyst reports about a company's strategic projects and investments. More about Strategic Initiatives

Strategic Initiatives

Sales and Distribution

The company purchases bulk quantities of fabric from domestic and foreign mills, fabric jobbers and importers. Hancock does not have long-term contracts for the purchase of merchandise. The business strategy of the company includes expand sales categories, increase comparable sales to existing customers, leverage vendor relationships into superior partnerships, provide centralized support throughout the organization, increase utilization of Information Technology to manage the business. The subsidiaries through which the company operate sinclude HF Enterprises, Inc, HF Resources, Inc., HF Merchandising, Hancock Fabrics of MI, Inc., Hancock Fabrics, LLC, Hancockfabrics.com, Inc.GlobalData uses a range of research techniques to gather and verify its information and analysis. These include primary research, in-house knowledge and expertise, proprietary databases, and secondary sources such as company websites, annual reports, SEC filings and press releases.
Source: GlobalData, July 29, 2009

Hancock Fabrics Inc

Credit Report as of 03/01/2012

Location
1 Fashion Way Baldwyn, MS 38824-8547 United States

County:	Prentiss

Phone:	662-365-6000
Fax:	662-365-6100
URL:	http://hancockfabrics.com


ABI^©:	005472527

Annual Sales:	$271,993,000 (USD)
Employees:	3,700

Facility Size(ft²):	40,000+
Facility Own/Lease:	Own

Business Type:	Public
Location Type:	Headquarter

Ticker:	HKFI
Exchange:	OTHER









Primary Line of Business:
SIC:	5949-02 - Fabric Shops
NAICS:	451130 - Sewing, Needlework, & Piece Goods Stores
Secondary Lines of Business:
NAICS:	448140 - Family Clothing Stores
	423990 - All Other Durable Goods Merchant Whols
	541613 - Marketing Consulting Svcs
SICs:	5099-05 - Importers (Whls)
	5651-01 - Clothing-Retail
	5714-08 - Upholstery Fabrics-Retail
	5949-04 - Needlework & Needlework Materials-Retail
	8742-13 - Marketing Programs & Services


Years in InfoUSA Database:	10+

Table of Contents


Similar Businesses in the Area *

Cotton Bolt 1727 Mccullough Blvd Tupelo, MS 38801-7102	Property Holdings Inc 2020 S Gloster St Tupelo, MS 38801-6810	Cover Inc 2630 S President Street Ext Tupelo, MS 38801-6415
Material Girlz 1917 University Ave Oxford, MS 38655-4113	Carter's Fabrics 508 S Tate St Corinth, MS 38834-5532	Chick A Saw Fabric 206 S Church St Okolona, MS 38860-1607
Fabric Store 105 Main St N Amory, MS 38821-3416	Hancock Fabrics 942 Commonwealth Blvd Tupelo, MS 38804-9762	Jo-Ann Fabrics & Crafts 3875 N Gloster St Tupelo, MS 38804-0914


*	Similar Businesses are defined as the closest businesses sharing the same six-digit primary SIC code ( 5949-02 - Fabric Shops) regardless of size.
Top

Closest Neighbors

Newby Used Cars & Automobile Trnsprt 920 S Fourth St Baldwyn, MS 38824	Hillcrest Church Of Christ 956 S Fourth St Baldwyn, MS 38824-9201	Lee Mechanical 1 Fashion Way Baldwyn, MS 38824-8547
Pannell Motors 925 S Fourth St Baldwyn, MS 38824-9220	Baldwyn Family Medical Clinic 745 S Fourth St Baldwyn, MS 38824-2612
Top

Legal Filing Information

Date	State	County	Type	Amount	Case Number
03/21/2007	37		Chapter 11 Filing(New/Reopen)		0710358
Top

Disclaimer

Credit.net, a division of infoUSA, has developed a sophisticated computer model to assign credit ratings to most of the 14 million businesses in infoUSA's database. infoUSA's proven model considers information such as the number of employees, years in business, industry stability, census data and other factors to arrive at credit ratings that are sound indicators of ability to pay. It does not factor payment histories as many big companies intentionally "slow pay".

Credit.netâ€™s Credit Rating Scores are indicators of the probable ability to pay. We recommend that these ratings be used primarily as a starting point and should not be the sole factor used in making a credit decision. By necessity, credit decisions must be based upon the credit providerâ€™s policies as applied to each unique transaction. You should obtain additional information from bank and trade references, local credit bureaus, or other sources before extending credit. Credit.net is not a financial advisor and makes no representations or warranties as to the accuracy, timeliness or completeness of the rating codes, and as such will not be responsible for any losses resulting from the use of this information.

The information presented in this report is a direct representation of information used in developing the credit scores and credit limits. Where information differs between Business Browser and Credit.net (e.g. executive names), the user should utilize Business Browser as their primary information source.

Corporate Family	Corporate Structure News:
	Hancock Fabrics, Inc.
Hancock Fabrics, Inc. Total Corporate Family Members: 259

Company Name	Company Type	Location	Country	Industry	Sales (USD mil)	Employees
Hancock Fabrics, Inc.	Parent	Baldwyn, MS	United States	Retail (Specialty)	272.0	3,700
Hancock Fabrics	Branch	Paducah, KY	United States	Retail (Specialty)	7.5	50
Hancock Fabrics	Branch	Louisville, KY	United States	Retail (Specialty)	4.2	28
Hancock Fabrics	Branch	Lincoln, NE	United States	Retail (Specialty)	4.0	27
Hancock Fabrics	Branch	North Riverside, IL	United States	Retail (Specialty)	3.9	26
Hancock Fabrics	Branch	Sioux Falls, SD	United States	Retail (Specialty)	3.7	25
Hancock Fabrics	Branch	Albuquerque, NM	United States	Retail (Specialty)	3.7	25
Hancock Fabrics	Branch	Mankato, MN	United States	Retail (Specialty)	3.4	23
Hancock Fabrics	Branch	Columbia, SC	United States	Retail (Specialty)	3.3	22
Hancock Fabrics	Branch	Hoover, AL	United States	Retail (Specialty)	3.3	22
Hancock Fabrics	Branch	Coon Rapids, MN	United States	Retail (Specialty)	3.3	22
Hancock Fabrics	Branch	Appleton, WI	United States	Retail (Specialty)	3.1	21
Hancock Fabrics	Branch	Forestville, MD	United States	Retail (Specialty)	3.1	21
Hancock Fabrics	Branch	Midlothian, VA	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	West Des Moines, IA	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Richmond, VA	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Moline, IL	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Omaha, NE	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Memphis, TN	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	San Antonio, TX	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Leesburg, VA	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Kirkwood, MO	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Milwaukee, WI	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	St Paul, MN	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Schaumburg, IL	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Slidell, LA	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Baton Rouge, LA	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Houston, TX	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Chicago, IL	United States	Retail (Specialty)	3.0	20
Hancock Fabrics	Branch	Ogden, UT	United States	Retail (Specialty)	2.8	19
Hancock Fabrics	Branch	Green Bay, WI	United States	Retail (Specialty)	2.7	18
Hancock Fabrics	Branch	Tulsa, OK	United States	Retail (Specialty)	2.7	18
Hancock Fabrics	Branch	Colorado Springs, CO	United States	Retail (Specialty)	2.7	18
Hancock Fabrics	Branch	Gaithersburg, MD	United States	Retail (Specialty)	2.7	18
Hancock Fabrics	Branch	Rockford, IL	United States	Retail (Specialty)	2.7	18
Hancock Fabrics	Branch	Onalaska, WI	United States	Retail (Specialty)	2.7	18
Hancock Fabrics	Branch	Minneapolis, MN	United States	Retail (Specialty)	2.7	18
Hancock Fabrics	Branch	Matthews, NC	United States	Retail (Specialty)	2.5	17
Hancock Fabrics	Branch	Asheville, NC	United States	Retail (Specialty)	2.5	17
Hancock Fabrics	Branch	Memphis, TN	United States	Retail (Specialty)	2.5	17
Hancock Fabrics	Branch	Omaha, NE	United States	Retail (Specialty)	2.5	17
Hancock Fabrics	Branch	Raleigh, NC	United States	Retail (Specialty)	2.5	17
Hancock Fabrics	Branch	Mishawaka, IN	United States	Retail (Specialty)	2.5	17
Hancock Fabrics	Branch	Champaign, IL	United States	Retail (Specialty)	2.5	17
Hancock Fabrics	Branch	Fort Wayne, IN	United States	Retail (Specialty)	2.5	17
Hancock Fabrics	Branch	Clovis, CA	United States	Retail (Specialty)	2.4	16
Hancock Fabrics	Branch	Vallejo, CA	United States	Retail (Specialty)	2.4	16
Hancock Fabrics	Branch	Hazelwood, MO	United States	Retail (Specialty)	2.4	16
Hancock Fabrics	Branch	Fair Oaks, CA	United States	Retail (Specialty)	2.4	16
Hancock Fabrics	Branch	Cedar Rapids, IA	United States	Retail (Specialty)	2.4	16
Hancock Fabrics	Branch	Kansas City, MO	United States	Retail (Specialty)	2.4	16
Hancock Fabrics	Branch	Layton, UT	United States	Retail (Specialty)	2.4	16
Hancock Fabrics	Branch	Harrisburg, PA	United States	Retail (Specialty)	2.4	16
Hancock Fabrics	Branch	Pasadena, MD	United States	Retail (Specialty)	2.4	16
Hancock Fabrics	Branch	Oklahoma City, OK	United States	Retail (Specialty)	2.4	16
Hancock Fabrics	Branch	Conroe, TX	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Mesquite, TX	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Salisbury, MD	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Decatur, GA	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Tinley Park, IL	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Omaha, NE	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Hyattsville, MD	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Baton Rouge, LA	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Spokane, WA	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Charlotte, NC	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Tacoma, WA	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Madison, TN	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Chattanooga, TN	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Marshfield, WI	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Broomfield, CO	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Cedar Rapids, IA	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Hampton, VA	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	San Jose, CA	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	St Louis, MO	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Crystal Lake, IL	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Madison, WI	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Midland, TX	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Chesapeake, VA	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	Augusta, GA	United States	Retail (Specialty)	2.2	15
Hancock Fabrics	Branch	San Jose, CA	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Fresno, CA	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Wichita, KS	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Tupelo, MS	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Montgomery, AL	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Cincinnati, OH	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Beavercreek, OH	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Clarksville, IN	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Boise, ID	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Murfreesboro, TN	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Davenport, IA	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Stevens Point, WI	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	West St Paul, MN	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Tucson, AZ	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Springfield, IL	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Austin, TX	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Overland Park, KS	United States	Retail (Specialty)	2.1	14
Hancock Fabrics	Branch	Yakima, WA	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Birmingham, AL	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Port Orange, FL	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Marietta, GA	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Waterloo, IA	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	North Charleston, SC	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Charleston, SC	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Salt Lake City, UT	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Bismarck, ND	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Shreveport, LA	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Shreveport, LA	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Fayetteville, AR	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Marietta, GA	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	San Antonio, TX	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Williamsburg, VA	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Wheat Ridge, CO	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Corpus Christi, TX	United States	Retail (Specialty)	1.9	13
Hancock Fabrics	Branch	Ballwin, MO	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Fairview Heights, IL	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Newport, KY	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Bloomington, IL	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Waldorf, MD	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Columbus, GA	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Memphis, TN	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Fredericksburg, VA	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Idaho Falls, ID	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Duluth, MN	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Cape Girardeau, MO	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Salem, OR	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Macon, GA	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Council Bluffs, IA	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Oklahoma City, OK	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Hurst, TX	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Casper, WY	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Billings, MT	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Carmel, IN	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Redlands, CA	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Durham, NC	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Bowling Green, KY	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Bellaire, TX	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Minnetonka, MN	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Little Rock, AR	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Norman, OK	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Wichita, KS	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Sparks, NV	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Greenwood, SC	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Huntersville, NC	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Longmont, CO	United States	Retail (Specialty)	1.8	12
Hancock Fabrics	Branch	Spokane Valley, WA	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Douglasville, GA	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Las Vegas, NV	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Plano, TX	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Huntsville, AL	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Louisville, KY	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Alexandria, LA	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Columbia, SC	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Vancouver, WA	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Dothan, AL	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Rochester, MN	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Hayden, ID	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Biloxi, MS	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	St Cloud, MN	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Athens, GA	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Pleasure Rdg Pk, KY	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Winston Salem, NC	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Victoria, TX	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Ridgeland, MS	United States	Retail (Specialty)	1.6	11
Hancock Fabrics	Branch	Kirkland, WA	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Baytown, TX	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Bakersfield, CA	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Greenville, SC	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Winston Salem, NC	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Wichita Falls, TX	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Albuquerque, NM	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Live Oak, TX	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Huntsville, AL	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Lexington, KY	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Yukon, OK	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Sandy Springs, GA	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Savannah, GA	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Fayetteville, NC	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Northbrook, IL	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Twin Falls, ID	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Napa, CA	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	St Peters, MO	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Tampa, FL	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Mobile, AL	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Gretna, LA	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Shelby, NC	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Johnson City, TN	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Decatur, AL	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Kannapolis, NC	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Lawrence, KS	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Daphne, AL	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Merritt Island, FL	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Longview, TX	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Houston, TX	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Rapid City, SD	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Elizabethtown, KY	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Anderson, SC	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Oklahoma City, OK	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Lewisville, TX	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Shawnee, OK	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Kingsport, TN	United States	Retail (Specialty)	1.5	10
Hancock Fabrics	Branch	Independence, MO	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Hot Springs, AR	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Tuscaloosa, AL	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Katy, TX	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Hattiesburg, MS	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Gainesville, GA	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Belton, MO	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Jackson, TN	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Houma, LA	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Conway, AR	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Sacramento, CA	United States	Retail (Specialty)	1.3	9
Hancock Fabrics	Branch	Bakersfield, CA	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Lakeland, FL	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Monroe, LA	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	San Angelo, TX	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Greenville, NC	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Owensboro, KY	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Cookeville, TN	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Lafayette, LA	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Florence, AL	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Lynnwood, WA	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Jacksonville, NC	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Morganton, NC	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Fort Smith, AR	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Pasadena, TX	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Las Vegas, NV	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Bradenton, FL	United States	Retail (Specialty)	1.2	8
Hancock Fabrics	Branch	Metairie, LA	United States	Retail (Specialty)	1.0	7
Hancock Fabrics	Branch	Muskogee, OK	United States	Retail (Specialty)	1.0	7
Hancock Fabrics	Branch	Roswell, GA	United States	Retail (Specialty)	1.0	7
Hancock Fabrics	Branch	Alcoa, TN	United States	Retail (Specialty)	1.0	7
Hancock Fabrics	Branch	Searcy, AR	United States	Retail (Specialty)	1.0	7
Hancock Fabrics	Branch	Jonesboro, AR	United States	Retail (Specialty)	0.9	6
Hancock Fabrics	Branch	Pearl, MS	United States	Retail (Specialty)	0.9	6
Hancock Fabrics	Branch	Texarkana, AR	United States	Retail (Specialty)	0.9	6
Hancock Fabrics	Branch	Hickory, NC	United States	Retail (Specialty)	0.7	5
Hancock Fabrics	Branch	Clarksville, TN	United States	Retail (Specialty)	0.6	4
Hancock Fabrics	Branch	Hendersonville, TN	United States	Retail (Specialty)	0.6	4
Hancock Fabrics	Branch	Indianapolis, IN	United States	Retail (Specialty)	0.6	4
Hancock Fabrics	Branch	Sioux Falls, SD	United States	Retail (Specialty)	0.6	4
Hancock Fabrics	Branch	Chicago, IL	United States	Retail (Specialty)	0.6	4
Hancock Fabrics	Branch	Lebanon, TN	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Bakersfield, CA	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Cedar Park, TX	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Chattanooga, TN	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Collierville, TN	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Jonesboro, AR	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Bend, OR	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	West Jordan, UT	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	St Paul, MN	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Virginia Beach, VA	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Russellville, AR	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Tucson, AZ	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Eau Claire, WI	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	Longview, TX	United States	Retail (Specialty)	0.4	3
Hancock Fabrics	Branch	N Little Rock, AR	United States	Retail (Specialty)	0.4	3
Fabric Warehouse	Subsidiary	Margate, FL	United States	Retail (Specialty)	0.3	2
Hancock Fabrics	Branch	Alexandria, VA	United States	Retail (Specialty)	0.1	1
Hancock Fabrics	Branch	Paragould, AR	United States	Retail (Specialty)	0.1	1

