Contacts:
Alan H. Oshiki
Broadgate Consultants, Inc.
(212) 232-2222
William S. Creekmuir
Simmons Company
(770) 673-2625
Simmons Company Parent Expects to Borrow
$275 Million Senior Unsecured Term Loan
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ATLANTA — February 1, 2007 — Simmons Company announced today a series of transactions in
which Simmons Holdco, Inc. (“Simmons Holdco”), an entity that will become the new parent of
Simmons Company following these transactions, expects to enter into a loan agreement with Deutsche
Bank Securities Inc., Goldman Sachs Credit Partners L.P. and Citigroup Global Markets Inc., as
arrangers, and other lenders to be named in the loan agreement, providing for a $275,000,000
aggregate principal amount senior unsecured term loan (the “Loan”).
In connection with the Loan, Simmons Company will merge with a newly formed subsidiary of
Simmons Holdco, with Simmons Company as the surviving corporation (the “Merger”). Current
holders of common stock of Simmons Company will receive in the Merger stock of Simmons Holdco
and certain stockholders will also receive cash. Following the Merger, Simmons Company will be a
wholly owned subsidiary of Simmons Holdco.
It is anticipated that Simmons Holdco will use the net proceeds from the Loan to pay transaction
expenses and cash consideration to certain current stockholders of Simmons Company in connection
with the Merger.
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About Simmons Company
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Atlanta-based Simmons Company, through its indirect subsidiary Simmons Bedding Company, is one
of the world's largest mattress manufacturers, manufacturing and marketing a broad range of products
including Beautyrest®, BackCare®, BackCare Kids® and Deep Sleep®. Simmons Bedding Company
operates 21 conventional bedding