Christopher & Banks Corp. (CBK), Thursday said it expects to report a loss in the fourth quarter, on a one-time pre-tax charges related to asset impairment. The company also provided its fourth quarter sales forecast with an anticipated 20% decline in same-store sales. The company also provided its FY09 earnings forecast.
For the fourth quarter, the company expects to realize a loss from continuing operations in the range of $0.81 to $0.84 per share. The loss includes one-time pre-tax charges of approximately $7.0 to $8.0 million or $0.17 to $0.19 per share.
One-time charges for the quarter relate primarily to asset impairment associated with under-performing stores, severance associated with the previously announced reorganization of the field management organization and the reduction in force at the company's corporate headquarters, and information technology software and related charges.
Sales for the fourth quarter from continuing operations are expected at $104 million, reflecting same-store sales decline of 20%.
For fiscal 2009, the company expects to report loss in the range of $0.22 to $0.25 per share and sales of approximately $531 million.
Lorna Nagler, President and Chief Executive Officer said, "The current retail environment has been extremely challenging. We expect it will remain so well into fiscal 2010."
Fourth quarter and fiscal 2009 results are scheduled for release on April 9, 2009.
CBK closed Thursday's regular trading at $5.47, up $0.45 or 8.96%, on a volume of 0.22 million shares.
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