Hancock Fabrics, Inc.

Competitors Report

CompanyName	Location	Employees	Ownership
Wal-Mart Stores, Inc.	Bentonville, Arkansas, United States	2,200,000	Public

Hancock Fabrics, Inc.

Baldwyn, Mississippi, United States, Tel: 662-365-6000, URL: http://www.hancockfabrics.com, Executives Page

Executives Report

Board of Directors

Name

Title

Function

Steven D. Scheiwe

Non-Executive Independent Chairman of the Board

Chairman

Biography:

Mr. Steven D. Scheiwe serves as the Non-Executive Independent Chairman of the Board of Hancock Fabrics Inc. He has been appointed as the Non-executive Chairman of the Company since August 2009 and a director of the Company since August 2008, Mr. Scheiwe serves on the Boardâ€™s Audit Committee, which he Chairs, and the Boardâ€™s Management Review and Compensation Committee and Nominating and Corporate Governance Committee. He is currently the President of Ontrac Advisors, Inc., which provides analysis and business management services to public and private entities, a position he has held since 2001. He is also a director and member of the audit and compensation committees of FiberTower Corporation, a wireless backhaul services provider, and has held those positions since 2006. He is currently a director and chairman of the nominating and corporate governance committee of Primus Telecommunications Group, Inc., an integrated facilities-based communications services provider (â€œPrimusâ€), which positions he has held since August 2010, and previously served as a member of Primusâ€™ compensation committee. He also serves as a director and member of the restructuring committee of Inner City Media Corporation, serves as a director and member of the audit and compensation committees of Xstelo Holdings, Inc. the successor to Footstar, Inc. and WMI Holding, Corp., formerly Washington Mutual, Inc. Mr. Scheiwe formerly served as a director of Movie Gallery, Inc., Footstar, Inc., Zemex Minerals Group, Inc., American Restaurant Group, Inc., Friedmanâ€™s, Inc. and General Chemical Industrial Products, Inc.

Age: 51

Education:

Washburn University, JD
University of Colorado, BA

Sam P. Cortez

Independent Director

Director/Board Member

Biography:

Mr. Sam P. Cortez serves as Independent Director of Hancock Fabrics Inc., since August 2008. Mr. Cortez serves on the Boardâ€™s Audit Committee, the Nominating and Corporate Governance Committee and is the Chair of the Management Review and Compensation Committee. He is currently the principal of KCL Development LLC, a provider of corporate finance advisory services, a position he has held since 2003. He is also a director and member of the audit and compensation committees of Delta Apparel, Inc., an international company that features branded and private label active wear, and has held those positions since November 2010. He was formerly a director, audit committee chair, and member of the compensation and budget committees of World Waste Technologies, Inc., a development stage technology company, from 2005 to 2009.

Age: 48

Education:

Harvard University, MBA
University of California, Berkeley, BS (Chemical Engineering)

Steven R. Morgan

President, Chief Executive Officer and Director

Director/Board Member

Biography:

Mr. Steven R. Morgan is President, Chief Executive Officer, Director of Hancock Fabrics Inc., since October 17, 2011. Mr. Morgan was interim President and Chief Executive Officer of the Company from January 28, 2011 â€“ October 17, 2011 and a director of the Company since June 2010. Mr. Morgan served as Chair of the Board of Directorsâ€™ Audit Committee from June 2010 to January 2011 and served as a member of the Boardâ€™s Management Review and Compensation Committee from June 2010 to October 2011 and Nominating and Corporate Governance Committee from June 2010 to December 2011. Mr. Morgan is an Operating Partner with Verite Capital Partners, a private equity and consulting firm. Formerly, he was President of GameStop Corporation from 2005 to 2008, a fortune 500 company, and held the position of President of North American Operations at Electronic Boutiques, as well as President of EB Games-Canada. Mr. Morgan has also served as a director of Movie Gallery, Inc., a home entertainment specialty retailer and held various senior executive roles with May Department Stores and Federated Department Stores-where he began his retail career.

Age: 60

Education:

Adelphi University, MBA

Compensation/Salary:$470,192

Compensation Currency: USD

Harry D. Schulman

Director

Director/Board Member

Social:

Neil S. Subin

Independent Director

Director/Board Member

Biography:

Mr. Neil S. Subin is the Independent Director of Hancock Fabrics Inc. Mr. Subin serves on the Audit and Management Review and Compensation Committees, and Chairs the Nominating and Corporate Governance Committee of the Board of Directors. He is President and Managing Director of Trendex Capital Management, a position he has held since 1992 and Chairman of Broadbill Investment Partners, LP, firms focusing primarily on private investments. He has also been a director and member of the audit and compensation committees of Primus Telecommunications Group, Inc., since July 2009, a director of Institutional Financial Markets, Inc. since December 2010, a director of Phosphate Holdings, Inc. since November 2010, and a director and member of the audit committee of Federal Mogul Corporation, since January 2008. Mr. Subin formerly served as a director and member of the compensation committee of Movie Gallery, Inc. and as a director of FiberTower Corporation.

Age: 47

Education:

City University of New York at Brooklyn College, B

Executives

Name

Title

Function

Steven R. Morgan

President, Chief Executive Officer and Director

Chief Executive Officer

Biography:

Age: 60

Education:

Adelphi University, MBA

Compensation/Salary:$470,192

Compensation Currency: USD

David Eversmann

View Email

Reg Operations Manager Vice President

Operations Executive

Dennis Lyons

Senior Vice President - Store Operations

Operations Executive

Biography:

Mr. Dennis Lyons is Senior Vice President - Store Operations of Hancock Fabrics Inc., since January 9, 2012. Formerly, Senior Vice President â€“ Store Operations with Books-a-Million from May 2004 to January 2012. Vice-President Sales and Operations with Footstar Athletic Corporation July 2001 to May 2004.

