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Exhibit 99

NEWS RELEASE

CONTACT:

Bob Aronson

Vice President, Investor Relations

800-579-2302

(baronson@stagestores.com)

 

FOR IMMEDIATE RELEASE

 

 

 

		FY 2012 OUTLOOK				FY 2011
Sales ($mm)		$1,633	-	$1,646		$1,512
Diluted EPS		$1.20	-	$1.28		$0.92
Diluted Shares (m)		32,037				33,278

 

 

 

 

 

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Caution Concerning Forward-Looking Statements

This document contains "forward-looking statements". Forward-looking statements reflect our expectations regarding future events and operating performance and often contain words such as "believe", "expect", "may", "will", "should", "could", "anticipate", "plan" or similar words.  In this document, forward-looking statements include comments regarding the Company's expectations for sales, comparable store sales, EPS and diluted share count for the 2012 fiscal year.  Forward-looking statements are subject to a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by the forward-looking statements.  These risks and uncertainties include, but are not limited to, those described in our Annual Report on Form 10-K as filed with the Securities and Exchange Commission (the "SEC") on March 28, 2012, and other factors as may periodically be described in our other filings with the SEC.  Forward-looking statements speak only as of the date of this document.  We do not undertake to update our forward-looking statements.

(Tables to Follow)

 

Stage Stores, Inc.
Condensed Consolidated Statements of Operations
(in thousands, except per share data)
(Unaudited)
		Thirteen Weeks Ended
		October 27, 2012								October 29, 2011
		Amount				% to Sales (1)				Amount				% to Sales (1)
Net sales		$	370,583				100.0	%		$	333,508				100.0	%
Cost of sales and related buying, occupancy and distribution expenses			290,719				78.4	%			262,345				78.7	%
Gross profit			79,864				21.6	%			71,163				21.3	%
Selling, general and administrative expenses			92,472				25.0	%			86,994				26.1	%
Store opening costs			1,629				0.4	%			1,578				0.5	%
Interest expense, net of income of $0 and $0, respectively			568				0.2	%			1,015				0.3	%
Income before income tax			(14,805)				-4.0	%			(18,424)				-5.5	%
Income tax expense			(5,947)				-1.6	%			(7,118)				-2.1	%
Net loss		$	(8,858)				-2.4	%		$	(11,306)				-3.4	%
Basic and diluted earnings per share data:
Basic earnings per share		$	(0.28)							$	(0.36)
Basic weighted average shares outstanding			31,558								31,139
Diluted earnings per share		$	(0.28)							$	(0.36)
Diluted weighted average shares outstanding			31,558								31,139
(1) Percentages may not foot due to rounding.

Stage Stores, Inc.

Condensed Consolidated Statements of Operations

(in thousands, except per share data)

(Unaudited)

		Thirty-Nine Weeks Ended
		October 27, 2012								October 29, 2011
		Amount				% to Sales (1)				Amount				% to Sales (1)
Net sales		$	1,117,901				100.0	%		$	1,032,823				100.0	%
Cost of sales and related buying, occupancy and distribution expenses			829,024				74.2	%			772,583				74.8	%
Gross profit			288,877				25.8	%			260,240				25.2	%
Selling, general and administrative expenses			279,959				25.0	%			256,671				24.9	%
Store opening costs			3,157				0.3	%			5,218				0.5	%
Interest expense, net of income of $0 and $24, respectively			2,350				0.2	%			2,806				0.3	%
Income before income tax			3,411				0.3	%			(4,455	)			-0.4	%
Income tax expense			1,025				0.1	%			(2,701	)			-0.3	%
Net income (loss)		$	2,386				0.2	%		$	(1,754	)			-0.2	%
Basic and diluted earnings per share data:
Basic earnings per share		$	0.08							$	(0.05	)
Basic weighted average shares outstanding			31,035								33,885
Diluted earnings per share		$	0.08							$	(0.05	)
Diluted weighted average shares outstanding			31,301								33,885

 

(1) Percentages may not foot due to rounding.

Stage Stores, Inc.
Condensed Consolidated Balance Sheets
(in thousands, except par value)
(Unaudited)
		October 27, 2012				January 28, 2012
ASSETS
Cash and cash equivalents		$	37,420			$	18,621
Merchandise inventories, net			510,815				347,944
Prepaid expenses and other current assets			20,893				33,434
Total current assets			569,128				399,999
Property, equipment and leasehold improvements, net			296,845				300,717
Intangible asset			14,910				14,910
Other non-current assets, net			21,538				19,713
Total assets		$	902,421			$	735,339
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable		$	250,864			$	106,022
Current portion of debt obligations			727				13,782
Accrued expenses and other current liabilities			79,804				66,495
Total current liabilities			331,395				186,299
Long-term debt obligations			33,277				35,721
Other long-term liabilities			109,305				100,613
Total liabilities			473,977				322,633
Commitments and contingencies
Common stock, par value $0.01, 100,000 shares authorized,
31,851 and 30,444 shares issued, respectively			319				304
Additional paid-in capital			371,417				349,366
Less treasury stock - at cost, 4 and 0 shares, respectively			(988	)			(835	)
Accumulated other comprehensive loss			(4,556	)			(4,748	)
Retained earnings			62,252				68,619
Total stockholders' equity			428,444				412,706
Total liabilities and stockholders' equity		$	902,421			$	735,339

Stage Stores, Inc.
Condensed Consolidated Statements of Cash Flows
(in thousands)
(Unaudited)
		Thirty-Nine Weeks Ended
		October 27, 2012				October 29, 2011
Cash flows from operating activities:
Net income (loss)		$	2,386			$	(1,754	)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation, amortization, and impairment of long-lived assets			44,894				46,027
Loss on retirements of property and equipment			-				123
Deferred income taxes			(98	)			(28	)
Tax (deficiency) benefit from stock-based compensation			(1,391	)			774
Stock-based compensation expense			5,459				6,354
Amortization of debt issuance costs			353				251
Excess tax benefits from stock-based compensation			(851	)			(1,252	)
Deferred compensation obligation			92				114
Amortization of employee benefit related costs			310				118
Construction allowances from landlords			4,133				4,487
Changes in operating assets and liabilities:
Increase in merchandise inventories			(162,871	)			(122,136	)
Decrease (increase) in other assets			10,262				(1,786	)
Increase in accounts payable and other liabilities			157,379				83,093
Total adjustments			57,671				16,139
Net cash provided by operating activities			60,057				14,385
Cash flows from investing activities:
Additions to property, equipment and leasehold improvements			(35,610	)			(33,166	)
Proceeds from retirements of property and equipment			-				122
Net cash used in investing activities			(35,610	)			(33,044	)
Cash flows from financing activities:
Proceeds from revolving credit facility borrowings			262,620				160,100
Payments of revolving credit facility borrowings			(259,620	)			(82,100	)
Payments of long-term debt obligations			(18,499	)			(10,043	)
Payments of debt issuance costs			-				(1,149	)
Repurchases of common stock			(583	)			(110,692	)
Proceeds from exercise of stock awards			18,336				7,139
Excess tax benefits from stock-based compensation			851				1,252
Cash dividends paid			(8,753	)			(8,256	)
Net cash used in financing activities			(5,648	)			(43,749	)
Net increase (decrease) in cash and cash equivalents			18,799				(62,408	)
Cash and cash equivalents:
Beginning of period			18,621				89,349
End of period		$	37,420			$	26,941

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