Published: March 17, 2011
New York & Company, Inc. Announces Fourth Quarter and Fiscal Year 2010 Results
NEW YORK - (BUSINESS WIRE) - New York & Company, Inc. (NYSE:NWY), a specialty apparel chain with 555
retail stores, today announced results for the fourth quarter and full
fiscal year ended January 29, 2011 ("fiscal year 2010" ).
Fourth Quarter and Fiscal Year Results
For the fourth quarter of fiscal year 2010, net sales were $303.2
million, as compared to $298.0 million for the fourth quarter of fiscal
year 2009. Comparable store sales for the fourth quarter of fiscal year
2010 increased 1.7% compared to a decrease of 7.7% in the prior year
fourth quarter.
Operating income for the fourth quarter of fiscal year 2010 was $12.3
million, exceeding the Company's previous guidance range of $9.0 million
to $12.0 million and reflecting a significant improvement from the prior
year's fourth quarter operating income of $3.4 million.
Net income from continuing operations in the fourth quarter of fiscal
year 2010 increased to $14.9 million, or $0.24 per diluted share, which
includes favorable non-operating tax adjustments of $0.04 per diluted
share. This compares to the Company's previous guidance range of net
income from continuing operations of $0.15 to $0.19 per diluted share on
a GAAP basis. This also compares to net income from continuing
operations in the prior year fourth quarter of $2.5 million, or $0.04
per diluted share, which included a previously disclosed non-operating
loss of $0.02 per diluted share related to restructuring charges.
On a non-GAAP basis, excluding non-operating adjustments and normalizing
taxes to eliminate unusual items and valuation allowance adjustments,
the Company's adjusted net income from continuing operations for the
fourth quarter of fiscal year 2010 was $7.7 million, or $0.13 per
diluted share. This compares to adjusted net income from continuing
operations of $3.7 million, or $0.06 per diluted share, for the fourth
quarter of fiscal year 2009. Please refer to the "Reconciliation of GAAP
to Non-GAAP Financial Measures" in Exhibit 5 of this press release.
Gregory Scott, New York & Company's CEO, stated: "Our fourth quarter
results reflect a strong focus on controlling inventory and improving
our margins. We were successful in driving both sales and merchandise
margin from last year through an improved product assortment, strong
in-store promotional events and targeted direct marketing efforts. This,
combined with leverage of our buying and occupancy costs, resulted in a
significant improvement in our fourth quarter operating income versus
last year. We are pleased with our positioning as we enter fiscal year
2011. Our strategies are generating their intended results and we expect
to demonstrate continued progress as we focus on our key priorities of
improving sales productivity and profitability."
During the fourth quarter:
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The Company's E-commerce business produced strong results with sales
up 23.9% from the prior year level.
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The accessories business was strong with jewelry reflecting
significant comparable store sales increases and improved merchandise
margin.
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Gross profit as a percentage of net sales improved by 230 basis points
versus the prior year, driven by an improvement in merchandise margin
and leverage in buying and occupancy costs.
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Selling, general and administrative expenses were flat at 25.1% of net
sales.
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Inventory remains tightly managed with total year-end inventory
declining by 5.7%. In-store inventory, which excludes in-transit
inventory, decreased 13.2%.
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The Company ended the year with $77.4 million of cash-on-hand with no
outstanding borrowings under its revolving credit facility.
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In fiscal year 2010, the Company opened 22 new stores, remodeled eight
existing stores and closed 43 stores, ending the year with 555 stores,
including 24 outlet stores, and 3.0 million selling square feet in
operation.
For fiscal year 2010, net sales were $1,021.7 million, as compared to
$1,006.7 million for fiscal year 2009, and comparable store sales
increased 1.6% for fiscal year 2010 versus a decline of 11.8% in fiscal
year 2009. Net loss from continuing operations was $76.5 million, or
$1.29 per diluted share for fiscal year 2010, which includes certain
non-operating adjustments, as noted in Exhibit 5, totaling a loss of
$0.81 per diluted share. This compares to a net loss from continuing
operations of $0.23 per diluted share for fiscal year 2009, which
includes a previously disclosed non-operating loss of $0.03 per diluted
share related to restructuring charges.
