The Bon-Ton Stores December Sales Comp Store Sales Down 0.7%; Lowers FY Gross Margin Assumptions
The Bon-Ton Stores, Inc. (NASDAQ: BONT) today announced comparable store sales for the five weeks ended December 31, 2011 decreased 0.7%. Total sales decreased 1.1% to $505.2 million for the five weeks compared with $510.8 million for the prior year period.
Year-to-date comparable store sales through December 31, 2011 decreased 2.8%. Year-to-date total sales through December 31, 2011 decreased 3.2% to $2,710.3 million compared with $2,800.4 million for the prior year period.
Keith Plowman, Executive Vice President and Chief Financial Officer, stated, “Based on a lower than expected gross margin rate in December, we are reducing our gross margin assumptions by an additional 65 to 80 basis points for the year. Therefore, including the gain of approximately $11 million, or $0.60 per share, on the recently announced senior note repurchase, we are adjusting our full-year fiscal 2011 guidance to reflect EBITDA in a range of $170 million to $175 million, loss per share in a range of $1.30 to $1.00 and cash flow in a range of $5 million to $10 million.
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