|SECURITIES AND
EXCHANGE COMMISSIONWashington, D.C. 20549


FORM 10-Q


QUARTERLY REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THESECURITIES EXCHANGE ACT OF 1934


For the quarterly
period ended April 5, 2003


Commission File Number     
     1-12381


Linens n Things,
Inc.(Exact name of Registrant as specified in its charter)
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|Delaware(State or other jurisdiction of incorporation or organization) |  | 22-3463939(I.R.S. Employer Identification Number)
|---------------------------------------------------------------------- |  | -------------------------------------------------

|6 Brighton Road, Clifton, New Jersey
(Address of principal executive offices) |  | 07015
(Zip Code)
|----------------------------------------------------------------------------- |  | ----------------

| | (973)  778-1300(Registrants telephone number, including area code) | 
| | ------------------------------------------------------------------- | 

|Indicate by check mark
whether the Registrant (1) has filed all reports required to be filed by Section
13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12
months (or for such shorter period that the Registrant was required to file such
reports), and (2) has been subject to such filing requirements for the past 90
days.
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Yes     
  X          
           | No     

            
| | -------------------------------------- | --------------------------

|Indicate by check mark
whether the Registrant is an accelerated filer (as defined by Rule 12b-2 of the Securities
Exchange Act).
|--------------------------------------------------------------------------------------------------------------------------------

| | Yes     
  X          
           | No     

            
| | -------------------------------------- | --------------------------

|Number of shares outstanding of the issuers
Common Stock:
|----------------------------------------------------------

| | ClassCommon Stock, $0.01 par value | Outstanding at May 6, 2003
44,109,352
| | ---------------------------------- | -------------------------------------

---

|INDEX
|-----

|Part I.  Financial Information | Page No.
|------------------------------ | --------

| | Item 1. |  | Financial Statements | 
| | ------- |  | -------------------- | 

| |  |  | Condensed Consolidated Statements of Operations for the
     Thirteen Weeks Ended April 5, 2003
     and March 30, 2002 | 3
| |  |  | ----------------------------------------------------------------------------------------------------------------------- | -

| |  |  | Condensed Consolidated Balance Sheets as of April 5, 2003
     January 4, 2003 and March 30, 2002 | 4
| |  |  | ------------------------------------------------------------------------------------------------- | -

| |  |  | Condensed Consolidated Statements of Cash Flows for the
     Thirteen Weeks Ended April 5, 2003
     and March 30, 2002 | 5
| |  |  | ----------------------------------------------------------------------------------------------------------------------- | -

| |  |  | Notes to Condensed Consolidated Financial
Statements | 6-9
| |  |  | ---------------------------------------------------- | ---

| |  |  | Independent Auditors Review Report | 10
| |  |  | ----------------------------------- | --

| | Item 2. |  | Managements Discussion and Analysis of
        Financial Condition and Results of Operations | 11-15
| | ------- |  | --------------------------------------------------------------------------------------------- | -----

| | Item 3. |  | Quantitative and Qualitative Disclosures about Market Risk | 16
| | ------- |  | ---------------------------------------------------------- | --

| | Item 4. |  | Controls and Procedures | 16
| | ------- |  | ----------------------- | --

|Part II.  Other Information | 
|--------------------------- | 

| | Item 6. |  | Exhibits and Reports on Form 8-K | 17
| | ------- |  | -------------------------------- | --

| |  |  | Signatures | 17
| |  |  | ---------- | --

| |  |  | Certifications | 18-19
| |  |  | -------------- | -----

|2
|-

---

|PART  -  I  FINANCIAL INFORMATION

Item 1.  
Financial Statements

LINENS N THINGS, INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
(Unaudited)
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|                                                       | Thirteen Weeks Ended
|------------------------------------------------------ | --------------------
|
|                                                       |                     
|Net sales                                              |                     
|                                                       |                     
|Cost of sales, including buying and distribution costs |                     
|                                                       |                     
|Gross profit                                           |                     
|                                                       |                     
|Selling, general and administrative expenses           |                     
|                                                       |                     
|Operating profit                                       |                     
|                                                       |                     
|Interest income                                        |                     
|                                                       |                     
|Interest expense                                       |                     
|                                                       |                     
|Interest expense, net                                  |                     
|                                                       |                     
|Income before income taxes                             |                     
|                                                       |                     
|Provision for income taxes                             |                     
|                                                       |                     
|Net income                                             |                     
|                                                       |                     
|Per share of common stock:                             |                     
|                                                       |                     
|Basic earnings per share                               |                     
|                                                       |                     
|Diluted earnings per share                             |                     
|                                                       |                     
|                                                       |                     

|See
accompanying notes to the condensed consolidated financial statements.


3
|------------------------------------------------------------------------------

---

LINENS N THINGS,
INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE SHEETS(in thousands,
except share amounts)

