This excerpt taken from the TPX 10-K filed Feb 28, 2007.
The following Performance Graph and related information shall not be deemed soliciting material or to be filed with the Securities and Exchange Commission, nor shall such information be incorporated by reference into any future filing under the Securities Act of 1933 or Securities Exchange Act of 1934, each as amended, except to the extent that the Company specifically incorporates it by reference into such filing.
The following table compares cumulative shareholder returns for the Company over the last three years to the S&P 500 Stock Composite Index and a peer group. We believe in good faith that the selected peer group is an appropriate basis for comparison as it reflects the market in which Tempur-Pedic International competes. The S&P 500 Composite Index is a capitalization weighted index of 500 stocks intended to be a representative sample of leading companies in leading industries within the U.S. economy, and are chosen for market size, liquidity and industry group representation.
The comparison for each of the periods assumes that $100 was invested on December 31, 2003 in our common stock, the stocks included in the S & P 500 Composite Index and the stocks included in the peer group index and that all dividends were reinvested. The stock performance shown on the graph below is not necessarily indicative of future price performance.
The peer issuers included in this group are set forth below. In our proxy statement for the 2006 annual meeting of stockholders, we used the same peer group for a comparison in the stock performance graph, which was then labeled as The Hemscott Industry Group Index 311.