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Investor Group Signs Letter Of Intent to Purchase 1-800-MATTRESS Assets


March 18, 2009 - Leading bedding retailer said this past week that it had signed a letter of intent to sell the company to Dial Mattress Acquisition, LLC, a group led by mattress industry veteran Ken Mazda.


Under terms of the agreement, both parties have committed to a swift due diligence process after which the new group will make a capital infusion into the company to continue to grow the brand.


Following the closing, Mazda will serve as the chief executive of the company. Upon the signing of the letter of intent, he assumed responsibility for day-to-day operations of the company. Napoleon Barragan, who founded the company more than 30 years ago, will serve as a consultant and advisor to the new company, as well as focusing efforts on international business development.


“ is one of the nation’s best known brands, and we believe the only truly iconic brand in the mattress industry. Everyone knows the slogan and leaving the last ‘s’ off for savings, which we believe presents a significant market opportunity for us in the future,” said Mazda.


“Personally, I am very excited about this opportunity for our customers, employees and vendors. The experience the new investment group brings from both the manufacturing and retail perspective will make the company and our brand stronger in the future,” said Barragan.


Mazda is best known for building Nationwide Discount Sleep Centers into the 60-store dominant mattress retailer in the Philadelphia market, which he and his partners sold to Mattress Giant in the late 90s. He joined in the summer of 2008 in a senior role ultimately overseeing day-to-day operations of the company.


Founded in 1976, is the leading national multi-channel (internet, chat, call center and showrooms) retailer of mattresses, box springs and bedding products. It features products by Sealy, Serta, Simmons, Tempurpedic and King Koil among others from its 30 beds and mattress menu, including custom sizes, sofa beds, Murphy beds, futons, and adjustable and organic beds. Its award winning customer service is well chronicled in thousands of media articles and books. The company was also the first mattress retailer to introduce a two-hour delivery window, and fast national and international delivery of its products. Its business-to-business sales division supplies schools, hospitals, hotels and other institutions.


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