|                                                      | April 5,2003 | January 4,2003 | March 30,2002
|----------------------------------------------------- | ------------ | -------------- | -------------
|                                                      |              |                |              
|                                                      |              |                |              
|Assets                                                |              |                |              
|Current assets:                                       |              |               
|Cash and cash equivalents                             |              |                | $            
|Accounts receivable                                   |              |                |              
|Inventories                                           |              |                |              
|Prepaid expenses and other current assets             |              |                |              
|Current deferred taxes                                |              |                |              
|                                                      |              |                |              
|Total current assets                                  |              |                |              
|                                                      |              |                |              
|                                                      |              |                |              
|Property and equipment, net                           |              |                |              
|Goodwill, net                                         |              |                |              
|Deferred charges and other noncurrent assets, net     |              |                |              
|                                                      |              |                |              
|                                                      |              |                |              
|Total assets                                          |              |                | $            
|                                                      |              |                |              
|                                                      |              |                |              
|Liabilities and Shareholders Equity                  |              |                |              
|Current liabilities:                                  |              |                |              
|Accounts payable                                      |              |                | $            
|Accrued expenses and other current liabilities        |              |                |              
|Short-term borrowings                                 |              |                |              
|Current deferred taxes                                |              |                |              
|                                                      |              |                |              
|Total current liabilities                             |              |                |              
|                                                      |              |                |              
|Deferred income taxes and other long-term liabilities |              |                |              
|                                                      |              |                |              
|Shareholders equity:                                 |              |                |              
|Preferred stock, $0.01 par value; 1,000,000 shares    |              |               
|authorized; none issued and outstanding               |              |                |              
|                                                      |              |                |              
|Common stock, $0.01 par value;                        |              |               
|135,000,000 shares authorized; 44,341,745             |              |               
|shares issued and 44,104,335 shares                   |              |               
|outstanding at April 5, 2003; 44,322,351 shares       |              |               
|issued and 44,085,470 shares outstanding at           |              |               
|January 4, 2003; and 40,923,574 shares issued         |              |               
|and 40,674,378 shares outstanding at March 30,        |              |               
|2002                                                  |              |                |              
|Additional paid-in capital                            |              |                |              
|Retained earnings                                     |              |                |              
|Accumulated other comprehensive income (loss)         |              |                |              
|Treasury stock, at cost; 237,410 shares at April 5,   |              |               
|2003, 236,881 shares at January 4, 2003, and          |              |               
|249,196 shares at March 30, 2002                      |              |                |              
|                                                      |              |                |              
|Total shareholders' equity                            |              |                |              
|                                                      |              |                |              
|                                                      |              |                |              
|Total liabilities and shareholders' equity            |              |                | $            
|                                                      |              |                |              

|See
accompanying notes to the condensed consolidated financial statements.


4
|------------------------------------------------------------------------------

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LINENS N THINGS,
INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS(in thousands)
(Unaudited)

|                                                    | Thirteen Weeks Ended
|--------------------------------------------------- | --------------------
|                                                    |                     
|
|                                                    |                     
|Cash flows from operating activities:               |                     
|Net income                                          |                     
|Adjustments to reconcile net income to net          |                     
|cash provided by (used in) operating activities:    |                     
|Depreciation and amortization                       |                     
|Deferred income taxes                               |                     
|Loss on disposal of assets                          |                     
|Federal  tax  benefit from common stock issued      |                     
|under stock incentive plans                         |                     
|Changes in assets and liabilities:                  |                     
|Decrease in accounts receivable                     |                     
|Increase in inventories                             |                     
|(Increase)  decrease  in  prepaid  expenses  and    |                     
|other current assets                                |                     
|Decrease (increase) in deferred charges and         |                     
|other noncurrent assets                             |                     
|Increase in accounts payable                        |                     
|Decrease in accrued expenses and other              |                     
|liabilities                                         |                     
|                                                    |                     
|Net cash (used in) provided by operating activities |                     
|                                                    |                     
|Cash flows from investing activities:               |                     
|Additions to property and equipment                 |                     
|                                                    |                     
|Cash flows from financing activities:               |                     
|Proceeds from common stock issued under stock       |                     
|incentive plans                                     |                     
|Increase in short-term borrowings                   |                     
|Purchase of treasury stock                          |                     
|                                                    |                     
|Net cash provided by financing activities           |                     
|                                                    |                     
|Effect of exchange rate changes on cash and cash    |                     
|equivalents                                         |                     
|                                                    |                     
|Net decrease in cash and cash equivalents           |                     
|Cash and cash equivalents at beginning of period    |                     
|                                                    |                     
|Cash and cash equivalents at end of period          |                     
|                                                    |                     
|Cash paid during the year for:                      |                     
|Interest (net of amounts capitalized)               |                     
|Income taxes                                        |                     
|                                                    |                     

|See
accompanying notes to the condensed consolidated financial statements.



5
|-------------------------------------------------------------------------------

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|LINENS N THINGS,
INC. AND SUBSIDIARIESNOTES TO CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS



1. Basis of Presentation


The accompanying condensed
consolidated financial statements, except for the January 4, 2003 consolidated balance
sheet, are unaudited. In the opinion of management, the accompanying condensed
consolidated financial statements contain all adjustments (consisting of only normal
recurring accruals) necessary to present fairly the financial position of the Company as
of April 5, 2003 and March 30, 2002 and the results of operations for the respective
thirteen weeks then ended and cash flows for the respective thirteen weeks then ended. The
preparation of financial statements in conformity with accounting principles generally
accepted in the United States of America requires management to make estimates and
assumptions that affect the reported amounts of revenues and expenses during the reporting
period. Actual results could differ from those estimates. Because of the seasonality of
the specialty retailing business, operating results of the Company on a quarterly basis
may not be indicative of operating results for the full year.


These condensed consolidated
financial statements should be read in conjunction with the Companys audited
consolidated financial statements for the fiscal year ended January 4, 2003 included in
the Companys Annual Report on Form 10-K filed with the Securities and Exchange
Commission. All significant intercompany accounts and transactions have been eliminated.


2. Earnings Per Share


The calculation of basic and diluted
earnings per share (EPS) is as follows:
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|                                   | Period ended April 5, 2003
(in thousands, except EPS)
(Unaudited)
Thirteen week period
|---------------------------------- | --------------------------------------------------------------------------------------
|                                   |                                                                                       
|                                   |                                                                                       
|Basic                              |                                                                                       
|                                   |                                                                                       
|Effect of outstanding stock option |                                                                                       
|and deferred stock grants          |                                                                                       
|                                   |                                                                                       
|Diluted                            |                                                                                       
|                                   |                                                                                       

|                                   | Period ended March 30, 2002
(in thousands, except EPS)
(Unaudited)
Thirteen week period
|---------------------------------- | ---------------------------------------------------------------------------------------
|                                   |                                                                                        
|                                   |                                                                                        
|Basic                              |                                                                                        
|                                   |                                                                                        
|Effect of outstanding stock option |                                                                                        
|and deferred stock grants          |                                                                                        
|                                   |                                                                                        
|Diluted                            |                                                                                        
|                                   |                                                                                        
|                                   |                                                                                        

|Options for which the exercise price was
greater than the average market price of common shares for the period ended April 5, 2003
and March 30, 2002 were not included in the computation of diluted earnings per share.
These consisted of


6
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

|LINENS N THINGS,
INC. AND SUBSIDIARIESNOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS,
contd



options totaling 2,589,000 shares and
1,401,000 shares for the thirteen weeks ended April 5, 2003 and March 30, 2002,
respectively. Deferred stock grants excluded in the computation of diluted earnings per
share due to the application of the treasury stock method totaled 7,500 shares and 103
shares for the thirteen weeks ended April 5, 2003 and March 30, 2002, respectively.