On a non-GAAP basis, excluding the non-operating adjustments and
normalizing taxes to eliminate unusual items and valuation allowance
adjustments, the Company's adjusted net loss from continuing operations
for fiscal year 2010 was $28.4 million, or $0.48 per diluted share. This
compares to adjusted net loss from continuing operations of $12.1
million, or $0.20 per diluted share, for fiscal year 2009. Please refer
to the "Reconciliation of GAAP to Non-GAAP Financial Measures" in
Exhibit 5 of this press release.
Outlook
Regarding its expectations for the first quarter of fiscal year 2011,
the Company provided the following:
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Comparable store sales for the first quarter of fiscal year 2011 are
expected to be in the positive low single-digit range with 551 stores
in operation at the end of the first quarter as compared to 579 in the
prior year.
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Gross profit margins are expected to improve by 100 to 175 basis
points versus the prior year's rates.
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Selling, general and administrative expenses as a percentage of net
sales are expected to be approximately flat versus the prior year.
-
Operating loss is expected to narrow from the operating loss of $8.7
million incurred in the year-ago period.
-
The Company expects the effective tax rate for the first quarter of
fiscal year 2011 to be 0% as compared to an effective tax rate of
45.3% in the prior year. As previously announced, the Company
continues to provide for adjustments to the deferred tax valuation
allowance recorded in the second quarter of fiscal year 2010
offsetting any future tax provisions or benefits resulting in a 0%
effective tax rate for GAAP purposes.
-
The Company expects inventory levels at the end of the first quarter
of fiscal year 2011 to be down approximately 10% as compared to the
prior year.
-
Capital expenditures are expected to be approximately $4.3 million for
the first quarter of fiscal year 2011, as compared to $3.9 million in
the prior year. Depreciation expense for the period is estimated at
$10.2 million.
-
The Company has no outstanding borrowings under its revolving credit
facility and does not anticipate the need to use the facility during
the first half of fiscal year 2011.
-
The Company expects to close four stores and remodel two existing
locations, ending the first quarter of fiscal year 2011 with 551
stores, including 24 outlet stores.
Conference Call Information
A conference call to discuss the results for the fourth quarter of
fiscal year 2010 is scheduled for today, Thursday, March 17, 2011 at
4:30 pm Eastern Time. Investors and analysts interested in participating
in the call are invited to dial 800-946-0722, referencing conference ID
number 9808782 approximately ten minutes prior to the start of the call.
The conference call will also be web-cast live at www.nyandcompany.com.
A replay of this call will be available until midnight on March 24, 2011
and can be accessed by dialing 877-870-5176 and entering conference ID
number 9808782.
Forward Looking Statements: This press release contains certain forward
looking statements. Some of these statements can be identified by terms
and phrases such as "anticipate," "believe," "intend," "estimate,"
"expect," "continue," "could," "may," "plan," "project," "predict" , and
similar expressions and include references to assumptions that the
Company believes are reasonable and relate to its future prospects,
developments and business strategies. Such statements are subject to
various risks and uncertainties that could cause actual results to
differ materially. These include, but are not limited to: (i) the impact
of general economic conditions and their effect on consumer confidence
and spending patterns, which have deteriorated significantly and may
continue to do so for the foreseeable future; (ii) the Company's ability
to successfully maintain its restructuring and cost reduction program;
(iii) the current economic conditions which could negatively impact the
Company's merchandise vendors and their ability to deliver products;
(iv) the Company's ability to open and operate stores successfully; (v)
seasonal fluctuations in the Company's business; (vi) the Company's
ability to anticipate and respond to fashion trends; (vii) the Company's
dependence on mall traffic for its sales; (viii) competition in the
Company's market, including promotional and pricing competition; (ix)
the Company's ability to retain, recruit and train key personnel; (x)
the Company's reliance on third parties to manage some aspects of its
business; (xi) the Company's reliance on foreign sources of production;
(xii) the Company's ability to protect its trademarks and other
intellectual property rights; (xiii) the Company's ability to maintain,
and its reliance on, its information technology infrastructure; (xiv)
the effects of government regulation; (xv) the control of the Company by
its sponsors and any potential change of ownership of those sponsors;
and (xvi) other risks and uncertainties as described in the Company's
documents filed with the SEC, including its Annual Report on Form 10-K
and Quarterly Reports on Form 10-Q. The Company undertakes no obligation
to revise the forward looking statements included in this press release
to reflect any future events or circumstances.
About New York & Company
New York & Company, Inc. is a leading specialty retailer of women's
fashion apparel and accessories known for offering the latest NY Style.
