News Details

View all news

Brown Shoe Company Reports Third Quarter 2011 Results

11/21/2011

Net sales of $713.8 million

GAAP net earnings per diluted share of $0.79

Adjusted net earnings per diluted share of $0.51

ST. LOUIS--(BUSINESS WIRE)--Brown Shoe Company, Inc. (NYSE: BWS, brownshoe.com) today reported its third quarter 2011 financial results, with net sales of $713.8 million, a decrease of 0.3% compared to third quarter 2010 net sales of $716.1 million.

The company reported net earnings of $33.7 million, or $0.79 per diluted share, compared to $18.6 million, or $0.42 per diluted share, in the third quarter of 2010. On an adjusted* basis, net earnings were $21.9 million, or $0.51 per diluted share, compared to $19.8 million, or $0.45 per diluted share in the third quarter of 2010. Gross profit margin in the third quarter of 2011 was 38.7% versus 39.4% in the third quarter of 2010.

“We recently completed the first phase of our previously announced portfolio review and have made determinations about some of our assets,” said Diane Sullivan, president and chief executive officer of Brown Shoe Company. “As a result, we will be exiting several businesses, including all of children’s wholesale and some women’s specialty and private brands. In addition, we have accelerated our real estate review and now plan to close between 70 and 75 Famous Footwear stores in fiscal 2011 and 2012, for a total of approximately 145 stores. We will also be closing all of our Brown Shoe Closet and F.X. LaSalle stores. These changes are in addition to the sale of AND 1 and the closing of our Sun Prairie, Wis., Retail distribution center.”

“In total, the first phase of our portfolio realignment is expected to result in a $200 million reduction in annual revenue, approximately $80 million of related SG&A cost savings, and approximately $20 million of cash and non-cash costs over the next several quarters,” continued Sullivan. “While our efforts to date have been focused on eliminating underperforming or poorly aligned assets, this is not our sole focus. We are determined to expand our portfolio over the long-term and to deliver enhanced growth through our focus on the strategic consumer platforms of Family, Healthy Living and Contemporary Fashion.”

 
US$M, except per share (unaudited)   13 Weeks   39 Weeks   52 Weeks
3Q’11   3Q’10   Chg. 3Q’11   3Q’10   Chg. 3Q’11   3Q’10   Chg.
Famous Footwear     416.2       421.5     -1.3 %     1,103.9       1,131.0     -2.4 %     1,459.4       1,473.7     -1.0 %
Wholesale Operations     233.6       227.1     2.9 %     665.8       580.5     14.7 %     839.7       731.5     14.8 %
Specialty Retail    

64.0

     

67.4

    -5.2 %    

184.3

     

188.1

   

-2.0

%

   

259.4

     

260.3

   

-0.4

%

Consolidated net sales   $ 713.8     $ 716.1     -0.3 %   $ 1,953.9     $ 1,899.6     2.9 %   $ 2,558.5     $ 2,465.5     3.8 %
Gross profit     276.5       282.2     -2.0 %     758.1       768.2     -1.3 %     993.4       1,000.6     -0.7 %
Margin     38.7 %     39.4 %   -70 bps     38.8 %     40.4 %   -160 bps     38.8 %     40.6 %   -180 bps
SG&A expenses     239.4       247.0     -3.1 %     707.6       696.0     1.6 %     934.4       914.0     2.2 %
% of net sales     33.5 %     34.5 %   -100 bps     36.2 %     36.6 %   -40 bps     36.5 %     37.1 %   -60 bps

Net restructuring, other special charges

    4.7       1.9     154.6 %     7.1       5.5     30.9 %    

9.6

     

10.5

   

-9.0

%

Operating earnings     32.4       33.3     -2.8 %     43.4       66.7     -34.9 %     49.4       76.1     -35.1 %
% of net sales     4.5 %     4.6 %   -10 bps     2.2 %     3.5 %   -130 bps     1.9 %     3.1 %   -120 bps
Net interest expense     (6.6 )     (4.9 )   35.3 %     (20.6 )     (14.1 )   46.3 %     (26.0 )     (19.1 )   36.0 %