3. Short-Term Borrowing
Arrangements


In June
2002, the Company amended and extended its $150 million senior revolving credit facility
agreement (the Credit Agreement) with third party institutional lenders to
expire April 20, 2005. The Credit Agreement allows for up to $40 million of borrowings
from additional lines of credit outside of the Credit Agreement. As of April 5, 2003, the
additional lines of credit include committed facilities of approximately $23 million that
expire on June 18, 2003 and are subject to annual renewal arrangements. Interest on all
borrowings is determined based upon several alternative rates, including a fixed margin
above LIBOR. The Credit Agreement contains certain financial covenants, including those
relating to the maintenance of a minimum tangible net worth, a minimum fixed charge
coverage ratio, and a maximum leverage ratio. As of April 5, 2003, the Company was in
compliance with the terms of the Credit Agreement. The Credit Agreement limits, among
other things, the amount of cash dividends the Company may pay. Under the Credit
Agreement, the amount of dividends that the Company may pay may not exceed the sum of $25
million plus on a cumulative basis an amount equal to 50% of the consolidated net income
for each fiscal quarter, commencing with the fiscal quarter ending March 30, 2002. The
Company has never paid cash dividends and does not anticipate paying cash dividends in the
future. The Company is required under the Credit Agreement to reduce the balance of
outstanding domestic borrowings to zero for 30 consecutive days during each period
beginning on December 1st of any fiscal year and ending on March
15th of the following fiscal year.At various times throughout 2003 and
2002, the Company borrowed against its credit facility for seasonal working capital needs.
As of April 5, 2003, the Company had no borrowings under the Credit Agreement and $2.2
million in borrowings under the additional lines of credit at a weighted-average interest
rate of 4.5%. The Company also had $39.1 million of letters of credit outstanding as of
April 5, 2003, which included standby letters of credit issued primarily under the Credit
Agreement and import letters of credit used for merchandise purchases. The Company is not
obligated under any formal or informal compensating balance requirements.


4. Comprehensive Income


Comprehensive income for the thirteen
weeks ended April 5, 2003 and March 30, 2002 is as follows:
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|                              |  | Thirteen Weeks Ended       
|----------------------------- |  | ---------------------------
|                              |  |                            
|                              |  |                            
|Comprehensive Income:         |  | ($ in thousands)(Unaudited)
|                              |  |                            
|Net Income                    |  |                            
|Other comprehensive income -- |  |                            
|Foreign currency translation  |  |                            
|adjustment                    |  |                            
|                              |  |                            
|Comprehensive income          |  |                            
|                              |  |                            

|5. Restructuring and
Asset Impairment Charge


In fiscal 2001, the Company developed
and committed to a strategic initiative designed to improve store performance and
profitability. This initiative called for the closing of certain under-performing stores
which did not meet the Companys profit objectives. In connection with this
initiative, the Company recorded a pre-tax restructuring and asset impairment charge of
$37.8 million ($23.7 million after-tax) in the fourth quarter of fiscal 2001. A pre-tax
reserve of $20.5 million was established for estimated lease commitments for stores to be
closed. This reserve is included in accrued expenses. The reserve considers estimated
sublease income. Because all of the stores were leased the Company is not responsible for
the disposal of property other than fixtures. A pre-tax reserve of $9.5 million was
recorded as a reduction in property and




7
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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|LINENS N THINGS,
INC. AND SUBSIDIARIESNOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS, contd



equipment for fixed asset impairments
for these stores. The fixed asset impairments represent fixtures and leasehold
improvements. A pre-tax reserve of $4.0 million was established for other estimated
miscellaneous store closing costs. Additionally, a pre-tax reserve of $3.8 million was
recorded in cost of sales for estimated inventory markdowns below cost for the stores to
be closed.


The following is a summary of
activity of the reserve for the restructuring and asset impairments charge as of April 5,
2003 ($ in millions):
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|                  | 
|----------------- | 
|                  | 
|                  | 
|                  | 
|Cash components:  | 
|Lease commitments | 
|Other             | 
|                  | 
|Sub-total         | 
|                  | 
|Total             | 
|                  | 
|                  | 

|The 2003 activity primarily consists
of payments for lease commitments and miscellaneous store closing costs.



6. Stock Incentive Plans


The Company accounts for its
stock-based compensation plans under the recognition and measurement principles of
Accounting Principles Board (APB) Opinion No. 25, Accounting for Stock
Issued to Employees and related interpretations. Accordingly, no compensation cost
has been recognized in connection with stock options under these plans in the accompanying
Condensed Consolidated Financial Statements. The compensation cost that has been charged
against income for restricted stock grants was $99,000 and $735,000 for the thirteen weeks
ended April 5, 2003 and March 30, 2002, respectively. The following table illustrates the
effect on net income and net income per share presented as reported and as if
compensation cost had been recognized in accordance with the provisions of SFAS No. 123,
Accounting for Stock-Based Compensation for the thirteen weeks ended April 5,
2003 and March 30, 2002:
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|                                       | Thirteen week period ending
|-------------------------------------- | ---------------------------
|
|                                       |                            
|Net income:                            |                            
|As reported                            |                            
|Deduct: Total stock-based employee     |                            
|compensation expense determined  under |                            
|the fair value based method for all    |                            
|awards, net of related tax effects     |                            
|                                       |                            
|                                       |                            
|Proforma                               |                            
|                                       |                            
|Net income per share of common stock:  |                            
|Basic:                                 |                            
|As reported                            |                            
|Pro forma                              |                            
|Diluted:                               |                            
|As reported                            |                            
|Pro forma                              |                            
|                                       |                            

|The effects of applying SFAS No. 123
in this disclosure are not necessarily indicative of future amounts.



