Fossil Inc Comments On Q2 2012 Revenue Guidance; Issues Q2 2012 EPS Guidance; Raises FY 2012 Revenue Guidance; Lowers FY 2012 EPS Guidance

Fossil Inc announced that for the second quarter of 2012, it expects reported net sales to increase approximately 16% with constant dollar net sales increasing 19%. Including Skagen activities, second quarter 2012 diluted earnings per share are expected to be in a range of $0.77 to $0.79. While the Company expects Skagen to deliver approximately $0.03 of operational earnings for the second quarter 2012, it is also expecting transaction related costs and other transition/integration activities to negatively impact second quarter diluted earnings per share by approximately $0.07. For fiscal 2012, the Company expects reported net sales to increase approximately 16% with constant dollar net sales increasing approximately 18% and expects diluted earnings per share in a range of $5.30 to $5.40. Within this fiscal year 2012 earnings estimate the Company is including a diluted earnings per share benefit of $0.22 related to Skagen operational activities, partially offset by transaction and other transition/integration costs of $0.15 per diluted share. The Company reported revenue of $2.567 billion in fiscal 2011. According to I/B/E/S Estimates, analysts are expecting the Company to report revenue of $651 million for the second quarter of 2012 and revenue of $3.000 billion for fiscal 2012.