Value City Department Stores Reports Fourth Quarter Results

Apr 11, 2001, 01:00 ET from Value City Department Stores, Inc.

    COLUMBUS, Ohio, April 11 /PRNewswire/ -- Value City Department Stores,
 Inc. (NYSE:   VCD) today announced financial results for its fourth quarter
 ended February 3, 2001.
     Sales for the 14-week period increased 29.6% to $662.9 million from
 $511.6 million. This year's fourth quarter sales include $87.6 million net
 owned sales for the 19 Filene's Basement stores acquired effective March 17,
 2000. Same store sales decreased 6.4%.
     Sales for the 53-week period ended February 3, 2001, increased 32.5% to
 $2,213.0 million from $1,670.2 million. This year's sales included
 $249.1 million net owned sales of the Filene's Basement stores. Same store
 sales decreased 1.1%.
     The Company's net loss for the 14-week period was $22.9 million, or
 $0.67 per share, versus a $20.2 million profit, or $0.61 per diluted share for
 last year's quarter.
     The Company's net loss for the 53-week period was $101.8 million, or $3.03
 per share, versus a $33.5 million profit, or $1.02 per diluted share, for last
 year's twelve months.
     Fiscal 2000 operating results include $19.6 million, or $0.35 per share,
 of non-recurring pretax charges in the 14-week period and $110.0 million, or
 $1.99 per share in the 53-week period ended February 3, 2001. These non-
 recurring charges were principally for inventory realignment, asset impairment
 and severance costs.
     Value City Department Stores, Inc. is a leading off-price retailer,
 currently operating 119 full-line department stores in the midwest, mid-
 Atlantic and southeastern U.S., 19 Filene's Basement stores primarily in the
 northeastern U.S. and 81 better-branded DSW Shoe Warehouse Stores in major
 metropolitan areas throughout the country.
     A management discussion of the fourth quarter and fiscal 2000 results of
 operations will be held today at 4:00 p.m. EST.  To listen to the webcast
 access the Value City Department Store website ( www.valuecity.com ) and click
 "Enter Value City Department Stores" icon.  Then click on the StreetFusion
 icon. The webcast is also available through StreetFusion at
 www.streetfusion.com .
     The webcast will be available for replay at the Value City Department
 Stores website through May 11, 2001.
 
                VALUE CITY DEPARTMENT STORES,  INC.  (NYSE:  VCD)
                (in millions except per share and footnote data)
                                  (unaudited)
 
                                 Fourth Quarter Ended    Twelve Months Ended
                                  2/3/01    1/29/00       2/3/01    1/29/00
                                 14 Weeks  13 Weeks      53 Weeks  52 Weeks
 
     NET OWNED SALES              $662.9    $511.6       $2,213.0  $1,670.2
 
     NET (LOSS) INCOME            $(22.9)    $20.2        $(101.8)    $33.5
 
     BASIC (LOSS) EARNINGS
       PER SHARE                  $(0.67)    $0.62         $(3.03)    $1.03
 
     DILUTED (LOSS) EARNINGS
       PER SHARE                  $(0.67)    $0.61         $(3.03)    $1.02
 
     WEIGHTED AVERAGE
       SHARES OUTSTANDING (a)       33.9      32.8           33.6      32.5
 
     SHARES USED FOR
       DILUTED EPS (a)              33.9      33.4           33.6      32.9
 
     (a) Excludes 7,651 and 87,651 treasury shares at February 3, 2001 and
         January 29, 2000, respectively.
 
                       VALUE CITY DEPARTMENT STORES, INC.
                       CONSOLIDATED STATEMENTS OF INCOME
                    (in thousands, except per share amounts)
                                  (unaudited)
 
                                                Three months ended
                                       February 3, 2001   January 29, 2000
                                           14 Weeks           13 Weeks
     Comp sales                             (6.4)%               9.4%
 
     Total sales                         662,898             511,602
     Cost of sales                      (433,695)           (319,634)
       Gross profit                      229,203   34.6%     191,968    37.5%
 
     Selling, general and
       administrative expenses          (263,147) -39.7%    (163,351)  -31.9%
     License fees from affiliates
       and other operating income          6,286    0.9%       5,674     1.1%
       Operating (loss) profit           (27,658)  -4.2%      34,291     6.7%
 
     Interest expense, net                (9,290)  -1.4%      (2,536)   -0.5%
     (Loss) gain on disposal
       of assets, net                       (260)   0.0%          67     0.0%
       (Loss) income before equity in
         (loss) income  of joint venture
         and provision for income taxes  (37,208)  -5.6%      31,822     6.2%
 
     Equity in (loss) income
       of joint venture                     (627)  -0.1%       1,864     0.4%
       (Loss) income before benefit
         (provision) for income taxes    (37,835)  -5.7%      33,686     6.6%
 
     Benefit (provision)
       for income taxes                   14,936    2.3%     (13,440)   -2.6%
     Net (loss) income                  ($22,899)  -3.4%     $20,246     4.0%
 
