Sears New Release :: essays research papers

Sears Updates Segment report Adopts New Accounting stock(a)Resulting In One-Time Non-Cash Charge Of $520 Million In Second QuarterHOFFMAN ESTATES, Ill., April 12 /PRNewswire/ -- Sears, Roebuck and Co.(NYSE S) announced total domestic help store revenues for the five weeks endingApril 7, 2001 were $2.56 billion. corresponding domestic store revenues change magnitude 5.3 percent. Total domestic store revenues decreased 5.1 percentcompared with $2.7 billion for the five weeks ending April 8, 2000." touch sell gross sales fell below expectations, with the slowing economy andcolder than anticipated weather having an advert on both our hardlines andsoftlines telephone linees," said Chairman and Chief Executive officeholder Alan J. Lacy."Weather-related seasonal apparel and lawn and garden merchandise accountedfor over one-third of the alike(p) store sales decline. Among the betterperforming businesses was Home Appliances, which continues to gain securities industrysh are. The Great Indoors format and sporting goods businesses also performed hearty."Sears, Roebuck and Co.5 Weeks 9 Weeks2001 Domestic Store Revenues $2,563,400,000 4,530,800,0002000 Domestic Store Revenues 2,701,000,000 4,697,600,000Percent Change (5.1)% (3.6)%corresponding Domestic Stores Percent Change (5.3)% (3.9)%Preliminary Earnings AnnouncementThe follow anticipates that earnings per share for the prototypic fiscalquarter of 2001, ended March 31, result be approximately $0.53, versus $0.65 inthe first quarter of prevail year.In the first quarter, the credit business performed in line withexpectations, reflecting proceed strong portfolio quality. However,operating income from the credit business for the first quarter will beslightly below last year, mainly due to take down revenues. The domestic retailbusiness did not meet the companys expectations in the first quarter due tosales and margin shortfalls resulting from the slowing economy and cool thanexpected spring w eather in much of the country.Sears Revises Segment ReportingFASB Statement No. 131 prescribes accounting guidance for segmentreporting and requires that a companys externally reported segments beconsistent with its internal management structure. Consequently, effectualfor the first quarter of 2001, Sears is modifying its externally reportedsegments to reflect the companys integrated retail and related servicesstrategy and to align externally reported business segments with changes thathave occurred in the companys internal structure over the past some(prenominal)months. The companys four new segments are as follows- Retail and Related operate -- This segment consists of merchandisesales and related services, including service contracts, delivery and result installation and repair services. It covers all Sears sellingchannels, including specialty and full-line stores as well as direct-to-customer operations which includes online, catalogs and clubs andservices.- Credit and Financ ial Products -- This segment includes Sears domesticcredit business and the companys related financial product offerings.- Sears Canada -- Formerly named the internationalist segment, this segment