8
|--------------------------------------------------------------------------------------------------------------

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|LINENS N THINGS,
INC. AND SUBSIDIARIESNOTES TO CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS, contd



7. Guarantees


The Company has assigned property at
one of its retail locations. Under such assignment, the Company guarantees the payment of
rent over the specified lease term in the event of non-performance. As of April 5, 2003,
the maximum potential amount of future payments the Company could be required to make
under such guarantee is approximately $1.2 million.


8. Recent Accounting
Pronouncements


In June 2001, the FASB issued SFAS
No. 143, Accounting for Asset Retirement Obligations (SFAS No.
143). SFAS No. 143 addresses financial accounting and reporting for obligations
associated with the retirement of tangible long-lived assets and the associated asset
retirement costs. This statement requires that the fair value of a liability for an asset
retirement obligation be recognized in the period in which it is incurred if a reasonable
estimate of fair value can be made. This statement is effective for the Company in fiscal
2003. The adoption of SFAS No. 143 did not have a material impact on the Companys
Consolidated Financial Statements.


In June 2002, the FASB issued SFAS
No. 146, Accounting for Costs Associated with Exit or Disposal Activities
(SFAS No. 146). This Statement requires companies to recognize costs
associated with exit or disposal activities when they are incurred rather than at the date
of a commitment to an exit or disposal plan. The Company is required to adopt the
provisions of SFAS No. 146 for exit or disposal activities, if any, initiated after
December 31, 2002. The adoption of SFAS No. 146 did not impact the consolidated financial
position or results of operations, although it can be expected to impact the timing of
liability recognition associated with future exit activities, if any.


In November 2002, the FASB reached
consensus on EITF Issue 02-16, Accounting by a Customer (Including a Reseller) For
Cash Consideration Received from a Vendor (EITF 02-16). EITF 02-16
addresses the accounting treatment for vendor allowances. The application of EITF Issue
02-16 did not have a material impact on the Companys consolidated financial
statements.


In December 2002, the FASB issued
SFAS No. 148, Accounting for Stock-Based Compensation  Transition and
Disclosure  an amendment of SFAS No. 123" (SFAS No. 148). This
statement amends SFAS Statement No. 123 (SFAS No.123), Accounting for
Stock-Based Compensation and provides alternative methods of transition for a
voluntary change to the fair value method of accounting for stock-based employee
compensation. In addition, the statement amends the disclosure requirements of SFAS No.
123 to require prominent disclosures in both annual and interim financial statements about
the method of accounting for stock-based compensation and the effect of the method used.
For the thirteen weeks ended April 5, 2003 and March 30, 2002, the Company accounted for
stock options using the intrinsic value method prescribed under APB Opinion 25, and
accordingly, the Company did not recognize compensation expense for stock options. The
Company continues to account for stock-based compensation using APB Opinion No. 25 and has
not adopted the recognition provisions of SFAS No. 123, as amended by SFAS No. 148.
However, the Company has adopted the disclosure provisions and has included this
information in Note 6 to the Companys Condensed Consolidated Financial Statements.


In January 2003, the FASB issued
Interpretation No. 46, Consolidation of Variable Interest Entities (FIN
No. 46). FIN No. 46 explains how to identify variable interest entities and how an
enterprise assesses its interests in a variable interest entity to decide whether to
consolidate that entity. The Company has evaluated FIN No. 46 and determined that this
interpretation did not have a material impact on the Companys consolidated financial
statements as the Company has no variable interest entities.



9
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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|Independent
Auditors Review Report


The Board of Directors
and Shareholders Linensn Things, Inc.:


We have reviewed the condensed
consolidated balance sheets of Linens n Things, Inc. and Subsidiaries as of April 5,
2003 and March 30, 2002, and the related condensed consolidated statements of operations
and cash flows for the thirteen weeks ended April 5, 2003 and March 30, 2002. These
condensed consolidated financial statements are the responsibility of the Companys
management.


We conducted our review in accordance
with standards established by the American Institute of Certified Public Accountants. A
review of interim financial information consists principally of applying analytical review
procedures to financial data and making inquiries of persons responsible for financial and
accounting matters. It is substantially less in scope than an audit conducted in
accordance with generally accepted auditing standards, the objective of which is the
expression of an opinion regarding the financial statements taken as a whole. Accordingly,
we do not express such an opinion.


Based on our review, we are not aware
of any material modifications that should be made to the condensed consolidated financial
statements referred to above for them to be in conformity with accounting principles
generally accepted in the United States of America.


We have previously audited, in
accordance with auditing standards generally accepted in the United States of America, the
consolidated balance sheet of Linens n Things, Inc. and Subsidiaries as of January
4, 2003 (presented herein) and the related consolidated statements of operations,
shareholders equity, and cash flows for the year then ended (not presented herein);
and in our report dated February 4, 2003 we expressed an unqualified opinion on those
consolidated financial statements. In our opinion, the information set forth in the
accompanying consolidated balance sheet as of January 4, 2003 is fairly presented, in all
material respects, in relation to the consolidated balance sheet from which it has been
derived.


KPMG LLP


New York, New York
April 23, 2003



10
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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|Item 2.    Managements Discussion and
Analysis of Financial Condition and Results of Operations


LINENS N THINGS,
INC. AND SUBSIDIARIESMANAGEMENTS DISCUSSION AND ANALYSISOF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS




The following discussion and analysis
should be read in conjunction with the condensed consolidated financial statements of the
Company and the notes thereto appearing elsewhere in this document.


