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THE PRICE COMPANY RELEASES FOURTH QUARTER AND YEAR-TO-DATE INCOME STATEMENT AND BALANCE SHEET

 SAN DIEGO, Sept. 29 /PRNewswire/ -- The Price Company (NASDAQ: PCLB) made available today its customary income statement and balance sheet detail for its previously announced fourth quarter and fiscal year 1993 earnings. The release of these earnings on Sept. 20, 1993, had been accelerated due to the information being included in a Form S-4 filed with the Securities and Exchange Commission on Sept. 22, 1993.
 THE PRICE COMPANY
 Consolidated Income Statement
 Fourth Quarter Fiscal 1993 and 1992
 (Unaudited)(000's except per share data)
 Fourth Quarter Year-to-Date
 (12 Weeks) (52 Weeks)
 Aug. 29 , Aug. 30, Aug. 29, Aug.30,
 1993 1992 1993 1992
 Operating revenues:
 Sales 1,695,392 $1,688,967 7,648,470 $7,320,187
 Membership fees
 and other income 35,293 37,435 173,269 159,577
 Real estate
 operations, net 17,730 3,308 33,845 32,060
 Total operating
 revenues 1,748,415 1,729,710 7,855,584 7,511,824
 Operating costs
 and expenses:
 Cost of sales 1,527,089 1,526,294 6,937,480 6,659,010
 Selling, general and
 administrative 160,160 152,009 706,180 629,447
 Total operating
 expenses 1,687,249 1,678,303 7,643,660 7,288,457
 Operating Income 61,166 51,407 211,924 223,367
 Non-operating items:
 Income from investments 1,354 3,695 7,632 20,108
 Interest expense (6,947) (5,125) (28,939) (28,289)
 Income before income
 taxes 55,573 49,977 190,617 215,186
 Income taxes (22,785) (20,321) (76,803) (86,074)
 Net income $32,788 $29,656 $113,814 $129,112
 Net income per share:
 Primary $.69 $0.62 $2.41 $2.61
 Fully diluted $.66 $0.60 $2.36 $2.54
 Number of shares used in
 calculation:
 Primary 49,581 50,010 49,716 51,691
 Fully diluted 55,614 56,000 55,740 57,682
 THE PRICE COMPANY
 Consolidated Balance Sheet
 Fourth Quarter Fiscal 1993 and 1992
 (Unaudited)(000's)
 Aug. 29, Aug. 30,
 Assets 1993 1992
 Current Assets
 Short-term investments $90,116 $99,325
 Merchandise inventories 423,048 381,538
 Receivables, net 61,887 49,279
 Prepaid expenses and other current assets 24,211 14,831
 Deferred taxes 7,783 12,074
 Total Current Assets 607,045 557,047
 Property, Plant and Equipment
 Land 515,151 474,431
 Buildings and improvements 385,228 343,236
 Equipment and fixtures 234,771 187,989
 Construction in progress 28,810 64,303
 Total 1,163,960 1,069,959
 Less accumulated depreciation (187,105) (144,016)
 Total 976,855 925,943
 Other Assets
 Property held for development or
 lease to others, net 323,922 278,789
 Investment in real estate joint ventures 10,569 46,900
 Investment in foreign subsidiaries 25,546 2,039
 Goodwill, net 41,725 49,370
 Notes receivable 50,885 49,053
 Miscellaneous other assets 14,175 14,540
 Total 466,822 440,691
 Total Assets $2,050,722 $1,923,681
 Liabilities and Shareholders' Equity
 Current Liabilities
 Bank checks outstanding,
 less cash on deposit $18,361 $21,118
 Accounts payable 375,760 370,162
 Notes payable 23,093 ---
 Payroll and related accruals 90,380 79,908
 Accrued sales and other taxes 43,264 39,615
 Income taxes payable 1,617 15,883
 Other current liabilities 58,912 60,712
 Total Current Liabilities 611,387 587,398
 Long-term liabilities
 Long-term debt 508,630 508,954
 Deferred income taxes 25,914 18,147
 Other 5,625 7,148
 540,169 534,249
 Shareholders' Equity
 Common stock 4,602 4,621
 Paid-in capital 31,196 36,695
 Retained earnings 876,942 763,128
 Foreign currency translation (13,574) (2,410)
 899,166 802,034
 Total liabilities and shareholders'
 Equity $2,050,722 $1,923,681
 THE PRICE COMPANY
 1993 Questions & Answers
 1. Did PCLB Sell any Property During the Fourth Quarter?
