Tempur Sealy Tumbles After Losing Contracts With Mattress Firm
- Company says it can’t rule out adverse material sales impact
- Analysts at several firms downgrade Tempur Sealy shares
Fairgoers sample mattresses at the Iowa State Fair in Des Moines, Iowa on Aug. 15, 2011.
Photographer: Tom Williams/CQ-Roll CallThis article is for subscribers only.
Tempur Sealy International Inc. fell the most in 4 1/2 years after saying contracts for all its product lines are being terminated with retailer Mattress Firm Holdings Corp.
The maker of Tempur-Pedic, Sealy and Stearns & Foster mattresses will cease doing business with Mattress Firm during the current quarter after the companies couldn’t reach supply agreements, according to a statement Monday. Tempur Sealy said it can’t assure that the termination won’t have a material adverse impact on sales or profitability.