----

**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**WASHINGTON,      D.C. 20549**

**Form      10-Q**

| **[X]** | **QUARTERLY                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                ACT OF                1934** |
|---------|------------------------------------------------------------------------------------------------------------------------------------------|

*For      the      quarterly period ended **March 31***
***,      2007***

*or*

| **[                ]** | **TRANSITION                REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE                ACT OF                1934** |
|------------------------|--------------------------------------------------------------------------------------------------------------------------------------------|

*for      the      transition period from *
* *
*      to*
* *
*.*

**STANLEY      FURNITURE COMPANY, INC.**

|                                                                                         | **Delaware**                                        |   | **54-1272589** |   |
|----------------------------------------------------------------------------------------------|-----------------------------------------------------|--------|----------------|--------|
| (State                or                other jurisdiction of incorporation or organization) | (I.R.S.                Employer Identification No.) |

**1641      Fairystone Park Highway, Stanleytown, Virginia 24168**

**(276)      627-      2000**

**April**
**      13,      2007,**
**10,592,879      **

----

**ITEM        1.**
**CONSOLIDATED        FINANCIAL STATEMENTS**

**STANLEY        FURNITURE COMPANY, INC.**

|                                                                                                                                                                      |   |  (unaudited)                    |        |                                |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------|-------------|-------------------------------------|--------|
|                                                                                                                                                                      |   |  **March                  31,** |        |  December                  31, |   |
|                                                                                                                                                                      |   |  **2007**                       |        |  2006                          |   |
| **ASSETS**                                                                                                                                                                |   |                                 |        |                                |   |
| Current                  assets:                                                                                                                                          |   |                                 |        |                                |   |   |   |
| Cash                                                                                                                                                                      |   | **$**                                | **2,332**   |                                | $      | 6,269 |   |
| Accounts                  receivable, less allowances of $1,783 and $1,554                                                                                                |   |                                 | **35,314**  |                                |   | 32,260 |   |
| Inventories:                                                                                                                                                              |   |                                 |        |                                |   |   |   |
|  Finished                  goods                                                                                                                                     |   |                                 | **42,213**  |                                |   | 45,172 |   |
|  Work-in-process                                                                                                                                                     |   |                                 | **4,559**   |                                |   | 5,183 |   |
|  Raw                  materials                                                                                                                                      |   |                                 | **9,495**   |                                |   | 9,009 |   |
|  Total                  inventories                                                                                                                                  |   |                                 | **56,267**  |                                |   | 59,364 |   |
|                                                                                                                                                                      |   |                                 |        |                                |   |   |   |
| Prepaid                  expenses and other current assets                                                                                                           |   |                                 | **925**     |                                |   | 2,085 |   |
| Deferred                  income taxes                                                                                                                                    |   |                                 | **3,817**   |                                |   | 3,928 |   |
| Total                  current                  assets                                                                                                                    |   |                                 | **98,655**  |                                |   | 103,906 |   |
|                                                                                                                                                                      |   |                                 |        |                                |   |   |   |
| Property,                  plant and equipment, net                                                                                                                       |   |                                 | **48,571**  |                                |   | 49,159 |   |
| Goodwill                                                                                                                                                                  |   |                                 | **9,072**   |                                |   | 9,072 |   |
| Other                  assets                                                                                                                                             |   |                                 | **223**     |                                |   | 541 |   |
| Total                  assets                                                                                                                                             |   | **$**                                | **156,521** |                                | $      | 162,678 |   |
|                                                                                                                                                                      |   |                                 |        |                                |   |   |   |
| **LIABILITIES**                                                                                                                                                           |   |                                 |        |                                |   |   |   |
| Current                  liabilities:                                                                                                                                     |   |                                 |        |                                |   |   |   |
| Current                  maturities of long-term debt                                                                                                                     |   | **$**                                | **2,857**   |                                | $      | 2,857 |   |
| Accounts                  payable                                                                                                                                         |   |                                 | **17,053**  |                                |   | 17,789 |   |
| Accrued                  salaries, wages and benefits                                                                                                                     |   |                                 | **10,237**  |                                |   | 9,868 |   |
| Other                  accrued                  expenses                                                                                                                  |   |                                 | **2,194**   |                                |   | 1,356 |   |
| Total                  current                  liabilities                                                                                                               |   |                                 | **32,341**  |                                |   | 31,870 |   |
|                                                                                                                                                                      |   |                                 |        |                                |   |   |   |
| Long-term                  debt, exclusive of current maturities                                                                                                          |   |                                 | **5,714**   |                                |   | 5,714 |   |
| Deferred                  income taxes                                                                                                                                    |   |                                 | **7,257**   |                                |   | 7,422 |   |
| Other                  long-term liabilities                                                                                                                              |   |                                 | **7,976**   |                                |   | 8,025 |   |
| Total                  liabilities                                                                                                                                        |   |                                 | **53,288**  |                                |   | 53,031 |   |
|                                                                                                                                                                      |   |                                 |        |                                |   |   |   |
| **STOCKHOLDERS’                  EQUITY**                                                                                                                           |   |                                 |        |                                |   |   |   |
| Common                  stock,                  $.02 par value, 25,000,000 shares authorized10,592,879 and                  10,928,610 shares issued and outstanding |   |                                 | **212**     |                                |   | 219 |   |
| Capital                  in                  excess of par value                                                                                                          |   |                                 | **114**     |                                |   | 59 |   |
| Retained                  earnings                                                                                                                                        |   |                                 | **107,624** |                                |   | 114,189 |   |
| Accumulated                  other comprehensive loss                                                                                                                     |   |                                 | **(4,717**  | **)**                               |   | (                  4,820 | ) |
| Total                  stockholders’ equity                                                                                                                         |   |                                 | **103,233** |                                |   | 109,647 |   |
| Total                  liabilities and stockholders’ equity                                                                                                         |   | **$**                                | **156,521** |                                | $      | 162,678 |   |

