[WHITEHALL JEWELLERS, INC. LOGO] NEWS RELEASE
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For: Whitehall Jewellers, Inc.
Contacts: John R. Desjardins
FOR IMMEDIATE RELEASE Executive Vice President
- --------------------- 312-762-9751
WHITEHALL JEWELLERS, INC. ANNOUNCES FIRST QUARTER SALES OF $69.1 MILLION
Chicago, Illinois, May 8, 2003 -- Whitehall Jewellers, Inc. (NYSE: JWL)
today announced sales for the first quarter ended April 30, 2003 were $69.1
million, an 7.4% decrease compared to $74.6 million for the first quarter of
last year. Comparable store sales decreased 8.7% during the quarter, versus a
comparable store sales increase of 4.9% for the first fiscal quarter of 2002.
Hugh M. Patinkin, Chairman and Chief Executive Officer, commented, "The
first quarter began with a very slight sales decrease for Valentine's Day.
Unfortunately, it appears the last part of February and, in particular, all of
March were significantly impacted by the war in Iraq. Indeed, sales in March
were down by somewhat more than 20%. As the war ended sales improved and we were
pleased with April sales which were down very slightly."
Mr. Patinkin continued, "We are now in the process of implementing a
number of sales focused initiatives, all of which will be in place by Christmas
of this year. We are also pleased with our new store performance, with new
stores performing ahead of plan."
The Company plans to release earnings for the quarter ended April 30,
2003 on Wednesday, May 28, 2003. Following the release, the Company will host a
conference call at 9:00 AM EDT that will be broadcast live over the Internet at
http://www.whitehalljewellers.com. To participate in the call, please dial
1-877-888-7019 approximately 10 minutes before the scheduled time to be
connected to the call. Please call Susan Weber at 312-762-0292 to reserve a
space on the call.
For Investor Relations info: investorrelations@whji.com
Internet Website: www.whitehalljewellers.com
Whitehall Jewellers, Inc. is a leading national specialty retailer of
fine jewelry, currently operating 385 stores in 38 states. The Company operates
stores in regional and superregional shopping malls under the names Whitehall
Co. Jewellers, Lundstrom Jewelers and Marks Bros. Jewelers.
This release contains certain forward-looking statements (as such term is
defined in Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934) and information relating to the Company that
are based on the current beliefs of management of the Company as well as
assumptions made by and information currently available to management including
statements related to the markets for our products, general trends and trends in
our operations or financial results, plans, expectations, estimates and beliefs.
In addition, when used in this report, the words "anticipate," "believe,"
"estimate," "expect," "intend," "plan," "predict" and similar expressions and
their variants, as they relate to the Company or our management, may identify
forward-looking statements. Such statements reflect our judgment as of the date
of this report with respect to future events, the outcome of which is subject to
certain risks, including the factors described below, which may have a
significant impact on our business, operating results or financial condition.
Investors are cautioned that these forward-looking statements are inherently
uncertain. Should one or more of these risks or uncertainties materialize, or
should underlying assumptions prove incorrect, actual results or outcomes may
vary materially from those described herein. Whitehall Jewellers undertakes no
obligation to update forward-looking statements. The following factors, among
others, may impact forward-looking statements contained in this report: (1) a
change in economic conditions or the financial markets which negatively impacts
the retail sales environment and reduces discretionary spending on goods such as
jewelry; (2) our ability to execute our business strategy and the related
effects on comparable store sales and other results; (3) the extent and results
of our store expansion strategy and associated occupancy costs, and access to
funds for new store openings; (4) the high degree of fourth quarter seasonality
of our business; (5) the extent and success of our marketing and promotional
programs; (6) personnel costs and the extent to which we are able to retain and
attract key personnel; (7) the effects of competition; (8) the availability and
cost of consumer credit; (9) relationships with suppliers; (10) our ability to
maintain adequate information systems capacity and infrastructure; (11) our
leverage and cost of funds and changes in interest rates that may increase such
costs; (12) our ability to maintain adequate loss prevention measures; (13)
fluctuations in raw material prices, including diamond, gem and gold prices;
(14) the extent and results of our E-commerce strategies and those of others;
(15) regulation affecting the industry generally, including regulation of
marketing practices; (16) the successful integration of acquired locations and
assets into our existing operations; and (17) the risk factors identified from
time to time in our filings with the Securities and Exchange Commission.
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For Investor Relations info: investorrelations@whji.com
Internet Website: www.whitehalljewellers.com