The Dixie Group Acquires Colormaster Facility

  The Dixie Group Acquires Colormaster Facility

Business Wire

CHATTANOOGA, Tenn. -- November 05, 2012

The Dixie Group, Inc. (NASDAQ: DXYN) today announced that on Friday, November
2, 2012, the Company acquired the Colormaster carpet dyeing facility in
Calhoun, Georgia from Lineage PCR, Inc.

The Dixie Group (www.thedixiegroup.com) is a leading marketer and manufacturer
of carpet and rugs to higher-end residential and commercial customers through
the Fabrica International, Masland Carpets, Dixie Home, Masland Contract and
Whitespace brands.

Statements in this news release, which relate to the future, are subject to
risk factors and uncertainties that could cause actual results to differ
materially from those indicated in such forward-looking statements. Such
factors include the levels of demand for the products produced by the Company.
Other factors that could affect the Company’s results include, but are not
limited to, raw material and transportation costs related to petroleum prices,
the cost and availability of capital, and general economic and competitive
conditions related to the Company’s business. Issues related to the
availability and price of energy may adversely affect the Company’s
operations. Additional information regarding these and other risk factors and
uncertainties may be found in the Company’s filings with the Securities and
Exchange Commission.

Contact:

The Dixie Group, Inc.
Jon Faulkner, 706-876-5814
Chief Financial Officer
jon.faulkner@dixiegroup.com