Stanley Furniture Company, Inc., now HG Holdings, Inc. held a special meeting of stockholders at which the stockholders approved the sale of substantially all of the Company's assets to Churchill Downs LLC, according to the terms of the Asset Purchase Agreement. In connection with the Asset Sale, Matthew W. Smith, resigned as Interim Chief Executive Officer effective March 2, 2018. Effective as of March 2, 2018, Steven A. Hale II, Chairman of the Company's Board of Directors, was elected Chief Executive Officer of the Company.

In connection with the Asset Sale, Anita W. Wimmer has advised she will terminate her employment with the Company and resign as Vice President-Finance/Corporate Controller effective March 31, 2018. Bradley G. Garner has been elected as the Company's Principal Financial and Accounting Officer effective April 1, 2018. Mr. Hale has served as a director of the Company since February 2017 and as Chairman of the Company's Board of Directors since November 2017.

Bradley G. Garner, age 35, is the Chief Financial Officer and Partner of Hale Partnership Capital Advisors, LLC ("HP"), the manager of Hale Partnership Fund L.P., MGEN II - Hale Fund L.P., and Clark - Hale Fund, L.P., positions he has held since 2015.