Span-America Increases Quarterly Cash Dividend by 7% to $0.15 Per Share

Span-America Medical Systems, Inc. (NASDAQ: SPAN) announced today that the Board of Directors increased the quarterly cash dividend by 7% to $0.15 per share. The dividend is payable September 4, 2014, to shareholders of record on August 14, 2014.

“This dividend marks our 99th consecutive quarter of paying cash dividends,” stated Jim Ferguson, president and chief executive officer of Span-America. “Our long-term record of paying cash dividends underscores our Board’s commitment to building long-term shareholder value through our cash dividend program. This quarter’s 7% increase in the cash dividend also highlights our strong balance sheet and solid cash flow from operations.”

About Span-America Medical Systems, Inc.

Span-America manufactures and markets a comprehensive selection of pressure management products for the medical market, including Geo-Matt®, PressureGuard®, Geo-Mattress®, Custom Care®, Span+Aids®, Isch-Dish®, Risk Manager® and Selan® products. We also supply custom foam and packaging products to the consumer and industrial markets. Through our wholly-owned subsidiary Span Medical Products Canada Inc., we manufacture and market the M.C. Healthcare Products brands of Encore™, Maxxum, Advantage and Rexx bed frames as well as related case goods, tables and seating products for the long-term care market. Span-America’s stock is traded on The NASDAQ Global Market under the symbol “SPAN.” For more information, visit www.spanamerica.com and www.mchealthcare.com.