Williams-Sonoma, Inc. announced a 4.3% increase in the company's quarterly cash dividend on March 27, 2008. The quarterly cash dividend was increased from $0.115 to $0.12 per common share. The aggregate quarterly dividend is estimated at approximately $12.7 million based upon the current number of outstanding common shares. The indicated annual cash dividend, subject to capital availability, is $0.48 per common share, or approximately $51.0 million, in fiscal year 2008 based upon the current number of outstanding common shares.

Howard Lester, Chairman and Chief Executive Officer, commented, “Today, we are pleased to announce that we are increasing our dividend by 4.3% to $0.12 per share. While we recognize the challenges in the macro-economic environment, today's dividend increase indicates our confidence in our ability to generate cash flows in excess of our funding requirements, and our commitment to returning capital to our shareholders.”