Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Stock Market Bubble -- Ignore unavailable to you. Want to Upgrade?

To: sammaster who wrote (2397)	12/7/1998 5:46:00 PM
From: RealMuLan	Respond to of 3339

<<with all the irrational excuberance going on i wonder whether earnings warnings will slow down this recent bull run....>> Maybe not. Proof? Liz Claiborne Monday December 7, 3:44 pm Eastern Time FOCUS-Liz Claiborne to shut 30 stores, cut 400 jobs (Adds background, updates stock price, stands as lead to RETAIL-LIZCLAIBORNE) NEW YORK, Dec 7 (Reuters) - Apparel designer and retailer Liz Claiborne Inc. (NYSE:LIZ - news) said on Monday it will close 30 of its 230 stores, cut 400 jobs and take a restructuring charge of $13 million to $17 million that will reduce fourth-quarter earnings, perhaps by as much as one-third. The after-tax cash cost of the restructuring is expected to be $7 million to $11 million and the charge will slice fourth-quarter earnings by 20 cents to 26 cents a share, the company said. According to First Call Inc., Wall Street analysts expected the company to earn 72 cents a share in the quarter. The company earned 70 a share in the year-ago period. The stores to be closed include underperforming Liz Claiborne, Elisabeth and Claiborne stores. Sixteen of the stores were converted from the company's previously discontinued First Issue retail format. Liz Claiborne said that it has no plans to close any of the stores in its outlet division or its Dana Buchman retail division. In October, Liz Claiborne reported third-quarter earnings of $62.7 million, or 96 cents per diluted share, compared with $66.6 million, or 95 cents, for the previous third quarter. The amount was a penny short of the 97 cent consensus estimate of analysts surveyed by First Call. Liz Claiborne shares have been on a rollercoaster ride this year, plunging to a low of $25 in October from a high of $54.88 in June. The steep descent followed the company's warning in July that earnings for the year would fall short of analysts's expectations, which were for $2.84 a share. Liz Claiborne stock gained 81 cents to $31.625 in afternoon trading on the New York Stock Exchange.