Exhibit 99 - Press Release
6113 Lemmon , Dallas, Texas 75209
Tel 214.956.4511 - Fax 214.956.4239
NEWS RELEASE [Haggar Logo] Contact: David Tehle
Executive Vice President
and Chief Financial
Officer
FOR IMMEDIATE RELEASE
HAGGAR POSTS 6% SALES INCREASE AND MEETS
THIRD QUARTER 2001 EARNINGS PER SHARE EXPECTATIONS
DALLAS, TX (July 24, 2001) -- Haggar Corp. (NASDAQ-HGGR) announced
third quarter and nine months results for the period ending June 30, 2001.
For the third quarter of fiscal 2001, Haggar reported net sales of
$108,151,000 which is a 6% increase in net sales, and net income of
$1,028,000, or $0.15 on a per share basis. This compares to the third
quarter of 2000, in which the Company reported $102,053,000 in net sales and
net income of $1,423,000, or $0.21 on a per share basis.
For the nine months ended June 30, 2001, before the reorganization
charge taken in the second quarter for strategic sourcing initiatives, Haggar
reported net income of $2,898,000 on net sales of $323,798,000, compared to
net income of $4,162,000 on net sales of $317,803,000 during the same period
in 2000. Earnings for the first nine months of fiscal 2001 before the
reorganization charge were $0.45 on a per share basis, compared to earnings
per share of $0.59 in 2000. With the reorganization charge the loss was
$11,402,000 or $1.75 on a per share basis for the nine months ending June 30,
2001.
J. M. Haggar, III, the Company's Chairman and Chief Executive
Officer, stated, "We are pleased with our 6% sales increase from the prior
year. We believe our marketing efforts combined with solid product design
have enabled this to occur. Price pressure continues to be very intense as
reflected in our gross profit performance. EPS for the current quarter met
our street expectations."
Frank Bracken, President and COO, added, "The environment at retail
is very tough right now. However, our solid operational management and cost
control, as demonstrated by our SG&A percentage falling three points for the
quarter from last year, have benefited our overall bottom line."
David Tehle, Executive Vice President and Chief Financial Officer,
stated, "The Company is revising its expectations for the fiscal fourth
quarter to a sales level of $112 to $117 million and an EPS range of $0.42 to
$0.48. Competitive pricing and the tough retail environment have resulted in
these updated projections.
The Company will be filing an 8K with the Securities and Exchange
Commission detailing its fourth quarter estimates.
The statements contained in this release that are not historical
facts are forward-looking statements. These forward-looking statements
involve risks and uncertainties that could cause actual results to differ
materially from those in such statements; the results could be affected by,
among other things, general business conditions, the impact of competition,
the seasonality of the Company's business, labor relations, governmental
regulations, unexpected judicial decisions, and inflation. In addition, the
financial results for the quarter just ended do not
necessarily indicate the results that may be expected for any future quarters
or for any fiscal year. Investors also should consider other risks and
uncertainties discussed in documents filed by the Company with the Securities
and Exchange Commission.
Haggar Clothing Co., a wholly-owned subsidiary of Haggar Corp.
(NASDAQ-HGGR), is a leading marketer of men's casual and dress apparel and
women's sportswear, with global headquarters in Dallas, TX. Haggar markets
in the United States, United Kingdom, Canada, Mexico, South Africa, and
Indonesia. Haggar also holds exclusive licenses in the United States to use
the Claiborne-Registered Trademark- trademark and in the United States and
Canada to use the DKNY-Registered Trademark- trademark to manufacture, market,
and sell men's shorts and pants in men's classification pant departments. For
more information visit the Haggar website at www.haggarcorp.com.