The Company's proprietary branded New York & Company merchandise is
sold exclusively through its national network of New York & Company
retail stores and E-commerce store at www.nyandcompany.com.
The Company currently operates 555 stores in 43 states. Additionally,
certain product, press release and SEC filing information concerning the
Company is available at the Company's website: www.nyandcompany.com.
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Exhibit (1)
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New York & Company, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(Unaudited)
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Three months ended
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Fiscal year ended
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(Amounts in thousands, except per share amounts)
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January 29,
2011
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January 30,
2010
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January 29,
2011
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January 30,
2010
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Net sales
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$
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303,179
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$
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298,046
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$
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1,021,699
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$
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1,006,675
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Cost of goods sold, buying and occupancy costs
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214,927
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218,133
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788,378
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(a)
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754,086
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Gross profit
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88,252
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79,913
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233,321
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252,589
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Selling, general and administrative expenses
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75,953
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74,573
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298,419
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(b)
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274,139
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Restructuring charges
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(37
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)
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1,918
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(c)
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1,281
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(c)
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2,376
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(c)
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Operating income (loss)
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12,336
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3,422
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(66,379
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)
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(23,926
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)
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Interest expense, net of interest income
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157
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187
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697
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755
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Income (loss) from continuing operations before income taxes
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12,179
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3,235
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(67,076
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)
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(24,681
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(Benefit) provision for income taxes
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(2,757
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)
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(d)
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700
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9,466
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(d)
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(11,197
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)
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Income (loss) from continuing operations
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14,936
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2,535
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(76,542
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)
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(13,484
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Income from discontinued operations, net of taxes
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81
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-
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81
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3
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Net income (loss)
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$
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15,017
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$
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2,535
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$
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(76,461
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$
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(13,481
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Basic earnings (loss) per share from continuing operations
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$
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0.25
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$
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0.04
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$
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(1.29
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)
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$
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(0.23
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)
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Basic earnings per share from discontinued operations
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-
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-
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-
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-
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Basic earnings (loss) per share
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$
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0.25
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$
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0.04
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$
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(1.29
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$
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(0.23
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)
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Diluted earnings (loss) per share from continuing operations
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$
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0.24
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$
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0.04
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$
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(1.29
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$
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(0.23
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Diluted earnings per share from discontinued operations
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0.01
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-
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-
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-
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Diluted earnings (loss) per share
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$
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0.25
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$
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0.04
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$
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(1.29
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$
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(0.23
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)
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Weighted average shares outstanding:
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Basic shares of common stock
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59,537
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59,303
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59,443
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59,457
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Diluted shares of common stock
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61,126
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60,652
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59,443
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59,457
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Selected operating data for continuing operations:
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(Dollars in thousands, except square foot data)
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Comparable store sales increase (decrease)
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1.7
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%
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(7.7
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)%
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1.6
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%
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(11.8
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)%
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Net sales per average selling square foot (e)
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$
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98
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$
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92
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$
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329
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$
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310
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Net sales per average store (f)
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$
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535
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$
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510
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$
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1,805
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$
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1,727
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Average selling square footage per store (g)
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5,453
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5,544
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5,453
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5,544
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(a)
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Includes the write-off of $0.8 million of inventory during the
second quarter of fiscal year 2010 in connection with an
underperforming test accessories concept.
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(b)
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During the second quarter of fiscal year 2010, the Company recorded
$15.7 million of non-cash charges related to the impairment of New
York & Company store assets and the disposal of certain information
technology assets. During the third quarter of fiscal year 2010, the
Company recorded $1.0 million of separation expenses related to
management changes.
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(c)
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During the second quarter of fiscal year 2010, the Company recorded
$1.1 million of non-cash charges related to the impairment of store
assets and $0.1 million of severance costs incurred in connection
with exiting an underperforming test accessories concept. During
fiscal year 2009, the Company recorded a $2.4 million pre-tax
restructuring charge comprised of $1.2 million of non-cash asset
impairment charges related to underperforming stores recorded during
the fourth quarter of fiscal year 2009 and $1.2 million in cash
charges related to severance costs, of which $0.5 million and $0.7
million was recorded during the third and fourth quarter of fiscal
year 2009, respectively.
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(d)
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Income tax expense for fiscal year 2010 is comprised primarily of a
valuation allowance recorded against the Company's deferred tax
assets as of January 30, 2010 of $17.9 million, partially offset by
a $6.1 million tax benefit recorded during the third quarter of
fiscal year 2010 in connection with a change in accounting methods
for tax purposes and a $2.3 million tax benefit recorded during the
fourth quarter of fiscal year 2010 for other tax related items.