Earnings before income tax

    25.8       28.4     -9.3 %     22.8       52.6     -56.7 %    

23.4

     

57.0

   

-58.9

%

Tax rate     31.7 %     34.9 %   -320 bps     32.0 %     35.7 %   -370 bps     19.9 %     32.4 %   n/m  
Discontinued operations     16.1       --     n/m       17.1       --     n/m       17.1       --     n/m  
Net earnings   $ 33.7     $ 18.6     81.6 %   $ 32.8     $ 33.9     -3.2 %   $ 36.2     $ 38.9     -7.1 %
Per share   $ 0.79     $ 0.42     88.1 %   $ 0.75     $ 0.77     -2.6 %   $ 0.82     $ 0.89     -7.9 %
Adjusted per share   $ 0.51     $ 0.45     13.3 %   $ 0.60     $ 0.86     -30.2 %   $ 0.71     $ 1.04     -31.7 %
 
 

Highlights

Famous Footwear reported a year-over-year decline in third quarter net sales of (1.3%). The decrease was due in part to the continued expected weakness in year-over-year toning sales, which was only partially offset by strength in running, sandal and boot sales. In the third quarter, same store sales at Famous Footwear decreased (0.4%) versus a record setting 10.6% gain in 2010. During the quarter, the company closed 12 underperforming stores and added 17 new stores. On a year-over-year basis, the total number of stores increased to 1,121 from 1,118.

Wholesale Operations net sales improved 2.9% over the third quarter of 2010, as a result of the ASG acquisition completed in February of 2011. Legacy Wholesale Operations were down 11.8% versus a 33.7% improvement in the third quarter of last year, as the company began the work to exit some of its Wholesale brands and also due to lower sales of Dr. Scholl’s Shoes. This decline was partially offset by a year-over-year improvement in Contemporary Fashion, which was led by the Sam Edelman, Franco Sarto, Via Spiga and Vera Wang brands.

Consolidated gross profit decreased (2.0%) in the third quarter, while gross profit margin declined (70) basis points. The reduction in gross margin, when compared to the third quarter of 2010, was primarily due to both lower sales and a decline in gross margin at Famous Footwear. Wholesale Operations contributed positively to gross margin, due to better gross margin performance in the company’s legacy Wholesale Operations and as a result of the ASG acquisition. For the third quarter, Retail and Wholesale Operations net sales were 67% and 33%, respectively, compared to 69% and 31% in the third quarter of 2010.

Third quarter 2011 GAAP earnings per diluted share of $0.79 included a $0.37 benefit from the sale of AND 1, ($0.07) of costs associated with exiting various Wholesale Operations brands, and ($0.02) of ASG integration related costs. Excluding these items, adjusted earnings were $0.51 per diluted share. For the third quarter of 2010, GAAP earnings per diluted share of $0.42 included ($0.03) of costs related to the company’s IT initiatives. Excluding these costs, adjusted earnings were $0.45 per diluted share.

Inventory at the end of the third quarter was $580.2 million, up 7.5% compared to $539.9 million in the third quarter of 2010. Famous Footwear inventory was down, while Wholesale Operations inventory was up, with the majority of the year-over-year increase at Wholesale due to the ASG acquisition. At quarter-end, Brown Shoe Company had approximately $300.0 million in availability under its revolving credit facility and $42.0 million in cash and cash equivalents.

Financial Review and Outlook

“The third quarter decline in net sales to $713.8 million was versus a strong year-over-year comparison and during a time of economic uncertainty for our consumers,” said Mark Hood, chief financial officer of Brown Shoe Company. “Adjusted EPS of $0.51 for the third quarter was up 13.3% over the prior year and included $0.07 of SAP related costs. This brings year-to-date SAP related costs to a total of $0.22 per diluted share.”

