Investment Analysts: Zhi Cheng (Nicole) Low Zulay Sosa Bazante Zulay Sosa Bazante Yanan (Phoebe) Tan Yanan (Phoebe) Tan Sashikanth (Sash) Yenika

Screening ProcessCompany OverviewMacroeconomic AnalysisIndustry OverviewFinancial AnalysisFinancial ProjectionValuationTechnical AnalysisRecommendation Agenda

Market Cap mm Sector Consumer Discretionary No. of Analysts <=3 LTM Revenue mm Operating margin > 10% Debt to capital ratio < Screening Process

Designs, markets and distributes infant and toddler products including bedding, blankets and other nursery accessories Designs, markets and distributes bibs, bath items and other accessories CRWS 20th Annual BURKENROAD REPORTS Investment Conference Presentation Crown Crafts, Inc. Crown Crafts Infant Products, Inc. Hamco, Inc. Company founded in Northern GA Purchased Toddler Bedding business from Springs Global Listed on NASDAQ IPO on AMEX Purchased Neat Solutions Purchased Bibsters from P&G Became Debt Free Company Overview

Product Sourcing Customers Design & Styling Licensed Products Produced by foreign and domestic manufacturer, with the largest concentration in China Trendy Creative theme Incorporate images of licensed brands into the products Sales of licensed products represent 63% of company’s gross sales Licensed brands include Carter’s, Disney, Hello Kitty and Nautica Kids, etc. Mass merchants, mid-tier retailers, juvenile specialty stores, value channel stores, grocery and drug stores, restaurants, internet accounts and wholesale clubs Major customers are Wal-Mart (36%) and Toys R Us (25%) CRWS K Company Overview

Crown Crafts Infant Products, Inc. Crib Bedding Blanket Toddler Bedding Hamco. Bibs and Burp Solutions Bath Solutions On-the-go Solutions Major Product Lines

Sales by Operating Subsidiaries Sales by Products Sales by Regions CRWS K Sales Breakdown

CRWS 20th Annual BURKENROAD REPORTS Investment Conference Presentation Dominant Distribution Channels

Compton, CA Bentonville, ARShanghai, China Gonzales, LA Headquartered for Crown Crafts Infant Products, Inc. 84 Employees Design; Product Development; Sourcing; Sales Major Distribution Facility for North America Hamco. /Neat Solutions Headquarter 38 Employees Design; Product Development; Sourcing; Sales Corporate Headquarter Finance; Accounting; HR; IT 3 employees Administrative office in support of sales to Walmart 8 employees Foreign Representative Office Production; Purchases; Shipments; Vendor Selection; Vendor Inspections for quality and social compliance CRWS 20th Annual BURKENROAD REPORTS Investment Conference Presentation Company Locations

E. Randall Chestnut Chairman, President & CEO Has been with the company since 1995, and has become the CEO since 2001 Maestro of strategic transformation Made cost cuts and shrewd acquisitions Olivia W. Elliott CFO Has been with the company since 2001, and has become the CFO since 2008 Graduated from Louisiana State University Started her career at Deloitte as a public accountant in 1991 Capital IQ; Management Team & Ownerships

Average employees’ length of service is 12.8 years Over 51% of employees work more than 10 years Employee turnover is pretty low One of the Investment Highlights CRWS 20th Annual BURKENROAD REPORTS Investment Conference Presentation Employees’ Length of Services

Target.com; Walmart.com; Amazon.com Customer Reviews

SWOT Analysis

Industry Overview: Baby Durables Base Forecast Mintel Academic - Consumer Market Analysis Slow, but positive growth projected through 2020 Projected average annual growth rate of less than 1% from Renewed optimism helps support the market: For the first time since 2007, birth rates turned positive in 2014.

Macroeconomic Analysis Key Economic Drivers Left: IBISWorld; Right: Center for Disease Control, National Vital Statistics Reports Women are having children later in life: The mean age of mothers at first birth was at an all-time high in 2014 at This could bode well for the market if these women are at more financially stable points in their careers and lives; they could have more disposable income and be targets for higher-end products.

Macroeconomic Analysis IBISWorld Demand will rise as Americans begin to feel financially secure enough to have children Key Economic Drivers

Porter’s Five Forces Low High Moderate Bargaining Power of Supplier: Concentrated industry with few suppliers. Threat of Substitutes: No direct substitutes. Rivalry among Competitors: Large number of companies offer homogenous products. Bargaining Power of Buyers: Big retail companies have access to exclusive product agreements with manufacturers. Threat of New Entrants: Existing exclusive agreements between wholesalers and retailers may make it more challenging for new entrants to secure supply of certain merchandise. IBIS World, Group Estimates

Financial Analysis: Liquidity & Profitability CRWS Annual 10-K, Group Calculation

Financial Analysis: Leverage & Activity CRWS Annual 10-K, Group Calculation

Greenblatt Ratios & Dupont Analysis CRWS Annual 10-K, Group Calculation

Projections Assumptions:  Stable trend for DSO, DSI and DPO  Gross PPE increases considering 10 year average of Capex % of Sales  Long term debt is assumed to be 0

Projections Assumptions:  Revenue forecast considers increase of number of births and increase of disposable income per capita  Special dividend of $0.25 to be paid in 2019

Discount Rate

DCF Analysis

Crown Crafts Vs Kids Brands 10-K and Capital IQ

Comparable Companies Company NameCompany Description Revenue (In $m) M.Cap (In $m) Brands Dorel Industries Designs and manufactures juvenile products, bicycles and home furnishings 2, Safety 1 st, Maxi-Cosi, Quinny, Tiny Love, Bebe Confort, Cosco, Infanti, Baby Art The Children’s Place Retail Stores Inc. Specialty retailer of children’s apparel and accessories 1,7261,485 The Children’s Place, Place, Baby Place Carter’s Inc. Branded marketer of apparel and related products exclusively for babies and young children in the US and Canada 3,0535,416 Just One You, Precious Firsts, Genuine Kids, Child of Mine 10-K and Capital IQ

Relative Valuation 10-K and Capital IQ CRWS (In $m, except per share data)

Technical Analysis 10-K and Capital IQ Price crosses 50-week Moving Average Price crosses 200-day Moving Average

Final Recommendation