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(e)
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Net sales per average selling square foot is defined as net sales
divided by the average of beginning and end of period selling square
feet.
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(f)
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Net sales per average store is defined as net sales divided by the
average of beginning and end of period number of stores.
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(g)
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Average selling square footage per store is defined as end of period
selling square feet divided by end of period number of stores.
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Exhibit (2)
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New York & Company, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(Unaudited)
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Three months ended
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Fiscal year ended
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As a % of net sales
|
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January 29,
2011
|
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January 30,
2010
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January 29,
2011
|
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January 30,
2010
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Net sales
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100.0
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%
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|
100.0
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%
|
|
100.0
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%
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100.0
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%
|
|
|
|
|
|
|
|
|
|
|
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Cost of goods sold, buying and occupancy costs
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70.9
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%
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73.2
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%
|
|
77.2
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%
|
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74.9
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%
|
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|
|
|
|
|
|
|
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Gross profit
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29.1
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%
|
|
26.8
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%
|
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22.8
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%
|
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25.1
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%
|
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|
|
|
|
|
|
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Selling, general and administrative expenses
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25.1
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%
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25.1
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%
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29.2
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%
|
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27.3
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%
|
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Restructuring charges
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(0.1
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)%
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0.6
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%
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0.1
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%
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0.2
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%
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Operating income (loss)
|
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4.1
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%
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1.1
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%
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(6.5
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)%
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(2.4
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)%
