10-Q 1 form10-q.htm OXFORD INDUSTRIES, INC. 3RD QUARTER 2001 FORM 10-Q SECURITIES AND EXCHANGE COMMISSION

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

[ X ] Quarterly Report Pursuant To Section 13 or 15(d) of

The Securities Exchange Act of 1934

For the quarterly period ended March 2, 2001

OR

[ ] Transition Report Pursuant To Section 13 or 15(d) of

The Securities Exchange Act of 1934

For the transition period from____ to____

Commission File Number 1-4365

OXFORD INDUSTRIES, INC.

(Exact name of registrant as specified in its charter)

Georgia

58-0831862

(State or other jurisdiction of incorporation or organization)

(I.R.S. Employer Identification number)

222 Piedmont Avenue, N.E., Atlanta, Georgia 30308

(Address of principal executive offices)

(Zip Code)

(404) 659-2424

(Registrant's telephone number, including area code)

Not Applicable

(Former name, former address and former fiscal year, if changed since last report.)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes X No

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date.

Number of shares outstanding

Title of each class

as of April 2, 2001

Common Stock, $1 par value

7,371,511

 

 

 

 

 

 

 

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements.

OXFORD INDUSTRIES, INC

CONSOLIDATED STATEMENT OF EARNINGS

NINE MONTHS AND QUARTER ENDED MARCH 2, 2001 AND FEBRUARY 25, 2000

(UNAUDITED)

       
$ in thousands except per share amount

Quarter Ended

 

Nine Months Ended

March 2, 2001

February 25, 2000

March 2, 2001

February 25, 2000

Net Sales

$197,404

$187,466

$596,641

$593,148

Cost of goods sold

160,599

152,504

486,696

486,565

Gross Profit

36,805

34,962

109,945

106,583

Selling, general and administrative

29,224

26,755

90,040

77,855

Earnings Before Interest and Taxes

7,581

8,207

19,905

28,728

Interest

1,271

823

3,627

2,643

Earnings Before Income Taxes

6,310

7,384

16,278

26,085

Income Taxes

2,398

2,806

6,186

9,912

Net Earnings

$3,912

$4,578

$10,092

$16,173

Basic Earnings Per Common Share

$0.53

$0.60

$1.35

$2.09

Diluted Earnings Per Common Share

$0.53

$0.60

$1.35

$2.08

Basic Number of Shares Outstanding

7,376,783

7,651,115

7,495,370

7,741,770

Diluted Number of Shares Outstanding

7,376,783

7,662,566

7,503,218

7,785,557

Dividends Per Share

$0.21

$0.21

$0.63

$0.63

See notes to consolidated financial statements.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OXFORD INDUSTRIES, INC

CONSOLIDATED BALANCE SHEETS

MARCH 2, 2001, JUNE 2, 2000 AND FEBRUARY 25, 2000

(UNAUDITED EXCEPT FOR JUNE 2, 2000)

$ in thousands

March 2, 2001

June 2, 2000

February 25, 2000

Assets
Current Assets:
Cash

$6,150

$8,625

$12,939

Receivables

135,989

112,867

119,597

Inventories:
Finished Goods

117,785

90,961

85,514

Work in process

27,490

25,903

22,776

Fabric, trim & Supplies

24,141

36,373

25,458

169,416

153,237

133,748

Prepaid expenses

12,115

12,826

13,056

Total Current Assets

323,670

287,555

279,340

Property, Plant and Equipment

34,381

37,107

37,644

Other Assets

10,660

11,904

12,519

Total Assets

$368,711

$336,566

$329,503

Liabilities and Stockholders' Equity
Current Liabilities
Notes payable

$64,000

$18,500

$32,500

Trade accounts payable

59,547

68,421

55,268

Accrued compensation

9,344

12,026

9,754

Other accrued expenses

21,088

22,713

24,234

Dividends Payable

1,548

1,607

1,607

Income taxes

994

1,148

-

Current Matruities of long-term debt

189

205

191

Total Current Liabilities

156,710

124,620

123,554

Long Term Debt, less current maturities

40,483

40,513

40,607

Noncurrent Liabilities

4,500

4,500

4,500

Deferred Income Taxes

2,438

2,619

2,190

Stockholders' Equity:
Common Stock

7,372

7,651

7,651

Additional paid in capital

11,056

11,309

11,310

Retained earnings

146,152

145,354

139,691

Total Stockholders' equity

164,580

164,314

158,652

Total Liabilities and Stockholders' Equity

$368,711

$336,566

$329,503

See notes to consolidated financial statements.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OXFORD INDUSTRIES, INC