General


Linens n Things, Inc. (the
Company) is one of the leading national format retailers of home textiles,
housewares and home accessories, carrying both national brand and private label goods. As
of April 5, 2003, the Company operated 400 stores in 45 states and in four provinces
across Canada.


Critical Accounting Policies


The preparation of financial
statements in conformity with accounting principles generally accepted in the United
States of America requires management to make estimates and assumptions that affect the
reported amounts of assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the reported amounts and timing of
revenues and of expenses during the reporting periods. The Companys management
believes the following critical accounting estimates involve significant estimates and
judgments inherent in the preparation of the Condensed Consolidated Financial Statements.
Management of the Company has discussed the development and selection of these critical
accounting estimates with the Audit Committee of the Companys Board of Directors and
the Audit Committee has reviewed the Companys disclosures in this MD&A relating
to these critical accounting estimates.


Valuation of Inventory: Inventories
are valued using the lower of cost or market value, determined by the retail inventory
method (RIM). Under RIM, the valuation of inventories at cost and the
resulting gross margins are determined by applying a calculated cost-to-retail ratio to
the retail value of inventories. RIM is an averaging method that is used in the retail
industry due to its practicality. Inherent in the RIM calculation are certain significant
management judgments and estimates including, among others, merchandise mark-on, mark-up,
markdowns and shrinkage based on historical experience between the dates of physical
inventories, all of which significantly impact the ending inventory valuation at cost. The
methodologies utilized by the Company in its application of the RIM are consistent for all
periods presented. Such methodologies include the development of the cost-to-retail
ratios, the development of shrinkage reserves and the accounting for price changes.


Sales Returns: The Company estimates
future sales returns and, when material, records a provision in the period that the
related sales are recorded based on historical return rates. Should actual returns differ
from the Companys estimates, the Company may be required to revise estimated sales
returns. As such, estimating sales returns requires management judgment. In preparing our
financial statements the sales returns reserve was approximately $4.6 million, $5.5 million
and $4.8 million as of April 5, 2003, January 4, 2003 and March 30, 2002, respectively.


Impairment of Assets: With the
adoption of SFAS No. 142, the Company will review goodwill for possible impairment at
least annually. Impairment losses are recognized when the implied fair value of goodwill
is less than its carrying value. The Company periodically evaluates long-lived assets
other than goodwill for indicators of impairment. The Companys judgments regarding
the existence of impairment indicators are based on market conditions and operational
performance. Future events could cause the Company to conclude that impairment indicators
exist and that the value of long-lived assets and goodwill is impaired. As of April 5,
2003, January 4, 2003 and March 30, 2002, the Companys net value for property and
equipment was approximately $362.3 million, $348.4 million and $327.8 million,
respectively, and goodwill was $18.1 million for the thirteen weeks ended April 5, 2003
and March 30, 2002 and for fiscal year ended January 4, 2003.


Store Closure Costs: Prior to the
adoption of SFAS No. 146, the Company records estimated store closure costs, such as fixed
asset write-offs, estimated lease commitment costs net of estimated sublease income,
markdowns for inventory that will be sold below cost, and other miscellaneous store
closing costs, in the period in which management determines to close a store. Such
estimates may be subject to change should actual costs differ. In the fourth quarter of
fiscal 2001, the Company recorded a reserve of $37.8 million ($23.7 million after-tax)
related to the closing of certain under-performing stores. As of April 5, 2003, January 4,
2003, and March 30, 2002 the Company had $21.4 million, $22.2 million, and $24.0 million
respectively, remaining related to this reserve. The Company is negotiating the lease
buyouts or sub-lease



11
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---------------------------------------------

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|LINENS N THINGS,
INC. AND SUBSIDIARIESMANAGEMENTS DISCUSSION AND ANALYSISOF FINANCIAL CONDITION AND RESULTS OF OPERATIONS, cont



agreements for these stores and based
upon final resolution of such negotiations, such estimates may be subject to change. The
Company is required to adopt the provisions of SFAS No. 146 for exit or disposal
activities, if any, initiated after December 31, 2002. Although the Company believes the
adoption of SFAS No. 146 will not impact the consolidated financial position or results of
operations, it can be expected to impact the timing of liability recognition associated
with future exit activities, if any.


Self Insurance: The Company purchases
third party insurance for workers compensation, medical, auto and general liability
that exceeds certain levels for each type of insurance program. However, the Company is
responsible for the payment of claims under these insured excess limits. The Company
establishes accruals for its insurance programs based on available claims data and
historical trend and experience, as well as loss development factors prepared by third
party actuaries. In preparing the estimates, the Company also considers the nature and
severity of the claims, analysis provided by third party claims administrators, as well as
current legal, economic and regulatory factors.


The Company evaluates the accrual and
the underlying assumptions periodically and makes adjustments as needed. The ultimate cost
of these claims may be greater than or less than the established accrual. While the
Company believes that the recorded amounts are adequate, there can be no assurances that
changes to managements estimates will not occur due to limitations inherent in the
estimate process. In the event the Company determines the accruals should be increased or
reduced, the Company would record such adjustments in the period in which such
determination is made.


The accrued obligation for these
self-insurance programs was approximately $8.9 million, $9.5 million and $6.4 million as
of April 5, 2003, January 4, 2003 and March 30, 2002, respectively.


Litigation: The Company records an
estimated liability related to various claims and legal actions arising in the ordinary
course of business, which is based on available information and advice from outside
counsel where applicable. As additional information becomes available, the Company
assesses the potential liability related to its pending claims and may adjust its
estimates accordingly.


Results of Operations



Thirteen Weeks Ended
April 5, 2003 Compared with Thirteen Weeks Ended March 30, 2002


Net sales for the thirteen weeks
ended April 5, 2003 increased 5.2% to $480.5 million, up from $456.9 million for the same
period last year. The increase in net sales is primarily the result of new store openings
since March 30, 2002. At April 5, 2003, the Company operated 400 stores, including fifteen
stores in Canada, as compared with 348 stores, including eleven stores in Canada, at March
30, 2002. Store square footage increased 13.8% to 13.9 million at April 5, 2003 compared
with 12.2 million at March 30, 2002. During the thirteen weeks ended April 5, 2003 the
Company opened sixteen new stores and closed seven stores as compared with opening seven
stores and closing two stores during the same period last year.


