Liz Claiborne posts 1Q loss

NEW YORK Liz Claiborne reported that for the first quarter of 2009 and on a GAAP basis, the loss per share from continuing operations was 93 cents compared to a loss per share from continuing operations of 8 cents for the first quarter of 2008. Adjusted loss per share from continuing operations for the first quarter of 2009 was 37 cents compared to adjusted diluted earnings per share ("EPS") from continuing operations of 33 cents for the first quarter of 2008.

Net sales from continuing operations for the first quarter of 2009 were approximately $780 million, a decrease of $316 million, or 28.8%, from the comparable 2008 period (which had an extra week compared to the current year).

McComb, Chief Executive Officer of Liz Claiborne Inc., said, "As indicated on the March earnings call, our operating performance in the first quarter which represents the seasonal low point of the year was further challenged as consumer spending and mall traffic remained at depressed levels. These factors, coupled with a highly promotional retail environment, resulted in comparable-store sales decreases of 22% at Juicy Couture, 18% at Lucky Brand, 27% at Kate Spade and 7% at Mexx, while negatively impacting margins in both our retail and wholesale businesses."

McComb concluded, "Our outlook for the balance of the year remains unchanged. We expect comp-store sales declines in the 15% to 25% range in our Juicy Couture, Lucky Brand and Kate Spade brands and a high single digit comp store sales decline in our Mexx brand through the third quarter of 2009, with fourth quarter comps flattening as we anniversary the sharp downturn that began in September 2008."