AGM Statement

MFI Furniture Group PLC
20 May 2004


20 May 2004

                            MFI Furniture Group Plc
                               Trading Statement

MFI Furniture Group Plc issues the following comment on trading ahead of its
Annual General Meeting today.

Total orders for the Group for the period from Boxing Day 2003 to 15 May 2004
are ahead of last year by 3% (up by 1% on a same store basis).

                                        Total                 Same store
      Howden Joinery                      25%                         20%
      UK Retail                          (6)%                         (7)%
      France Retail                      27%                          16%
      Group                               3%                           1%

Howden Joinery continues to exceed expectations with total orders up 25%
compared to last year. We have introduced ranges of higher-priced worktops and
appliances and are expanding our trading space through new depot openings and
extensions. Same store growth was 20% compared to last year.

In UK Retail, total orders were down 6% with same store orders down 7%. The
three-week Easter promotion was weaker than expected, as we experienced a
decreased advertising share of voice after higher than anticipated competitor
spend in the sector. We are taking action to address marketing and promotions
for the balance of the year. We have continued to see challenging conditions in
bed and bedroom products in our out-of-town stores. As previously indicated, we
have accelerated new product development in these areas and the introduction of
new ranges, which began this month, will continue over the next three months.

Hygena Cuisines, our French retail business, continues to record a strong
performance with total orders up 27% and same store orders in local currency up
16% compared to last year. Due to timing of deliveries, the sales increase in
the first half is expected to be lower than the increase in orders.

The selling price increases adopted in the second half of 2003 in Howden Joinery
have improved the Group gross margin but this has been partly offset by
additional promotional activity within the UK Retail division.
We will announce interim results for the 24 weeks to 12 June on 22 July 2004.

Enquiries:

John Hancock             Chief Executive             Today: 020 7404 5959
Martin Clifford-King     Chief Financial Officer     Thereafter: 020 8913 5319

Susan Gilchrist          Brunswick                   020 7404 5959
Katya Reynier
Fiona Laffan



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