-----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, ELytXIi8kJ5WDM4ce31gGCfPClnUg9uwY0pKM6K6248E12Uy6FZe7E8azjwsHs54 EE4xFmEK93movgBuV8eIfA== 0000950172-04-000766.txt : 20040330 0000950172-04-000766.hdr.sgml : 20040330 20040329184108 ACCESSION NUMBER: 0000950172-04-000766 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20040329 ITEM INFORMATION: FILED AS OF DATE: 20040330 FILER: COMPANY DATA: COMPANY CONFORMED NAME: HARTMARX CORP/DE CENTRAL INDEX KEY: 0000723371 STANDARD INDUSTRIAL CLASSIFICATION: APPAREL & OTHER FINISHED PRODS OF FABRICS & SIMILAR MATERIAL [2300] IRS NUMBER: 363217140 STATE OF INCORPORATION: DE FISCAL YEAR END: 1130 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-08501 FILM NUMBER: 04697662 BUSINESS ADDRESS: STREET 1: 101 N WACKER DR CITY: CHICAGO STATE: IL ZIP: 60606 BUSINESS PHONE: 3123726300 MAIL ADDRESS: STREET 1: 101 N WACKER DRIVE CITY: CHICAGO STATE: IL ZIP: 60606 8-K 1 har8k.txt 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 Date of Report (Date of earliest event reported): March 29, 2004 HARTMARX CORPORATION (Exact name of registrant as specified in charter) DELAWARE 1-8501 36-3217140 (State or other jurisdiction (Commission (IRS Employer of incorporation) File Number) Identification No.) 101 North Wacker Drive Chicago, Illinois 60606 (Address of principal executive offices) (Zip Code) (312) 372-6300 (Registrant's telephone number, including area code) N/A (Former Name or Former Address, if Changed Since Last Report) ITEM 12. Results of Operations and Financial Condition. On March 29, 2004, Hartmarx Corporation (the "Company") issued the press release attached hereto as Exhibit 99.1. The information furnished pursuant to this Current Report on Form 8-K (including the exhibit hereto) shall not be considered "filed" under the Securities Exchange Act of 1934, as amended, nor shall it be incorporated by reference into future filings by the Company under the Securities Act of 1933, as amended, or under the Securities Exchange Act of 1934, as amended, unless the Company expressly sets forth in such future filing that such information is to be considered "filed" or incorporated by reference therein. SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. HARTMARX CORPORATION By: /s/ TARAS R. PROCZKO ---------------------------- Taras R. Proczko Senior Vice President Dated: March 29, 2004 EXHIBIT LIST Exhibit Number Description - --------------------------------- 99.1 Press Release dated March 29, 2004 EXHIBIT 99.1 FOR IMMEDIATE RELEASE Contact: Erin Gaffney 212-840-4771 Web Site: www.hartmarx.com HARTMARX FIRST QUARTER EARNINGS DOUBLE; CONTINUES TO ANTICIPATE 25% - 40% EARNINGS IMPROVEMENT FOR THE FULL YEAR OF 2004 CHICAGO, March 29, 2004 - - Hartmarx Corporation (NYSE: HMX) today reported operating results for its first quarter ended February 29, 2004. Sales increased to $136.6 million in 2004 compared to $131.8 million in 2003. Earnings before interest and taxes ("EBIT") improved to $5.1 million compared to $4.5 million in 2003. After consideration of interest expense, refinancing expense in 2003 and income taxes, net earnings increased to $2.2 million or $.06 per diluted share in 2004 compared to net earnings of $1.1 million or $.03 per diluted share in 2003. Homi B. Patel, president and chief executive officer of Hartmarx Corporation, commented, "We are pleased that first quarter results are on track with our previously stated full-year guidance for 2004 of increasing sales in the low to mid single digits range, improving earnings by 25% - 40% and reducing debt by 15% on a comparable basis. Our 3.6% first quarter revenue increase, attributable to the men's sportswear and women's product categories, represents the third consecutive quarterly sales increase compared to the year earlier periods. The higher first quarter earnings reflect improved sales, higher operating margins and lower interest costs," Mr. Patel concluded. The increase in first quarter EBIT to $5.1 million from $4.5 million in 2003 reflected the higher sales and an improved gross margin rate of 29.8% compared to 29.5% in 2003. Selling, general and administrative expenses were $36.2 million in 2004 compared to $34.8 million in 2003; the current period included $.6 million of incremental expense associated with the performance-based vesting on February 10, 2004 of 606,500 restricted stock awards resulting from the market price of common shares equaling or exceeding $4.25 for thirty consecutive calendar