Age: 48

Clayton E Stallings

Senior Vice President-Store Operations

Operations Executive

Susan Zewicke

Senior Vice President-Store Operations

Operations Executive

Marilyn O'Grady

View Email

Corporate Secretary

Administration Executive

Robert W. Driskell

View Email

Chief Financial Officer, Executive Vice President, Secretary

Company Secretary

Biography:

Mr. Robert W. Driskell is the Chief Financial Officer, Executive Vice President of Hancock Fabrics Inc. He is Executive Vice President since June 2009, Chief Financial Officer and Secretary since February 2008. Sr. Vice President from February 2008 to June, 2009. Formerly Chief Financial Officer, from January 2005 to January 2008, of Reeves Williams, LLC, a residential real estate developer. Formerly Audit Manager with KPMG, LLP.

Age: 37

Education:

University of Florida, MBA
Florida State University, BS

Compensation/Salary:$245,769

Compensation Currency: USD

Larry D Fair

Vice President-Finance

Finance Executive

Kurt Greene

View Email

Controller

Jim Britz

Vice President-Human Resources

Human Resources Executive

Tracey Powers

View Email

Ecommerce Manager

E-Commerce Executive

Dena Livingston

View Email

Vice President Marketing

Marketing Executive

Dena D Smith

Vice President-Marketing

Marketing Executive

Chris Elledge

Management Information Systems

Information Executive

David A Lancaster

Vice President & Regional Operations Manager

Manufacturing Executive

William A. Sheffield

Senior Vice President - Distribution

Logistics Executive

Biography:

Mr. William A. Sheffield is Senior Vice President - Distribution of Hancock Fabrics Inc. He has been Senior Vice President â€“ Distribution since December 2000 and Vice President â€“ Distribution from June 1996 to December 2000.

Age: 65

Compensation/Salary:$148,941

Compensation Currency: USD

Scotty Allred

Buyer - Kids Arts & Crafts, Candy

Merchandise Management Executive

Jeff Blyth

View Email

Western Regional Real Estate Manager

Facilities Executive

Ricky Donahue

View Email

Maintenance Supervisor

Facilities Executive

William D Smothers

Senior Vice President-Real Estate

Facilities Executive

Larry Tureff

View Email

Director, Construction, Facilities And...

Facilities Executive

Dinah Smith

Vice President-Fabric Buyer

Purchasing Executive

Stacey Gross

Vice President-eCommerce

Other

Linda Mangum

View Email

Gallery Director

Other

Ken Smith

Vice President - Hardlines

Other

Susan Van Benten

View Email

Senior Vice President - Merchandising

Other

Biography:

Ms. Susan Van Benten is Senior Vice President - Merchandising of Hancock Fabrics Inc., since September 20, 2010. Formerly Senior Vice President General Merchandising with Books-a-Million from May 2008 to September 2010. Vice President/Divisional Merchandise Manager with Michaelâ€™s Store for product categories including crafts and home accents, from March 2005 to March 2008.

Age: 57

Compensation/Salary:$200,000

Compensation Currency: USD

News

Hancock Fabrics sales rise, loss narrows
By Dennis Seid, Northeast Mississippi Daily Journal, Tupelo, Northeast Mississippi Daily Journal (Tupelo) (348 Words)

24-Aug-2012

A sisterhood of quilters
By Dawn Baumgartner Vaughan, The Herald-Sun, Durham, N.C., Herald-Sun (Durham, NC) (743 Words)

23-Aug-2012

Hancock Fabrics Announces Fiscal 2012 Second Quarter Financial Results
Business Wire (2968 Words)

23-Aug-2012

Academy designed to focus on fashion
By Cathy Jett, The Free Lance-Star, Fredericksburg, Va., Free Lance-Star (Fredericksburg, VA) (856 Words)

26-Jul-2012

FORM 8-K: HANCOCK FABRICS FILES CURRENT REPORT
U.S. Fed News (216 Words)

26-Jul-2012

HANCOCK FABRICS REPORTS ACQUISITION BY DIRECTOR HORNE (Mississippi)
U.S. Fed News (108 Words)

21-Jul-2012

FORM 8-K: FIRST ACCEPTANCE FILES CURRENT REPORT
U.S. Fed News (342 Words)

21-Jul-2012

HANCOCK FABRICS REPORTS MULTIPLE TRANSACTIONS BY CEO MORGAN (Mississippi)
U.S. Fed News (113 Words)

11-Jul-2012

HANCOCK FABRICS REPORTS ACQUISITION BY CEO MORGAN (Mississippi)
U.S. Fed News (110 Words)

11-Jul-2012

MINSHEW, WILENE R.
Birmingham News (AL) (119 Words)

01-Jul-2012

Articles

Hancock Fabrics Posts First Quarter Results
Wireless News (573 Words) (1 Page)

16-Jun-2012

Hancock Fabrics Posts Fiscal 2011 Financial Results
Wireless News (851 Words) (1 Page)

28-Apr-2012

Hancock Fabrics Releases Fiscal 2011 Financial Results
Wireless News (834 Words) (1 Page)

25-Apr-2012

True Value names new VP marketing
Home Channel News (187 Words) (1 Page)

09-Jan-2012

Springs Creative Links with 'Project Runway' and Season 8 Contestant April Johnston
Manufacturing Close-Up (309 Words) (1 Page)

23-Nov-2011

Springs Creative Joins Forces with 'Project Runway' and Season 8 Contestant April Johnston
Professional Services Close-Up (309 Words) (1 Page)

21-Nov-2011

Hancock Fabrics Appoints CEO and President
Professional Services Close-Up (236 Words) (1 Page)

24-Oct-2011

Hancock Fabrics Posts Fiscal 2011 Second Quarter Financial Results
Professional Services Close-Up (763 Words) (1 Page)

19-Sep-2011

Hancock Fabrics Reports Fiscal 2011 Second Quarter Financial Results
Manufacturing Close-Up (763 Words) (1 Page)

19-Sep-2011

Hancock Fabrics, Inc.

Baldwyn, Mississippi, United States, Tel: 662-365-6000, URL: http://www.hancockfabrics.com

Annual Income Statement

Financials in: USD (mil)
Except for share items (millions) and per share items (actual units)

Financial Glossary

	28-Jan-2012	29-Jan-2011	30-Jan-2010	31-Jan-2009	02-Feb-2008
Period Length	52 Weeks	52 Weeks	52 Weeks	52 Weeks	52 Weeks
UpdateType/Date	Updated Normal 28-Jan-2012	Updated Normal 29-Jan-2011	Updated Normal 30-Jan-2010	Updated Normal 31-Jan-2009	Restated Normal 31-Jan-2009
Filed Currency	USD	USD	USD	USD	USD
Exchange Rate (Period Average)	1	1	1	1	1
Auditor	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified with Explanation	Unqualified with Explanation

Net Sales	272.0	275.5	274.1	276.4	276.2
Revenue	272.0	275.5	274.1	276.4	276.2
Total Revenue	272.0	275.5	274.1	276.4	276.2

Cost of Revenue	159.3	160.8	152.3	156.8	158.7
Cost of Revenue, Total	159.3	160.8	152.3	156.8	158.7
Gross Profit	112.7	114.6	121.7	119.6	117.6

Selling/General/Administrative Expense	64.1	63.5	58.2	58.7	117.8
Labor & Related Expense	41.3	41.5	41.4	43.7	-
Advertising Expense	9.6	10.1	10.0	9.7	-
Total Selling/General/Administrative Expenses	115.0	115.1	109.7	112.1	117.8
Depreciation	4.1	4.5	4.3	4.4	3.8
Depreciation/Amortization	4.1	4.5	4.3	4.4	3.8
Restructuring Charge	0.0	0.5	0.8	8.2	14.9
Unusual Expense (Income)	0.0	0.5	0.8	8.2	14.9
Total Operating Expense	278.5	280.9	267.1	281.5	295.2

Operating Income	-6.5	-5.4	7.0	-5.1	-19.0

Interest Income (Expense) - Net Non-Operating	-4.8	-4.8	-5.1	-7.0	-5.3
Interest Income (Expense) - Net Non-Operating Total	-4.8	-4.8	-5.1	-7.0	-5.3
Income Before Tax	-11.3	-10.3	1.8	-12.2	-24.3

Total Income Tax	0.0	0.2	0.2	0.0	1.0
Income After Tax	-11.3	-10.5	1.6	-12.2	-25.3

Net Income Before Extraord Items	-11.3	-10.5	1.6	-12.2	-25.3
Accounting Change	-	-	-	0.0	0.0
Discontinued Operations	0.0	0.0	0.2	-0.2	-8.0
Total Extraord Items	0.0	0.0	0.2	-0.2	-8.0
Net Income	-11.3	-10.5	1.8	-12.4	-33.3

Income Available to Common Excl Extraord Items	-11.3	-10.5	1.6	-12.2	-25.3

Income Available to Common Incl Extraord Items	-11.3	-10.5	1.8	-12.4	-33.3

Basic/Primary Weighted Average Shares	19.8	19.7	19.3	19.1	18.9
Basic EPS Excl Extraord Items	-0.57	-0.53	0.08	-0.64	-1.34
Basic/Primary EPS Incl Extraord Items	-0.57	-0.53	0.09	-0.65	-1.76
Dilution Adjustment	0.0	0.0	0.0	0.0	0.0
Diluted Net Income	-11.3	-10.5	1.8	-12.4	-33.3
Diluted Weighted Average Shares	19.8	19.7	20.9	19.1	18.9
Diluted EPS Excl Extraord Items	-0.57	-0.53	0.08	-0.64	-1.34
Diluted EPS Incl Extraord Items	-0.57	-0.53	0.09	-0.65	-1.76
Dividends per Share - Common Stock Primary Issue	0.00	0.00	0.00	0.00	0.00
Gross Dividends - Common Stock	0.0	0.0	0.0	0.0	0.0
Depreciation, Supplemental	4.1	4.5	4.3	4.4	3.8
Total Special Items	4.0	10.0	0.8	8.2	14.9
Normalized Income Before Tax	-7.3	-0.3	2.6	-4.0	-9.4

Effect of Special Items on Income Taxes	0.0	3.5	0.1	0.0	5.2
Inc Tax Ex Impact of Sp Items	0.0	3.7	0.3	0.0	6.2
Normalized Income After Tax	-7.3	-4.0	2.3	-4.0	-15.6