----

**STANLEY        FURNITURE COMPANY, INC.**

|                                                                               |   | Three                  Months  |       |
|------------------------------------------------------------------------------------|--------|--------------------------------|------------|
|                                                                               |   | Ended                     |       |
|                                                                               |   | **March                  31,** |       | April                  1, |   |
|                                                                               |   | **2007**                  |       | 2006  |   |
|                                                                               |   |                           |       |   |   |   |   |
| Net                  sales                                                         |   | **$**                          | **75,108** |   | $ | 83,524 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Cost                  of                  sales                                    |   |                           | **61,614** |   |   | 63,766 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Gross                  profit                                                      |   |                           | **13,494** |   |   | 19,758 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Selling,                  general and administrative expenses                      |   |                           | **10,415** |   |   | 11,128 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Operating                  income                                                  |   |                           | **3,079**  |   |   | 8,630 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Other                  income                  (expense), net                      |   |                           | **(68**    | **)** |   | 93 |   |
| Interest                  income                                                   |   |                           | **27**     |   |   | 110 |   |
| Interest                  expense                                                  |   |                           | **517**    |   |   | 524 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Income                  before                  income taxes                       |   |                           | **2,521**  |   |   | 8,309 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Income                  taxes                                                      |   |                           | **845**    |   |   | 2,917 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Net                  income                                                        |   | **$**                          | **1,676**  |   | $ | 5,392 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Earnings                  per                  share:                              |   |                           |       |   |   |   |   |
|                                                                               |   |                           |       |   |   |   |   |
| Basic                                                                              |   | **$**                          | **.16**    |   | $ | .44 |   |
| Diluted                                                                            |   | **$**                          | **.15**    |   | $ | .43 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Weighted                  average shares outstanding:                              |   |                           |       |   |   |   |   |
|                                                                               |   |                           |       |   |   |   |   |
| Basic                                                                              |   |                           | **10,761** |   |   | 12,264 |   |
| Diluted                                                                            |   |                           | **10,994** |   |   | 12,567 |   |
|                                                                               |   |                           |       |   |   |   |   |
| Cash                  dividend                  declared and paid per common share |   | **$**                          | **.10**    |   | $ | .08 |   |
|                                                                               |   |                           |       |   |   |   |   |