“For fiscal 2011, we now expect earnings per diluted share of $0.73 to $0.85, reflecting a generally cautious outlook for the holiday shopping season, the full-year impact of approximately $0.26 of SAP related costs, and an expected decline in sales from the brands we are exiting,” concluded Hood.

   
Metric FY’11
Consolidated net sales     $2.60 to $2.62 billion
Famous Footwear same-store sales     Down 1%
Wholesale Operations net sales, excluding ASG     Down 2%
Gross profit margin    

Down 100 to 140 basis points

Net interest expense     $26 to $27 million
Effective tax rate     31.0% to 32.0%
Earnings per diluted share    

$0.73 to $0.85

Adjusted earnings per diluted share    

$0.73 to $0.85

Depreciation and amortization     $59 to $61 million
Capital expenditures     $43 to $45 million
 
 

Investor Conference Call

Brown Shoe Company will webcast an investor conference call at 4:30 p.m. ET today, Nov. 21, 2011. The webcast will be available at brownshoe.com/investor. A live conference call will be available at (877) 217-9089 for analysts in North America or (706) 679-1723 for international analysts by using the conference ID 26752005. A replay will be available on the website for a limited period. Investors may also access the replay by dialing (855) 859-2056 in North America or (404) 537-3406 internationally and using the conference ID 26752005 through Dec. 5, 2011.

* Non-GAAP Financial Measures

In this press release, the Company’s financial results are provided both in accordance with generally accepted accounting principles (GAAP) and using certain non-GAAP financial measures. In particular, the Company provides historic and estimated future net earnings and earnings per diluted share adjusted to exclude certain gains, charges and recoveries, which are non-GAAP financial measures. These results are included as a complement to results provided in accordance with GAAP because management believes these non-GAAP financial measures help identify underlying trends in the Company’s business and provide useful information to both management and investors by excluding certain items that may not be indicative of the Company’s core operating results. These measures should not be considered a substitute for or superior to GAAP results.

Definitions

All references in this press release, outside of the condensed consolidated financial statements that follow, unless otherwise noted, related to net earnings attributable to Brown Shoe Company, Inc. and diluted earnings per common share attributable to Brown Shoe Company, Inc. shareholders, are presented as net earnings and earnings per diluted share, respectively.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995

This press release contains certain forward-looking statements and expectations regarding the Company's future performance and the future performance of its brands. Such statements are subject to various risks and uncertainties that could cause actual results to differ materially. These risks include (i) changing consumer demands, which may be influenced by consumers' disposable income, which in turn can be influenced by general economic conditions; (ii) potential disruption to Brown Shoe Company’s business and operations as it integrates ASG into its business; (iii) potential disruption to Brown Shoe Company’s business and operations as it implements its information technology initiatives; (iv) Brown Shoe Company’s ability to utilize its new information technology system to successfully execute its strategies, including integrating ASG’s business; (v) intense competition within the footwear industry; (vi) rapidly changing fashion trends and purchasing patterns; (vii) customer concentration and increased consolidation in the retail industry; (viii) political and economic conditions or other threats to the continued and uninterrupted flow of inventory from China, where ASG has manufacturing facilities and both ASG and Brown Shoe Company rely heavily on third-party manufacturing facilities for a significant amount of their inventory; (ix) the ability to recruit and retain senior management and other key associates; (x) the ability to attract and retain licensors and protect intellectual property rights; (xi) the ability to secure/exit leases on favorable terms; (xii) the ability to maintain relationships with current suppliers; (xiii) compliance with applicable laws and standards with respect to lead content in paint and other product safety issues; (xiv) the ability to source product at a pace consistent with increased demand for footwear; (xv) the impact of rising prices in a potentially inflationary global environment; and (xvi) the ability of Brown Shoe Company to execute on the first phase of its portfolio realignment. The Company's reports to the Securities and Exchange Commission contain detailed information relating to such factors, including, without limitation, the information under the caption Risk Factors in Item 1A of the Company’s Annual Report on Form 10-K for the year ended January 29, 2011, which information is incorporated by reference herein and updated by the Company’s Quarterly Reports on Form 10-Q. The Company does not undertake any obligation or plan to update these forward-looking statements, even though its situation may change.

