EXHIBIT 99.1
[WHITEHALL(R) LOGO] NEWS RELEASE
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For: Whitehall Jewellers, Inc.
Contact: John R. Desjardins
Executive Vice President,
Chief Financial Officer
TX: 312/762-9751
WHITEHALL JEWELLERS REPORTS Q4 SALES OF $125.6 MILLION
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Chicago, Illinois, February 3, 2005 -- Whitehall Jewellers, Inc. (NYSE:JWL)
today announced sales for the fourth fiscal quarter ended January 31, 2005 of
$125.6 million, compared to $136.6 million for fourth quarter last year.
Comparable store sales decreased 8.7% for the quarter, compared to a 6.0%
increase for the fourth quarter of last year.
Total sales for the fiscal year ended January 31, 2005 decreased 3.0% to $334.2
million, versus $344.7 million for last fiscal year. Comparable store sales for
the fiscal year declined 3.7%, compared to a 0.6% decrease in comparable store
sales last fiscal year.
Whitehall Jewellers, Inc. plans to announce its Fourth Quarter 2004 results on
Tuesday, April 5, 2005. A conference call to discuss the results will be held on
Tuesday, April 5, 2005 at 9:00 a.m. ET. The dial in information is
Domestic 866-800-8649
International 617-614-2703
Participant Passcode 92227065
Please call Lynn Nickless, 312-762-0292 to reserve a space on the call.
A digital replay will be available until April 20, 2005. The dial in information
is
Domestic 888-286-8010
International 617-801-6888
Participant Passcode 86223792
The call will also be webcast on the Whitehall Jewellers, Inc. website at
http://www.whitehalljewellers.com.
Whitehall Jewellers, Inc. is a leading national specialty retailer of fine
jewelry, currently operating 382 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
release, 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
release 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 release: (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) reduced levels of mall traffic caused by economic or other
factors; (3) our ability to execute our business strategy and the related
effects on comparable store sales and other results; (4) the extent and
results of our store expansion strategy and associated occupancy costs, and
access to funds for new store openings; (5) the high degree of fourth
quarter seasonality of our business and the impact on the Company's sales,
profitability and liquidity; (6) the extent and success of our marketing
and promotional programs; (7) personnel costs and the extent to which we
are able to retain and attract key personnel; (8) the effects of
competition; (9) the availability and cost of consumer credit; (10)
relationships with suppliers including the timely delivery to the Company
of appropriate merchandise on payment terms consistent with past practice;
(11) our ability to maintain adequate information systems capacity and
infrastructure; (12) our continued ability to secure sufficient financing
on acceptable terms, (13) our leverage, liquidity, and cost of funds and
changes in interest rates that may increase such costs; (14) our ability to
maintain adequate loss prevention measures; (15) fluctuations in raw
material prices, including diamond, gem and gold prices; (16) the impact of
current or future price reductions on margins and resultant valuation
allowances taken on certain merchandise inventory identified from time to
time as items which would not be part of the Company's future merchandise
presentation as well as alternative methods of disposition of this
merchandise inventory and resultant valuations taken; (17) developments
relating to settlement of the consolidated Capital Factors actions, the
non-prosecution agreement entered into with the United States Attorney's
Office, the SEC investigation, and shareholder and other civil litigation,
including the impact of such developments on our results of operations and
financial condition and relationship with our lenders or with our vendors;
(18) regulation affecting the industry generally, including regulation of
marketing practices; and (19) the risk factors identified from time to time
in our filings with the SEC.
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