Comparable store net sales declined
3.2% for the thirteen weeks ended April 5, 2003 compared with an increase of 2.6% for the
same period last year. The decline in comparable store net sales for the thirteen weeks
ended April 5, 2003 was primarily attributed to a series of external factors including
inclement weather, particularly during the Presidents Day weekend in February, weak
consumer confidence and the start of the war in Iraq. In addition, sales results were also
impacted by the timing of the Companys clearance event, which shifted into the
fourth quarter of 2002; and the shift of the Easter holiday from the first quarter of last
year to the second quarter of this year.


In addition to the cost of inventory
sold, the Company includes its buying and distribution expenses in its cost of sales.
Buying expenses include all direct and indirect costs to procure merchandise. Distribution
expenses include the cost of operating the Companys distribution centers and freight
expense related to transporting merchandise. Gross profit for the thirteen weeks ended
April 5, 2003 was $197.7 million, or 41.1% of net sales, compared with $181.2 million, or
39.7% of net sales, for the same period last year. The increase in gross profit as a
percentage of sales is primarily due to the decrease in markdowns as a result of the shift
in the Companys clearance event as well as an improvement in the



12
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|LINENS N THINGS,
INC. AND SUBSIDIARIESMANAGEMENTS DISCUSSION AND ANALYSISOF FINANCIAL CONDITION AND RESULTS OF OPERATIONS, cont


management of markdowns during the
first quarter. In addition, the Company continues to leverage its supply chain costs as
well as increase its penetration of proprietary product, which has more favorable gross
margins.


The Companys selling, general
and administrative (SG&A) expenses consist of store selling expenses,
occupancy costs, advertising expenses and corporate office expenses. SG&A expenses for
the thirteen weeks ended April 5, 2003 were $194.2 million, or 40.4% of net sales,
compared with $172.2 million, or 37.7% of net sales, for the same period last year. The
increase as a percentage of net sales is primarily attributable to a greater investment in
store payroll as a result of the Companys initiatives to improve overall guest
service levels; the de-leveraging of occupancy costs reflecting comparable store net sales
performance; and an increase in pre-opening costs as a result of opening sixteen new stores
this year compared with seven stores for the same period last year. In addition, the
Company recorded a charge of approximately $2.4 million in connection with the departure
of the Companys president during the first quarter of 2003.


Operating profit for the thirteen
weeks ended April 5, 2003 was $3.4 million, or 0.7% of net sales, compared with $9.0
million, or 2.0% of net sales, for the same period last year.


Net interest expense for the thirteen
weeks ended April 5, 2003 decreased to $0.1 million from $0.7 million during the same
period last year. The decrease in net interest expense is mainly due to lower average
borrowings as well as lower interest rates.


The Companys income tax expense
was $1.3 million for the thirteen weeks ended April 5, 2003, compared with $3.2 million
for the same period last year. The Companys effective tax rate was 38.2% for both
the thirteen weeks ended April 5, 2003 and March 30, 2002.


As a result of the factors described
above, net income for the thirteen weeks ended April 5, 2003 was $2.1 million, or $0.05
per share on a diluted basis, compared with $5.1 million, or $0.12 per share on a diluted
basis for the same period last year.


Liquidity and Capital Resources


The Companys capital
requirements are primarily for new store expenditures, new store inventory purchases and
seasonal working capital. These requirements have been funded through a combination of
internally generated cash flows from operations, credit extended by suppliers and
short-term borrowings.


In June 2002, the Company amended and
extended its $150 million senior revolving credit facility agreement (the Credit
Agreement) with third party institutional lenders to expire April 20, 2005. The
Credit Agreement allows for up to $40 million in borrowings from additional lines of
credit outside of the Credit Agreement. As of April 5, 2003, the additional lines of
credit include committed facilities of approximately $23 million expiring on June 18, 2003
and are subject to annual renewal arrangements. The Company was in compliance with the
terms of the Credit Agreement as of April 5, 2003. The Company had no borrowings under the
Credit Agreement and $2.2 million in borrowings under the additional lines of credit at a
weighted-average interest rate of 4.5% as of April 5, 2003. The Company also had $39.1
million of letters of credit outstanding as of April 5, 2003, which included standby
letters of credit issued primarily under the Credit Agreement and import letters of credit
used for merchandise purchases. The Company is not obligated under any formal or informal
compensating balance requirements. See Note 3 to the Condensed Consolidated Financial
Statements. The Company maintains a trade payables arrangement with General Electric
Capital Corporation (GECC) pursuant to a trade payables agreement under which
GECC purchases the Companys payables at a discount directly from the Companys
suppliers prior to the payables due date, thereby permitting a supplier to receive payment
prior to the due date of the payable, with the Company sharing in part of the GECC
discount. Any discounts resulting from such purchases are subject to a sharing arrangement
as agreed between the Company and GECC.


Net cash used in operating activities
for the thirteen weeks ended April 5, 2003 was $3.2 million compared with net cash
provided by operating activities of $2.0 million for the same period last year. This
change was primarily attributed to the timing of vendor payments and the increase in
inventory. Inventory increased by approximately $69.2 million for the thirteen weeks ended
April 5, 2003 as a result of new store additions and additional investments in inventory
as a result of the Companys in stock initiative.



13
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|LINENS N THINGS,
INC. AND SUBSIDIARIESMANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS, cont



Net cash provided by operating
activities is our principal source of liquidity and therefore a decline in demand for the
Companys product offerings could impact the availability of funds for store
expansion.


Net cash used in investing activities
for the thirteen weeks ended April 5, 2003 was $25.7 million, flat with the same period
last year. The Company opened sixteen new stores for the thirteen weeks ended April 5, 2003
compared with seven new stores for the same period of last year. The first quarter of 2002
also included expenditures related to the Companys third distribution center, which
opened during the second quarter of last year. The Company currently estimates capital
expenditures will be approximately $80 million to $85 million in fiscal 2003, primarily
for an estimated 55 new stores, maintenance of existing stores, and system enhancements.