CONSOLIDATED STATEMENTS OF CASH FLOWS

NINE MONTHS ENDED MARCH 2, 2001 AND FEBRUARY 25, 2000

(UNAUDITED)

 
$ in thousands

March 2, 2001

February 25, 2000

Cash Flows From Operating Activities
Net earnings

$10,092

$16,173

Adjustments to reconcile net earnings to

Net cash used in operating activities:

  Depreciation and amortization

6,893

6,639

  Gain on sale of property, plant and equipment

(91)

(137)

Changes in working capital:

  Receivables

(23,122)

(4,891)

  Inventories

(16,179)

13,180

  Prepaid Expenses

(711)

735

  Trade accounts payable

(8,874)

(6,129)

  Accured expenses and other current liabilities

(4,307)

(1,338)

  Income taxes payable

(154)

0

Deferred income taxes

(181)

(1,824)

Other noncurrent assets

(329)

(770)

  Net cash (used in) provided by operating activities

(35,541)

21,638

     

Cash Flows from Investing Activities

  Acquisitions

-

(2,634)

  Purchase of property, plant and equipment

(3,306)

(4,657)

  Proceeds from sale of property, plant and equipment

805

217

  Net cash used in investing activities

(2,501)

(7,074)

     

Cash flows from financing Activities

  Short-term borrowings

45,500

(500)

  Long-term debt

(46)

(242)

  Proceeds from issuance of common stock

186

314

  Purchase and retirement of common stock

(5,314)

(7,348)

  Dividends on common stock

(4,759)

(4,926)

  Net cash provided by (used in) financing activities

35,567

(12,702)

     
Net change in Cash and Cash Equivalents

(2,475)

1,862

Cash and Cash Equivalents at the Beginning of Period

8,625

11,077

Cash and Cash Equivalents at End of Period

$6,150

$12,939

     

Supplemental disclosure of Cash Flow Information

  Cash paid for:    
  Interest, net

$3,347

$2,447

  Income taxes

6,414

9,905

See notes to consolidated financial statements.

 

 

 

 

 

 

 

 

 

 

 

 

 

OXFORD INDUSTRIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

QUARTERS ENDED MARCH 2, 2001 AND FEBRUARY 25, 2000

  1. The foregoing unaudited consolidated financial statements reflect all adjustments which are, in the opinion of management, necessary for a fair statement of the results for the interim periods. All such adjustments are of a normal recurring nature. The results for interim periods are not necessarily indicative of results to be expected for the year.
  1. The financial information presented herein should be read in conjunction with the consolidated financial statements included in the Registrant's Annual Report on Form 10-K for the fiscal year ended June 2, 2000.
  2. The Company is involved in certain legal matters primarily arising in the normal course of business. In the opinion of management, the Company's liability under any of these matters would not materially affect its financial condition or results of operations.
  3. The Company’s business segments are the Oxford Shirt Group, Lanier Clothes, Oxford Slacks and the Oxford Womenswear Group.

The Shirt Group operations encompass dress and sport shirts, golf and children's apparel. Lanier Clothes produces suits, sportcoats, suit separates and dress slacks. Oxford Slacks is a producer of private label dress and casual slacks and shorts. The Oxford Womenswear Group is a producer of budget and moderate priced private label women’s apparel.

Corporate and other is a reconciling category for reporting purposes and includes the Company’s corporate offices, transportation and logistics and other costs and services that are not allocated to operating groups.

