Blair Corporation Reports First Quarter Results
Apr 30, 2001, 01:00 ET from Blair Corporation
WARREN, Pa., April 30 /PRNewswire/ -- Blair Corporation (Amex: BL),
http://www.blair.com, a national catalog and direct mail marketer of women's
and men's apparel and home products, today reported results for the first
quarter ended March 31, 2001.
Net sales for the first quarter ended March 31, 2001 were $133,055,145
compared to $130,063,638 reported for the first quarter ended March 31, 2000.
Blair reported a loss for the first quarter of 2001 of $231,946 or $.03 per
share reflecting a one-time $2.5 million cost associated with the Company's
voluntary separation program, compared to net income of $6,938,156, or $.85
per share, reported for the first quarter last year. Without the one-time
charge, Blair would have reported net income of $1,225,575 or $.15 per share
for the first quarter of 2001.
In January, Blair announced plans to invest $23 million to modernize and
enhance its merchandise fulfillment capabilities and capacity. As a result,
the Company's merchandise returns operations will be relocated and its mailing
operations will be progressively outsourced to an Atlanta-based company. Of
the nearly 325 Blair employees affected by the changes, approximately 50
eligible employees chose to participate in Blair's voluntary separation
program, rather than relocate or accept other positions in the Company.
Results for the first quarter were primarily affected by lower than
expected response rates, reflecting decreased consumer spending and uncertain
economic conditions. The quarter was also impacted by costs associated with
investments in several initiatives including e-commerce, "Crossing Pointe" and
the recently introduced men's and women's targeted apparel catalogs as well as
an increased provision for doubtful accounts.
In the first quarter of 2001, Blair announced the consolidation of the
most successful product categories and items from its three home product
specialty catalogs into its flagship "Blair Shoppe" catalog. Consolidating the
strong performers from its specialty categories for the home into its primary
Blair Shoppe catalog is part of the Company's strategic plan to increase
profitability and reduce inventory management and catalog production costs in
the home products line.
John E. Zawacki, President and CEO said, "Blair continues to implement its
strategic plan to enhance the Company's position as the premiere direct
marketer to the growing mature, low-to-moderate income consumer segment. We
are confident that our near term investments to enhance merchandise
fulfillment capabilities and capacity, the launch of 'Crossing Pointe' and our
e-commerce initiatives will generate future growth. We will continue our
efforts to expand Blair's customer base, develop products designed to appeal
to a somewhat younger and broader audience, and capitalize on our marketing
database technology. Blair is committed to generating growth and increasing
profitability as we work to become a billion-dollar company before the end of
the decade."
About Blair
Headquartered in Warren, Pennsylvania, Blair Corporation sells fashion
apparel for men and women and a broad range of home products, primarily
through direct mail merchandising. Catalogs and letter-style promotions
depicting a broad array of women's and men's apparel and home products are
mailed directly to existing and prospective customers. Blair Corporation
employs over 2,500 people and operates facilities in Erie, Franklin and Grove
City, Pennsylvania as well as in Wilmington, Delaware. The Company, which has
annual sales of more than $500 million, is publicly traded on the American
Stock Exchange (Amex: BL).
This release contains statements relating to future results of the Company
(including certain projections and business trends) that are "forward-looking
statements" as defined in the Private Securities Litigation Reform Act of
1995. Actual results may differ materially from those projected as a result of
certain risks and uncertainties, including but not limited to, changes in
political and economic conditions, demand for and market acceptance of new and
existing products, as well as other risks and uncertainties detailed in the
most recent periodic filings of the Company with the Securities and Exchange
Commission.
BLAIR CORPORATION
COMPARATIVE FINANCIAL HIGHLIGHTS
(UNAUDITED)
For the Three Months Ended
March 31
2001 2000
Net sales $133,055,145 $130,063,638
Income before income taxes (Loss)* (372,946) 11,154,156
Income taxes (141,000) 4,216,000
Net income (Loss) (231,946) 6,938,156
Basic and diluted earnings per share (Loss) $(.03) $.85
Weighted average shares outstanding 7,968,844 8,115,214
Selected Balance Sheet Items
as of March 31
2001 2000
Customer accounts receivable $162,599,071 $165,860,789
Inventories $132,190,549 $85,952,253
Total assets $378,793,020 $321,200,603
Total liabilities $143,140,804 $93,683,348
Stockholders' equity $235,652,216 $227,517,255
Total liabilities and
stockholders' equity $378,793,020 $321,200,603
* Reflects a one-time $2.5 million cost associated with the Company's
voluntary separation program
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SOURCE Blair Corporation
WARREN, Pa., April 30 /PRNewswire/ -- Blair Corporation (Amex: BL),
http://www.blair.com, a national catalog and direct mail marketer of women's
and men's apparel and home products, today reported results for the first
quarter ended March 31, 2001.