Net cash provided by financing
activities for the thirteen weeks ended April 5, 2003 was $0.6 million compared with $18.4
million for the same period last year. The decrease in net cash provided by financing
activities was primarily due to the reduced need for short-term borrowings.


Management regularly reviews and
evaluates its liquidity and capital needs. The Company experiences peak periods for its
cash needs during the course of its fiscal year, with peak periods generally expected
during the second quarter and fourth quarter of the fiscal year. As the Companys
business continues to grow and its current store expansion plan is implemented, such peak
periods may require increases in the amounts available under its credit facilities from
those currently existing and/or other debt or equity funding. Management currently
believes that the Companys cash flows from operations, credit extended by suppliers,
its existing credit facilities, and its uncommitted lines of credit will be sufficient to
fund its expected capital expenditure, working capital and non-acquisition business
expansion requirements for at least the next 12 to 18 months.


Inflation


The Company does not believe that its
operating results have been materially affected by inflation during the preceding three
years. There can be no assurance, however, that the Companys operating results will
not be affected by inflation in the future.


Seasonality


The Companys business is
subject to substantial seasonal variations. Historically, the Company has realized a
significant portion of its net sales and net income for the year during the third and
fourth quarters. The Companys quarterly results of operations may also fluctuate
significantly as a result of a variety of other factors, including the timing of new store
openings. The Company believes this is the general pattern associated with its segment of
the retail industry and expects this pattern will continue in the future. Consequently,
comparisons between quarters are not necessarily meaningful and the results for any
quarter are not necessarily indicative of future results.



14
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|Forward-Looking Statements


This 10-Q contains forward-looking
statements within the meaning of The Private Securities Litigation Reform Act of 1995. The
statements are made a number of times and may be identified by such forward-looking
terminology as expect, anticipate, believe,
may, will, could, intend,
plan, target and terms or variations of such terms. All of our
information and statements regarding our outlook for the future constitutes
forward-looking statements. All our forward-looking statements are based on our current
expectations, assumptions, estimates and projections about our Company and involve certain
significant risks and uncertainties, including levels of sales, store traffic, acceptance
of product offerings and fashions, the success of our new business concepts and seasonal
concepts, the success of our new store openings, competitive pressures from other home
furnishings retailers, the success of the Canadian expansion, availability of suitable
future store locations, schedule of store expansion and of planned closings, the impact of
the bankruptcies and consolidations in our industry, unusual weather patterns, the impact
on consumer spending as a result of the slower consumer economy, a highly promotional
retail environment, any significant variations between actual amounts and the amounts
estimated for those matters identified as our critical accounting estimates as well as
other significant accounting estimates made in the preparation of our financial
statements, the impact of the hostilities in the Middle East as well as other geopolitical
concerns, including the potential impact of SARS health concerns particularly on
manufacturing and production in Asia. Actual results may differ materially from such
forward-looking statements. These and other important risk factors are included in the
Risk Factors section of the Companys Registration Statement on
Form S-3 as filed with the Securities and Exchange Commission on June 18, 2002, and
may be contained in subsequent reports filed with the Securities and Exchange Commission.
You are urged to consider all such factors. In light of the uncertainty inherent in such
forward-looking statements, you should not consider their inclusion to be a representation
that such forward-looking matters will be achieved. The Company assumes no obligation for
updating any such forward-looking statements to reflect actual results, changes in
assumptions or changes in other factors affecting such forward-looking statements.



15
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|LINENS N THINGS,
INC. AND SUBSIDIARIESMANAGEMENTS DISCUSSION AND ANALYSISOF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS, cont



Item 3.     
Quantitative and Qualitative Disclosures About Market Risk.


The Company continuously evaluates
the market risk associated with its financial instruments. Market risks relating to the
Companys operations result primarily from changes in interest rates and foreign
exchange rates. The Company does not engage in financial transactions for trading or
speculative purposes.


Interest Rate Risk:


The Companys financial
instruments include cash and cash equivalents and short-term borrowings. The
Companys obligations are short-term in nature and generally have less than a 30-day
commitment. The Company is exposed to interest rate risks primarily through borrowings
under the Credit Agreement. Interest on all borrowings is based upon several alternative
rates as stipulated in the Credit Agreement, including a fixed margin above LIBOR. At
April 5, 2003, the Company had $2.2 million of borrowings under the additional lines of
credit at a weighted-average interest rate of 4.5% (see Note 3 to the Condensed
Consolidated Financial Statements). The Company believes that its interest rate risk is
minimal as a hypothetical 10% increase or decrease in interest rates in the associated
debts variable rate would not materially affect the Companys results from
operations or cash flows. The Company does not use derivative financial instruments in its
investment portfolio.


Foreign Currency Risk:


The Company enters into some purchase
obligations outside of the United States, which are predominately settled in U.S. dollars
and therefore the Company has only minimal exposure to foreign currency exchange risks.
The Company does not hedge against foreign currency risks and believes that foreign
currency exchange risk is immaterial.


In addition, the Company operated fifteen
stores in Canada as of April 5, 2003. The Company believes its foreign currency
translation risk is minimal, as a hypothetical 10% strengthening or weakening of the U.S.
dollar relative to the Canadian dollar would not materially affect the Companys
results from operations or cash flow.


Since fiscal year end 2002, there
have been no material changes in market risk exposures.