Normalized Inc. Avail to Com.	-7.3	-4.0	2.3	-4.0	-15.6

Basic Normalized EPS	-0.37	-0.20	0.12	-0.21	-0.83
Diluted Normalized EPS	-0.37	-0.20	0.11	-0.21	-0.83
Rental Expenses	24.1	23.7	23.4	23.2	26.2
Advertising Expense, Supplemental	9.6	10.1	10.0	9.7	12.1
Reported Gross Profit	-	114.6	-	119.6	117.6
Reported Operating Profit	-	-4.9	-	-3.1	-4.1
Normalized EBIT	-2.5	4.5	7.7	3.1	-4.1
Normalized EBITDA	1.7	9.0	12.0	7.5	-0.2
Current Tax - Domestic	0.0	0.0	0.2	0.0	0.0
Current Tax - Local	0.0	0.0	0.0	0.0	1.0
Current Tax - Total	0.0	0.0	0.2	0.0	1.0
Deferred Tax - Domestic	0.0	0.0	0.0	0.0	0.9
Deferred Tax - Local	0.0	0.0	0.0	0.0	-0.9
Deferred Tax - Other	-	0.0	0.0	0.0	0.0
Deferred Tax - Total	0.0	0.0	0.0	0.0	0.0
Other Tax	-	0.2	0.0	-	-
Income Tax - Total	0.0	0.2	0.2	0.0	1.0
Interest Cost - Domestic	4.6	4.6	4.9	4.7	4.4
Service Cost - Domestic	0.5	0.4	0.7	1.0	1.6
Prior Service Cost - Domestic	0.0	0.0	0.0	0.0	0.0
Expected Return on Assets - Domestic	-4.0	-3.8	-3.2	-5.3	-5.6
Actuarial Gains and Losses - Domestic	1.0	1.0	0.9	0.9	0.9
Curtailments & Settlements - Domestic	-	0.0	0.0	-0.6	-0.1
Other Pension, Net - Domestic	-	0.0	0.0	-0.1	-0.1
Domestic Pension Plan Expense	2.0	2.2	3.3	0.7	1.1
Interest Cost - Post-Retirement	0.1	0.1	0.1	0.5	0.5
Service Cost - Post-Retirement	0.1	0.1	0.0	0.2	0.3
Actuarial Gains and Losses - Post-Retir.	-0.3	-0.3	-0.3	-0.2	-0.2
Curtailments & Settlements - Post-Retir.	-	0.0	0.0	-5.6	-2.0
Other Post-Retirement, Net	-0.7	-0.8	-0.8	-0.9	-1.2
Post-Retirement Plan Expense	-0.8	-0.8	-0.9	-6.1	-2.7
Defined Contribution Expense - Domestic	-	-	0.0	0.2	-
Total Pension Expense	1.2	1.4	2.4	-5.1	-1.6
Discount Rate - Domestic	5.52%	5.80%	7.55%	6.58%	5.90%
Discount Rate - Post-Retirement	5.61%	5.84%	7.52%	6.58%	5.90%
Expected Rate of Return - Domestic	7.50%	7.50%	7.50%	2.29%	4.00%
Compensation Rate - Domestic	-	-	-	8.44%	8.50%
Compensation Rate - Post-Retirement	2.50%	2.50%	2.50%	2.50%	4.00%
Total Plan Interest Cost	4.7	4.7	5.1	5.3	4.9
Total Plan Service Cost	0.6	0.5	0.7	1.2	1.9
Total Plan Expected Return	-4.0	-3.8	-3.2	-5.3	-5.6
Total Plan Other Expense	-0.7	-0.8	-0.8	-1.0	-1.3

Annual Balance Sheet

Financials in: USD (mil)

Financial Glossary

	28-Jan-2012	29-Jan-2011	30-Jan-2010	31-Jan-2009	02-Feb-2008
UpdateType/Date	Updated Normal 28-Jan-2012	Updated Normal 29-Jan-2011	Updated Normal 30-Jan-2010	Updated Normal 31-Jan-2009	Restated Normal 31-Jan-2009
Filed Currency	USD	USD	USD	USD	USD
Exchange Rate	1	1	1	1	1
Auditor	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified with Explanation	Unqualified with Explanation

Cash & Equivalents	2.6	2.4	2.5	2.3	2.3
Cash and Short Term Investments	2.6	2.4	2.5	2.3	2.3
Accounts Receivable - Trade, Gross	-	-	3.5	3.4	4.5
Provision for Doubtful Accounts	-	-	0.0	0.0	-0.1
Trade Accounts Receivable - Net	4.0	3.8	3.5	3.4	4.5
Other Receivables	-	-	-	0.0	8.1
Total Receivables, Net	4.0	3.8	3.5	3.4	12.6
Total Inventory	95.9	87.8	91.5	104.2	114.3
Prepaid Expenses	3.1	2.5	1.5	1.7	1.7
Total Current Assets	105.6	96.5	98.9	111.6	130.9

Buildings	31.9	31.7	31.5	31.1	31.0
Land/Improvements	1.2	1.2	1.2	1.2	1.2
Machinery/Equipment	63.7	67.2	64.6	62.8	59.2
Other Property/Plant/Equipment	0.3	0.7	0.7	0.7	0.7
Property/Plant/Equipment - Gross	97.1	100.9	98.0	95.8	92.2
Accumulated Depreciation	-60.8	-61.5	-56.3	-50.8	-48.5
Property/Plant/Equipment - Net	36.3	39.3	41.7	45.0	43.7
Goodwill, Net	2.9	3.1	3.2	3.2	3.4
Other Long Term Assets	1.6	2.0	4.7	4.8	7.1
Other Long Term Assets, Total	1.6	2.0	4.7	4.8	7.1
Total Assets	146.4	140.9	148.5	164.7	185.1

Accounts Payable	19.4	17.8	18.6	21.4	19.4
Accrued Expenses	16.3	14.9	15.1	14.6	14.4
Notes Payable/Short Term Debt	0.0	0.0	0.0	0.0	0.0
Income Taxes Payable	-	-	-	0.0	-
Other Current Liabilities	0.0	0.7	1.2	3.0	0.0
Other Current liabilities, Total	0.0	0.7	1.2	3.0	0.0
Total Current Liabilities	35.7	33.5	34.9	39.0	33.7

Long Term Debt	49.4	28.8	26.9	43.0	23.6
Capital Lease Obligations	2.9	3.1	3.2	3.3	0.0
Total Long Term Debt	52.3	31.9	30.1	46.3	23.6
Total Debt	52.3	31.9	30.1	46.3	23.6

Pension Benefits - Underfunded	38.1	32.8	29.2	23.9	0.6
Other Long Term Liabilities	6.4	7.9	7.1	8.1	63.7
Other Liabilities, Total	44.5	40.7	36.3	32.0	64.3
Total Liabilities	132.5	106.1	101.3	117.3	121.6

Common Stock	0.3	0.3	0.3	0.3	0.3
Common Stock	0.3	0.3	0.3	0.3	0.3
Additional Paid-In Capital	90.0	89.7	89.1	88.0	75.3
Retained Earnings (Accumulated Deficit)	104.9	116.2	126.7	124.9	137.3
Treasury Stock - Common	-153.7	-153.7	-153.7	-153.7	-153.6
Other Comprehensive Income	-27.7	-17.7	-15.2	-12.2	4.1
Other Equity, Total	-27.7	-17.7	-15.2	-12.2	4.1
Total Equity	13.9	34.8	47.2	47.3	63.4

Total Liabilities & Shareholdersâ€™ Equity	146.4	140.9	148.5	164.7	185.1

Shares Outstanding - Common Stock Primary Issue	20.5	20.1	19.9	19.7	19.3
Total Common Shares Outstanding	20.5	20.1	19.9	19.7	19.3
Treasury Shares - Common Stock Primary Issue	13.4	13.4	13.4	13.4	13.3
Employees	3,700	4,300	4,200	3,800	3,700
Number of Common Shareholders	3,489	3,561	3,676	3,785	3,843
Total Long Term Debt, Supplemental	52.3	28.8	26.9	43.0	23.6
Long Term Debt Maturing within 1 Year	17.4	9.6	6.7	14.3	7.9
Long Term Debt Maturing in Year 2	17.4	9.6	6.7	14.3	7.9
Long Term Debt Maturing in Year 3	17.4	9.6	6.7	14.3	7.9
Long Term Debt Maturing in Year 4	0.0	0.0	6.7	-	-
Long Term Debt Maturing in 2-3 Years	34.9	19.2	13.5	28.7	15.7
Long Term Debt Maturing in 4-5 Years	0.0	0.0	6.7	-	-
Long Term Debt Matur. in Year 6 & Beyond	0.0	0.0	0.0	0.0	0.0
Interest Costs	-2.6	-2.9	-1.5	-1.9	-3.8
Total Capital Leases, Supplemental	3.1	3.2	3.3	3.4	3.4
Capital Lease Payments Due in Year 1	0.5	0.5	0.5	0.5	0.5
Capital Lease Payments Due in Year 2	0.5	0.5	0.5	0.5	0.5
Capital Lease Payments Due in Year 3	0.5	0.5	0.5	0.5	0.5
Capital Lease Payments Due in Year 4	0.5	0.5	0.5	0.5	0.5
Capital Lease Payments Due in Year 5	0.4	0.5	0.5	0.5	0.5
Capital Lease Payments Due in 2-3 Years	0.9	0.9	0.9	0.9	1.0
Capital Lease Payments Due in 4-5 Years	0.9	0.9	0.9	0.9	1.0
Cap. Lease Pymts. Due in Year 6 & Beyond	3.3	3.8	2.4	2.9	4.8
Total Operating Leases, Supplemental	79.3	76.0	86.6	93.4	91.3
Operating Lease Payments Due in Year 1	20.8	20.9	20.9	20.6	20.2
Operating Lease Payments Due in Year 2	17.0	16.6	19.0	18.1	16.8
Operating Lease Payments Due in Year 3	12.7	12.7	14.3	16.2	14.4
Operating Lease Payments Due in Year 4	10.3	9.0	10.5	12.5	13.2
Operating Lease Payments Due in Year 5	7.7	6.9	6.7	8.6	8.8
Operating Lease Pymts. Due in 2-3 Years	29.7	29.2	33.2	34.3	31.2
Operating Lease Pymts. Due in 4-5 Years	18.1	15.9	17.2	21.1	22.0
Oper. Lse. Pymts. Due in Year 6 & Beyond	10.8	10.0	15.3	17.3	17.9
Pension Obligation - Domestic	93.1	85.0	81.0	67.3	72.2
Post-Retirement Obligation	2.6	2.5	2.3	2.5	8.7
Plan Assets - Domestic	57.3	54.4	53.9	45.6	66.9
Funded Status - Domestic	-35.8	-30.6	-27.1	-21.8	-5.3
Funded Status - Post-Retirement	-2.6	-2.5	-2.3	-2.5	-8.7
Total Funded Status	-38.3	-33.1	-29.4	-24.2	-14.0
Discount Rate - Post-Retirement	5.61%	5.84%	5.84%	7.52%	6.55%
Compensation Rate - Post-Retirement	2.50%	2.50%	2.50%	2.50%	2.50%
Equity % - Domestic	60.00%	65.00%	60.40%	59.40%	81.00%
Debt Securities % - Domestic	40.00%	35.00%	39.60%	40.60%	19.00%
Total Plan Obligations	95.7	87.5	83.3	69.8	80.9
Total Plan Assets	57.3	54.4	53.9	45.6	66.9

Annual Cash Flows

Financials in: USD (mil)

Financial Glossary

	28-Jan-2012	29-Jan-2011	30-Jan-2010	31-Jan-2009	02-Feb-2008
Period Length	52 Weeks	52 Weeks	52 Weeks	52 Weeks	52 Weeks
UpdateType/Date	Updated Normal 28-Jan-2012	Updated Normal 29-Jan-2011	Updated Normal 30-Jan-2010	Updated Normal 31-Jan-2009	Reclassified Normal 31-Jan-2009
Filed Currency	USD	USD	USD	USD	USD
Exchange Rate (Period Average)	1	1	1	1	1
Auditor	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified with Explanation	Unqualified with Explanation

