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Designer Brands is one of North America’s largest designers, producers and retailers of footwear and accessories. Our business segments include world-class design and sourcing operations, a robust wholesaling business, and more than 1,000 points of distribution.

DSW Inc. Reports 2008 Second Quarter Sales Results; Reiterates Annual Outlook
PRNewswire-FirstCall

 

COLUMBUS, Ohio, Aug. 7 /PRNewswire-FirstCall/ -- DSW Inc. (NYSE: DSW) today reported net sales for the quarter ended August 2, 2008 increased 2.4% to $357.2 million compared with $348.7 million for the quarter ended August 4, 2007. Same store sales decreased 6.9% for the comparable period versus an increase of 5.9% last year.

(Logo: http://www.newscom.com/cgi-bin/prnh/20050629/CLW021LOGO )

Net sales for the twenty-six week year-to-date period ended August 2, 2008 increased 2.5% to $723.4 million compared with $705.7 million for the twenty-six week year-to-date period ended August 4, 2007. Same store sales decreased 6.2% for the comparable twenty-six week period versus an increase of 0.9% last year.

The Company said second quarter merchandise margin rate increased significantly over last year due to the positioning of inventory levels with anticipated same store sales declines. Last year's merchandise margin rate was negatively impacted by promotional activity aimed at clearing seasonal merchandise.

2008 Outlook

For the fiscal year ending January 31, 2009, the Company reiterated its estimated annual comparable store sales in the negative mid-single digits and annual earnings per diluted share in the range of $0.75 to $0.85.

About DSW Inc.

DSW Inc. is a leading branded footwear specialty retailer that offers a wide selection of brand name and designer dress, casual and athletic footwear for women and men. As of August 2, 2008, DSW operated 274 stores in 37 states and operated an e-commerce site, www.dsw.com . DSW also supplied footwear to 384 leased locations in the United States. For store locations and additional information about DSW, visit www.dswinc.com .

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

Any statements in this release that are not historical facts, including the statements made in our "Outlook," are forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on the Company's current expectations and involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements. These factors include, but are not limited to: our success in opening and operating new stores on a timely and profitable basis; continuation of our supply agreements with our leased departments; maintaining good relationships with our vendors; our ability to anticipate and respond to fashion trends; fluctuation of our comparable store sales and quarterly financial performance; disruption of our distribution operations; impact of the change in the shared services agreement; the risk of Value City deciding to discontinue operations or otherwise not pay its obligations for transition services; impact of the disposition of a majority interest in Value City by Retail Ventures on the allocation of expenses pursuant to the shared services agreement with RVI; failure to retain our key executives or attract qualified new personnel; our competitiveness with respect to style, price, brand availability and customer service; declining general economic conditions; risks inherent to international trade with countries that are major manufacturers of footwear; the success of our e-commerce business; liquidity risks related to our investments and security risks related to our electronic processing and transmission of confidential customer information. Additional factors that could cause our actual results to differ materially from our expectations are described in the Company's latest annual or quarterly report, as filed with the SEC. All forward-looking statements speak only as of the time when made. The Company undertakes no obligation to revise the forward-looking statements included in this press release to reflect any future events or circumstances.

SOURCE DSW Inc.

CONTACT:
Investor Relations for DSW Inc., +1-614-872-1474

Web site: http://www.dsw.com
http://www.dswinc.com
(DSW)

 

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