The Children's Place Reports May Sales
Secaucus, New Jersey - June 7, 2001 - The Children's Place Retail Stores, Inc. (Nasdaq: PLCE) today announced sales of $36.3 million for the four-week period ended June 2, 2001, a 6% increase over sales of $34.1 million reported for May 2000.
Comparable store sales for the four-week period decreased 14% versus a 7% increase for the four-week period ended June 3, 2000. The Company opened 21 new stores during May 2001.
Total sales for the seventeen-weeks ended June 2, 2001 increased 20% to $196.7 million from $164.3 million reported in the year-ago period. Year-to-date, comparable store sales decreased 5% versus a 5% increase in the prior year period.
"Our May sales results reflect a slowdown in store traffic, which we attribute to a general consumer exuberance in the month of April that satisfied their immediate wardrobe needs," stated Ezra Dabah, Chairman and Chief Executive Officer. "Additionally, our sales for the month of May were impacted by our lower unit price and the early launch of our highly promotional $5 store-wide sale of shorts and tanks which coincided with very unseasonable weather."
Mr. Dabah continued, "Beginning in the third quarter, we have increased our levels of fashion merchandise, which will raise our average unit price and is designed to generate greater excitement in our product assortment and improve our profit margin. Furthermore, we are pleased that our 2001 class of new stores continues to exceed our expectations and we look forward with great confidence to continuing our position of leadership in the children's apparel market."
In conjunction with The Children's Place May Sales Release, you are invited to listen to the Company's pre-recorded May sales call with Seth Udasin, Chief Financial Officer and Treasurer, which will be available beginning at 8:00 a.m. Eastern Time on June 7, 2001 through June 13, 2001. To access the call, please visit the following web address: http://www.childrensplace.com/Info/CompanyInfo.jsp or dial (402) 220-0667.
The Children's Place Retail Stores, Inc. is a leading specialty retailer of high quality, value-priced apparel and accessories for children, newborn to age twelve. The Company designs, contracts to manufacture and sells its products under the "The Children's Place" brand name. As of June 2, 2001, the Company operated 458 stores in 44 states. The Company also sells its merchandise through its virtual store located at www.childrensplace.com.
This press release and above referenced call may contain certain forward-looking statements regarding future circumstances. These forward-looking statements are based upon the Company's current expectations and assumptions and are subject to various risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements including, in particular, the risks and uncertainties described in the Company's filings with the Securities and Exchange Commission. Actual results, events, and performance may differ. Readers or listeners (on the call) are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. We undertake no obligation to release publicly any revisions to these forward looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. The inclusion of any statement in this release does not constitute an admission by The Children's Place or any other person that the events or circumstances described in such statement are material.