Net Income/Starting Line	-11.3	-10.5	1.8	-12.4	-33.3
Depreciation	6.1	6.5	6.6	6.6	7.1
Depreciation/Depletion	6.1	6.5	6.6	6.6	7.1
Deferred Taxes	-	-	-	0.0	0.0
Accounting Change	-	-	-	0.0	0.0
Unusual Items	2.0	1.4	0.0	1.7	0.0
Other Non-Cash Items	-2.0	9.7	4.2	4.0	7.1
Non-Cash Items	0.0	11.2	4.2	5.6	7.0
Accounts Receivable	-0.8	-1.4	0.2	1.1	-1.2
Inventories	-3.6	-3.0	12.2	9.7	54.0
Other Assets	-0.2	2.2	-0.1	2.9	-1.6
Accounts Payable	1.5	-0.9	-3.6	2.5	11.0
Accrued Expenses	1.2	0.0	0.3	0.4	-4.4
Taxes Payable	-	0.0	0.0	8.1	2.0
Other Liabilities	-6.2	1.9	1.4	-7.7	-3.0
Changes in Working Capital	-8.0	-1.1	10.4	17.1	56.8
Cash from Operating Activities	-13.3	6.2	23.0	17.0	37.7

Purchase of Fixed Assets	-4.9	-5.4	-3.1	-8.4	-4.4
Capital Expenditures	-4.9	-5.4	-3.1	-8.4	-4.4
Sale of Fixed Assets	0.3	0.1	0.1	0.1	4.1
Other Investing Cash Flow Items, Total	0.3	0.1	0.1	0.1	4.1
Cash from Investing Activities	-4.6	-5.3	-3.0	-8.3	-0.3

Other Financing Cash Flow	-0.1	-0.5	-0.7	-37.6	-1.7
Financing Cash Flow Items	-0.1	-0.5	-0.7	-37.6	-1.7
Long Term Debt, Net	18.3	-0.5	-19.1	29.0	-36.0
Issuance (Retirement) of Debt, Net	18.3	-0.5	-19.1	29.0	-36.0
Cash from Financing Activities	18.1	-0.9	-19.8	-8.6	-37.7

Net Change in Cash	0.3	-0.1	0.2	0.1	-0.2

Net Cash - Beginning Balance	2.4	2.5	2.3	2.3	2.5
Net Cash - Ending Balance	2.6	2.4	2.5	2.3	2.3
Cash Interest Paid	2.2	2.2	1.5	3.1	2.0
Cash Taxes Paid	0.0	0.4	0.1	1.5	0.0

Hancock Fabrics, Inc.

Baldwyn, Mississippi, United States, Tel: 662-365-6000, URL: http://www.hancockfabrics.com

Annual Income Statement

Financials in: USD (mil)
Except for share items (millions) and per share items (actual units)

	28-Jan-2012	29-Jan-2011	30-Jan-2010	31-Jan-2009	02-Feb-2008
Period Length	52 Weeks	52 Weeks	52 Weeks	52 Weeks	52 Weeks
UpdateType/Date	Updated Normal 28-Jan-2012	Updated Normal 29-Jan-2011	Updated Normal 30-Jan-2010	Updated Normal 31-Jan-2009	Restated Normal 31-Jan-2009
Filed Currency	USD	USD	USD	USD	USD
Exchange Rate (Period Average)	1	1	1	1	1
Auditor	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified with Explanation	Unqualified with Explanation

Sales	272.0	275.5	274.1	276.4	276.2
Total Revenue	272.0	275.5	274.1	276.4	276.2

Cost of Sales	159.3	160.8	152.3	156.8	158.7
Retail store labor costs	41.3	41.5	41.4	43.7	-
Advertising	9.6	10.1	10.0	9.7	-
Selling, general and administrative expe	64.1	63.5	58.2	58.7	117.8
Depreciation and amortization	4.1	4.5	4.3	4.4	3.8
Reorganization expense net	0.0	0.5	0.8	8.2	14.9
Total Operating Expense	278.5	280.9	267.1	281.5	295.2

Interest Expense, Net	-4.8	-4.8	-5.1	-7.0	-5.3
Net Income Before Taxes	-11.3	-10.3	1.8	-12.2	-24.3

Provision for Income Taxes	0.0	0.2	0.2	0.0	1.0
Net Income After Taxes	-11.3	-10.5	1.6	-12.2	-25.3

Net Income Before Extra. Items	-11.3	-10.5	1.6	-12.2	-25.3
Loss from discontinued operations	0.0	0.0	0.2	-0.2	-8.0
Cumulative effect of change in accountin	-	-	-	0.0	0.0
Net Income	-11.3	-10.5	1.8	-12.4	-33.3

Income Available to Com Excl ExtraOrd	-11.3	-10.5	1.6	-12.2	-25.3

Income Available to Com Incl ExtraOrd	-11.3	-10.5	1.8	-12.4	-33.3

Basic Weighted Average Shares	19.8	19.7	19.3	19.1	18.9
Basic EPS Excluding ExtraOrdinary Items	-0.57	-0.53	0.08	-0.64	-1.34
Basic EPS Including ExtraOrdinary Item	-0.57	-0.53	0.09	-0.65	-1.76
Dilution Adjustment	0.0	0.0	0.0	0.0	0.0
Diluted Net Income	-11.3	-10.5	1.8	-12.4	-33.3
Diluted Weighted Average Shares	19.8	19.7	20.9	19.1	18.9
Diluted EPS Excluding ExtraOrd Items	-0.57	-0.53	0.08	-0.64	-1.34
Diluted EPS Including ExtraOrd Items	-0.57	-0.53	0.09	-0.65	-1.76
DPS-Common Stock	0.00	0.00	0.00	0.00	0.00
Gross Dividends - Common Stock	0.0	0.0	0.0	0.0	0.0
Normalized Income Before Taxes	-7.3	-0.3	2.6	-4.0	-9.4

Inc Tax Ex Impact of Sp Items	0.0	3.7	0.3	0.0	6.2
Normalized Income After Taxes	-7.3	-4.0	2.3	-4.0	-15.6

Normalized Inc. Avail to Com.	-7.3	-4.0	2.3	-4.0	-15.6

Basic Normalized EPS	-0.37	-0.20	0.12	-0.21	-0.83
Diluted Normalized EPS	-0.37	-0.20	0.11	-0.21	-0.83
Depreciation	4.1	4.5	4.3	4.4	3.8
Rental Expense	24.1	23.7	23.4	23.2	26.2
Advertising	9.6	10.1	10.0	9.7	12.1
Federal	0.0	0.0	0.2	0.0	0.0
State	0.0	0.0	0.0	0.0	1.0
Current Tax - Total	0.0	0.0	0.2	0.0	1.0
Federal	0.0	0.0	0.0	0.0	0.9
State	0.0	0.0	0.0	0.0	-0.9
Discontinued operations	-	0.0	0.0	0.0	0.0
Deferred Tax - Total	0.0	0.0	0.0	0.0	0.0
Continuing operations expense	-	0.2	0.0	-	-
Income Tax - Total	0.0	0.2	0.2	0.0	1.0
Gross profit	-	114.6	-	119.6	117.6
Operating income (loss)	-	-4.9	-	-3.1	-4.1
Service Cost-Pension	0.5	0.4	0.7	1.0	1.6
Interest Cost-Pension	4.5	4.6	4.9	4.7	4.3
Expec. Return on Plan Asset-Pension	-4.0	-3.8	-3.2	-5.3	-5.6
Amortization of Prior Service Cost-Pensi	-	0.0	0.0	-0.1	-0.1
Acturial Loss-Pension	1.0	1.0	0.9	0.9	0.9
Curtailment Loss-Pension	-	0.0	0.0	-0.6	-0.1
Service Cost-SERP	0.0	0.0	0.0	0.0	0.0
Interest Cost-SERP	0.1	0.1	0.1	0.1	0.1
Amortization of Prior Service Cost-SERP	0.0	0.0	0.0	0.0	0.0
Acturial Loss-SERP	0.0	0.0	0.0	0.0	0.0
Curtailment Gain-SERP	-	0.0	0.0	0.0	0.0
Domestic Pension Plan Expense	2.0	2.2	3.3	0.7	1.1
Service Cost-Post Retirement	0.1	0.1	0.0	0.2	0.3
Interest Cost-Post Retirement	0.1	0.1	0.1	0.5	0.5
Amoetization of Prior Service Cost-Post	-0.7	-0.8	-0.8	-0.9	-1.2
Acturial Loss-Post Retr.	-0.3	-0.3	-0.3	-0.2	-0.2
Curtailment Gain-Post Retr.	-	0.0	0.0	-5.6	-2.0
Post-Retirement Plan Expense	-0.8	-0.8	-0.9	-6.1	-2.7
401K Plan	-	-	0.0	0.2	-
Total Pension Expense	1.2	1.4	2.4	-5.1	-1.6
Discount Rate-Pension	5.52%	5.80%	7.55%	6.58%	5.90%
Expec. Rate of Return-Pension	7.50%	7.50%	7.50%	2.29%	4.00%
Compensatio Rate-Pension	-	-	-	8.44%	8.50%
Discount Rate-Post Rter.	5.61%	5.84%	7.52%	6.58%	5.90%
Compensatio Rate-Post Retr.	2.50%	2.50%	2.50%	2.50%	4.00%

Annual Balance Sheet

Financials in: USD (mil)

	28-Jan-2012	29-Jan-2011	30-Jan-2010	31-Jan-2009	02-Feb-2008
UpdateType/Date	Updated Normal 28-Jan-2012	Updated Normal 29-Jan-2011	Updated Normal 30-Jan-2010	Updated Normal 31-Jan-2009	Restated Normal 31-Jan-2009
Filed Currency	USD	USD	USD	USD	USD
Exchange Rate	1	1	1	1	1
Auditor	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified with Explanation	Unqualified with Explanation

Cash/Equivalents	2.6	2.4	2.5	2.3	2.3
Receivables	4.0	3.8	-	-	-
Rcvbl., Gross	-	-	3.5	3.4	4.5
Doubtful Account	-	-	0.0	0.0	-0.1
Inventories, net	95.9	87.8	91.5	104.2	114.3
Income Tax Refundable	-	-	-	0.0	8.1
Prepaid Expense	3.1	2.5	1.5	1.7	1.7
Total Current Assets	105.6	96.5	98.9	111.6	130.9

Buildings/Improv	25.9	25.8	25.8	25.8	25.8
Leasehold Improv	6.0	5.9	5.6	5.3	5.2
Fixtures/Equip.	63.7	67.2	64.6	62.8	59.2
Assets Held for Sale	0.3	0.7	0.7	0.7	0.7
Depreciation	-60.8	-61.5	-56.3	-50.8	-48.5
Land	1.2	1.2	1.2	1.2	1.2
Goodwill	2.9	3.1	3.2	3.2	3.4
Other	1.6	2.0	4.7	4.8	7.1
Total Assets	146.4	140.9	148.5	164.7	185.1

Accounts Payable	19.4	17.8	18.6	21.4	19.4
Accued Liabs.	16.3	14.9	15.1	14.6	14.4
Other pre petition obligations	0.0	0.7	1.2	2.8	0.0
Reserve for Closed Stores	-	-	-	0.2	0.0
Income taxes payable	-	-	-	0.0	-
Total Current Liabilities	35.7	33.5	34.9	39.0	33.7

