Exhibit 99.1
![]() | 301 S. Tippecanoe Avenue San Bernardino, California 92408 | Contact: Phil Smith Stater Bros. Holdings Inc. (909)733-5287 |
P R E S S R E L E A S E
For Immediate Release
Thursday, December 18, 2008
For Immediate Release
Thursday, December 18, 2008
Stater Bros. Holdings Inc.
STATER BROS. ANNOUNCES RECORD SALES FOR FISCAL 2008
SAN BERNARDINO, CALIFORNIA. —December 18, 2008: Today, Jack H. Brown, Chairman, President and Chief Executive Officer of Stater Bros. Holdings Inc. announced sales and earnings for the fifty-two week fiscal year ended September 28, 2008.
Sales for fiscal 2008 were $3.74 billion, an increase of 1.8% when compared to sales of $3.67 billion for the 2007 fiscal year. Fiscal 2007, a fifty-three week year, had an extra week of sales when compared to fiscal 2008, a fifty-two week year. After excluding the additional week in fiscal 2007, sales for fiscal 2008 increased 3.8%.
Sales for the fourth quarter of fiscal 2008 were $940.2 million compared to $993.8 million for the fiscal fourth quarter of 2007. The fourth quarter of 2007 had one additional week of sales. After adjusting fourth quarter sales for comparable weeks, sales increased 1.7% in the fourth quarter of fiscal 2008 versus the fourth quarter of fiscal 2007. Like store sales for 2008 increased 2.4% for the fiscal year and 1.1% for the quarter.
The Company reported net income of $40.6 million for the fiscal year 2008 compared to $49.4 million in fiscal year 2007. The results for the fourth quarters of fiscal 2008 and fiscal 2007 were net income of $7.2 million and $10.4 million, respectively.
Brown said, “Our financial results in both the fourth quarter and fiscal year of 2008 were affected by the downturn in the economy and the negative effect the economy has had on the family budgets of our “Valued Customers”. We are even more focused in these hard economic times of giving our “Valued Customers” the best value for their shopping dollars while providing a friendly and satisfying shopping experience on each and every one of their visits to our Supermarkets. We remain committed to controlling costs as we weather the effect of these economic times.”
Stater Bros. Holdings Inc. is the largest privately held Supermarket Chain in Southern California and operates 165 supermarkets through its wholly owned subsidiary, Stater Bros. Markets. Stater Bros. Markets also owns and operates Santee Dairies, manufacturer of quality “Heartland Farms” dairy products including Knudsen Gold Label Milk.
For information contact: Jack H. Brown, Chairman, President and Chief Executive Officer at (909) 733-5000.
STATER BROS. MARKETS...SERVING SOUTHERN CALIFORNIA FOR 72 GOLDEN YEARS
# # #
# # #
STATER BROS. HOLDINGS INC.
Condensed Consolidated Balance Sheets
(In thousands)
Unaudited
Condensed Consolidated Balance Sheets
(In thousands)
Unaudited
09/30/07 | 09/28/08 | |||||||
Assets | ||||||||
Current assets | ||||||||
Cash and cash equivalents | $ | 277,062 | $ | 144,942 | ||||
Restricted cash | 8,121 | 5,621 | ||||||
Receivables, net | 46,391 | 56,993 | ||||||
Inventories | 202,073 | 233,719 | ||||||
Other | 34,965 | 36,174 | ||||||
Total current assets | 568,612 | 477,449 | ||||||
Property and equipment, net | 629,644 | 732,326 | ||||||
Deferred debt issuance costs, net | 17,671 | 14,478 | ||||||
Other | 54,351 | 52,622 | ||||||
Total assets | $ | 1,270,278 | $ | 1,276,875 | ||||
Liabilities and stockholder’s equity | ||||||||
Current liabilities | ||||||||
Accounts payable | $ | 187,978 | $ | 167,647 | ||||
Accrued expenses and other liabilities | 142,597 | 139,311 | ||||||
Current portion of capital lease obligations | 1,008 | 1,162 | ||||||
Total current liabilities | 331,583 | 308,120 | ||||||
Long-term debt | 810,000 | 810,000 | ||||||
Capital lease obligations, less current portion | 6,285 | 5,124 | ||||||
Other long-term liabilities | 113,131 | 113,125 | ||||||
Total stockholder’s equity | 9,279 | 40,506 | ||||||
Total liabilities and stockholder’s equity | $ | 1,270,278 | $ | 1,276,875 | ||||
STATER BROS. HOLDINGS INC.
Condensed Consolidated Statements of Income
(In thousands)
Unaudited
Condensed Consolidated Statements of Income
(In thousands)
Unaudited
14 Weeks | 13 Weeks | 53 Weeks | 52 Weeks | |||||||||||||
Ended | Ended | Ended | Ended | |||||||||||||
09/30/07 | 09/28/08 | 09/30/07 | 09/28/08 | |||||||||||||
Sales | $ | 993,782 | $ | 940,195 | $ | 3,674,427 | $ | 3,741,254 | ||||||||
Gross profit | 254,743 | 248,252 | 999,864 | 998,180 | ||||||||||||
Operating expenses: | ||||||||||||||||
Selling, general and administrative expenses | 213,528 | 208,994 | 818,863 | 829,697 | ||||||||||||
Depreciation and amortization | 12,433 | 13,918 | 48,715 | 52,987 | ||||||||||||
Total operating expenses | 225,961 | 222,912 | 867,578 | 882,684 | ||||||||||||
Operating profit | 28,782 | 25,340 | 132,286 | 115,496 | ||||||||||||
Interest income | 3,676 | 760 | 14,151 | 5,735 | ||||||||||||
Interest expense | (14,723 | ) | (14,557 | ) | (63,539 | ) | (57,464 | ) | ||||||||
Other expenses, net | (215 | ) | 24 | (224 | ) | 2,863 | ||||||||||
Income before income taxes | 17,520 | 11,567 | 82,674 | 66,630 | ||||||||||||
Income taxes | 7,089 | 4,398 | 33,279 | 26,000 | ||||||||||||
Net income | $ | 10,431 | $ | 7,169 | $ | 49,395 | $ | 40,630 | ||||||||