----

**STANLEY            FURNITURE COMPANY, INC.**

|                                                                                                                              |   | Three Months                        Ended  |                                                                                                              |
|------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------|
|                                                                                                                         |   | **March                        31,**                 |                                                                                                              | April 30,  |   |
|                                                                                                                         |   | **                          2007**         |                                                                                                              |               2006  |   |
| **Cash                        flows from operating activities:**                                                             |   |                                                 |                                                                                                              |   |   |   |   |
| Cash                        received                        from customers                                                   |   | **$**                                                | **72,016**                                                                                                        |   | $ | 80,251 |   |
| Cash                        paid to                        suppliers and employees                                           |   |                                                 | **(66,003**                                                                                                       | **)** |   | (68,651 | ) |
| Interest                        paid, net                                                                                    |   |                                                 | **16**                                                                                                            |   |   | 110 |   |
| Income                        taxes                        paid, net                                                         |   |                                                 | **(511**                                                                                                          | **)** |   | (495 | ) |
| Net                        cash provided by operating                        activities                                      |   |                                                 | **5,518**                                                                                                         |   |   | 11,215 |   |
|                                                                                                                         |   |                                                 |                                                                                                              |   |   |   |   |
| **Cash                        flows from investing activities:**                                                             |   |                                                 |                                                                                                              |   |   |   |   |
| Capital                        expenditures                                                                                  |   |                                                 | **(1,126**                                                                                                        | **)** |   | (216 | ) |
| Purchase                        of                        other assets                                                       |   |                                                 |                                                                                                              |   |   | (17 | ) |
| Net                        cash used by investing                        activities                                          |   |                                                 | **(1,126**                                                                                                        | **)** |   | (233 | ) |
|                                                                                                                         |   |                                                 |                                                                                                              |   |   |   |   |
| **Cash                        flows from financing activities:**                                                             |   |                                                 |                                                                                                              |   |   |   |   |
| Purchase                        and                        retirement of common stock                                        |   |                                                 | **(7,252**                                                                                                        | **)** |   | (1,252 | ) |
| Dividends                          paid                                                                                      |   |                                                 | **(1,077**                                                                                                        | **)**  |   | (982 | )  |
| Proceeds                        from                        exercised stock options                                          |   |                                                 |                                                                                                              |   |   | 453 |   |
| Tax                        benefit                        from exercise of stock options                                     |   |                                                 |                                                                                                              |   |   |    161 |   |
| Net                        cash used by financing                        activities                                          |   |                                                 | **(8,329**                                                                                                        | **)** |   | (1,620 | ) |
|                                                                                                                         |   |                                                 |                                                                                                              |   |   |   |   |
| Net                        increase                        (decrease) in cash                                                |   |                                                 | **(3,937**                                                                                                        | **)** |   | 9,362 |   |
| Cash                        at                        beginning of period                                                    |   |                                                 | **6,269**                                                                                                         |   |   | 12,556 |   |
| **Cash                        at end of                        period**                                                      |   | **$**                                                | **2,332**                                                                                                         |   | $ | 21,918 |   |
|                                                                                                                         |   |                                                 |                                                                                                              |   |   |
| **Reconciliation                        of net income to net cash provided by operating                        activities:** |   |                                                 |                                                                                                              |   |   |
| Net                        income                                                                                            |   | **$**                                                | **1,676**                                                                                                         |   | $ | 5,392 |   |
| Depreciation                                                                                                                 |   |                                                 | **1,532**                                                                                                         |   |   | 1,464 |   |
| Deferred                        income taxes                                                                                 |   |                                                 | **(55**                                                                                                           | **)** |   | (210 | ) |
| Tax                        benefit from exercise of stock                        options                                     |   |                                                 |                                                                                                              |   |   |  (161 | )  |
| Stock-based                        compensation                                                                              |   |                                                 | **114**                                                                                                           |   |   | 72  |   |
|                             Other, net                                                         |   |                                                 |                                     **194** |   |   | 6  |   |
| Changes                        in assets and                        liabilities:                                             |   |                                                 |                                                                                                              |   |   |   |   |
| Accounts                        receivable                                                                                   |   |                                                 | **(3,054**                                                                                                        | **)** |   | (3,277 | ) |
| Inventories                                                                                                                  |   |                                                 | **3,097**                                                                                                         |   |   | 4,844 |   |
| Prepaid                        expenses and other current                        assets                                      |   |                                                 | **1,116**                                                                                                         |   |   | 478 |   |
| Accounts                        payable                                                                                      |   |                                                 | **(736**                                                                                                          | **)**  |   | 58 |   |
| Accrued                        salaries, wages and                        benefits                                           |   |                                                 | **531**                                                                                                           |   |   | (994 | )  |
| Other                        accrued expenses                                                                                |   |                                                 | **801**                                                                                                           |   |   | 3,270 |   |
| Other                        assets                                                                                          |   |                                                 | **351**                                                                                                           |   |   | 312 |   |
| Other                        long-term                        liabilities                                               |   |                                                 | **(49**                                                                                                           | **)** |   | (39 | ) |
| Net                        cash provided by operating                        activities                                      |   | **$**                                                | **5,518**                                                                                                         |   | $ | 11,215 |   |