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|
|
|
|
|
|
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Interest expense, net of interest income
|
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0.1
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%
|
|
0.1
|
%
|
|
0.1
|
%
|
|
0.1
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from continuing operations before income taxes
|
|
4.0
|
%
|
|
1.0
|
%
|
|
(6.6
|
)%
|
|
(2.5
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
(Benefit) provision for income taxes
|
|
(0.9
|
)%
|
|
0.1
|
%
|
|
0.9
|
%
|
|
(1.2
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from continuing operations
|
|
4.9
|
%
|
|
0.9
|
%
|
|
(7.5
|
)%
|
|
(1.3
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
Income from discontinued operations, net of taxes
|
|
0.1
|
%
|
|
-
|
%
|
|
-
|
%
|
|
-
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
|
|
5.0
|
%
|
|
0.9
|
%
|
|
(7.5
|
)%
|
|
(1.3
|
)%
|
|
|
|
|
|
Exhibit (3)
|
|
|
|
New York & Company, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
|
|
|
|
(Amounts in thousands)
|
|
January 29,
2011
|
|
January 30,
2010
|
|
|
|
(Unaudited)
|
|
(Audited)
|
|
Assets
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
77,392
|
|
$
|
87,296
|
|
Accounts receivable
|
|
9,756
|
|
9,447
|
|
Income taxes receivable
|
|
527
|
|
3,000
|
|
Inventories, net
|
|
82,062
|
|
87,059
|
|
Prepaid expenses
|
|
20,707
|
|
22,608
|
|
Other current assets
|
|
1,202
|
|
1,417
|
|
Current assets of discontinued operations
|
|
54
|
|
108
|
|
Total current assets
|
|
191,700
|
|
210,935
|
|
|
|
|
|
|
|
Property and equipment, net
|
|
144,561
|
|
187,079
|
|
Intangible assets
|
|
14,879
|
|
14,879
|
|
Deferred income taxes
|
|
3,362
|
|
22,637
|
|
Other assets
|
|
708
|
|
997
|
|
Total assets
|
|
$
|
355,210
|
|
$
|
436,527
|
|
Liabilities and stockholders' equity
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
Current portion - long-term debt
|
|
$
|
7,500
|
|
$
|
6,000
|
|
Accounts payable
|
|
73,611
|
|
72,019
|
|
Accrued expenses
|
|
64,072
|
|
58,932
|
|
Income taxes payable
|
|
260
|
|
991
|
|
Deferred income taxes
|
|
3,362
|
|
4,774
|
|
Current liabilities of discontinued operations
|
|
130
|
|
265
|
|
Total current liabilities
|
|
148,935
|
|
142,981
|
|
|
|
|
|
|
|
Long-term debt, net of current portion
|
|
-
|
|
7,500
|
|
Deferred rent
|
|
66,862
|
|
72,020
|
|
Other liabilities
|
|
5,576
|
|
5,862
|
|
Total liabilities
|
|
221,373
|
|
228,363
|
|
|
|
|
|
|
|
Total stockholders' equity
|
|
133,837
|
|
208,164
|
|
Total liabilities and stockholders' equity
|
|
$
|
355,210
|
|
$
|
436,527
|
|
|
|
|
|
Exhibit (4)
|
|
|
|
New York & Company, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
|
|
|
|
|
|
|
|
|
Fiscal year ended
|
|
|
(Amounts in thousands)
|
|
January 29,
2011
|
|
January 30,
2010
|
|
|
|
|
(Unaudited)
|
|
(Audited)
|
|
|
|
|
|
|
|
|
|
Operating activities
|
|
|
|
|
|
|
Net loss
|
|
$
|
(76,461
|
)
|
|
$
|
(13,481
|
)
|
|
Less: Income from discontinued operations, net of taxes
|
|
|
81
|
|
|
|
3
|
|
|
Loss from continuing operations
|
|
|
(76,542
|
)
|
|
|
(13,484
|
)
|
|
Adjustments to reconcile net loss to net cash provided by operating
activities of continuing operations:
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
|
41,090
|
|
|
|
42,368
|
|
|
Loss from impairment charges
|
|
|
16,283
|
|
|
|
1,218
|
|
|
Amortization of deferred financing costs
|
|
|
216
|
|
|
|
216
|
|
|
Share-based compensation expense
|
|
|
2,474
|
|
|
|
1,768
|
|
|
Deferred income taxes
|
|
|
17,863
|
|
|
|
(5,242
|
)
|
|
Changes in operating assets and liabilities:
|
|
|
|
|
|
|
|
|
|
Accounts receivable
|
|
|
(309
|
)
|
|
|
2,546
|
|
|
Income taxes receivable
|
|
|
2,473
|
|
|
|
7,202
|
|
|
Inventories, net
|
|
|
4,997
|
|
|
|
17,802
|
|
|
Prepaid expenses
|
|
|
1,901
|
|
|
|
2,002
|
|
|
Accounts payable
|
|
|
1,592
|
|
|
|
3,588
|
|
|
Accrued expenses
|
|
|
5,140
|
|
|
|
(2,189
|
)
|
|
Income taxes payable
|
|
|
(731
|
)
|
|
|
991
|
|
|
Deferred rent
|
|
|
(5,158
|
)
|
|
|
(3,828
|
)
|
|
Other assets and liabilities
|
|
|
(486
|
)
|
|
|
348
|
|
|
Net cash provided by operating activities of continuing operations
|
|
|
10,803
|
|
|
|
55,306
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing activities
|
|
|
|
|
|
|
|
|
|
Capital expenditures
|
|
|
(15,695
|
)
|
|
|
(13,285
|
)
|
|
Proceeds from the sale of fixed assets
|
|
|
936
|
|
|
|
-
|
|
|
Net cash used in investing activities of continuing operations
|
|
|
(14,759
|
)
|
|
|
(13,285
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Financing activities
|
|
|
|
|
|
|
|
|
|
