The attached excerpt from the 10-k filing
"On July 9, 2009, Bassett Furniture Industries, Inc. (the "Company") disclosed that it was unable to file its Form 10-Q for the quarter ended May 30, 2009 without unreasonable effort and expense primarily as a result of a reevaluation of the Registrant's accounting process and methodology related to its accounts and notes receivable reserves pursuant to comment letters received from the US Securities and Exchange Commission staff ("SEC") as part of the SEC's regular triennial review of the Company's Form 10-K for the year ended November 29, 2008 and the quarter ended February 28, 2009. On August 17, 2009, the Company's management and the Audit Committee of the Company's Board of Directors determined that, as a result of this reevaluation, the Company should restate its financial statements for the quarter ended February 28, 2009. Consequently, the previously issued consolidated financial statements for the first quarter of 2009 should no longer be relied on. The Company's management and the Audit Committee discussed these matters with Ernst & Young LLP, the Company's independent registered public accounting firm.

The restatement will increase the Company's net loss for the quarter by $3.3 million, resulting in a net loss of $12.0 million, as compared to a previously reported net loss of $8.7 million. The increased net loss is primarily due to increased reserves and valuation adjustments related to long-term notes receivable and reduced revenue for certain customers where it was concluded that revenue should be recognized on a cost recovery basis for shipments in the quarter ended February 28, 2009. As a result of the restatement, the Company violated the net worth covenant under its revolving credit facility for the quarter ended February 28, 2009." Great legacy Barry & Rob. Totally unaware of the REAL situation. Sell at ANY value is better than holding worthless paper!