----

**STANLEY        FURNITURE COMPANY, INC.**

| 1. | **Preparation                  of Interim Unaudited Consolidated Financial                  Statements** |
|----|----------------------------------------------------------------------------------------------------------|

| 2. | **Property,                  Plant and Equipment** |
|----|----------------------------------------------------|

|                                                          |   | **March                    31,**  |        | December                    31,  |   |
|---------------------------------------------------------------|--------|----------------------------------------|-------------|---------------------------------------|--------|
|                                                          |   | **2007 **                         |        | 2006                             |   |
| Land                    and                    buildings      |   | **$**                                  | **41,225**  |                                  | $      | 40,887 |   |
| Machinery                    and                    equipment |   |                                   | **79,841**  |                                  |   | 79,051 |   |
| Office                    furniture and equipment             |   |                                   | **1,452**   |                                  |   | 1,452 |   |
| Construction                    in process               |   |                                   | **1,829**   |                                  |   | 2,071 |   |
| Property,                    plant and equipment, at cost     |   |                                   | **124,347** |                                  |   | 123,461 |   |
| Less                    accumulated depreciation              |   |                                   | **75,776**  |                                  |   | 74,302 |   |
| Property,                    plant and equipment, net         |   | **$**                                  | **48,571**  |                                  | $      | 49,159 |   |

| 3. | **Debt** |
|----|----------|

|                                                                                   |   | **March                    31,**   |      | December                  31,  |   |
|----------------------------------------------------------------------------------------|--------|----------------------------------------------|-----------|-------------------------------------|--------|
|                                                                                   |   | **2007 **                          |      | 2006                      |   |
| 7.43%                    senior                    notes due through November 18, 2007 |   | **$**                                        | **1,428** |                                | $      | 1,428 |   |
| 6.94%                    senior                    notes due through May 3, 2011       |   |                                         | **7,143** |                                |   | 7,143 |   |
| Total                                                                                  |   |                                         | **8,571** |                                |   | 8,571 |   |
| Less                    current                    maturities                          |   |                                         | **2,857** |                                |   | 2,857 |   |
| Long-term                    debt, exclusive of current maturities                     |   | **$**                                        | **5,714** |                                | $      | 5,714 |   |

----

**Employee        Benefits Plans**

|                                              |   | Three                  Months                  Ended  |     |
|---------------------------------------------------|--------|------------------------------------------------------------|----------|
|                                              |   | **March                  31,**                             |     | April                  1, |   |
|                                              |   | **2007**                                              |     | 2006  |   |
| Interest                  cost                    |   | **$**                                                      | **123**  |   | $ | 237 |   |
| Expected                  return on plan assets   |   |                                                       | **(113** | **)** |   | (244 | ) |
| Amortization                  of accumulated loss |   |                                                       | **130**  |   |   | 130 |   |
| Net                  cost                         |   |                                                       | **140**  |   |   | 123 |   |
| Settlement                  expense               |   |                                                       |     |   |   | 216 |   |
| Total                  expense                    |   | **$**                                                      | **140**  |   | $ | 339 |   |

|                                                                       |   | Three                  Months                  Ended  |   |
|----------------------------------------------------------------------------|--------|------------------------------------------------------------|--------|
|                                                                       |   | **March                  31,**                             |   | April                  1, |   |
|                                                                       |   | **2007**                                              |   | 2006  |   |
| Service                  cost                                              |   | **$**                                                      | **21** |   | $ | 24 |   |
| Interest                  cost                                             |   |                                                       | **39** |   |   | 44 |   |
| Amortization                  of transition obligation                     |   |                                                       | **32** |   |   | 33 |   |
| Amortization                  of prior service cost                        |   |                                                       | **(2** | **)** |   |   |   |
| Amortization                  of accumulated loss                     |   |                                                       | **6**  |   |   | 11 |   |
| Net                  periodic                  postretirement benefit cost |   | **$**                                                      | **96** |   | $ | 112 |   |

| 5. | **Stockholders’                  Equity** |
|----|-------------------------------------------------|

|                                                                                                                    | Three                  Months                  Ended  |
|-------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------|
|                                                                                                                    | **March                  31,**                             |   | April                  1, |
|                                                                                                                    | **2007**                                              |   | 2006  |
| Weighted                  average shares outstandingfor                  basic                  calculation             |  **10,761**                                           |   |  12,264 |
| Add:                  Effect                  of dilutive stock options                                                 | **233**                                                    |   | 303 |
| Weighted                  average shares outstanding,adjusted                  for                  diluted calculation |  **10,994**                                           |   |  12,567 |