Proceeds from borrowings under revolving credit facility
|
|
|
21,000
|
|
|
|
-
|
|
|
Repayment of borrowings under revolving credit facility
|
|
|
(21,000
|
)
|
|
|
-
|
|
|
Repayment of debt
|
|
|
(6,000
|
)
|
|
|
(6,000
|
)
|
|
Purchase of treasury stock
|
|
|
-
|
|
|
|
(3,417
|
)
|
|
Proceeds from exercise of stock options
|
|
|
95
|
|
|
|
86
|
|
|
Excess tax benefit (reduction) from exercise of stock options
|
|
|
(43
|
)
|
|
|
331
|
|
|
Net cash used in financing activities of continuing operations
|
|
|
(5,948
|
)
|
|
|
(9,000
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from discontinued operations
|
|
|
|
|
|
|
|
|
|
Operating cash flows
|
|
|
-
|
|
|
|
(6
|
)
|
|
Investing cash flows
|
|
|
-
|
|
|
|
-
|
|
|
Financing cash flows
|
|
|
-
|
|
|
|
-
|
|
|
Net cash used in discontinued operations
|
|
|
-
|
|
|
|
(6
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Net (decrease) increase in cash and cash equivalents
|
|
|
(9,904
|
)
|
|
|
33,015
|
|
|
Cash and cash equivalents at beginning of period (including cash at
discontinued operations of $0 and $1, respectively)
|
|
|
87,296
|
|
|
|
54,281
|
|
|
Cash and cash equivalents at end of period (represents cash at
continuing operations)
|
|
$
|
77,392
|
|
|
$
|
87,296
|
|
|
|
|
|
|
Exhibit (5)
|
|
|
|
New York & Company, Inc. and Subsidiaries
|
|
Reconciliation of GAAP to Non-GAAP Financial Measures
|
|
(Unaudited)
|
|
|
|
A reconciliation of the Company's GAAP to non-GAAP income (loss)
from continuing operations before income taxes, net income (loss)
from continuing operations and earnings (loss) per diluted share for
the three and twelve months ended January 29, 2011 and January 30,
2010 are indicated below. This information reflects, on a non-GAAP
adjusted basis, the Company's operating results after excluding the
effects of charges incurred in connection with the Company's
restructuring and cost reduction program in addition to certain
non-operating adjustments. This non-GAAP financial information is
provided to enhance the user's overall understanding of the
Company's current financial performance. Specifically, the Company
believes the non-GAAP adjusted results provide useful information to
both management and investors by excluding expenses and earnings
that the Company believes are not indicative of the Company's
continuing operating results. The non-GAAP financial information
should be considered in addition to, not as a substitute for or as
being superior to, measures of financial performance prepared in
accordance with GAAP.
|
|
|
During the fourth quarter of fiscal year 2010, the Company incurred
certain non-operating adjustments as follows:
-
A $4.9 million adjustment to the Company's previously recorded
deferred tax valuation allowance; and
-
A $2.3 million benefit resulting from other tax related items.
During the fourth quarter of fiscal year 2009, the Company incurred the
following non-operating adjustments:
-
Restructuring charges of $1.9 million comprised of a $1.2 million
non-cash asset impairment charge related to underperforming stores and
$0.7 million of cash charges related to severance.
|
|
|
|
|
Three months ended January 29, 2011
|
|
(Amounts in thousands, except per share amounts)
|
|
Income from
continuing
operations
before
income
taxes
|
|
(Benefit)
provision for
income taxes
|
|
|
Net income
from
continuing
operations
|
|
Earnings per
diluted share
from
continuing
operations
|
|
|
|
|
|
|
|
|
|
|
GAAP as reported
|
|
$
|
12,179
|
|
|
$
|
(2,757
|
)
|
|
|
$
|
14,936
|
|
|
$
|
0.24
|
|
|
Adjustments affecting comparability
|
|
|
|
|
|
|
|
|
|
|
Restructuring charges (a)
|
|
|
(37
|
)
|
|
|
15
|
|
|
|
|
(22
|
)
|
|
|
-
|
|
|
Deferred tax valuation allowance
|
|
|
-
|
|
|
|
(4,897
|
)
|
|
|
|
(4,897
|
)
|
|
|
(0.07
|
)
|
|
Other tax related items
|
|
|
-
|
|
|
|
(2,336
|
)
|
|
|
|
(2,336
|
)
|
|
|
(0.04
|
)
|
|
Non-GAAP as adjusted
|
|
$
|
12,142
|
|
|
$
|
4,461
|
|
|
|
$
|
7,681
|
|
|
$
|
0.13
|
|
|
|
|
|
|
|
|
Three months ended January 30, 2010
|
|
(Amounts in thousands, except per share amounts)
|
|
Income from
continuing
operations
before
income
taxes
|
|
Provision
for income
taxes
|
|
|
Net income
from
continuing
operations
|
|
Earnings per
diluted share
from
continuing
operations
|
|
|
|
GAAP as reported
|
|
$
|
3,235
|
|
|
$
|
700
|
|
|
|
$
|
2,535
|
|
|
$
|
0.04
|
|
|
Adjustments affecting comparability
|
|
|
|
|
|
|
|
|
|
|
Restructuring charges (a)
|
|
|
1,918
|
|
|
|
(771
|
)
|
|
|
|
1,147
|
|
|
|
0.02
|
|
|
Non-GAAP as adjusted
|
|
$
|
5,153
|
|
|
$
|
1,471
|
|
|
|
$
|
3,682
|
|
|
$
|
0.06
|
|
|
|
|
|
|
(a) The tax effect is calculated using a 40.2% effective tax rate.
