FORM 8-K
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
May 6, 1999
(Date of Report, date of earliest event reported)
Stage Stores, Inc.
(Exact name of registrant as specified in its charter)
Commission file number 001-14035
DELAWARE 76-0407711
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identifications No.)
10201 Main Street, Houston, 77025
Texas (Zip Code)
(Address of principal executive
offices)
(713) 667-5601
(Registrant's telephone number, including area code)
Not Applicable
(Former name or address, if changed since last report)
ITEM 5. Other Events.
A press release regarding the Company's first quarter 1999
sales results and certain other matters was issued by the Company
on May 6, 1999 and is attached hereto as Exhibit 99.1.
ITEM 7. Financial Statements and Exhibits.
(a) Financial statements of business acquired.
Not applicable.
(b) Pro forma financial information.
Not applicable.
(c) Exhibits.
99.1 Press release dated May 6, 1999 issued by the
Company.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act
of 1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned, thereunto duly authorized.
STAGE STORES, INC.
May 6, 1999 /s/ James A. Marcum
(Date) James A. Marcum
Vice Chairman and,
Chief Financial Officer
NEWS RELEASE
CONTACT:
Bob Aronson
Director of Investor Relations
(800) 579-2302
FOR IMMEDIATE RELEASE
STAGE STORES, INC. REPORTS FIRST QUARTER 1999 SALES
______________________________
HOUSTON, TX, May 6, 1999 -- Stage Stores, Inc. (NYSE: SGE) today
reported that sales for the first quarter ended May 1, 1999
decreased 3.7% to $262.6 million from $272.8 million for the same
period last year. This year's first quarter sales are not
comparable to the first quarter of 1998 since last year's first
quarter included a significant amount of sales associated with
the conversion of the C.R. Anthony stores. Comparable store
sales for the first quarter of 1999 declined 10.1%.
Commenting on the results, Carl E. Tooker, Chairman, President
and Chief Executive Officer, stated, "When evaluating the sales
results for the first quarter, it is important to understand that
these results reflect the impact of the heavy promotional and
inventory management activities which we put into place during
the fourth quarter of 1998. As a result of these initiatives, we
began the quarter with significantly lower levels of inventory
than last year on a comparable store basis, particularly with
respect to clearance merchandise. Our focus during the quarter
was on transitioning and building our assortments to reflect the
branded fashion mix that has the greatest appeal to our customer
base. This process of transitioning our inventories continued
throughout the entire quarter and will continue throughout the
early part of the second quarter. As a result, total inventory
levels were under plan throughout the majority of the first
quarter. The lower level of clearance inventories at the
beginning of the quarter had a significant impact on our February
volume which is traditionally a strong clearance sales period.
In addition, sales for the earlier Easter selling period were
softer than expected as a result of the overall levels of
inventory and the status of our merchandise transition during
that period."
Mr. Tooker, continued, "At the end of the quarter, we were
satisfied with our overall inventory levels and we are continuing
to work on further improving the mix of merchandise in certain
categories. It is important to note that sales during the last
three weeks of April reflected substantial improvement over the
trend for the first 10 weeks of the quarter primarily as a result
of the continued build of inventory levels."
Mr. Tooker concluded, "Although earnings for the quarter have not
been finalized, we currently believe that diluted earnings per
share for the quarter will be at the low end of the current range
of analysts' earnings per share estimates. In addition, it is
important to note that we will be in full compliance with the
covenants contained in our working capital facility for the first
quarter and we have satisfied the facility's clean down
requirements for the twelve month period ending July 31, 1999.
Finally, we continue to receive the full cooperation and support
from our vendor community. We will release our first quarter
earnings on May 20, 1999."
Stage Stores, Inc. brings nationally recognized brand name
apparel, accessories, cosmetics and footwear for the entire
family to small towns and communities throughout the United
States. The company operated 688 stores in 34 states at the end
of the first quarter, primarily under the Stage, Bealls and
Palais Royal trade names.
Any statements in this press release that may be considered
forward-looking statements are subject to risks and uncertainties
that could cause actual results to differ materially. These
risks and uncertainties are discussed in periodic reports filed
by the Company with the Securities and Exchange Commission that
the Company urges investors to consider.
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