----

|                                                         |   |        |    |                        |   |     |   | Accumulated   |        |
|--------------------------------------------------------------|--------|-------------|---------|-----------------------------|--------|----------|--------|---------------|-------------|
|                                                         |   |        |    | Capital                  in |   |     |   | Other         |        |
|                                                         |   | Common      |    | Excess                  of  |   | Retained |   | Comprehensive |        |
|                                                         |   | Stock  |    | Par                  Value  |   | Earnings |   | Loss          |        |
| Balance,                  December 31, 2006                  |   | $           | 219     |                        | $      | 59       |   | $             | 114,189     |   | $ | (4,820 | ) |
| **Cumulative                  effect of adoption of FIN 48** |   |        |    |                        |   |     |   |          | **22**      |   |   |   |   |
| **Adjusted                  balance, December 31, 2006**     |   |        | **219** |                        |   | **59**   |   |          | **114,211** |   |   | (4,820 | ) |
| **Net                  income**                              |   |        |    |                        |   |     |   |          | **1,676**   |   |   |  |   |
| **Stock                  repurchases**                       |   |        | **(7**  | **)**                       |   | **(59**  | **)**  |          | **(7,186**  | **)** |   |   |   |
| **Stock-based                  compensation**                |   |        |    |                        |   | **114**  |   |          |        |   |   |   |   |
| **Cash                  dividends paid, $.10 per share**     |   |        |    |                        |   |     |   |          | **(1,077**  | **)** |   |   |   |
| **Adjustment                  to net periodic benefit cost** |   |        |    |                        |   |     |   |          |        |   |   | **103** |   |
| **Balance,                  March 31, 2007**                 |   | **$**       | **212** |                        | **$**  | **114**  |   | **$**         | **107,624** |   | **$** | **(4,717** | **)** |

**Income        Taxes**

**Management’s        Discussion and Analysis of Financial Condition and Results of        Operations**

**Results        of        Operations**

|                                                          |   | Three                  Months                  Ended  |      |
|---------------------------------------------------------------|--------|------------------------------------------------------------|-----------|
|                                                          |   | **March                  31,**                             |      | **April                  1,** |   |
|                                                          |   | **2007**                                              |      | **2006**  |   |
| Net                  sales                                    |   |                                                       | **100.0** | **%** |   | **100.0** | **%** |
| Cost                  of                  sales               |   |                                                       | **82.0**  |   |   | **76.3** |   |
| Gross                  profit                                 |   |                                                       | **18.0**  |   |   | **23.7** |   |
| Selling,                  general and administrative expenses |   |                                                       | **13.9**  |   |   | **13.3** |   |
| Operating                  income                             |   |                                                       | **4.1**   |   |   | **10.3** |   |
| Other                  (expense) income, net                  |   |                                                       | **(.1**   | **)** |   | **.1** |   |
| Interest                  income                              |   |                                                       |      |   |   | **.1** |   |
| Interest                  expense                             |   |                                                       | **.6**    |   |   | **.6** |   |
| Income                  before                  income taxes  |   |                                                       | **3.4**   |   |   | **9.9** |   |
| Income                  taxes                                 |   |                                                       | **1.1**   |   |   | **3.5** |   |
| Net                  income                                   |   |                                                       | **2.2**   | **%** |   | **6.5** | **%** |

**Financial        Condition, Liquidity and Capital Resources**

**Pension        Plan Termination **

----

**Critical        Accounting Policies**

**Forward-Looking        Statements**

----

| **ITEM                  3.** | ** ****Quantitative                  and Qualitative Disclosures about Market                  Risk** |
|------------------------------|------------------------------------------------------------------------------------------------------------|

| **ITEM                  4.** | **Controls                  and Procedures** |
|------------------------------|----------------------------------------------|

| (a) | Evaluation                  of                  disclosure controls and procedures. Under the supervision and with                  the                  participation of our management, including our principal executive                  officer                  and principal financial officer, we conducted an evaluation of                  our                  disclosure controls and procedures, as such term is defined under                  Rule                  13a-15(e) promulgated under the Securities Exchange Act of 1934,                  as                  amended (the Exchange Act). Based on this evaluation, our principal                  executive officer and our principal financial officer concluded                  that our                  disclosure controls and procedures were effective as of the end                  of the                  period covered by this quarterly                  report. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b) | Changes                  in                  internal controls over financial reporting. There were no changes                  in our                  internal control over financial reporting that occurred during                  the first                  quarter that have materially affected, or are reasonably likely                  to                  materially affect, our internal control over financial                  reporting. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **Item                  2.** | **Unregistered                  Sales of Equity Securities and Use of                  Proceeds** |
|------------------------------|---------------------------------------------------------------------------------------------------|