Item 4. Controls and
Procedures


 (a)    
 Evaluation of disclosure controls and procedures
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | The
Companys Chief Executive Officer (CEO) and Chief Financial Officer
(CFO) have evaluated the effectiveness of the design and operation of the
Companys disclosure controls and procedures (as defined in Securities Exchange Act
of 1934 Rules 13a-14c and 15d-14c) as of a date within ninety days before the filing of
this quarterly report. Based on that evaluation, the Companys management, including
the CEO and CFO, concluded that the Companys current disclosure controls and
procedures were effective, providing them with material information relating to the
Company as required to be disclosed in the reports the Company files or submits under the
Exchange Act on a timely basis.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

(b)    
          Changes in internal controls

| | There
have been no significant changes in the Companys internal controls or in other
factors that the Company believes could significantly affect those internal controls
subsequent to the evaluation date.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|16
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PART II  OTHER INFORMATION

Item 6.  Exhibits and Reports on Form 8-K

(a)    EXHIBIT INDEX

| |  | 
| |  | 
|
| |  | 
| |  | 
| |  | 
| |  | 
| |  | 
| |  | 
| |  | 

|(b)    Reports on Form 8-K:


None






SIGNATURE



Pursuant to the requirements of the
Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed
on its behalf by the undersigned thereunto duly authorized.
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|Date:  May 20, 2003 |  | /s/ William T. Giles
William T. GilesExecutive Vice President, Chief Financial Officer(Duly authorized officer and principal financial officer)
|------------------- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------

|17
|--

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|CERTIFICATION


I,
Norman Axelrod, Chairman and Chief Executive Officer, certify that:
|--------------------------------------------------------------------------------------

|1. |  | I have reviewed this quarterly report on Form 10-Q of Linens n Things,
          Inc.;
|-- |  | ---------------------------------------------------------------------------------------

|2. |  | Based on my knowledge, this quarterly report does not contain any untrue
          statement of a material fact or omit to state a material fact necessary to make
          the statements made, in light of the circumstances under which such statements
          were made, not misleading with respect to the period covered by this quarterly
          report;
|-- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|3. |  | Based on my knowledge, the financial statements, and other financial information
          included in this quarterly report, fairly present in all material respects the
          financial condition, results of operations and cash flows of the registrant as
          of, and for, the periods presented in this quarterly report;
|-- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|4. |  | The registrants other certifying officer and I are responsible for
          establishing and maintaining disclosure controls and procedures (as defined in
          Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:
|-- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | a. | designed
such disclosure controls and procedures to ensure that material information
relating to the registrant, including its consolidated subsidiaries, is made
known to us by others within those entities, particularly during the period in
which this quarterly report is being prepared;
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | b. | evaluated the effectiveness of the registrants disclosure controls and
procedures as of a date within 90 days prior to the filing date of this
quarterly report (the Evaluation Date); and
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | c. | presented in this quarterly report our conclusions about the effectiveness of
          the disclosure controls and procedures based on our evaluation as of the
          Evaluation Date;
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|5. |  | The registrants other certifying officer and I have disclosed, based on
          our most recent evaluation, to the registrants auditors and the audit
          committee of registrants board of directors:
|-- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | a. | all significant deficiencies in the design or operation of internal controls
          which could adversely affect the registrants ability to record, process,
          summarize and report financial data and have identified for the
          registrants auditors any material weaknesses in internal controls; and
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | b. | any fraud, whether or not material, that involves management or other employees
          who have a significant role in the registrants internal controls; and
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------

|6. |  | The registrants other certifying officer and I have indicated in this
          quarterly report whether or not there were significant changes in internal
          controls or in other factors that could significantly affect internal controls
          subsequent to the date of our most recent evaluation, including any corrective
          actions with regard to significant deficiencies and material weaknesses.
|-- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Date: May 20, 2003

| |  | BY: /S/ NORMAN AXELROD
Norman AxelrodChairman and Chief Executive Officer
| |  | ---------------------------------------------------------------------------------------

|18
|--

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|CERTIFICATION


I,
William T. Giles, Principal Financial Officer, certify that:
|-------------------------------------------------------------------------------

|1. |  | I have reviewed this quarterly report on Form 10-Q of Linens n Things,
          Inc.;
|-- |  | ---------------------------------------------------------------------------------------

|2. |  | Based on my knowledge, this quarterly report does not contain any untrue
          statement of a material fact or omit to state a material fact necessary to make
          the statements made, in light of the circumstances under which such statements
          were made, not misleading with respect to the period covered by this quarterly
          report;
|-- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|3. |  | Based on my knowledge, the financial statements, and other financial information
          included in this quarterly report, fairly present in all material respects the
          financial condition, results of operations and cash flows of the registrant as
          of, and for, the periods presented in this quarterly report;
|-- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|4. |  | The registrants other certifying officer and I are responsible for
          establishing and maintaining disclosure controls and procedures (as defined in
          Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:
|-- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | a. | designed such disclosure controls and procedures to ensure that material
          information relating to the registrant, including its consolidated subsidiaries,
          is made known to us by others within those entities, particularly during the
          period in which this quarterly report is being prepared;
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | b. | evaluated the effectiveness of the registrants disclosure controls and
          procedures as of a date within 90 days prior to the filing date of this
          quarterly report (the Evaluation Date); and
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | c. | presented in this quarterly report our conclusions about the effectiveness of
          the disclosure controls and procedures based on our evaluation as of the
          Evaluation Date;
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|5. |  | The registrants other certifying officer and I have disclosed, based on
          our most recent evaluation, to the registrants auditors and the audit
          committee of registrants board of directors:
|-- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | a. | all significant deficiencies in the design or operation of internal controls
          which could adversely affect the registrants ability to record, process,
          summarize and report financial data and have identified for the
          registrants auditors any material weaknesses in internal controls; and
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | b. | any fraud, whether or not material, that involves management or other employees
          who have a significant role in the registrants internal controls; and
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------

|6. |  | The registrants other certifying officer and I have indicated in this
          quarterly report whether or not there were significant changes in internal
          controls or in other factors that could significantly affect internal controls
          subsequent to the date of our most recent evaluation, including any corrective
          actions with regard to significant deficiencies and material weaknesses.
|-- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Date: May 20, 2003

| |  | BY: /S/ WILLIAM T. GILES
William T. GilesExecutive Vice President, Chief Financial Officer
| |  | --------------------------------------------------------------------------------------------------------

|19
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