American Eagle Outfitters, Inc. (AEO) announced that total sales for the five weeks ended October 3, 2009 increased 7% to $246.0 million from $229.2 million for the five weeks ended October 4, 2008. Comparable store sales were flat for the month, compared to a 6% decrease for the same period last year.
Based on better-than-expected sales, management is raising third quarter earnings guidance to a range of $0.24 to $0.26 per share, which includes a tax benefit of approximately $0.05 per diluted share associated with the repatriation of earnings from Canada. Previous third quarter earnings guidance was $0.22 to $0.25 per share which included a tax benefit of approximately $0.05 per diluted share associated with the repatriation of earnings from Canada. This guidance excludes the possibility of additional impairments or losses related to investment securities.
Analysts polled by Thomson Reuters expect the company to report earnings of $0.20 per share. Analysts' estimates typically exclude special items.
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