|                                                     |                       |                        |                                                  | Maximum                  number (or                     |
|----------------------------------------------------------|----------------------------|-----------------------------|-------------------------------------------------------|---------------------------------------------------------|
|                                                     |                       |                        | Total                  number                  of     | approximate                  dollar                     |
|                                                     | Total                      |                        | Shares                  purchased                     | value)                  of                  shares that |
|                                                     | number                  of | Average                     | as                  part of                  publicly | may                  yet be                  purchased  |
|                                                     | Shares                     | price                  paid | announced                  plans                      | under                  the                  plans or    |
| Period                                                   | Purchased                  | per                  share  | or                  programs                          | programs                  (a)                           |
|                                                     |                       |                        |                                                  |                                                    |
| January 1                  to February 3, 2007 | 54,000                     | $21.65                      | 54,000                                                | $31,430,118                                             |
| February 4                  to March 3, 2007        | 281,731                    | $21.59                      | 281,731                                               | $25,347,647                                             |
| March                  4 to March 31, 2007     |                       |                        |                                                  | $25,347,647                                             |
|                                                     |                       |                        |                                                  |                                                    |
| Total                                                    | 335,731                    |  $21.60                | 335,731                                               |

| (a)   | On                July 17,                2006, we announced that our Board of Directors increased our stock                repurchase authorization to $50 million. Consequently, we may purchase                our                common stock, from time to time, either directly or through agents,                in the                open market, through negotiated purchases or otherwise, at prices                and on                terms satisfactory to us. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| Item                  6. | Exhibits |
|--------------------------|----------|

| 3.1    | Restated                  Certificate of Incorporation of the Registrant as amended (incorporated                  by                  reference to Exhibit 3.1 to the Registrant’s Form 10-Q (Commission File                  No. 0-14938) for the quarter ended July 2, 2005).                                                                                                                                                                                                                                                                                                                |   |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |
| 3.2    | By-laws                  of                  the Registrant as amended (incorporated by reference to Exhibit                  3 to the                  Registrant’s Form 10-Q (Commission File No. 0-14938) for the quarter ended                  September 27, 2003).                                                                                                                                                                                                                                                                                                                         |   |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |
| 4.1    | Amended                  and                  Restated Note Purchase and Private Shelf Agreement dated January                  26, 2007,                  among the Registrant, The Prudential Insurance Company of America,                  the                  other purchasers named therein and the affiliates of Prudential                  who became                  purchasers as defined therein (incorporated by reference to Exhibit                  4.01                  to the Registrant’s Form 8-K (Commission File No. 0-14938) filed February                  1, 2007). |   |
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| 31.1   | Certification                  by Jeffrey R. Scheffer, our Chief Executive Officer, pursuant to                  18 U.S.C.                  Section 1350, as adopted pursuant to Section 302 of the Sarbanes-Oxley                  Act                  of 2002.(1)                                                                                                                                                                                                                                                                                                                                   |   |
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| 31.2   | Certification                  by Douglas I. Payne, our Chief Financial Officer, pursuant to 18                  U.S.C.                  Section 1350, as adopted pursuant to Section 302 of the Sarbanes-Oxley                  Act                  of 2002. (1)                                                                                                                                                                                                                                                                                                                                     |   |
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| 32.1   | Certification                  of Jeffrey R. Scheffer, our Chief Executive Officer, pursuant to                  18 U. S.                  C. Section 1350, as adopted pursuant to section 906 of the Sarbanes-Oxley                  Act of 2002. (1)                                                                                                                                                                                                                                                                                                                                                 |   |
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| 32.2   | Certification                  of Douglas I. Payne, our Chief Financial Officer, pursuant to 18                  U. S. C.                  Section 1350, as adopted pursuant to section 906 of the Sarbanes-Oxley                  Act                  of 2002. (1)                                                                                                                                                                                                                                                                                                                                   |   |

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| Date:                  April                  18, 2007 |   | **STANLEY                  FURNITURE COMPANY, INC.**                                          |
|--------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------|
|                                                   |   | By:                  /s/                  Douglas I. Payne                                    |
|                                                   |   | Douglas                  I.                  Payne                                            |
|                                                   |   | Executive                  V.P. - Finance & Administration and                  Secretary |
|                                                   |   | (Principal                  Financial and Accounting Officer)                                 |