-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, WHcI0AKa0TPwk3E3DJR6BicTF7gpqeDLOaMSOJfOvt8ozqoT9DNS/Fk2TOgFaHBZ aE8FiUoUtE3NVwMzFDc1oQ== 0000916641-02-001189.txt : 20020806 0000916641-02-001189.hdr.sgml : 20020806 20020806161650 ACCESSION NUMBER: 0000916641-02-001189 CONFORMED SUBMISSION TYPE: 424B3 PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20020806 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CARMAX INC CENTRAL INDEX KEY: 0001170010 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-AUTO DEALERS & GASOLINE STATIONS [5500] IRS NUMBER: 541821055 STATE OF INCORPORATION: VA FISCAL YEAR END: 0228 FILING VALUES: FORM TYPE: 424B3 SEC ACT: 1933 Act SEC FILE NUMBER: 333-85240 FILM NUMBER: 02720772 BUSINESS ADDRESS: STREET 1: 4900 COX ROAD CITY: GLEN ALLEN STATE: VA ZIP: 22060 BUSINESS PHONE: 8047470422 MAIL ADDRESS: STREET 1: 4900 COX ROAD CITY: GLEN ALLEN STATE: VA ZIP: 23060 424B3 1 d424b3.htm FORM 424B 3 Prepared by R.R. Donnelley Financial -- Form 424B 3
Filed Pursuant to Rule 424(b)(3)
Registration No. 333-85240
 
SUPPLEMENT TO PROXY STATEMENT/PROSPECTUS
DATED AUGUST 7, 2002
 
CARMAX REVISES SECOND QUARTER USED-UNIT COMPARABLE STORE
GROWTH EXPECTATIONS TO HIGH-SINGLE-, LOW-DOUBLE-DIGIT RANGE
 
Expects to Meet Second Quarter Earnings Expectations
 
Richmond, Va., August 1, 2002 – CarMax (NYSE:KMX) announced today that for the second quarter ending August 31, 2002, it now expects comparable store used-unit sales growth in the high-single- to low-double-digit range rather than in the low teens and that it expects to report net earnings per CarMax Group share of approximately 27 cents to 28 cents, including approximately 2 cents per share of one-time costs associated with the proposed separation of CarMax from Circuit City.
 
The earnings estimates are consistent with the current First Call estimates of 29 cents to 30 cents per CarMax Group share. The First Call estimates exclude one-time costs associated with the proposed separation.
 
“The powerful CarMax consumer offer continues to drive strong used-unit comp growth through market share gains, albeit at a level slightly below our earlier forecast. We’re particularly pleased with this performance in an environment where other auto retailers are reporting negative used-car comps,” said W. Austin Ligon, president of CarMax. “We continue to anticipate meeting second quarter earnings expectations. We expect any effect on earnings of the slight shortfall in used-unit sales to be offset by a lower-than-expected cost of funds for CarMax Auto Finance.” CarMax also continues to expect that second quarter earnings attributed to the CarMax Group shares reserved for the Circuit City Group will be approximately 9 cents per Circuit City Group share.
 
As previously announced, the Circuit City Stores, Inc. board of directors has authorized management to initiate a process that would separate the CarMax auto superstore business from the Circuit City consumer electronics business through a tax-free transaction in which CarMax, Inc., presently a wholly owned subsidiary of Circuit City Stores, Inc., would become an independent, separately traded public company. Accordingly, CarMax, Inc. has filed a registration statement, including a preliminary proxy statement/prospectus with the Securities and Exchange Commission with regard to the transaction. The company currently expects the separation to be completed by early fall, subject to shareholder approval and final approval by the board of directors.
 

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CarMax Group
Page 2 of 2
 
 
CarMax is the nation’s leading specialty retailer of used cars. With headquarters in Richmond, Va., CarMax currently operates 40 retail units in 38 locations, including 36 used-car superstores. CarMax also operates 17 new-car franchises, 15 of which are integrated or co-located with its used-car superstores. For more information, access the CarMax Web site at www.carmax.com.
 
CarMax is a subsidiary of Circuit City Stores, Inc. (NYSE:CC,KMX). Circuit City Stores, Inc. has two series of common stock, one of which is the CarMax Group Common Stock, which tracks the performance of the CarMax operations, and the other of which is the Circuit City Group Common Stock, which tracks the performance of the Circuit City operations and the shares of CarMax Group Common Stock reserved for the Circuit City Group or for issuance to holders of Circuit City Group Common Stock. A portion of the earnings of the CarMax business is attributed to the CarMax Group Common Stock; the balance is attributed to the Circuit City Group Common Stock.
 
This release contains forward-looking statements, which are subject to risks and uncertainties, including, but not limited to, risks associated with plans to separate the CarMax business from Circuit City Stores, Inc. and create an independent, separately traded public company. Additional discussion of factors that could cause actual results to differ materially from management’s projections, forecasts, estimates and expectations is contained in the Circuit City Stores, Inc. SEC filings.
 
 
# # #
 
 
Contacts:
  
Dandy Barrett, Director of CarMax Investor Relations, (804) 935-4591;
   
Ann Collier, Vice President of Financial and Public Relations, Circuit City
                      Stores, Inc., (804) 527-4058
 

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