ddie Bauer's 1Q loss more than doubles
Eddie Bauer says first-quarter loss more than doubles on accounting charges, lower sales
* On Thursday May 14, 2009, 5:25 pm EDT
SEATTLE (AP) -- Outdoorsy clothing retailer Eddie Bauer Holdings Inc. said Thursday its loss more than doubled in the first quarter as shoppers continued to curb spending and it recorded a hefty charge to amend loan terms.
For the three months ended April 4, the company lost $44.5 million, or $1.44 per share. That compared with losses of $19.3 million, or 63 cents per share, in the year-ago period.
The Bellevue, Wash.-based company said the wider loss was due primarily to one-time charges; a $10.3 million charge for amending its senior term loan and a lower income tax benefit of $11 million.
Quarterly revenue fell to $179.8 million from $213.2 million in the first quarter of 2008.
Thomson Reuters did not provide analyst estimates on first-quarter performance.
"The first quarter was a difficult one, as the sharp downturn in the economy took its toll on our sales. We continued to focus on cost cutting and cash flow management, which helped mitigate the impact of lower sales," said Neil Fiske, president and chief executive, in a statement.
Last month, shares of Eddie Bauer plummeted after the company said it was at risk of violating the terms of a $225 million term loan and wanted to amend the terms.
During the regular session Thursday, shares rose 9 cents to end at 64 cents, but then lost 10 cents to 54 cents in aftermarket trading. The stock has ranged between 24 cents and $8.72 in the past year.
Eddie Bauer operated 251 retail stores and 119 outlet stores at the end of the first quarter of 2009, compared with 247 and 118 stores, respectively, in the prior year. The company laid off 193 people in January.
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