 On Aug. 12, 1993, The Price Company sold to The Price REIT three shopping centers and adjacent Price Clubs (which are being leased back to the company) and its 49.6 percent interest in a joint venture which owns five shopping centers, for which the company received proceeds of approximately $117 million and recognized a $14.3 million pre-tax gain. The gain was offset by a $1.0 million loss on the sale of another property. The net pre-tax gain of $13.3 million increased earnings per share by approximately $.14 per share.
 The company had previously guaranteed a total of $36 million of bank borrowings of the REIT. As a result of cash received from their recent public offering, the REIT repaid these bank loans and the company has no further obligations as guarantor of REIT borrowings.
 2. What was the Canadian Exchange Rate Change in the Fourth Quarter?
 The weighted average exchange rate for translating Canadian dollars was 77.6 U.S. cents for each Canadian dollar during the fourth quarter of fiscal 1993, as compared to 83.9 U.S. cents during the same period last year. The weighted average exchange rate for the full year was 79.0 U.S. cents compared to 85.5 U.S. cents in fiscal 1992.
 3. How was Earnings Per Share Calculated?
 Earnings per share was calculated as follows (000's):
 Fourth Quarter Year-to-Date
 Primary Fully Primary Fully
 Diluted Diluted
 Shares outstanding
 (wtd. avg.) 46,015 46,015 46,142 46,142
 Impact of
 options/warrants 24 67 32 66
 Add'l shares (5.5 pct
 converts) 3,542 3,542 3,542 3,542
 Add'l shares (6.75 pct
 converts) 0 5,990 0 5,990
 Total shares used 49,581 55,614 49,716 55,740
 After-tax earnings $32,788 $32,788 $113,814 $113,814
 Interest, net (5.5 pct
 converts) 1,343 1,343 5,886 5,886
 Interest, net (6.75 pct
 converts) 0 2,638 0 11,585
 Adjusted income $34,131 $36,769 $119,700 $131,285
 Earnings per share $0.69 $0.66 $2.41 $2.36
 The number of common stock shares outstanding at 8/29/93 were approximately 46,017,000.
 4. What is the Breakdown of Comparable Warehouse Sales?
 Fourth Quarter Full Year
 California (13.4 pct) (9.9 pct)
 All Other U.S. (9.7 pct) (4.8 pct)
 Total U.S. (12.1 pct) (8.0 pct)
 Canada ($U.S.) (11.5 pct) (8.9 pct)
 Total Company (12.0 pct) (8.2 pct)
 Canada ($C) (4.3 pct) (1.5 pct)
 5. What was the Impact of LIFO for Fiscal 1993?
 LIFO (Income)/Expense
 (in thousands)
 Fiscal '93 Fiscal '92
 First Quarter $1,200 $2,000
 Second Quarter 900 1,500
 Third Quarter 900 1,500
 Fourth Quarter (6,600) (4,700)
 Full Year ($3,600) $300
 For the fourth quarter 1993, $6.6 million of income was recognized from the reversal of previously accrued LIFO expense. This represents a $.02 per share favorable impact on EPS when compared to the fourth quarter of fiscal 1992. Most of the change from the prior year is attributable to price decreases for cigarettes.
 6. Warehouse Closings
 On July 31, 1993, the company closed its Maple Shade, N.J. and Seekonk, Mass. warehouses. Closing costs of approximately $.02 per share were recorded in the fourth quarter.
 On Sept. 25, 1993, the company closed its Dallas and Houston locations. Closing costs of approximately $.02 per share will be recorded in the first quarter of fiscal 1994.
 7. What was the Impact of the Higher Tax Rate?
 For the fourth quarter, income taxes were accrued at 41 percent of pre-tax income. Prior quarters were accrued at 40 percent. The higher tax rate reduced earnings by approximately $.01 per share.
 8. When will the Special Meeting be Held for Shareholders in Connection with the Price/COSTCO Merger?
 The meeting will be held on Oct. 21, 1993, 10 a.m. at the San Diego Convention Center.
 -0- 9/29/93
 /CONTACT: Dale Fisher, Director, Investor Relations, 619-581-4692/
 (PCLB)


CO: The Price Company ST: California IN: REA SU:

MF-JB -- SD003 -- 7044 09/29/93 19:38 EDT
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