* CEO blames merchandising, "other issues" for weak Juicy
* Same-store sales rose 27 percent at kate spade
* Same-store sales fell 2 percent at Juicy Couture
Jan 14 Fashion company Fifth & Pacific Cos Inc
said fixes at its Juicy Couture brand would come late
this year and in 2014 after the retailer reported disappointing
sales despite deep discounts offered during the holiday shopping
For the fourth quarter, same-store sales rose 27 percent at
kate spade and 3 percent at Lucky Brand, the company said on
Monday. Same-store sales fell 2 percent at Juicy Couture,
according to preliminary results.
Shares rose to $13 in premarket trading from Friday's close
at $12.84 on the New York Stock Exchange.
Juicy, a once-hot brand known for its velour track suits
with an urban look, has struggled to find favor again with U.S.
Chief Executive William McComb said merchandising and "other
issues" at Juicy Couture weighed on the company's performance,
despite a stronger show at kate spade and Lucky Brand.
"I am optimistic about delivering sizeable growth in 2013 at
kate spade and Lucky Brand, while recognizing that the fixes at
Juicy Couture will come late in 2013 and into 2014," the CEO
said in a statement.
The company, formerly known as Liz Claiborne Inc, said it
expects earnings before interest, taxes, depreciation and
amortization of $63 million to $68 million for the fourth
quarter and $100 million to $105 million for the full year,
which it said is at the low end of its forecast.
For 2013, the company forecast EBITDA of $120 million to
$150 million, and same-store sales growth at a low teens
percentage rate for kate spade and mid- to high-single-digit
rate for Lucky Brand. For Juicy Couture, it said same-store
sales should be flat to slightly negative.