     Basic (loss) earnings per share      ($0.67)              $0.62
     Diluted (loss) earnings per share    ($0.67)              $0.61
 
                                                  Twelve months ended
                                        February 3, 2001      January 29, 2000
                                            53 Weeks              52 Weeks
 
     Comp sales                             (1.1)%               7.2%
 
     Total sales                       2,213,017           1,670,176
     Cost of sales                    (1,492,947)         (1,039,145)
       Gross profit                      720,070   32.5%     631,031    37.8%
 
     Selling, general and
       administrative expenses          (870,237) -39.3%    (579,460)  -34.7%
     License fees from affiliates
       and other operating income         14,582    0.7%      14,071     0.8%
       Operating (loss) profit          (135,585)  -6.1%      65,642     3.9%
 
     Interest expense, net               (30,481)  -1.4%     (10,728)   -0.6%
     (Loss) gain on disposal
       of assets, net                        (16)   0.0%         146     0.0%
       (Loss) income before equity in
         (loss) income  of joint venture
         and provision for income taxes (166,082)  -7.5%      55,060     3.3%
 
     Equity in (loss) income of
       joint venture                      (1,339)  -0.1%       1,340     0.1%
       (Loss) income before benefit
         (provision) for income taxes   (167,421)  -7.6%      56,400     3.4%
 
     Benefit (provision) for
       income taxes                       65,630    3.0%     (22,932)   -1.4%
     Net (loss) income                 ($101,791)  -4.6%     $33,468     2.0%
 
     Basic (loss) earnings per share      ($3.03)              $1.03
 
     Diluted (loss) earnings per share    ($3.03)              $1.02
 
 
                       VALUE CITY DEPARTMENT STORES, INC.
                          CONSOLIDATED BALANCE SHEETS
                      (in thousands, except share amounts)
                                  (unaudited)
 
                                                    February 3,     January 29,
                                                       2001            2000
 
     ASSETS
     Current assets:
       Cash and equivalents                           $10,562         $6,027
       Inventories                                    393,577        412,479
       Other current assets                           130,141         37,026
         Total current assets                         534,280        455,532
     Property, net                                    249,038        207,495
     Other noncurrent assets                          124,691         81,154
         Total assets                                $908,009       $744,181
 
     LIABILITIES AND SHAREHOLDERS' EQUITY
     Total current liabilities                        326,544        250,521
     Total long-term liabilities                      331,158        151,299
       Total liabilities                              657,702        401,820
        Total shareholders' equity                    250,307        342,361
        Total liabilities and shareholders' equity   $908,009       $744,181
 
 

SOURCE Value City Department Stores, Inc.
    COLUMBUS, Ohio, April 11 /PRNewswire/ -- Value City Department Stores,
 Inc. (NYSE:   VCD) today announced financial results for its fourth quarter
 ended February 3, 2001.
     Sales for the 14-week period increased 29.6% to $662.9 million from
 $511.6 million. This year's fourth quarter sales include $87.6 million net
 owned sales for the 19 Filene's Basement stores acquired effective March 17,
 2000. Same store sales decreased 6.4%.
     Sales for the 53-week period ended February 3, 2001, increased 32.5% to
 $2,213.0 million from $1,670.2 million. This year's sales included
 $249.1 million net owned sales of the Filene's Basement stores. Same store
 sales decreased 1.1%.
     The Company's net loss for the 14-week period was $22.9 million, or
 $0.67 per share, versus a $20.2 million profit, or $0.61 per diluted share for
 last year's quarter.
     The Company's net loss for the 53-week period was $101.8 million, or $3.03
 per share, versus a $33.5 million profit, or $1.02 per diluted share, for last
 year's twelve months.
     Fiscal 2000 operating results include $19.6 million, or $0.35 per share,
 of non-recurring pretax charges in the 14-week period and $110.0 million, or
 $1.99 per share in the 53-week period ended February 3, 2001. These non-
 recurring charges were principally for inventory realignment, asset impairment
 and severance costs.
     Value City Department Stores, Inc. is a leading off-price retailer,
 currently operating 119 full-line department stores in the midwest, mid-
 Atlantic and southeastern U.S., 19 Filene's Basement stores primarily in the
 northeastern U.S. and 81 better-branded DSW Shoe Warehouse Stores in major
 metropolitan areas throughout the country.
     A management discussion of the fourth quarter and fiscal 2000 results of
 operations will be held today at 4:00 p.m. EST.  To listen to the webcast
 access the Value City Department Store website ( www.valuecity.com ) and click
 "Enter Value City Department Stores" icon.  Then click on the StreetFusion
 icon. The webcast is also available through StreetFusion at
 www.streetfusion.com .
     The webcast will be available for replay at the Value City Department
 Stores website through May 11, 2001.
 
