PacSun reports 2.8% comps decrease

ANAHEIM, Calif. Pacific Sunwear of California today reported that total company sales for the five weeks of fiscal December ended Jan. 5 were $234.6 million, a slight increase over total sales of $233.5 million during the same five-week period ended Jan. 6, 2007.

By concept, PacSun total sales were $213.6 million, a 4% increase over total sales of $205.4 million during the same five-week period last year. demo total sales were $19.3 million, a decrease of 27.3% from total sales of $26.6 million during the same five-week period last year.

By concept, PacSun same-store sales increased 0.8% and demo same-store sales decreased 28.4% compared to the same five-week period last year. Total company same-store sales decreased 2.8% during the same period.

The company said that due to the weaker than expected performance in December, and the impact of currently known lease termination, retention and severance costs associated with demo, One Thousand Steps and the Anaheim distribution center, the Pacific Sunwear now expects fourth quarter GAAP earnings to be in the range of 11 cents to 14 cents per diluted share. This earnings range assumes a continuation of the December comp performance during the month of January.