Trading Statement

MFI Furniture Group PLC
19 May 2005


19 May 2005
                            MFI Furniture Group Plc
                               Trading Statement

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

Total sales for the Group for the 20 week period to 14 May 2005 were ahead of
last year by 4% (2% on a same store basis) in a more uncertain trading
environment. Total net orders were ahead of last year by 2% (1% down on a same
store basis).

Howden Joinery

Howden Joinery total sales were up 7% on the same period in 2004 and same store
growth was up 4%. Management focus in the early part of the year on margin
improvement in mature depots has resulted in gross margins being ahead of last
year. Actions are now in hand to increase sales growth in mature depots for the
remainder of 2005. The planned opening of 40 new depots and 30 extensions are on
track.

UK Retail

As announced in March, the earlier timing of Easter this year resulted in the
Winter Sale in 2005 concluding two weeks earlier than the Winter Sale in 2004.
Net orders in the 12 weeks to 19 March 2005 were £313m (including a 10 week
Winter Sale) compared to £340m in 2004 (comprising a 12 week Winter Sale). Net
orders in the next eight weeks to 14 May 2005 were £122m compared to £102m in
2004 and include an Easter Sale of equivalent length in each year. The increase
reflects a better performance during the Easter Sale, which benefited from a
more effective promotional stance relative to last year, and a similar level of
net orders since.

Cumulatively, total net orders for the first 20 weeks were 2% below last year
and total sales were 1% above 2004. On a same store basis, orders were 4% lower
than last year for the first 20 weeks and sales were 1% lower than last year.

Since the March update, there has been some improvement in the UK Retail gross
margin relative to management expectations at that time. However, consistent
with the position at the March trading update, there has been a double-digit
growth in volumes and a corresponding increase in logistics costs.

The supply chain and system performance is stable with both volume and value of
deliveries ahead of last year. The system issues experienced in 2004 have
resulted in £5m of operating exceptional costs being incurred in 2005.

Hygena Cuisines

Hygena Cuisines, our French retail business, continues to record a strong
performance with total orders up 11% and same store orders in local currency up
7% on the same period last year.

MFI's interim results for the 24 weeks to 11 June will be announced on 21 July
2005.


Enquiries:

John Hancock        Chief Executive Officer               020 7404 5959
Mark Robson         Chief Financial Officer               020 7404 5959

Susan Gilchrist     Brunswick                             020 7404 5959
Fiona Laffan
Anna Jones


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