UPDATE 2-Wolverine ups '09 profit view but trims rev outlook

* Q2 adj EPS $0.27 meets Street

* Trims 2009 revenue outlook

* Ups FY earnings view

* Shares down as much as 4 pct (Recasts; adds conf call details, analyst comment, share movement)

By Viraj Nair

BANGALORE, July 15 (Reuters) - Shoemaker Wolverine World Wide Inc (WWW.N) raised its 2009 earnings view but trimmed the upper end of its revenue forecast as many of its customers cut back on their advance orders in a weak retail climate.

Shares of the Rockford, Michigan-based company fell to a low of $21.15, before paring losses to trade up 34 cents at $22.35 Wednesday afternoon on the New York Stock Exchange.

The company, which reported a quarterly profit in line with analyst estimates, also blamed currency-related hedging losses for the lackluster revenue forecast.

Wolverine now sees 2009 reported revenue of $1.07 billion to $1.12 billion. It had earlier forecast reported revenue of $1.07 billion to $1.15 billion for the period.

The company expects foreign exchange to hurt full-year reported revenue by $40 million to $60 million.

It is hard for investors to "get comfortable with the topline," which is a little lower, Susquehanna Financial Group analyst Christopher Svezia told Reuters by phone.

Several apparel and footwear makers have been struggling with higher inventory levels as retailers -- facing slumping sales and reduced consumer spending -- cut back on their advance orders.

"With respect to the global economy and consumer environment, we believe the current challenging conditions will continue into 2010, along with what we currently refer to as a very choppy bottom," CEO Blake Krueger said on a conference call.

Wolverine, whose backlog was down in the mid-teens on a year-over-year basis, added it had limited visibility on fall orders.

Sterne, Agee and Leach analyst Sam Poser said investors may also be a little "spooked" by the dip in backlog and lower visibility.

Wolverine, which said its backlog position for Merrell was stronger than its other brands, said it witnessed a "dramatic" shift to at-once orders from future orders as retailers are looking to buy closer to need.

Wolverine, which sells a range of casual, rugged outdoor and work footwear, said the average requested lead time for future orders decreased almost seven weeks versus the prior year.

"For all orders received in the most recent quarter, the average order to shipment lead time based on customer requested ship date decreased approximately five weeks," Chief Financial Officer Donald Grimes said on a call with analysts.

Additionally, the shoemaker pointed at the timing of foreign currency forward contract purchases for the losses related to foreign exchange.

"Most of the contracts that will mature in this year's third and fourth quarters were purchased before the recent weakening of the dollar...Thus, we expect most of the full year forex drag to occur in the second half of the year," the company said.

Q2 IN LINE WITH STREET

For the second quarter, Wolverine earned $7.9 million, or 16 cents a share, compared with $16.8 million, or 33 cents a share, a year ago. Adjusting for restructuring charges, it earned 27 cents a share.

Brand power has helped mid-tier footwear makers like Wolverine World Wide and Deckers Outdoor Corp (DECK.O) temper a weak retail environment. Wolverine said its second-quarter results were boosted by the sales of its outdoor brands such as Merrell, Chaco, and Patagonia.

Wolverine, which plans to open two stores for its Hush Puppies brand in Montreal in August and September, said its Merrell business in the United States was up double digits.

Revenue for the company, whose rivals include Timberland Co TBL.N and Sketchers USA Inc (SKX.N), fell about 8 percent to $246.4 million.

Analysts on average had expected a profit of 27 cents a share, before items, on revenue of $242.8 million, according to Reuters Estimates.

For 2009, it sees earnings of $1.55 to $1.73 a share, excluding restructuring charges, up from its prior view of $1.50 to $1.70 a share. (Editing by Aradhana Aravindan)