About Brown Shoe Company, Inc.

Brown Shoe Company is a global footwear company. Brown Shoe Company’s Retail division operates Famous Footwear, a leading family branded footwear destination with over 1,100 stores nationwide and e-commerce site FamousFootwear.com, approximately 260 specialty retail stores in the U.S., Canada, and China primarily under the Naturalizer brand name, and footwear e-tailer shoes.com. Through its wholesale divisions, Brown Shoe Company designs and markets leading fashion and athletic footwear brands including Naturalizer, Dr. Scholl's, LifeStride, Sam Edelman, Franco Sarto, Via Spiga, Vince, Etienne Aigner, Vera Wang, Avia and rykä. Brown Shoe Company press releases are available at brownshoe.com.

 
 
 
 
 
 
SCHEDULE 1
 
BROWN SHOE COMPANY, INC.
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(Unaudited)
           

 

13 Weeks Ended

39 Weeks Ended 52 Weeks Ended
(Thousands, except per share data) October 29, 2011 October 30, 2010 October 29, 2011 October 30, 2010 October 29, 2011 October 30, 2010
 
Net sales $ 713,788 $ 716,093 $ 1,953,933 $ 1,899,567 $ 2,558,457 $ 2,465,539
Cost of goods sold   437,290     433,874     1,195,866     1,131,318     1,565,084     1,464,898  
 
Gross profit   276,498     282,219     758,067     768,249     993,373     1,000,641  
 
Selling and administrative expenses 239,422 247,089 707,476 696,052 934,401 914,024
Restructuring and other special charges, net   4,715     1,852     7,148     5,460     9,602     10,549  
 
Operating earnings   32,361     33,278     43,443     66,737     49,370     76,068  
 
Interest expense (6,685 ) (4,916 ) (19,903 ) (14,238 ) (25,312 ) (19,241 )
Loss on early extinguishment of debt - - (1,003 ) - (1,003 ) -
Interest income   98     46     248     113     338     147  
 
Earnings from continuing operations before income taxes   25,774     28,408     22,785     52,612     23,393     56,974  
 
Income tax provision   (8,180 )   (9,918 )   (7,294 )   (18,799 )   (4,655 )   (18,435 )
 
Net earnings from continuing operations   17,594     18,490     15,491     33,813     18,738     38,539  
 
Discontinued operations:

Earnings from operations of AND 1, net of tax of $595, $1,285 and $1,285, respectively

725 - 1,701 - 1,701 -
Gain on sale of subsidiary, net of tax of $6,196   15,374     -     15,374     -     15,374     -  
 
Net earnings from discontinued operations   16,099     -     17,075     -     17,075     -  
 
Net earnings   33,693     18,490     32,566     33,813     35,813     38,539  
 

Net (loss) attributable to noncontrolling interests

  (39 )   (83 )   (245 )   (67 )   (351 )   (389 )
 

Net earnings attributable to Brown Shoe Company, Inc.

$ 33,732   $ 18,573   $ 32,811   $ 33,880   $ 36,164   $ 38,928  
 
Basic earnings per common share:
From continuing operations $ 0.42 $ 0.42 $ 0.36 $ 0.78 $ 0.44 $ 0.90
From discontinued operations   0.38     -     0.40     -     0.39     -  

Basic earnings per common share attributable to Brown Shoe Company, Inc. shareholders

$ 0.80   $ 0.42   $ 0.76   $ 0.78   $ 0.83   $ 0.90  
 
Diluted earnings per common share:
From continuing operations $ 0.41 $ 0.42 $ 0.36 $ 0.77 $ 0.43 $ 0.89
From discontinued operations   0.38     -     0.39     -     0.39     -  
 