days. Interest expense declined to $1.5 million this year from $1.9 million in 2003, principally from lower average borrowing levels. Results for 2003 also included $.8 million of refinancing expense representing the non-cash write-off of unamortized debt discount and financing fees associated with the early retirement of the then outstanding 12.5% senior unsecured notes. At February 29, 2004, total debt of $125.1 million declined $13.7 million from the year earlier period. -- More - Hartmarx produces and markets business, casual and golf apparel under its own brands including Hart Schaffner & Marx, Hickey-Freeman, Palm Beach, Coppley, Cambridge, Keithmoor, Racquet Club, Naturalife, Pusser's of the West Indies, Royal, Brannoch, Riserva, Sansabelt, Barrie Pace and Hawksley & Wight. In addition, the Company has certain exclusive rights under licensing agreements to market selected products under a number of premier brands such as Austin Reed, Tommy Hilfiger, Kenneth Cole, Burberry men's tailored clothing, Ted Baker, Bobby Jones, Jack Nicklaus, Claiborne, Evan-Picone, Pierre Cardin, Perry Ellis, Andrea Jovine, Lyle & Scott and Golden Bear. The Company's broad range of distribution channels includes fine specialty and leading department stores, value-oriented retailers and direct mail catalogs. The comments set forth above contain forward-looking statements made in reliance upon the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward- looking statements can be identified by the use of forward-looking terminology such as "anticipate," "believe," "continue," "estimate," "expect," "intend," "may," "should" or "will" or the negatives thereof or other comparable terminology. Forward-looking statements are not guarantees as actual results could differ materially from those expressed or implied in such forward-looking statements as a result of certain factors, including those factors set forth in Hartmarx's filings with the Securities and Exchange Commission ("SEC"). The statements could be significantly impacted by such factors as the level of consumer spending for men's and women's apparel, the prevailing retail environment, the Company's relationships with its suppliers, customers, licensors and licensees, actions of competitors that may impact the Company's business, possible acquisitions and the impact of unforeseen economic changes, such as interest rates, or in other external economic and political factors over which the Company has no control. The reader is also directed to the Company's periodic filings with the SEC for additional factors that may impact the Company's results of operations and financial condition. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. -- Financial Summary Follows -- HARTMARX CORPORATION --- UNAUDITED FINANCIAL SUMMARY -- (000's omitted, except per share amounts) Statement of Earnings Three Months Ended February 29, February 28, 2004 2003 ------------ ----------- Net sales $136,613 $131,837 Licensing and other income 569 448 -------- -------- 137,182 132,285 -------- -------- Cost of goods sold 95,863 92,981 Selling, general & administrative expenses 36,206 34,834 -------- -------- 132,069 127,815 -------- -------- Earnings before interest and taxes 5,113 4,470 Interest expense 1,543 1,910 Refinancing expense -- 795 -------- -------- Earnings before taxes 3,570 1,765 Tax provision 1,410 695 -------- -------- Net earnings $ 2,160 $ 1,070 ======== ======== Earnings per share (basic and diluted) $ .06 $ .03 Average shares: Basic 34,586 34,350 Diluted 35,603 34,441 * * * February 29, February 28, Condensed Balance Sheet 2004 2003 ------------ ------------ Cash $ 1,447 $ 1,623 Accounts receivable, net 135,006 133,305 Inventories 128,281 120,888 Other current assets 20,746 17,891 -------- -------- Current Assets 285,480 273,707 Other assets, including goodwill 30,341 29,968 Deferred taxes 54,095 61,292 Prepaid and intangible pension asset 59,104 63,004 Net fixed assets 28,443 31,315 -------- -------- Total $457,463 $459,286 ======== ======== Accounts payable and accrued expenses $ 71,743 $ 70,609 Total debt 125,107 138,822 Minimum pension liability 64,178 69,473 Shareholders' equity 196,435 180,382 -------- -------- Total $457,463 $459,286 ======== ======== Book value per share $ 5.55 $ 5.24 ======== ======== This information is preliminary and may be changed prior to filing Form 10-Q. No investment decisions should be based solely on this data. -----END PRIVACY-ENHANCED MESSAGE-----