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LIZ CLAIBORNE REPORTS RESULTS

 NEW YORK, July 16 /PRNewswire/ -- Mr. Samuel M. Miller, senior vice president - finance of Liz Claiborne, Inc. (NYSE: LIZ), today announced record sales for the three and six months ended June 26, 1993.
 Net sales for the second quarter increased 7.3 percent to $506,915,000 from $472,616,000 for the same quarter last year. Earnings of $31,094,000 reflect a 21.3 percent decrease from $39,505,000 in the same prior year period. Earnings of $0.38 per share reflect a 19.1 percent decrease from last year's second quarter earnings of $0.47 per share. Net sales for the six months of $1,038,262,000 increased 0.8 percent over last year's six months' sales of $1,029,525,000. Earnings of $73,775,000 decreased 27.9 percent from $102,345,000 for the prior year's same period. Earnings of $0.90 per share reflect a 25.6 percent decrease from last year's six months' earnings of $1.21 per share. Net income for the six month period included a credit of $1.6 million ($0.02 per share) relating to the cumulative effect of a change in the method of accounting for income taxes.
 Mr. Miller commented, "The circumstances that negatively impacted our first quarter earnings continued through the second quarter, as expected. We had anticipated that more favorable business trends and improved results in several of our divisions would enable us to resume growth during the second half of the year and planned our inventory commitments accordingly. However, we now find ourselves confronted with even weaker consumer spending patterns for women's apparel which have caused our retail customers to order less than we previously anticipated. As a result, wholesale sell throughs on the Holiday lines have not met expectations and the company will have to dispose of higher than anticipated excess inventories. Consequently, we now estimate that earnings per share for the full year of 1993 will likely be in the range of 30 percent lower than prior year results. While we are not happy with the results, at almost 7 percent of net sales our earnings are among the highest in the industry and our financial position remains strong."
 In addition, Mr. Miller announced that the board of directors has declared a regular cash dividend on the company's common stock at the rate of $0.1125 per share to be paid on Sept. 3, 1993 to stockholders of record at the close of business on Aug. 12, 1993. The declaration of any future dividends will be subject to the company's earnings, financial position, capital requirements and other relevant factors.
 Mr. Miller also announced that the board of directors again extended the company's previously announced program to purchase its common stock by authorizing the purchase, from time to time and as market and business conditions warrant, of up to an additional $50 million of its common stock for cash in open market purchases and privately negotiated transactions, bringing the total authorizations under the program up to $350 million. As of July 15, 1993, the company had purchased or committed to purchase approximately 9.4 million shares of common stock at an aggregate purchase price of approximately


$299 million. Based on the last reported sales price of the company's shares on Thursday, July 15, 1993 of $29.625 per share, the newly authorized $50 million would involve approximately 1.7 million additional shares. The company has approximately 81.5 million shares outstanding. Shares acquired will be available for use under the company's employee stock option plans and for other general corporate purposes. No time limit was set for the completion of the program. Mr. Miller added, "We continue to believe that deploying a portion of the company's available cash in this manner increases the overall return to our shareholders, without adversely impacting our ability to take advantage of business opportunities which may present themselves or our capital spending.
 LIZ CLAIBORNE, INC. AND SUBSIDIARIES
 CONSOLIDATED STATEMENTS OF INCOME
 (Dollars in Thousands Except Per Share Data)
 (Unaudited)
 THREE MONTHS ENDED SIX MONTHS ENDED
 June 26, June 27, June 26, June 27,
 1993 1992 1993 1992
 Net Sales $506,915 $472,616 $1,038,262 $1,029,525
 Cost of Sales 326,784 290,858 666,350 630,512
 Gross Profit 180,131 181,758 371,912 399,013
 Selling, General &
 Administrative
 Expenses 135,522 125,249 267,974 249,941
 Operating Income 44,609 56,509 103,938 149,072
 Investment and Other,
 Net 4,085 5,196 8,794 10,773
 Income before Provision
 for Income Taxes and
 Cumulative Effect of a
 Change in Accounting
 Principle 48,694 61,705 112,732 159,845
 Provision for Income
 Taxes 17,600 22,200 40,600 57,500
 Income before Cumulative
 Effect of a Change in
 Accounting
 Principle 31,094 39,505 72,132 102,345
 Cumulative Effect of a
 Change in the Method of
 Accounting for
 Income Taxes -- -- 1,643 --
 Net Income $ 31,094 $ 39,505 $ 73,775 $ 102,345
 Weighted Average Common
 Shares
 Outstanding 81,859,809 84,652,815 82,265,716 84,917,504
 Earnings per Common Share:
 Income before Cumulative
 Effect of a Change in
 Accounting Principle $0.38 $0.47 $0.88 $1.21
 Cumulative Effect of a
 Change in the Method of
 Accounting for Income
 Taxes -- -- 0.02 --
 Net Income $0.38 $0.47 $0.90 $1.21
 Dividends per Common Share
 (Rounded to the nearest
 penny) $0.11 $0.10 $0.21 $0.19
 -0- 7/16/93
 /CONTACT: Samuel M. Miller, senior vice president - finance of Liz Claiborne, Inc., 201-601-8500/
 (LIZ)


CO: Liz Claiborne, Inc. ST: New York IN: TEX SU: ERN

PS -- NY008 -- 2353 07/16/93 09:14 EDT
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Date:Jul 16, 1993
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