Net sales for the first quarter ended March 31, 2001 were $133,055,145
compared to $130,063,638 reported for the first quarter ended March 31, 2000.
Blair reported a loss for the first quarter of 2001 of $231,946 or $.03 per
share reflecting a one-time $2.5 million cost associated with the Company's
voluntary separation program, compared to net income of $6,938,156, or $.85
per share, reported for the first quarter last year. Without the one-time
charge, Blair would have reported net income of $1,225,575 or $.15 per share
for the first quarter of 2001.
In January, Blair announced plans to invest $23 million to modernize and
enhance its merchandise fulfillment capabilities and capacity. As a result,
the Company's merchandise returns operations will be relocated and its mailing
operations will be progressively outsourced to an Atlanta-based company. Of
the nearly 325 Blair employees affected by the changes, approximately 50
eligible employees chose to participate in Blair's voluntary separation
program, rather than relocate or accept other positions in the Company.
Results for the first quarter were primarily affected by lower than
expected response rates, reflecting decreased consumer spending and uncertain
economic conditions. The quarter was also impacted by costs associated with
investments in several initiatives including e-commerce, "Crossing Pointe" and
the recently introduced men's and women's targeted apparel catalogs as well as
an increased provision for doubtful accounts.
In the first quarter of 2001, Blair announced the consolidation of the
most successful product categories and items from its three home product
specialty catalogs into its flagship "Blair Shoppe" catalog. Consolidating the
strong performers from its specialty categories for the home into its primary
Blair Shoppe catalog is part of the Company's strategic plan to increase
profitability and reduce inventory management and catalog production costs in
the home products line.
John E. Zawacki, President and CEO said, "Blair continues to implement its
strategic plan to enhance the Company's position as the premiere direct
marketer to the growing mature, low-to-moderate income consumer segment. We
are confident that our near term investments to enhance merchandise
fulfillment capabilities and capacity, the launch of 'Crossing Pointe' and our
e-commerce initiatives will generate future growth. We will continue our
efforts to expand Blair's customer base, develop products designed to appeal
to a somewhat younger and broader audience, and capitalize on our marketing
database technology. Blair is committed to generating growth and increasing
profitability as we work to become a billion-dollar company before the end of
the decade."
About Blair
Headquartered in Warren, Pennsylvania, Blair Corporation sells fashion
apparel for men and women and a broad range of home products, primarily
through direct mail merchandising. Catalogs and letter-style promotions
depicting a broad array of women's and men's apparel and home products are
mailed directly to existing and prospective customers. Blair Corporation
employs over 2,500 people and operates facilities in Erie, Franklin and Grove
City, Pennsylvania as well as in Wilmington, Delaware. The Company, which has
annual sales of more than $500 million, is publicly traded on the American
Stock Exchange (Amex: BL).
This release contains statements relating to future results of the Company
(including certain projections and business trends) that are "forward-looking
statements" as defined in the Private Securities Litigation Reform Act of
1995. Actual results may differ materially from those projected as a result of
certain risks and uncertainties, including but not limited to, changes in
political and economic conditions, demand for and market acceptance of new and
existing products, as well as other risks and uncertainties detailed in the
most recent periodic filings of the Company with the Securities and Exchange
Commission.
BLAIR CORPORATION
COMPARATIVE FINANCIAL HIGHLIGHTS
(UNAUDITED)
For the Three Months Ended
March 31
2001 2000
Net sales $133,055,145 $130,063,638
Income before income taxes (Loss)* (372,946) 11,154,156
Income taxes (141,000) 4,216,000
Net income (Loss) (231,946) 6,938,156
Basic and diluted earnings per share (Loss) $(.03) $.85
Weighted average shares outstanding 7,968,844 8,115,214
Selected Balance Sheet Items
as of March 31
2001 2000
Customer accounts receivable $162,599,071 $165,860,789
Inventories $132,190,549 $85,952,253
Total assets $378,793,020 $321,200,603
Total liabilities $143,140,804 $93,683,348
Stockholders' equity $235,652,216 $227,517,255
Total liabilities and
stockholders' equity $378,793,020 $321,200,603
* Reflects a one-time $2.5 million cost associated with the Company's
voluntary separation program
MAKE YOUR OPINION COUNT -- Click Here
http://tbutton.prnewswire.com/prn/11690X60515172
SOURCE Blair Corporation
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