Diluted earnings per common share attributable to Brown Shoe Company, Inc. shareholders

$ 0.79   $ 0.42   $ 0.75   $ 0.77   $ 0.82   $ 0.89  
 
Basic number of shares 40,079 42,348 41,469 42,084 41,695 41,963
Diluted number of shares 40,610 42,608 42,005 42,370 42,192 42,254
 
 
 
 
 
 
 
SCHEDULE 2
 
BROWN SHOE COMPANY, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
     
(Thousands) October 29, 2011 October 30, 2010 January 29, 2011
ASSETS
 
Cash and cash equivalents $ 41,951 $ 29,707 $ 126,548
Receivables 155,754 131,352 113,937
Inventories 580,154 539,881 524,250
Prepaid expenses and other current assets   32,948   31,910   43,546
Total current assets   810,807   732,850   808,281
 
Other assets 137,590 122,996 133,538
Goodwill and intangible assets, net 142,544 72,218 70,592
Property and equipment, net   136,817   136,533   135,632
Total assets $ 1,227,758 $ 1,064,597 $ 1,148,043
 
LIABILITIES AND EQUITY
 
Borrowings under revolving credit agreement $ 222,000 $ 113,000 $ 198,000
Trade accounts payable 177,521 172,789 167,190
Other accrued expenses   138,074   154,895   146,715
Total current liabilities   537,595   440,684   511,905
 
Long-term debt 198,586 150,000 150,000
Deferred rent 32,829 35,631 34,678
Other liabilities   39,155   28,554   35,551
Total other liabilities   270,570   214,185   220,229
 
Total Brown Shoe Company, Inc. shareholders’ equity 418,600 408,804 415,080
Noncontrolling interests   993   924   829
Total equity   419,593   409,728   415,909
Total liabilities and equity $ 1,227,758 $ 1,064,597 $ 1,148,043
 
 
 
 
 
 
 
SCHEDULE 3
 
BROWN SHOE COMPANY, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
   
39 Weeks Ended
(Thousands) October 29, 2011 October 30, 2010
OPERATING ACTIVITIES:
Net earnings $ 32,566 $ 33,813
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization 44,523 37,005
Amortization of debt issuance costs 1,757 1,646
Loss on early extinguishment of debt 1,003 -
Share-based compensation expense 5,116 4,494
Tax deficiency related to share-based plans 371 212
Loss on disposal of facilities and equipment 850 783
Impairment charges for facilities and equipment 1,067 2,273
Deferred rent (1,849 ) (3,238 )
Provision for doubtful accounts 562 286
Gain on sale of subsidiary, net (15,374 ) -
Changes in operating assets and liabilities, net of acquired and discontinued operations:
Receivables (27,298 ) (47,317 )
Inventories (14,746 ) (82,520 )
Prepaid expenses and other current and noncurrent assets 28,879 15,698
Trade accounts payable 415 (5,064 )
Accrued expenses and other liabilities (44,410 ) 9,981
Other, net   (814 )   (890 )
Net cash provided by (used for) operating activities   12,618     (32,838 )
 
INVESTING ACTIVITIES:
Capital expenditures (30,982 ) (40,914 )
Acquisition cost (American Sporting Goods Corporation) (156,636 ) -
Cash recognized on initial consolidation 3,121 -
Net proceeds from sale of subsidiary   55,350     -  
Net cash used for investing activities   (129,147 )   (40,914 )
 