Long-term debt obligations	49.4	28.8	26.9	43.0	23.6
Capital Lease	2.9	3.1	3.2	3.3	0.0
Total Long Term Debt	52.3	31.9	30.1	46.3	23.6

Benefits/Pension	2.4	2.3	2.2	2.2	0.3
Pension and SERP liabilities	35.7	30.5	27.0	21.7	0.3
Other Liabs.	6.4	7.9	7.1	8.1	3.1
Liabilities Subjected to Compromise	-	-	-	0.0	60.6
Total Liabilities	132.5	106.1	101.3	117.3	121.6

Common Stock	0.3	0.3	0.3	0.3	0.3
Paid in Capital	90.0	89.7	89.1	88.0	75.3
Retained Erngs.	104.9	116.2	126.7	124.9	137.3
Treasury Stock	-153.7	-153.7	-153.7	-153.7	-153.6
Accumulated other comprehensive loss	-27.7	-17.7	-15.2	-12.2	4.1
Total Equity	13.9	34.8	47.2	47.3	63.4

Total Liabilities & Shareholders' Equity	146.4	140.9	148.5	164.7	185.1

S/O-Common Stock	20.5	20.1	19.9	19.7	19.3
Total Common Shares Outstanding	20.5	20.1	19.9	19.7	19.3
T/S-Common Stock	13.4	13.4	13.4	13.4	13.3
Full-Time Employees	3,700	4,300	4,200	3,800	3,700
Number of Common Shareholders	3,489	3,561	3,676	3,785	3,843
Long Term Debt Maturing 3-5 Years	52.3	28.8	-	43.0	23.6
Long Term Debt Maturing 4-5 Years	0.0	0.0	26.9	-	-
Total Long Term Debt, Supplemental	52.3	28.8	26.9	43.0	23.6
Capital Leases Maturing within 1 Year	0.5	0.5	0.5	0.5	0.5
Capital Leases Maturing within 2 Years	0.5	0.5	0.5	0.5	0.5
Capital Leases Maturing within 3 Years	0.5	0.5	0.5	0.5	0.5
Capital Leases Maturing within 4 Years	0.5	0.5	0.5	0.5	0.5
Capital Leases Maturing within 5 Years	0.4	0.5	0.5	0.5	0.5
Capital Leases Remaining Maturities	3.3	3.8	2.4	2.9	4.8
imputed interest	-2.6	-2.9	-1.5	-1.9	-3.8
Total Capital Leases	3.1	3.2	3.3	3.4	3.4
Operating Leases Maturing within 1 Year	20.8	20.9	20.9	20.6	20.2
Operating Leases Maturing within 2 Years	17.0	16.6	19.0	18.1	16.8
Operating Leases Maturing within 3 Years	12.7	12.7	14.3	16.2	14.4
Operating Leases Maturing within 4 Years	10.3	9.0	10.5	12.5	13.2
Operating Leases Maturing within 5 Years	7.7	6.9	6.7	8.6	8.8
Operating Leases Remaining Maturities	10.8	10.0	15.3	17.3	17.9
Total Operating Leases	79.3	76.0	86.6	93.4	91.3
Benefit Obligation- Pension	92.0	84.0	80.0	66.5	71.1
Change in Plan Asset-Pension	57.3	54.4	53.9	45.6	66.9
Funded Status- Pension	-34.7	-29.6	-26.1	-20.9	-4.2
Benefit Obligation- Post Retr.	2.6	2.5	2.3	2.5	8.7
Funded Status- Post Retr.	-2.6	-2.5	-2.3	-2.5	-8.7
Benefit Obligation- SERP	1.1	1.0	1.0	0.9	1.1
Funded Status- SERP	-1.1	-1.0	-1.0	-0.9	-1.1
Total Funded Status	-38.3	-33.1	-29.4	-24.2	-14.0
Discount Rate- Pension	4.74%	5.52%	5.80%	7.55%	6.55%
Compensation Rate-Pension	-	-	0.00%	0.00%	2.50%
Discount Rate- Post retr.	5.61%	5.84%	5.84%	7.52%	6.55%
Compensation Rate-Post Retr.	2.50%	2.50%	2.50%	2.50%	2.50%
Discount Rate- SERP	4.53%	5.22%	5.50%	7.46%	6.55%
Compensation Rate-SERP	-	-	0.00%	0.00%	2.50%
Equity Securities-Pension	60.00%	65.00%	60.40%	59.40%	81.00%
Fixed Income-Pension	40.00%	35.00%	39.60%	40.60%	19.00%

Annual Cash Flows

Financials in: USD (mil)

	28-Jan-2012	29-Jan-2011	30-Jan-2010	31-Jan-2009	02-Feb-2008
Period Length	52 Weeks	52 Weeks	52 Weeks	52 Weeks	52 Weeks
UpdateType/Date	Updated Normal 28-Jan-2012	Updated Normal 29-Jan-2011	Updated Normal 30-Jan-2010	Updated Normal 31-Jan-2009	Reclassified Normal 31-Jan-2009
Filed Currency	USD	USD	USD	USD	USD
Exchange Rate (Period Average)	1	1	1	1	1
Auditor	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer	Burr, Pilger & Mayer
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified with Explanation	Unqualified with Explanation

Net Income	-11.3	-10.5	1.8	-12.4	-33.3
Depreciation	6.1	6.5	6.6	6.6	7.1
Amortization of deferred loan costs	0.2	0.2	0.2	0.5	2.2
Amortization of note discount	2.3	2.3	2.3	1.2	0.0
Interest on Pre Petition Obligations	-	0.0	0.0	2.2	0.0
Amortization of pre-paid rent	0.2	0.0	0.0	-	-
Interest paid in kind on Notes	0.0	0.0	0.7	0.9	0.0
Deferred Taxes	-	-	-	0.0	0.0
Cumulative effect of change in accountin	-	-	-	0.0	0.0
Directors fees paid with shares	-	-	-	0.1	0.1
Store Closing Reserv	-	-	-	-	3.5
Stock based Compensation	0.3	0.5	1.0	0.9	1.3
Inventory valuation reserve	-4.6	6.7	0.0	0.0	-
Impairment on property and equipment and	1.7	1.5	0.0	0.7	0.3
Fixed Asset Disposal	0.3	0.0	0.0	0.2	-1.0
Reserve for Store closing charges	-0.5	0.0	-0.1	-1.8	-
Reorganization expense, net	0.0	0.5	0.8	8.2	14.9
Receivables and prepaid expenses	-0.8	-1.4	0.2	1.1	-1.2
Inventory	-3.6	-3.0	12.2	9.7	54.0
Income Tax	-	0.0	0.0	8.1	2.0
Other assets	-0.2	2.2	-0.1	2.9	-1.6
Accounts Payable	1.5	-0.9	-3.6	2.5	11.0
Accd. Liabilities	1.2	0.0	0.3	0.4	-4.4
Retirement Benefits	-1.0	-0.9	-1.0	-6.7	-3.1
Long-term pension and SERP liabilities	-3.8	2.1	3.2	0.5	0.9
Other Liabilities	-1.5	0.7	-0.8	-1.5	-0.9
Net Cash Used for Reorganization act.	0.0	-0.6	-0.7	-7.4	-14.2
Cash from Operating Activities	-13.3	6.2	23.0	17.0	37.7

Capital Expenditures	-4.9	-5.4	-3.1	-8.4	-4.4
Asset Dispositions	0.3	0.1	0.1	0.1	4.1
Cash from Investing Activities	-4.6	-5.3	-3.0	-8.3	-0.3

Payments for other financing activities	-	-0.1	0.0	-0.1	-0.2
Payments for Pre Petition Obligations	-0.1	-0.3	-0.8	-36.3	0.0
Payments for loan costs	-	0.0	0.0	-1.2	-1.5
Net (payments) borrowings on revolving c	18.3	-0.5	-19.1	29.0	-59.6
Net borrowings on DIP Facility and other	-	-	0.0	0.0	23.6
Cash from Financing Activities	18.1	-0.9	-19.8	-8.6	-37.7

Net Change in Cash	0.3	-0.1	0.2	0.1	-0.2

Net Cash - Opening Balance	2.4	2.5	2.3	2.3	2.5
Net Cash - Ending Balance	2.6	2.4	2.5	2.3	2.3
Cash Interest Paid	2.2	2.2	1.5	3.1	2.0
Cash Taxes Paid	0.0	0.4	0.1	1.5	0.0

Hancock Fabrics, Inc.

Baldwyn, Mississippi, United States, Tel: 662-365-6000, URL: http://www.hancockfabrics.com

Financial Health

Financials in: USD (mil)
Except for share items (millions) and per share items (actual units)

Key IndicatorsÂ USD (mil)
Â	Quarter Ending 28-Apr-2012	Quarter Ending Yr Ago	Annual Year End 28-Jan-2012	1 Year Growth	3 Year Growth	5 Year Growth
Total Revenue	63.9	3.17%	272.0	-1.26%	-0.53%	-1.24%
Operating Income	-1.2	-	-6.5	-	-	-
Income Available to Common Excl Extraord Items	-2.4	-	-11.3	-	-	-
Basic EPS Excl Extraord Items	-0.12	-	-0.57	-	-	-
Capital Expenditures	0.7	20.92%	4.9	-8.49%	-16.41%	16.25%
Cash from Operating Activities	-3.8	-	-13.3	-	-	-
Free Cash Flow	-4.5	-	-18.2	-	-	-
Total Assets	147.6	6.94%	146.4	3.88%	-3.85%	-7.16%
Total Liabilities	135.9	29.12%	132.5	24.91%	4.14%	-3.67%
Total Long Term Debt	57.1	78.94%	52.3	64.24%	4.19%	-4.35%
Employees	-	-	3700	-13.95%	-0.89%	-6.58%
Total Common Shares Outstanding	21.4	6.73%	20.5	2.21%	1.33%	1.21%
Market Cap	17.1	-25.75%	18.7	-34.96%	33.26%	-21.29%

Key Ratios
Â	28-Jan-2012	29-Jan-2011	30-Jan-2010	31-Jan-2009	02-Feb-2008
Profitability
Gross Margin	41.44%	41.62%	44.41%	43.27%	42.56%
Operating Margin	-2.38%	-1.97%	2.54%	-1.86%	-6.87%
Pretax Margin	-4.15%	-3.72%	0.67%	-4.41%	-8.80%
Net Profit Margin	-4.15%	-3.81%	0.60%	-4.41%	-9.16%
Financial Strength
Current Ratio	2.96	2.88	2.83	2.86	3.88
Long Term Debt/Equity	3.77	0.91	0.64	0.98	0.37
Total Debt/Equity	3.77	0.91	0.64	0.98	0.37
Interest Coverage	-1.34	-1.13	1.36	-0.73	-3.57
Management Effectiveness
Return on Assets	-7.86%	-7.25%	1.05%	-6.97%	-12.74%
Return on Equity	-46.39%	-25.57%	3.46%	-21.99%	-43.67%
Efficiency
Receivables Turnover	69.44	75.37	80.03	34.65	21.20
Inventory Turnover	1.73	1.79	1.56	1.44	1.31
Asset Turnover	1.89	1.90	1.75	1.58	1.39

Market ValuationÂ USD (mil)
Enterprise Value	62.2	.	Price/Sales (TTM)	0.03
Enterprise Value/Revenue (TTM)	0.23	.	Price/Book (MRQ)	0.65
Market Cap as of 17-Aug-2012	7.6	.

ancock Fabrics, Inc.

