EXHIBIT 99.1
DOLLAR TREE STORES, INC.
AND SUBSIDIARIES
HISTORICAL FINANCIAL DATA
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)
February 1,
2003
----
ASSETS
Current assets
Cash and cash equivalents.................................................. $ 237,302
Short-term investments..................................................... 63,525
Merchandise inventories.................................................... 438,439
Deferred tax asset......................................................... 14,333
Prepaid expenses and other current assets.................................. 15,783
---------
Total current assets................................................... 769,382
Property and equipment, net..................................................... 477,947
Goodwill, net................................................................... 38,358
Other assets, net............................................................... 18,552
---------
TOTAL ASSETS........................................................... $ 1,304,239
=========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Current portion of long-term debt.......................................... $ 25,000
Accounts payable........................................................... 137,668
Income taxes payable....................................................... 23,548
Other current liabilities.................................................. 75,033
Current installments of obligations under
capital leases........................................................... 5,811
---------
Total current liabilities.............................................. 267,060
Long-term debt, excluding current portion....................................... 146,628
Obligations under capital leases, excluding current
installments.................................................................. 17,283
Deferred tax liability.......................................................... 11,685
Other liabilities .............................................................. 15,764
---------
Total liabilities...................................................... 458,420
---------
Shareholders' equity:
Common stock............................................................... 1,142
Additional paid-in capital................................................. 218,106
Accumulated other comprehensive loss....................................... (1,277)
Unearned compensation...................................................... (112)
Retained earnings.......................................................... 627,960
---------
Total shareholders' equity............................................. 845,819
Commitments..................................................................... --
---------
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 1,304,239
=========
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DOLLAR TREE STORES, INC.
AND SUBSIDIARIES
HISTORICAL FINANCIAL DATA
CONDENSED CONSOLIDATED INCOME STATEMENTS
(In thousands, except per share and store data)
(Unaudited)
Three months Fiscal year
ended ended
February 1, February 1,
2003 2003
---- ----
Net sales.................................................................... $ 778,860 $ 2,357,836
Cost of sales................................................................ 497,451 1,503,612
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Gross Profit........................................................ 281,409 854,224
Selling, general and administrative
expenses................................................................... 172,254 606,836
------- ---------
Operating income.................................................... 109,155 247,388
------- ---------
Other income (expense):
Interest income............................................................ 930 3,446
Interest expense........................................................... (1,455) (4,812)
Changes in fair value of non-hedging
interest rate swaps..................................................... 157 (1,297)
------- ----------
Total other expense................................................. (368) (2,663)
------- ---------
Income before income taxes.......................................... 108,787 244,725
Provision for income taxes................................................... 41,884 94,220
------- ---------
Income before cumulative effect of a change
in accounting principle........................................ 66,903 150,505
Cumulative effect of a change in accounting
principle, net of tax benefit of $3,309........................ 5,285 5,285
------- ---------
Net income.......................................................... $ 61,618 $ 145,220
======= =========
Basic net income per share:
Income before cumulative effect of a change in
accounting principle........................................... $ 0.59 $ 1.32
Cumulative effect of a change in accounting
principle...................................................... 0.05 0.04
------- ---------
Net income.......................................................... $ 0.54 $ 1.28
======= =========
Diluted net income per share:
Income before cumulative effect of a change in
accounting principle........................................... $ 0.58 $ 1.31
Cumulative effect of a change in accounting
principle...................................................... 0.04 0.04
------- ---------
Net income.......................................................... $ 0.54 $ 1.27
======= =========
Weighted average number of common shares
outstanding......................................................... 114,190 113,759
Weighted average number of common shares and dilutive
potential common shares outstanding................................. 114,695 114,610
Store Data:
Comparable store net sales increase................................. (1.7%) 0.8%
Number of stores open at end of period ............................. 2,272 2,272
Total selling square footage (in thousands)......................... 13,237 13,237
2
DOLLAR TREE STORES, INC.
AND SUBSIDIARIES
HISTORICAL FINANCIAL DATA
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
Fiscal year
ended
February 1,
2003
----
Cash flows from operating activities:
Net income............................................................... $ 145,220
-------
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization........................................ 73,892
Loss on disposal of property and equipment........................... 1,853
Cumulative effect of change in accounting
principle......................................................... 5,285
Change in fair value of non-hedging interest
rate swaps........................................................ 1,297
Provision for deferred income taxes.................................. 17,830
Tax benefit of stock option exercises................................ 9,797
Other non-cash adjustments to net income............................. 454
Changes in assets and liabilities increasing
(decreasing) cash and cash equivalents:
Merchandise inventories........................................... (74,696)
Prepaid expenses and other current assets......................... 3,529
Other assets...................................................... (1,628)
Accounts payable.................................................. 20,686
Income taxes payable.............................................. (14,268)
Other current liabilities......................................... 13,477
Other liabilities................................................. (2,145)
-------
Net cash provided by operating activities................... 200,583
-------
Cash flows from investing activities
Capital expenditures..................................................... (137,570)
Purchase of short-term investments....................................... (84,060)
Proceeds from maturities of short-term investments....................... 20,535
Settlement of merger-related contingencies............................... 75
Acquisition of favorable lease rights.................................... (813)
Proceeds from sale of property and equipment............................. 216
-------
Net cash used in investing activities....................... (201,617)
-------
Cash flows from financing activities:
Repayment of long-term debt and facility fees............................ (6,025)
Principal payments under capital lease obligations....................... (3,996)
Proceeds from stock issued pursuant to stock-based
compensation plans..................................................... 30,280
-------
Net cash provided by financing activities................... 20,259
-------
Net increase in cash and cash equivalents....................................... 19,225
Cash and cash equivalents at beginning of period................................ 218,077
-------
Cash and cash equivalents at end of period...................................... $ 237,302
=======
Supplemental disclosure of cash flow information:
Cash paid for:
Interest............................................................... $ 4,003
=======
Income taxes........................................................... $ 82,503
=======
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