rue21 Down 6% After Missing Earnings Estimates

rue21 (NASDAQ: RUE) is down 6% after the company missed earnings estimates.Operating income increased by 18.4% to $21.0 million from $17.7 million.Net income increased by 18.7% to $12.9 million from $10.9 million.Diluted earnings per share were $0.52 compared to diluted earnings per share of $0.44 in the fourth quarter of fiscal 2010.Bob Fisch, rue21's President and CEO, stated: "In fiscal 2011 we were again able to meet our short and long-term objectives despite the promotional environment and economic pressures. We maintained our planned promotional cadence throughout 2011, allowing us to achieve margin expansion during a period when much of the sector suffered from margin erosion. In 2012 we will continue to drive profit growth by offering fashion at every day great value to our customers, growing square footage, and driving comp store sales with exciting initiatives."For fiscal 2012, the Company currently expects diluted earnings per share to be in the range of $1.74 to $1.79 as compared to $1.55 in fiscal 2011. This incorporates 25.4 million average diluted shares expected for fiscal 2012 as compared to 25.1 million average diluted shares in fiscal 2011. Diluted earnings per share for the first quarter are expected to be in the range of $0.42 to $0.44. The Company currently expects a low single digit comparable store sales increase in the first quarter of fiscal 2012 and for fiscal 2012.Mr. Fisch further stated: "We are confident that our 2012 financial performance will match the earnings growth we have consistently delivered for our shareholders. Our spring merchandise assortment has resonated well with our customers. February has historically been a strong volume month for rue, and we again achieved sales that support our guidance for the quarter."