Same Store Sales Decrease 1%
Updates Second Quarter EPS Guidance
PITTSBURGH, Jul 08, 2010 (BUSINESS WIRE) --
American Eagle Outfitters, Inc. (NYSE: AEO) today announced that total
sales for the five weeks ended July 3, 2010 increased 1% to $249
million, compared to $246 million for the five weeks ended July 4, 2009.
Comparable store sales decreased 1% for the month, compared to an 11%
decrease for the same period last year.
Total sales for the 22 week year-to-date period ended July 3, 2010
increased 5% to $1.102 billion, compared to $1.054 billion for the 22
weeks ended July 4, 2009. Comparable store sales increased 2% for the
year-to-date period compared to a 10% decline for the same period last
year.
Based on recent business trends and deeper promotions, the company now
expects second quarter adjusted earnings to be on the low end of the
guidance range of $0.12 to $0.16 per diluted share. On a GAAP basis, the
second quarter guidance range is ($0.01) to $0.03 per diluted share and
includes estimated closing charges and an operating loss related to
MARTIN+OSA of approximately $0.13 per diluted share as outlined in the
table below. This guidance excludes the potential impact of severance
and investment security charges. Second quarter guidance compares to
adjusted EPS of $0.18 per diluted share for the second quarter ended
August 1, 2009, which excludes a tax benefit, a non-cash, non-operating
foreign currency loss and an operating loss related to MARTIN+OSA as
outlined in the table below.
During the month, the company repurchased 6.7 million shares, bringing
the year-to-date total to 10.7 million shares for a total of $153
million. This leaves 19.3 million shares remaining under the current
authorization.
To access the company's recorded monthly sales commentary, please dial
(866) 514-0390, or internationally dial (585) 267-8021.
Non-GAAP Measures
This press release includes information on non-GAAP earnings per diluted
share ("non-GAAP" or "adjusted"). This measure is not based on any
standardized methodology prescribed by U.S. generally accepted
accounting principles ("GAAP") and is not necessarily comparable to
similar measures presented by other companies. The company believes that
this non-GAAP information is useful as an additional means for investors
to evaluate the company's operating performance, when reviewed in
conjunction with the company's GAAP financial statements. This amount is
not determined in accordance with GAAP and therefore, should not be used
exclusively in evaluating the company's business and operations.
|
American Eagle Outfitters, Inc.
|
| GAAP to Non-GAAP reconciliation |
| (unaudited) |
|
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13 Weeks Ending
|
|
13 Weeks Ending |
|
13 Weeks Ended |
|
|
July 31, 2010 |
|
July 31, 2010 |
|
August 1, 2009 |
|
|
Low Range
|
|
High Range |
|
|
|
|
|
|
|
|
|
|
Diluted EPS on a GAAP basis
|
|
($0.01
|
)
|
|
$0.03
|
|
$0.14
|
|
|
Add back: MARTIN+OSA operating loss and shut down costs
|
|
0.13
|
|
|
0.13
|
|
0.04
|
|
|
|
0.12
|
|
|
0.16
|
|
0.18
|
|
|
Deduct: Tax benefit
|
|
-
|
|
|
-
|
|
(0.02
|
)
|
|
Add back: Non-cash; non-operating foreign currency loss
|
|
-
|
|
|
-
|
|
0.02
|
|
|
Non-GAAP Diluted EPS
|
|
$0.12
|
|
|
$0.16
|
|
$0.18
|
|
|
|
|
|
|
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American Eagle Outfitters, Inc., through its subsidiaries, ("AEO, Inc.")offers high-quality, on-trend clothing, accessories and personal
care products at affordable prices. The American Eagle Outfitters(R)
brand targets 15 to 25 year old girls and guys, with 934 stores in the
U.S. and Canada and online at www.ae.com.
aerie(R) by american eagle offers Dormwear(R) and
intimates collections for the AE(R) girl, with 143 standalone
stores in the U.S. and Canada and online at www.aerie.com.
The latest brand, 77kids(TM) by american eagle(TM), is available online only
at www.77kids.com.
77kids offers "kid cool," durable clothing and accessories for kids ages
two to 10. AE.COM(R), the online home of the brands of AEO,
Inc. ships to 76 countries worldwide.
"Safe Harbor" Statement under the Private Securities Litigation Reform
Act of 1995: This release contains forward-looking statements, which
represent our expectations or beliefs concerning future events,
specifically regarding second quarter earnings. All forward-looking
statements made by the company involve material risks and uncertainties
and are subject to change based on factors beyond the company's control.
Such factors include, but are not limited to the risk that the Company's
second quarter earnings expectations may not be achieved and the risks
described in the Risk Factor Section of the company's Form 10-K and Form
10-Q filed with the Securities and Exchange Commission. Accordingly, the
company's future performance and financial results may differ materially
from those expressed or implied in any such forward-looking statements.
The company does not undertake to publicly update or revise its
forward-looking statements even if future changes make it clear that
projected results expressed or implied will not be realized.
SOURCE: American Eagle Outfitters, Inc.
American Eagle Outfitters, Inc.
Judy Meehan, 412-432-3300