Linens 'N Things reports 21% 2Q sales decline

CLIFTON, N.J. Linens Holding Co. reported total sales of $504 million for its second quarter ended June 28. Net retail sales of $468.1 million for the quarter represented a 21.1% decrease over the same period in 2007. Total net retail sales for the quarter does not include $35.9 million in liquidation sales in accordance with the previously announced closing of 120 stores in the second quarter.

The decrease in second quarter net retail sales resulted from a comparable-store sales decline of 18.3% for the period and the net reduction of 105 stores from the prior year.

During the second quarter of 2008, the company opened two stores and closed 120 stores, as compared with opening seven stores and closing zero stores during the second quarter of 2007.

As of June 28, Linens ’n Things operated 475 stores in 46 states and seven provinces across the United States and Canada.

Due to its recent Chapter 11 bankruptcy filing, the company requires additional time to complete the preparation of its consolidated financial statements for the second quarter of 2008. The company is performing an impairment analysis related to certain of its tangible and intangible assets, which is not yet complete.