Company Update
November 2025
LEG (NYSE)
https://www.leggett.com
A diversified manufacturer that designs and produces a broad variety of engineered components and products
Leggett at a Glance
Strong competitive positions with
broad customer base
Few large competitors
Large addressable markets
Solid operating cash flow • Long history of strong cash generation to support investment in
our business and shareholder returns
Prioritizing balance sheet health • Investment grade credit rating
Long-term leverage target of 2.0x Net Debt to Adjusted EBITDA
Engaged management team • Deep company knowledge and understanding of our diverse
portfolio of businesses
Commitment to sustainability through our people, our products, and our processes
Focused on improving long-term
profitability
Restructuring plan nearly complete and operational efficiency improvements continue
At a Glance: Diverse Portfolio
Product Mix
(based on 2025 estimated net trade sales)
Geographic Split
(based on production)
Bedding 39%
Automotive 19%
Aerospace* 3%
Hydraulic Cylinders 5%
China 10%
Canada 7%
Mexico 5%
Others 3%
Flooring & Textiles 21%
* Aerospace divested August 29, 2025
Work Furniture 7%
Home Furniture 6%
Europe 15%
U.S. 60%
At a Glance: Segments
Bedding Products
Specialized Products
Furniture, Flooring & Textile Products
39% of 2025e net trade sales 27% of 2025e net trade sales 34% of 2025e net trade sales
Components
Mattress springs
Specialty bedding foams
Semi-finished mattresses
Drawn steel wire
Steel rod
Finished Products
Private label compressed mattresses
Mattress toppers and pillows
Adjustable beds
Foundations
Automotive
Auto seat support and lumbar systems
Motors, actuators, and cables
Hydraulic Cylinders
Hydraulic cylinders primarily for material handling, transportation, and heavy construction equipment
Aerospace*
Tubing and Tube assemblies
Flexible joints
*Aerospace divested August 29, 2025
Home Furniture
Recliner mechanisms
Seating and sofa sleeper components
Work Furniture
Chair controls, bases, frames
Private label finished seating
Flooring Products
Carpet cushion
Hard surface underlayment
Textile Products
Textile converting
Geo components
4
Key Economic Indicators
Total housing turnover
Combination of new and existing home sales
Consumer confidence
"Large ticket" purchases are deferrable
Consumer discretionary spending
Interest rates
Employment levels
At a Glance: Macro Market Exposure
Over time, sustained improvement in key economic factors should drive multi-year recovery for our residential businesses that were hit hardest in recent years
Automotive 20%
Commercial/ Industrial 25%
Consumer Durables 55%
5
Tariff Impacts
Rod & Wire
Domestic steel tariffs have led to expanded metal margins which are a benefit to us
Seeking opportunities to serve new customers
US Spring
We are strategically positioned to take on new customers shifting from imports
Competitive pressure from low-cost imports remains high due to evolving tariff strategies
Specialty Foam
Limited exposure on imported chemicals; currently excluded from tariffs
Identifying alternative sources for materials most impacted by tariffs
Hydraulic Cylinders
Impacts on sourcing intercompany product from India; evaluating shifting production to other locations
Domestic production provides an advantage vs some competitors
Adjustable Bed
Significant sourcing exposure on imported finished product and components, including electronics from China
Exiting domestic production that was disadvantaged vs imports
Largest indirect exposure; limited direct exposure
Automotive
Mainly domestic business with immaterial exposure to imported raw materials
Flooring
Significant global sourcing with ability to resource to lowest total cost regions
Well positioned to serve customers that may face supply disruption from their existing vendors
Textiles
Limited sourcing exposure and sales from foreign locations into U.S.
Opportunities to serve customers desiring domestically-produced finished furniture and components
Work Furniture
Meaningful disruptions in early Q2 that normalized with the delay of tariffs
Established SE Asian production to be at par with competitors and reduce impacts from tariffs
Home Furniture
Tariff Mitigation Strategy and Risks
Mitigation Strategies
Sourcing product domestically or from alternative lowest total cost countries
Shifting production to take advantage of our global footprint
Passing along price increases where necessary
Heightened sensitivity on inventory management
Potential Risks
↓ Rise in inflation in the near term
↓ Decline in consumer confidence
↓ Decrease in consumer demand
Currently, we expect tariffs to be a net positive for Leggett
↓ Disruptions to global supply chains
Foreign Direct Sourcing Exposure by Country
~$400m annual spend (prior to tariff implementation)
Other 5%
China 25%
Mexico 30%
Europe 10%
Other Asia* 30%
~60% of our trade sales are produced and consumed in the U.S.
Strategic Priorities
Balance Sheet Strength
Margin Improvement
Long-Term Profitable Growth
Prioritizing long-held financial strength
Disciplined capital allocation strategy
Optimizing operations and G&A cost structure
Executing restructuring plan
Operational efficiency improvement initiatives
Positioning for profitable growth opportunities in Bedding, Automotive, and Textiles
Our actions will allow us to navigate the challenging near-term environment and position us for long-term success
Disciplined Capital Allocation Strategy
A balanced approach focused on driving shareholder value
STRATEGIC PRIORITIES:
Balance Sheet Strength
Upholding long-held balance sheet strength and continuing to invest in our businesses
Near-Term Focus: ✓ Targeting long-term Net Debt to Adjusted EBITDA ratio of 2.0x
For 2025, we plan to continue to use most of our excess cash flow to reduce net debt, while also considering other uses such as small strategic acquisitions and share repurchases.
ORGANIC GROWTH
Long-Term Priorities
Investing in our businesses for the future
Robust innovation pipeline
STRATEGIC ACQUISITIONS
Primarily opportunities complementing our existing portfolio of businesses
SHAREHOLDER RETURNS
Dividends
Opportunistic share repurchases
Restructuring Initiatives Update
YTD 2025 Progress
STRATEGIC PRIORITIES:
Margin Improvement
Bedding Products
Divested a small U.S. machinery business
Sold 2 properties
Largely completed Specialty Foam restructuring
Consolidated 1 Specialty Foam production facility
Furniture, Flooring & Textile Products
Completed Phase 1 and launched Phase 2 of Flooring Products restructuring
Consolidated 2 Flooring Products production facilities
Sold 1 property
Specialized Products
Continued implementation of manufacturing efficiency improvement activities in Hydraulic Cylinders
Right-sized our Hydraulic Cylinders plant in the UK
Additional Expectations
Bedding Products
Complete Specialty Foam consolidation
Furniture, Flooring & Textile Products
Complete Phase 2 of Flooring Products restructuring
Specialized Products
Complete Hydraulic Cylinders restructuring