Baldwyn, Mississippi, United States, Tel: 662-365-6000, URL: http://www.hancockfabrics.com

Ratio Comparisons

Traded: Over The Counter: HKFI	Financials in: USD (actual units)
Industry: Retail (Specialty)	As of 28-Apr-2012
Sector: Services

	Company	Industry	Sector	S&P 500
Valuation Ratios
P/E Excluding Extraordinary (TTM)	-	21.45	26.53	19.68
P/E High Excluding Extraordinary - Last 5 Yrs	42.28	25.00	28.03	32.79
P/E Low Excluding Extraordinary - Last 5 Yrs	42.28	10.32	11.18	10.71
Beta	-	1.18	0.91	1.00
Price/Revenue (TTM)	0.03	1.27	2.87	2.57
Price/Book (MRQ)	0.65	3.31	4.17	3.67
Price to Tangible Book (MRQ)	0.87	3.85	6.61	5.21
Price to Cash Flow Per Share (TTM)	-	14.06	14.95	14.22
Price to Free Cash Flow Per Share (TTM)	-	24.90	25.61	26.26

Dividends
Dividend Yield	-	1.57%	2.91%	2.26%
Dividend Per Share - 5 Yr Avg	0.00	0.64	1.96	1.99
Dividend 5 Yr Growth	-	-21.00%	-1.39%	0.08%
Payout Ratio (TTM)	-	8.41%	11.60%	25.98%

Growth Rates (%)
Revenue (MRQ) vs Qtr 1 Yr Ago	3.17%	12.43%	-0.77%	15.58%
Revenue (TTM) vs TTM 1 Yr Ago	-0.14%	10.84%	-4.27%	17.69%
Revenue 5 Yr Growth	-1.24%	9.32%	23.25%	8.97%
EPS (MRQ) vs Qtr 1 Yr Ago	-11.25%	30.89%	12.66%	19.49%
EPS (TTM) vs TTM 1 Yr Ago	-0.11%	37.83%	17.36%	32.55%
EPS 5 Yr Growth	-	10.63%	8.65%	9.86%
Capital Spending 5 Yr Growth	16.25%	-3.85%	-14.30%	-2.04%

Financial Strength
Quick Ratio (MRQ)	0.28	0.61	0.63	1.24
Current Ratio (MRQ)	3.02	2.11	0.97	1.79
LT Debt/Equity (MRQ)	4.88	0.51	1.48	0.64
Total Debt/Equity (MRQ)	4.88	0.58	1.73	0.73
Interest Coverage (TTM)	-1.35	13.90	4.20	13.80

Profitability Ratios (%)
Gross Margin (TTM)	40.68%	37.85%	37.46%	45.21%
Gross Margin - 5 Yr Avg	42.66%	37.91%	39.96%	44.91%
EBITD Margin (TTM)	-0.27%	12.91%	8.34%	24.43%
EBITD Margin - 5 Yr Avg	-0.57%	11.51%	13.48%	22.84%
Operating Margin (TTM)	-2.43%	10.63%	10.36%	20.63%
Operating Margin - 5 Yr Avg	-2.12%	8.93%	2.67%	18.28%
Pretax Margin (TTM)	-4.22%	9.35%	6.99%	17.95%
Pretax Margin - 5 Yr Avg	-4.09%	8.10%	5.24%	17.10%
Net Profit Margin (TTM)	-4.22%	5.93%	4.44%	13.65%
Net Profit Margin - 5 Yr Avg	-4.19%	5.06%	2.82%	12.10%
Effective Tax Rate (TTM)	-	36.81%	29.02%	28.45%
Effective Tax rate - 5 Yr Avg	-	36.54%	28.67%	29.92%

Management Effectiveness (%)
Return on Assets (TTM)	-8.09%	8.25%	0.41%	8.54%
Return on Assets - 5 Yr Avg	-7.04%	7.58%	3.69%	8.40%
Return on Investment (TTM)	-10.70%	9.88%	3.14%	7.90%
Return on Investment - 5 Yr Avg	-9.20%	8.99%	4.63%	8.27%
Return on Equity (TTM)	-52.01%	15.46%	-2.30%	19.72%
Return on Equity - 5 Yr Avg	-25.50%	12.04%	14.07%	20.06%

Efficiency
Revenue/Employee (TTM)	74,043.24	316,828.32	764,536.05	927,613.77
Net Income/Employee (TTM)	-3,123.24	17,978.12	144,529.55	116,121.92
Receivables Turnover (TTM)	73.40	35.53	16.95	13.25
Inventory Turnover (TTM)	1.76	3.95	17.44	14.53
Asset Turnover (TTM)	1.92	1.64	1.00	0.93

Hancock Fabrics, Inc.

Baldwyn, Mississippi, United States, Tel: 662-365-6000, URL: http://www.hancockfabrics.com

Annual Ratios

Financials in: USD (mil)
Except for share items (millions) and per share items (actual units)

	28-Jan-2012	29-Jan-2011	30-Jan-2010	31-Jan-2009	02-Feb-2008
Financial Strength
Current Ratio	2.96	2.88	2.83	2.86	3.88
Quick/Acid Test Ratio	0.19	0.19	0.17	0.15	0.44
Working Capital	70.0	63.0	64.0	72.6	97.1
Long Term Debt/Equity	3.77	0.91	0.64	0.98	0.37
Total Debt/Equity	3.77	0.91	0.64	0.98	0.37
Long Term Debt/Total Capital	0.79	0.48	0.39	0.49	0.27
Total Debt/Total Capital	0.79	0.48	0.39	0.49	0.27
Interest Coverage	-1.34	-1.13	1.36	-0.73	-3.57
Payout Ratio	0.00%	0.00%	0.00%	0.00%	0.00%
Effective Tax Rate	-	-	10.88%	-	-
Total Capital	66.2	66.7	77.3	93.6	87.0

Efficiency
Asset Turnover	1.89	1.90	1.75	1.58	1.39
Inventory Turnover	1.73	1.79	1.56	1.44	1.31
Days In Inventory	210.53	203.47	234.38	254.25	278.19
Receivables Turnover	69.44	75.37	80.03	34.65	21.20
Days Receivables Outstanding	5.26	4.84	4.56	10.53	17.22
Revenue/Employee	73,512	64,062	65,252	72,732	74,661
Operating Income/Employee	-1,746	-1,263	1,655	-1,353	-5,132
EBITDA/Employee	-628	-218	2,686	-193	-4,101

Profitability
Gross Margin	41.44%	41.62%	44.41%	43.27%	42.56%
Operating Margin	-2.38%	-1.97%	2.54%	-1.86%	-6.87%
EBITDA Margin	-0.85%	-0.34%	4.12%	-0.27%	-5.49%
EBIT Margin	-2.38%	-1.97%	2.54%	-1.86%	-6.87%
Pretax Margin	-4.15%	-3.72%	0.67%	-4.41%	-8.80%
Net Profit Margin	-4.15%	-3.81%	0.60%	-4.41%	-9.16%
COGS/Revenue	58.56%	58.38%	55.59%	56.73%	57.44%
SG&A Expense/Revenue	42.30%	41.78%	40.02%	40.56%	42.65%

Management Effectiveness
Return on Assets	-7.86%	-7.25%	1.05%	-6.97%	-12.74%
Return on Equity	-46.39%	-25.57%	3.46%	-21.99%	-43.67%

Valuation
Free Cash Flow/Share	-0.89	0.04	1.00	0.43	1.73
Operating Cash Flow/Share	-0.65	0.31	1.15	0.86	1.95

Current Market Multiples
Market Cap/Earnings (TTM)	-0.61
Market Cap/Equity (MRQ)	0.65
Market Cap/Revenue (TTM)	0.03
Market Cap/EBIT (TTM)	-1.15
Market Cap/EBITDA (TTM)	-10.32
Enterprise Value/Earnings (TTM)	-4.99
Enterprise Value/Equity (MRQ)	5.32
Enterprise Value/Revenue (TTM)	0.23
Enterprise Value/EBIT (TTM)	-9.36
Enterprise Value/EBITDA (TTM)	-84.14

Hancock Fabrics, Inc.

Baldwyn, Mississippi, United States, Tel: 662-365-6000, URL: http://www.hancockfabrics.com

Stock Report

Stock Snapshot

Traded: Over The Counter: HKFI

As of 17-Aug-2012 US Dollars

Recent Price	$0.36	EPS	$-0.37
52 Week High	$1.15	Price/Sales	0.03
52 Week Low	$0.31	Price/Book	0.53
Avg. Volume (mil)	0.02
Market Value (mil)	$7.62

	Price % Change	Rel S&P 500%
4 Week	-25.99%
13 Week	-58.12%
52 Week	-67.64%
Year to Date	-60.22%

Source: Reuters

2 Year Weekly End Price & Volume

Stock History

Market Cap History
	28-Apr-12	% Chg	28-Jan-12	% Chg	29-Oct-11	% Chg	30-Jul-11	% Chg	30-Apr-11	% Chg
Total Common Shares Outstanding	21	4.4	21	1.6	20	0.5	20	0.1	20	0.0
Market Cap	17.1	-8.2	18.7	3.9	18.0	-30.1	25.7	11.4	23.1	-19.6

Yearly Price History
	2012	% Chg	2011	% Chg	2010	% Chg	2009	% Chg	2008	% Chg
High Price	1.04	-30.7	1.50	-59.1	3.67	-1.9	3.74	102.2	1.85	-57.6
Low Price	0.31	-45.5	0.56	-41.1	0.95	227.6	0.29	-14.7	0.34	-34.6
Year End Price	0.36	-60.2	0.90	-12.3	1.02	-70.7	3.48	596.0	0.50	-51.5

Monthly Price History
Price Ending Date	Open	High	Low	Close	Volume
17-Aug-12	0.39	0.50	0.31	0.36	488,515
31-Jul-12	0.60	0.64	0.40	0.50	543,652
29-Jun-12	0.70	0.75	0.45	0.51	111,369
31-May-12	0.70	0.87	0.55	0.70	125,510
30-Apr-12	0.79	0.87	0.67	0.80	95,453
30-Mar-12	0.88	0.95	0.77	0.90	172,871
28-Feb-12	0.91	1.01	0.80	0.80	313,700
31-Jan-12	0.85	1.04	0.85	0.91	166,342
30-Dec-11	0.95	1.05	0.75	0.90	378,342
30-Nov-11	0.75	1.15	0.67	1.15	329,722
31-Oct-11	0.82	0.96	0.56	0.89	80,116
30-Sep-11	1.10	1.10	0.81	0.83	24,642
31-Aug-11	1.28	1.28	0.89	1.10	238,551

tandard & Poor’s

United States of America Long-Term Rating Lowered To 'AA+' Due To Political Risks, Rising Debt Burden; Outlook Negative

Publication date: 05-Aug-2011 20:13:14 EST

· We have lowered our long-term sovereign credit rating on the United States of America to 'AA+' from 'AAA' and affirmed the 'A-1+' short-term rating.

