Exhibit 99.2
SELECT COMFORT CORPORATION AND SUBSIDIARIES
Reported to Adjusted Statements of Operations Data Reconciliation
(unaudited – in thousands, except per share amounts)
| | Three Months Ended | |
| | January 3, 2009 | | December 29, 2007 | |
| | As Reported | | Impairments(1) | | Tax Valuation(2) | | As Adjusted | | As Reported | | Impairments(1) | | Tax Valuation | | As Adjusted | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Operating (loss) income | | $ | (50,217 | ) | $ | 32,060 | | $ | — | | $ | (18,157 | ) | $ | 2,799 | | $ | 211 | | $ | — | | $ | 3,010 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
(Loss) income before income taxes | | | (51,506 | ) | | 32,060 | | | — | | | (19,446 | ) | | 2,590 | | | 211 | | | — | | | 2,801 | |
Income tax (benefit) expense(3) | | | 5,930 | | | 12,818 | | | (26,840 | ) | | (8,092 | ) | | 422 | | | 78 | | | — | | | 500 | |
Net (loss) income | | $ | (57,436 | ) | $ | 19,242 | | $ | 26,840 | | $ | (11,354 | ) | $ | 2,168 | | $ | 133 | | $ | — | | $ | 2,301 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Net (loss) income per share – | | | | | | | | | | | | | | | | | | | | | | | | | |
Basic | | $ | (1.30 | ) | $ | 0.43 | | $ | 0.61 | | $ | (0.26 | ) | $ | 0.05 | | $ | 0.00 | | $ | — | | $ | 0.05 | |
Diluted | | $ | (1.30 | ) | $ | 0.43 | | $ | 0.61 | | $ | (0.26 | ) | $ | 0.05 | | $ | 0.00 | | $ | — | | $ | 0.05 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Basic Shares | | | 44,305 | | | 44,305 | | | 44,305 | | | 44,305 | | | 44,000 | | | 44,000 | | | 44,000 | | | 44,000 | |
Diluted Shares | | | 44,305 | | | 44,305 | | | 44,305 | | | 44,305 | | | 45,331 | | | 45,331 | | | 45,331 | | | 45,331 | |
(1) | Period ended January 3, 2009 includes impairment charges for the abandonment of our plan to implement SAP-based applications and underperforming stores period ended December 29, 2007 includes impairment charges for underperforming stores |
(2) | We established a $26.8 million valuation allowance against deferred taxes in the fourth quarter of fiscal 2008 |
(3) | Reflects annual effective tax rate, before discrete adjustments, of 40.0% and 37.1%, respectively, for the periods ended January 3, 2009 and December 29, 2007 |
| Note - | Our “as adjusted” data is considered a non-GAAP financial measure and is not in accordance with, or preferable to, “as reported,” or GAAP financial data. However, we have are providing this information as we believe it facilitates year-over-year comparisons for investors and financial analysts |
GAAP - generally accepted accounting principles
SELECT COMFORT CORPORATION AND SUBSIDIARIES
Reported to Adjusted Statements of Operations Data Reconciliation
(unaudited – in thousands, except per share amounts)
| | Fiscal Years Ended | |
| | January 3, 2009 | | December 29, 2007 | |
| | As Reported | | Impairments(1) | | Tax Valuation(2) | | As Adjusted | | As Reported | | Impairments(1) | | Tax Valuation | | As Adjusted | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Operating (loss) income | | $ | (69,458 | ) | $ | 34,594 | | $ | — | | $ | (34,864 | ) | $ | 43,506 | | $ | 409 | | $ | — | | $ | 43,915 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
(Loss) income before income taxes | | | (72,743 | ) | | 34,594 | | | — | | | (38,149 | ) | | 43,466 | | | 409 | | | — | | | 43,875 | |
Income tax (benefit) expense(3) | | | (2,566 | ) | | 13,831 | | | (26,840 | ) | | (15,575 | ) | | 15,846 | | | 152 | | | — | | | 15,998 | |
Net (loss) income | | $ | (70,177 | ) | $ | 20,763 | | $ | 26,840 | | $ | (22,574 | ) | $ | 27,620 | | $ | 257 | | $ | — | | $ | 27,877 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Net (loss) income per share – | | | | | | | | | | | | | | | | | | | | | | | | | |
Basic | | $ | (1.59 | ) | $ | 0.47 | | $ | 0.61 | | $ | (0.51 | ) | $ | 0.59 | | $ | 0.01 | | $ | — | | $ | 0.60 | |
Diluted | | $ | (1.59 | ) | $ | 0.47 | | $ | 0.61 | | $ | (0.51 | ) | $ | 0.57 | | $ | 0.01 | | $ | — | | $ | 0.58 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Basic Shares | | | 44,186 | | | 44,186 | | | 44,186 | | | 44,186 | | | 46,536 | | | 46,536 | | | 46,536 | | | 46,536 | |
Diluted Shares | | | 44,186 | | | 44,186 | | | 44,186 | | | 44,186 | | | 48,292 | | | 48,292 | | | 48,292 | | | 48,292 | |
(1) | Period ended January 3, 2009 includes impairment charges for the abandonment of our plan to implement SAP-based applications and underperforming stores period ended December 29, 2007 includes impairment charges for underperforming stores |
(2) | We established a $26.8 million valuation allowance against deferred taxes in the fourth quarter of fiscal 2008 |
(3) | Reflects annual effective tax rate, before discrete adjustments, of 40.0% and 37.1%, respectively, for the periods ended January 3, 2009 and December 29, 2007 |
| Note - | Our “as adjusted” data is considered a non-GAAP financial measure and is not in accordance with, or preferable to, “as reported,” or GAAP financial data. However, we have are providing this information as we believe it facilitates year-over-year comparisons for investors and financial analysts |
GAAP - generally accepted accounting principles