FINANCING ACTIVITIES:
Borrowings under revolving credit agreement 1,410,500 753,000
Repayments under revolving credit agreement (1,386,500 ) (734,500 )
Proceeds from issuance of 2019 Senior Notes 198,586 -
Redemption of 2012 Senior Notes (150,000 ) -
Dividends paid (9,135 ) (9,183 )
Debt issuance costs (6,428 ) -
Acquisition of treasury stock (25,484 ) -
Proceeds from stock options exercised 734 561
Tax deficiency related to share-based plans (371 ) (212 )
Contributions by noncontrolling interests - 527
Acquisition of noncontrolling interests (Edelman Shoe, Inc.)   -     (32,692 )
Net cash provided by (used for) financing activities   31,902     (22,499 )
Effect of exchange rate changes on cash and cash equivalents   30     125  
Decrease in cash and cash equivalents (84,597 ) (96,126 )
Cash and cash equivalents at beginning of period   126,548     125,833  
 
Cash and cash equivalents at end of period $ 41,951   $ 29,707  
 
 
 
 
 
 
 
SCHEDULE 4
 
BROWN SHOE COMPANY, INC.
Reconciliation of Operating Earnings, Net Earnings and Diluted Earnings Per Share (GAAP Basis) to Adjusted Operating Earnings, Net Earnings and Diluted Earnings Per Share (Non-GAAP Basis)
       
 
13 Weeks Ended October 29, 2011 13 Weeks Ended October 30, 2010
(Thousands, except per share data)

Net Earnings

Attributable to

Brown Shoe

Company, Inc.

Diluted

Earnings Per

Share

Net Earnings

Attributable to

Brown Shoe

Company, Inc.

Diluted

Earnings Per

Share

 
GAAP earnings $ 33,732 $ 0.79 $ 18,573 $ 0.42
 

Charges/Other Items:

Gain on sale of subsidiary (15,374 ) (0.37 ) - -
Wholesale brand exit costs 2,752 0.07 - -
ASG integration costs 784 0.02 - -
IT initiatives - - 1,195 0.03
       
Total charges/other items   (11,838 )   (0.28 )   1,195     0.03  
 
Adjusted earnings $ 21,894   $ 0.51   $ 19,768   $ 0.45  
 
 
39 Weeks Ended October 29, 2011 39 Weeks Ended October 30, 2010
(Thousands, except per share data)

Net Earnings

Attributable to

Brown Shoe

Company, Inc.

Diluted

Earnings Per

Share

Net Earnings

Attributable to

Brown Shoe

Company, Inc.

Diluted

Earnings Per

Share

 
GAAP earnings $ 32,811 $ 0.75 $ 33,880 $ 0.77
 

Charges/Other Items:

Gain on sale of subsidiary (15,374 ) (0.37 ) - -
ASG acquisition and integration-related costs 2,890 0.08 - -
Wholesale brand exit costs 2,752 0.07 - -
ASG cost of goods sold adjustment (1) 2,477 0.05 - -
Loss on early extinguishment of debt 638 0.02 - -
IT initiatives - - 3,642 0.09
       
Total charges/other items   (6,617 )   (0.15 )   3,642     0.09  
 
Adjusted earnings $ 26,194   $ 0.60   $ 37,522   $ 0.86  
 
 
52 Weeks Ended October 29, 2011 52 Weeks Ended October 30, 2010
(Thousands, except per share data)  

Net Earnings

Attributable to

Brown Shoe

Company, Inc.

Diluted

Earnings Per

Share

Net Earnings

Attributable to

Brown Shoe

Company, Inc.

Diluted

Earnings Per

Share

 
GAAP earnings $ 36,164 $ 0.82 $ 38,928 $ 0.89
 

Charges/Other Items:

Gain on sale of subsidiary (15,374 ) (0.37 ) - -
ASG acquisition and integration-related costs 3,613 0.09 - -
Wholesale brand exit costs 2,752 0.07 - -

ASG cost of goods sold adjustment (1)

2,477 0.05 - -
IT initiatives 893 0.03 5,014 0.12
Loss on early extinguishment of debt 638 0.02 - -
Organizational changes - - 2,825 0.06
Headquarters consolidation - - (1,139 ) (0.03 )
       
Total charges/other items   (5,001 )   (0.11 )   6,700     0.15  
 
Adjusted earnings $ 31,163   $ 0.71   $ 45,628   $ 1.04  
 
 

(1) In accordance with GAAP, purchase accounting rules require the company to record inventory at fair value (i.e., expected selling price less costs to sell) on the acquisition date. This results in lower than typical gross margins when the acquired inventory is sold. This adjustment reflects the elimination of the unfavorable impact of lower gross margins for ASG product sold in the first and second quarters of 2011.