|
|
|
Exhibit (5)
New York & Company, Inc. and Subsidiaries
Reconciliation
of GAAP to Non-GAAP Financial Measures (Cont'd)
(Unaudited)
For the full fiscal year 2010 the Company incurred the following
non-operating adjustments:
-
Restructuring charges totaling $2.1 million related to the exiting of
an underperforming test accessories concept;
-
Separation expenses of $1.0 million related to management changes;
-
Non-cash charge of $15.7 million related primarily to the impairment
of store assets; and
-
The following tax related adjustments: a $6.1 million tax benefit
resulting primarily from a change in accounting methods for tax
purposes, a $44.8 million valuation allowance against the company's
deferred tax assets as of January 30, 2010 plus deferred tax assets
generated by the fiscal year 2010 loss and a $1.9 million benefit
resulting from other tax related items.
During the full fiscal year 2009 the Company incurred the following
non-operating adjustments:
-
Restructuring charges of $2.4 million comprised of a $1.2 million
non-cash asset impairment charge related to underperforming stores and
$1.2 million of cash charges related to severance.
|
|
|
|
|
|
|
Fiscal year ended January 29, 2011
|
|
(Amounts in thousands, except per share amounts)
|
|
Loss from
continuing
operations
before
income
taxes
|
|
Provision
(benefit) for
income taxes
|
|
Net loss from
continuing
operations
|
|
Net loss per
diluted share
from
continuing
operations
|
|
|
|
|
|
GAAP as reported
|
|
$
|
(67,076
|
)
|
|
$
|
9,466
|
|
|
$
|
(76,542
|
)
|
|
$
|
(1.29
|
)
|
|
Adjustments affecting comparability
|
|
|
|
|
|
|
|
|
|
Restructuring charges (a)
|
|
|
2,126
|
|
|
|
(854
|
)
|
|
|
1,272
|
|
|
|
0.02
|
|
|
Separation expenses (a)
|
|
|
953
|
|
|
|
(383
|
)
|
|
|
570
|
|
|
|
0.01
|
|
|
New York & Company asset impairment and disposals (a)
|
|
|
15,725
|
|
|
|
(6,321
|
)
|
|
|
9,404
|
|
|
|
0.16
|
|
|
Tax benefit resulting primarily from a change in accounting methods
for tax purposes
|
|
|
-
|
|
|
|
(6,082
|
)
|
|
|
(6,082
|
)
|
|
|
(0.10
|
)
|
|
Deferred tax valuation allowance
|
|
|
-
|
|
|
|
44,826
|
|
|
|
44,826
|
|
|
|
0.75
|
|
|
Other tax related items
|
|
|
-
|
|
|
|
(1,870
|
)
|
|
|
(1,870
|
)
|
|
|
(0.03
|
)
|
|
Non-GAAP as adjusted
|
|
$
|
(48,272
|
)
|
|
$
|
(19,850
|
)
|
|
$
|
(28,422
|
)
|
|
$
|
(0.48
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal year ended January 30, 2010
|
|
(Amounts in thousands, except per share amounts)
|
|
Loss from
continuing
operations
before
income
taxes
|
|
Benefit for
income taxes
|
|
Net loss from
continuing
operations
|
|
Net loss per
diluted share
from
continuing
operations
|
|
|
|
|
|
GAAP as reported
|
|
$
|
(24,681
|
)
|
|
$
|
(11,197
|
)
|
|
$
|
(13,484
|
)
|
|
$
|
(0.23
|
)
|
|
Adjustments affecting comparability
|
|
|
|
|
|
|
|
|
|
Restructuring charges (a)
|
|
|
2,376
|
|
|
|
(955
|
)
|
|
|
1,421
|
|
|
|
0.03
|
|
|
Non-GAAP as adjusted
|
|
$
|
(22,305
|
)
|
|
$
|
(10,242
|
)
|
|
$
|
(12,063
|
)
|
|
$
|
(0.20
|
)
|
|
|
|
|
|
(a) The tax effect is calculated using a 40.2% effective tax rate.
|
New York & Company, Inc.
Suzanne Rosenberg, 212-884-2140
Director,
Investor Relations
or
Investor/Media Contact:
ICR,
Inc.
Investor: Allison Malkin
Media: Kristina Jorge
203-682-8200
Copyright © 2012, Business Wire, Inc., All rights reserved. Copyright © 2012, NewsBlaze, Daily News
|
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