                VALUE CITY DEPARTMENT STORES,  INC.  (NYSE:  VCD)
                (in millions except per share and footnote data)
                                  (unaudited)
 
                                 Fourth Quarter Ended    Twelve Months Ended
                                  2/3/01    1/29/00       2/3/01    1/29/00
                                 14 Weeks  13 Weeks      53 Weeks  52 Weeks
 
     NET OWNED SALES              $662.9    $511.6       $2,213.0  $1,670.2
 
     NET (LOSS) INCOME            $(22.9)    $20.2        $(101.8)    $33.5
 
     BASIC (LOSS) EARNINGS
       PER SHARE                  $(0.67)    $0.62         $(3.03)    $1.03
 
     DILUTED (LOSS) EARNINGS
       PER SHARE                  $(0.67)    $0.61         $(3.03)    $1.02
 
     WEIGHTED AVERAGE
       SHARES OUTSTANDING (a)       33.9      32.8           33.6      32.5
 
     SHARES USED FOR
       DILUTED EPS (a)              33.9      33.4           33.6      32.9
 
     (a) Excludes 7,651 and 87,651 treasury shares at February 3, 2001 and
         January 29, 2000, respectively.
 
                       VALUE CITY DEPARTMENT STORES, INC.
                       CONSOLIDATED STATEMENTS OF INCOME
                    (in thousands, except per share amounts)
                                  (unaudited)
 
                                                Three months ended
                                       February 3, 2001   January 29, 2000
                                           14 Weeks           13 Weeks
     Comp sales                             (6.4)%               9.4%
 
     Total sales                         662,898             511,602
     Cost of sales                      (433,695)           (319,634)
       Gross profit                      229,203   34.6%     191,968    37.5%
 
     Selling, general and
       administrative expenses          (263,147) -39.7%    (163,351)  -31.9%
     License fees from affiliates
       and other operating income          6,286    0.9%       5,674     1.1%
       Operating (loss) profit           (27,658)  -4.2%      34,291     6.7%
 
     Interest expense, net                (9,290)  -1.4%      (2,536)   -0.5%
     (Loss) gain on disposal
       of assets, net                       (260)   0.0%          67     0.0%
       (Loss) income before equity in
         (loss) income  of joint venture
         and provision for income taxes  (37,208)  -5.6%      31,822     6.2%
 
     Equity in (loss) income
       of joint venture                     (627)  -0.1%       1,864     0.4%
       (Loss) income before benefit
         (provision) for income taxes    (37,835)  -5.7%      33,686     6.6%
 
     Benefit (provision)
       for income taxes                   14,936    2.3%     (13,440)   -2.6%
     Net (loss) income                  ($22,899)  -3.4%     $20,246     4.0%
 
     Basic (loss) earnings per share      ($0.67)              $0.62
     Diluted (loss) earnings per share    ($0.67)              $0.61
 
                                                  Twelve months ended
                                        February 3, 2001      January 29, 2000
                                            53 Weeks              52 Weeks
 
     Comp sales                             (1.1)%               7.2%
 
     Total sales                       2,213,017           1,670,176
     Cost of sales                    (1,492,947)         (1,039,145)
       Gross profit                      720,070   32.5%     631,031    37.8%
 
     Selling, general and
       administrative expenses          (870,237) -39.3%    (579,460)  -34.7%
     License fees from affiliates
       and other operating income         14,582    0.7%      14,071     0.8%
       Operating (loss) profit          (135,585)  -6.1%      65,642     3.9%
 
     Interest expense, net               (30,481)  -1.4%     (10,728)   -0.6%
     (Loss) gain on disposal
       of assets, net                        (16)   0.0%         146     0.0%
       (Loss) income before equity in
         (loss) income  of joint venture
         and provision for income taxes (166,082)  -7.5%      55,060     3.3%
 
     Equity in (loss) income of
       joint venture                      (1,339)  -0.1%       1,340     0.1%
       (Loss) income before benefit
         (provision) for income taxes   (167,421)  -7.6%      56,400     3.4%
 
     Benefit (provision) for
       income taxes                       65,630    3.0%     (22,932)   -1.4%
     Net (loss) income                 ($101,791)  -4.6%     $33,468     2.0%
 
     Basic (loss) earnings per share      ($3.03)              $1.03
 
     Diluted (loss) earnings per share    ($3.03)              $1.02
 
 
                       VALUE CITY DEPARTMENT STORES, INC.
                          CONSOLIDATED BALANCE SHEETS
                      (in thousands, except share amounts)
                                  (unaudited)
 
                                                    February 3,     January 29,
                                                       2001            2000
 
     ASSETS
     Current assets:
       Cash and equivalents                           $10,562         $6,027
       Inventories                                    393,577        412,479
       Other current assets                           130,141         37,026
         Total current assets                         534,280        455,532
     Property, net                                    249,038        207,495
     Other noncurrent assets                          124,691         81,154
         Total assets                                $908,009       $744,181
 
     LIABILITIES AND SHAREHOLDERS' EQUITY
     Total current liabilities                        326,544        250,521
     Total long-term liabilities                      331,158        151,299
       Total liabilities                              657,702        401,820
        Total shareholders' equity                    250,307        342,361
        Total liabilities and shareholders' equity   $908,009       $744,181
 
 SOURCE  Value City Department Stores, Inc.

RELATED LINKS

http://www.value-city.com