 
 
 
 
 
 
 
SCHEDULE 5
 
BROWN SHOE COMPANY, INC.
OPERATING RESULTS BY MAJOR SEGMENT
           
 
Famous Footwear Wholesale Operations Specialty Retail
($ millions) 13 Weeks Ended 13 Weeks Ended 13 Weeks Ended
October 29, October 30, October 29, October 30, October 29, October 30,
2011 2010 2011 2010 2011 2010
 
Net Sales $ 416.2 $ 421.5 $ 233.6 $ 227.1 $ 64.0 $ 67.4
 
Gross Profit $ 178.3 $ 186.7 $ 70.3 $ 65.0 $ 27.9 $ 30.5
 
Gross Profit Rate 42.8 % 44.3 % 30.1 % 28.6 % 43.6 % 45.2 %
 
Operating Earnings $ 28.4 $ 32.2 $ 9.6 $ 13.7 $ 0.1 $ 0.7
 
Operating Earnings % 6.8 % 7.6 % 4.1 % 6.0 % 0.1 % 1.0 %
 
Same-store Sales %

(0.4

)%

10.6 % - - (1.9 )% 2.1 %
 
Number of Stores 1,121 1,118 - - 242 259
                         
 
Famous Footwear Wholesale Operations Specialty Retail
($ millions) 39 Weeks Ended 39 Weeks Ended 39 Weeks Ended
October 29, October 30, October 29, October 30, October 29, October 30,
2011 2010 2011 2010 2011 2010
 
Net Sales $ 1,103.9 $ 1,131.0 $ 665.8 $ 580.5 $ 184.3 $ 188.1
 
Gross Profit $ 484.0 $ 510.5 $ 196.7 $ 175.7 $ 77.5 $ 82.0
 
Gross Profit Rate 43.8 % 45.1 % 29.5 % 30.3 % 42.0 % 43.6 %
 
Operating Earnings (Loss) $ 54.7 $ 76.1 $ 18.5 $ 31.4 $ (6.7 ) $ (5.0 )
 
Operating Earnings (Loss) % 5.0 % 6.7 % 2.8 % 5.4 % (3.6 )% (2.6 )%
 
Same-store Sales %

(1.3

)%

12.4 % - - 0.7 % 7.8 %
                         
 
Famous Footwear Wholesale Operations Specialty Retail
52 Weeks Ended 52 Weeks Ended 52 Weeks Ended
October 29, October 30, October 29, October 30, October 29, October 30,
($ millions) 2011 2010 2011 2010 2011 2010
 
Net Sales $ 1,459.4 $ 1,473.7 $ 839.7 $ 731.5 $ 259.4 $ 260.3
 
Gross Profit $ 642.5 $ 661.6 $ 243.0 $ 227.9 $ 107.9 $ 111.1
 
Gross Profit Rate 44.0 % 44.9 % 28.9 % 31.2 % 41.6 % 42.7 %
 
Operating Earnings (Loss) $ 68.9 $ 90.0 $ 19.3 $ 42.1 $ (7.7 ) $ (7.3 )
 
Operating Earnings (Loss) % 4.7 % 6.1 % 2.3 % 5.8 % (3.0 )% (2.8 )%
 
Same-store Sales % 0.1 % 11.6 % - - 1.4 % 7.8 %
                         
 
 
 

Contact:

Media and Investors:
Brown Shoe Company, Inc.
Peggy Reilly Tharp, 314-854-4134
ptharp@brownshoe.com

Multimedia Files:

Categories: Press Releases
View all news