· We have also removed both the short- and long-term ratings from CreditWatch negative.

· The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in our view, would be necessary to stabilize the government's medium-term debt dynamics.

· More broadly, the downgrade reflects our view that the effectiveness, stability, and predictability of American policymaking and political institutions have weakened at a time of ongoing fiscal and economic challenges to a degree more than we envisioned when we assigned a negative outlook to the rating on April 18, 2011.

· Since then, we have changed our view of the difficulties in bridging the gulf between the political parties over fiscal policy, which makes us pessimistic about the capacity of Congress and the Administration to be able to leverage their agreement this week into a broader fiscal consolidation plan that stabilizes the government's debt dynamics any time soon.

· The outlook on the long-term rating is negative. We could lower the long-term rating to 'AA' within the next two years if we see that less reduction in spending than agreed to, higher interest rates, or new fiscal pressures during the period result in a higher general government debt trajectory than we currently assume in our base case.

TORONTO (Standard & Poor's) Aug. 5, 2011--Standard & Poor's Ratings Services said today that it lowered its long-term sovereign credit rating on the United States of America to 'AA+' from 'AAA'. Standard & Poor's also said that the outlook on the long-term rating is negative. At the same time, Standard & Poor's affirmed its 'A-1+' short-term rating on the U.S. In addition, Standard & Poor's removed both ratings from CreditWatch, where they were placed on July 14, 2011, with negative implications.

The transfer and convertibility (T&C) assessment of the U.S.--our assessment of the likelihood of official interference in the ability of U.S.-based public- and private-sector issuers to secure foreign exchange for

debt service--remains 'AAA'.

We lowered our long-term rating on the U.S. because we believe that the prolonged controversy over raising the statutory debt ceiling and the related fiscal policy debate indicate that further near-term progress containing the growth in public spending, especially on entitlements, or on reaching an agreement on raising revenues is less likely than we previously assumed and will remain a contentious and fitful process. We also believe that the fiscal consolidation plan that Congress and the Administration agreed to this week falls short of the amount that we believe is necessary to stabilize the general government debt burden by the middle of the decade.

Our lowering of the rating was prompted by our view on the rising public debt burden and our perception of greater policymaking uncertainty, consistent with our criteria (see "Sovereign Government Rating Methodology and Assumptions ," June 30, 2011, especially Paragraphs 36-41). Nevertheless, we view the U.S. federal government's other economic, external, and monetary credit attributes, which form the basis for the sovereign rating, as broadly unchanged.

We have taken the ratings off CreditWatch because the Aug. 2 passage of the Budget Control Act Amendment of 2011 has removed any perceived immediate threat of payment default posed by delays to raising the government's debt ceiling. In addition, we believe that the act provides sufficient clarity to allow us to evaluate the likely course of U.S. fiscal policy for the next few years.

The political brinksmanship of recent months highlights what we see as America's governance and policymaking becoming less stable, less effective, and less predictable than what we previously believed. The statutory debt ceiling and the threat of default have become political bargaining chips in the debate over fiscal policy. Despite this year's wide-ranging debate, in our view, the differences between political parties have proven to be extraordinarily difficult to bridge, and, as we see it, the resulting agreement fell well short of the comprehensive fiscal consolidation program that some proponents had envisaged until quite recently. Republicans and Democrats have only been able to agree to relatively modest savings on discretionary spending while delegating to the Select Committee decisions on more comprehensive measures. It appears that for now, new revenues have dropped down on the menu of policy options. In addition, the plan envisions only minor policy changes on Medicare and little change in other entitlements,

the containment of which we and most other independent observers regard as key to long-term fiscal sustainability.

Our opinion is that elected officials remain wary of tackling the structural issues required to effectively address the rising U.S. public debt burden in a manner consistent with a 'AAA' rating and with 'AAA' rated sovereign peers (see Sovereign Government Rating Methodology and Assumptions," June 30, 2011, especially Paragraphs 36-41). In our view, the difficulty in framing a consensus on fiscal policy weakens the government's ability to manage public finances and diverts attention from the debate over how to achieve more balanced and dynamic economic growth in an era of fiscal stringency and private-sector deleveraging (ibid). A new political consensus might (or might not) emerge after the 2012 elections, but we believe that by then, the government debt burden will likely be higher, the needed medium-term fiscal adjustment potentially greater, and the inflection point on the U.S. population's demographics and other age-related spending drivers closer at hand (see "Global Aging 2011: In The U.S., Going Gray Will Likely Cost Even More Green, Now," June 21, 2011).

Standard & Poor's takes no position on the mix of spending and revenue measures that Congress and the Administration might conclude is appropriate for putting the U.S.'s finances on a sustainable footing.

The act calls for as much as $2.4 trillion of reductions in expenditure growth over the 10 years through 2021. These cuts will be implemented in two steps: the $917 billion agreed to initially, followed by an additional $1.5 trillion that the newly formed Congressional Joint Select Committee on Deficit Reduction is supposed to recommend by November 2011. The act contains no measures to raise taxes or otherwise enhance revenues, though the committee could recommend them.

The act further provides that if Congress does not enact the committee's recommendations, cuts of $1.2 trillion will be implemented over the same time period. The reductions would mainly affect outlays for civilian discretionary spending, defense, and Medicare. We understand that this fall-back mechanism is designed to encourage Congress to embrace a more balanced mix of expenditure savings, as the committee might recommend.

We note that in a letter to Congress on Aug. 1, 2011, the Congressional Budget Office (CBO) estimated total budgetary savings under the act to be at least $2.1 trillion over the next 10 years relative to its baseline assumptions. In updating our own fiscal projections, with certain modifications outlined below, we have relied on the CBO's latest "Alternate Fiscal Scenario" of June 2011, updated to include the CBO assumptions contained in its Aug. 1 letter to Congress. In general, the CBO's "Alternate Fiscal Scenario" assumes a continuation of recent Congressional action overriding existing law.

We view the act's measures as a step toward fiscal consolidation. However, this is within the framework of a legislative mechanism that leaves open the details of what is finally agreed to until the end of 2011, and Congress and the Administration could modify any agreement in the future. Even assuming that at least $2.1 trillion of the spending reductions the act envisages are implemented, we maintain our view that the U.S. net general government debt burden (all levels of government combined, excluding liquid financial assets) will likely continue to grow. Under our revised base case fiscal scenario--which we consider to be consistent with a 'AA+' long-term rating and a negative outlook--we now project that net general government debt would rise from an estimated 74% of GDP by the end of 2011 to 79% in 2015 and 85% by 2021. Even the projected 2015 ratio of sovereign indebtedness is high in relation to those of peer credits and, as noted, would continue to rise under the act's revised policy settings.

Compared with previous projections, our revised base case scenario now assumes that the 2001 and 2003 tax cuts, due to expire by the end of 2012, remain in place. We have changed our assumption on this because the majority of Republicans in Congress continue to resist any measure that would raise revenues, a position we believe Congress reinforced by passing the act. Key macroeconomic assumptions in the base case scenario include trend real GDP growth of 3% and consumer price inflation near 2% annually over the decade.

Our revised upside scenario--which, other things being equal, we view as consistent with the outlook on the 'AA+' long-term rating being revised to stable--retains these same macroeconomic assumptions. In addition, it incorporates $950 billion of new revenues on the assumption that the 2001 and 2003 tax cuts for high earners lapse from 2013 onwards, as the Administration is advocating. In this scenario, we project that the net general government debt would rise from an estimated 74% of GDP by the end of 2011 to 77% in 2015 and to 78% by 2021.

Our revised downside scenario--which, other things being equal, we view as being consistent with a possible further downgrade to a 'AA' long-term rating--features less-favorable macroeconomic assumptions, as outlined below and also assumes that the second round of spending cuts (at least $1.2 trillion) that the act calls for does not occur. This scenario also assumes somewhat higher nominal interest rates for U.S. Treasuries. We still believe that the role of the U.S. dollar as the key reserve currency confers a government funding advantage, one that could change only slowly over time, and that Fed policy might lean toward continued loose monetary policy at a time of fiscal tightening. Nonetheless, it is possible that interest rates could rise if investors re-price relative risks. As a result, our alternate scenario factors in a 50 basis point (bp)-75 bp rise in 10-year bond yields relative to the base and upside cases from 2013 onwards. In this scenario, we project the net public debt burden would rise from 74% of GDP in 2011 to 90% in 2015 and to 101% by 2021.

Our revised scenarios also take into account the significant negative revisions to historical GDP data that the Bureau of Economic Analysis announced on July 29. From our perspective, the effect of these revisions underscores two related points when evaluating the likely debt trajectory of the U.S. government. First, the revisions show that the recent recession was deeper than previously assumed, so the GDP this year is lower than previously thought in both nominal and real terms. Consequently, the debt burden is slightly higher. Second, the revised data highlight the sub-par path of the current economic recovery when compared with rebounds following previous post-war recessions. We believe the sluggish pace of the current economic recovery could be consistent with the experiences of countries that have had financial crises in which the slow process of debt deleveraging in the private sector leads to a persistent drag on demand. As a result, our downside case scenario assumes relatively modest real trend GDP growth of 2.5% and inflation of near 1.5% annually going forward.

When comparing the U.S. to sovereigns with 'AAA' long-term ratings that we view as relevant peers--Canada, France, Germany, and the U.K.--we also observe, based on our base case scenarios for each, that the trajectory of the U.S.'s net public debt is diverging from the others. Including the U.S., we estimate that these five sovereigns will have net general government debt to GDP ratios this year ranging from 34% (Canada) to 80% (the U.K.), with the U.S. debt burden at 74%. By 2015, we project that their net public debt to GDP ratios will range between 30% (lowest, Canada) and 83% (highest, France), with the U.S. debt burden at 79%. However, in contrast with the U.S., we project that the net public debt burdens of these other sovereigns will begin to decline, either before or by 2015.

Standard & Poor's transfer T&C assessment of the U.S. remains 'AAA'. Our T&C assessment reflects our view of the likelihood of the sovereign restricting other public and private issuers' access to foreign exchange needed to meet debt service. Although in our view the credit standing of the U.S. government has deteriorated modestly, we see little indication that official interference of this kind is entering onto the policy agenda of either Congress or the Administration. Consequently, we continue to view this risk as being highly remote.

The outlook on the long-term rating is negative. As our downside alternate fiscal scenario illustrates, a higher public debt trajectory than we currently assume could lead us to lower the long-term rating again. On the other hand, as our upside scenario highlights, if the recommendations of the Congressional Joint Select Committee on Deficit Reduction--independently or coupled with other initiatives, such as the lapsing of the 2001 and 2003 tax cuts for high earners--lead to fiscal consolidation measures beyond the minimum mandated, and we believe they are likely to slow the deterioration of the government's debt dynamics, the long-term rating could stabilize at 'AA+'.

On Monday, we will issue separate releases concerning affected ratings in the funds, government-related entities, financial institutions, insurance, public finance, and structured finance sectors.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.55.64
UK Pound	1	Rs.88.10
Euro	1	Rs.69.83

INFORMATION DETAILS

Report Prepared by :

PDT

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
--	NB	New Business	--

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.