Paul B. Toms Jr., chairman, CEO and president of Hooker Furniture (NASDAQ: HOFT) gave a less-than-inspiring business outlook the other day in the company's press release announcing fiscal 2009 third-quarter results.

"Over the course of the last several months, the economy has worsened with continued business closings, cutbacks and layoffs across many industries, including the home furnishings industry. Consumer confidence levels are at historical lows. With continued instability in the real estate, financial and credit markets, prospects for a near-term economic recovery appear dim."

Toms believes that the consumer will stay on the sidelines until the real estate and financial markets stabilize and some improvement in credit availability and consumer confidence materializes, which could be another nine to 12 months.

Predictably the shares sold off following the news. After all, even if entertainment units, office, dining, bedroom, accent, occasional and leather upholstered furniture for the home are high on people's holiday wish list this year, these items are likely not within their financial reach.

But there's more to this story than meets the eye.