At Home Provides Response to Proposed Tariffs

PLANO, Texas, July 17, 2018 /PRNewswire/ -- At Home Group Inc. (NYSE: HOME), the home décor superstore, today provided commentary on the potential financial impact of a preliminary tariff proposal issued on July 10, 2018 by the Office of the US Trade Representative.

At Home offers a broad selection of home furnishings and accent décor with no dominant product offering, including accent furniture, candles, furniture, home organization, home textiles, housewares, frames, garden and outdoor décor, mirrors, patio, rugs, seasonal and wall art, among others. The Company has evaluated the list released by Office of the US Trade Representative and believes that a portion of its home furnishings and accent décor would be impacted by the proposed tariffs to the extent sourced from China.

The Company does not believe that the tariffs, if adopted as proposed, would have a material impact on its fiscal 2019 and fiscal 2020 financial results. At Home has an efficient and diverse supply chain with a significant number of product partners in China, the United States, Hong Kong, Belgium, Taiwan, India and Vietnam, as well as more recent partnerships in Turkey, Indonesia, Mexico and Malaysia.  At Home has also established a direct sourcing function to increase direct factory purchases rather than purchasing through agents or trading companies. This initiative represents an opportunity to improve international sourcing flexibility, reduce product costs, increase supply chain diversity and broaden the Company's access to unique and quality products.

At Home intends to continue to work with its product partners and leverage its flexible supply chain and growing scale to help offset the impact of proposed tariffs while maintaining its competitive position.  Additionally, with an average selling price of less than $15 and an average basket of approximately $65, the Company believes that in some circumstances, price adjustments could be made without materially affecting its overall customer value proposition. At Home plans to provide further updates next month in conjunction with its conference call to discuss second quarter fiscal 2019 financial results.

Forward-Looking Statements

This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. You can generally identify forward-looking statements by our use of forward-looking terminology such as "anticipate", "assumed", "believe", "continue", "could", "estimate", "expect", "intend", "may", "might", "outlook", "plan", "potential", "predict", "seek", "should", or "would", or the negative thereof or other variations thereon or comparable terminology. In particular, statements about our outlook and assumptions for financial performance for fiscal years 2019 and 2020, as well as statements about the markets in which we operate, the anticipated impact of tariffs or other trade restrictions, if implemented, and our expectations, beliefs, plans, strategies, objectives, prospects, assumptions or future events or performance contained in this press release are forward-looking statements.

We have based these forward-looking statements on our current expectations, assumptions, estimates and projections. While we believe these expectations, assumptions, estimates and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond our control. These and other important factors, including those factors described in "Item 1A. Risk Factors" of our Annual Report on Form 10-K for the fiscal year ended January 27, 2018 and other reports that we file with the Securities and Exchange Commission ("SEC"), may cause our actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements. Given these risks and uncertainties, you are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements contained in this release are not guarantees of future performance and our actual results of operations, financial condition and liquidity, and the development of the industry in which we operate, may differ materially from the forward-looking statements contained in this release. In addition, even if our results of operations, financial condition and liquidity, and events in the industry in which we operate, are consistent with the forward-looking statements contained in this release, they may not be predictive of results or developments in future periods.

Any forward-looking statement that we make in this release speaks only as of the date of such statement. Except as required by law, we do not undertake any obligation to update or revise, or to publicly announce any update or revision to, any of the forward-looking statements, whether as a result of new information, future events or otherwise, after the date of this document. In addition, the Company's comments expressed in this press release are based on the current proposal by the Office of the US Trade Representative that would impose a 10% tariff on certain categories of products imported from China.  This proposal is highly preliminary and could be subject to significant change prior to its implementation, if any.

About At Home Group Inc.

At Home (NYSE: HOME), the home décor superstore, offers more than 50,000 on-trend home products to fit any budget or style, from furniture, mirrors, rugs, art and housewares to tabletop, patio and seasonal decor. At Home is headquartered in Plano, Texas, and currently operates 164 stores in 35 states. For more information, please visit us online at investor.athome.com.

Investor Relations:
ICR, Inc.
Farah Soi/Shannon Devine
203.682.8200
[email protected]  
[email protected]

At Home
Bethany Perkins
972.265.1326
[email protected]  

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SOURCE At Home Group Inc.