LANCASTER, Pa. -- Armstrong Holdings, Inc. reported 2002 second quarter net sales of $825.2 million as compared to $814.2 million in the second quarter of 2001.

Increases in Wood Flooring and Cabinets were offset by declines in the other business segments.

Operating income of $55.6 million in the second quarter of 2002 decreased 10.5 percent from $62.1 million in the second quarter of 2001. The only product segment reporting higher operating income was Wood Flooring.

Weak results in Europe, coupled with a reduced pension credit, higher medical costs and competitive pricing pressures in the U.S. were the primary causes for the year-to-year decline.

Earnings from continuing operations for the second quarter of 2002 were $27.7 million, or $0.68 per diluted share, as compared to $34.5 million, or $0.84 per diluted share, for the second quarter of 2001.