 

Oxford Industries, Inc

Segment Information

(unaudited)

$ in thousands
 

Three Months Ended

Nine Months Ended

 

March 2, 2001

February 25, 2000

 

March 2, 2001

February 25, 2000

Net Sales          
Oxford Shirt Group

$51,895

$46,612

 

$174,174

$172,869

Lanier Clothes

40,212

40,670

 

130,450

128,880

Oxford Slacks

22,959

22,042

 

75,895

71,542

Oxford Womenswear Group

82,271

78,082

 

215,866

219,679

Corporate and other

67

60

 

256

178

Total

$197,404

$187,466

$596,641

$593,148

 

 

 

 

 

 

 

 

 

 

 

Oxford Industries, Inc

Segment Information

(unaudited)

 
$ in thousand

Three Months Ended

Nine Months Ended

 

March 2, 2001

February 25, 2000

 

March 2, 2001

February 25, 2000

Depreciation and amortization          
Oxford Shirt Group

$610

$653

$1,809

$1,833

Lanier Clothes

482

486

 

1,357

1,367

Oxford Slacks

296

277

 

843

827

Oxford Womenswear Group

721

673

 

2,114

1,891

Corporate and other

261

255

 

770

721

Total

$2,370

$2,344

$6,893

$6,639

EBIT          
Oxford Shirt Group

$(1,710)

$(683)

 

$(445)

$8,876

Lanier Clothes

2,985

2,269

 

9,062

8,899

Oxford Slacks

501

759

 

3,801

3,653

Oxford Womenswear Group

5,457

6,159

 

9,887

12,703

Corporate and other

348

(297)

 

(2,400)

(5,403)

Total

$7,581

$8,207

 

$19,905

$28,728

Interest expense, net

1,271

823

 

3,627

2,643

Earnings before taxes

$6,310

$7,384

 

$16,278

$26,085

         
         
         
         
         
         
         
         
         
   

Nine Months Ended

 
   

Mar. 2, 2001

Feb. 25, 2000

 
ASSETS        
Oxford Shirt Group  

$110,359

$99,953

 
Lanier Clothes  

106,849

90,905

 
Oxford Slacks  

44,059

40,578

 
Oxford Womenswear Group  

122,023

104,377

 
Corporate and other  

(14,579)

(6,310)

 
Total  

$368,711

$329,503

 
         
Purchase of property, plant and equipment      
Oxford Shirt Group  

$852

$1,863

 
Lanier Clothes  

1,106

547

 
Oxford Slacks  

273

466

 
Oxford Womenswear Group  

632

394

 
Corporate and other  

443

1,387

 
Total  

$3,306

$4,657

 
         
         

 

 

 

 

 

 

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIALCONDITION AND RESULTS OF OPERATIONS

($ in thousands)

RESULTS OF OPERATIONS

SUMMARIZED FINANCIAL DATA for the quarter and nine months ended February 2001 and 2000 are as follows. (Percentages are calculated based on actual data, but percentage columns may not add due to rounding.)

 

THREE MONTHS ENDED
FEBRUARY

 

NINE MONTHS ENDED
FEBRUARY

   
               
     

%
CHANGE

     

%
CHANGE

 

2001

2000

 

2001

2000

NET SALES

$197,404

$187,466

5.3%

 

$596,641

$593,148

0.6%

Cost of Goods Sold

160,599

152,504

5.3%

 

486,696

486,565

0.0%

GROSS PROFIT

36,805

34,962

5.3%

 

109,945

106,583

3.2%

S,G&A

29,224

26,755

9.2%

 

90,040

77,855

15.7%

EBIT

7,581

8,207

-7.6%

 

19,905

28,728

-30.7%

Interest Net

1,271

823

54.4%

 

3,627

2,643

37.2%

EARNINGS BEFORE INCOME TAXES

6,310

7,384

-14.5%

 

16,278

26,085

-37.6%

Income Taxes

2,398

2,806

-14.5%

 

6,186

9,912

-37.6%

NET EARNINGS

$3,912

$4,578

-14.5%

 

$10,092

$16,173

-37.6%

               
AS A PERCENTAGE OF SALES:
NET SALES

100.0%

100.0%

   

100.0%

100.0%

 
Cost of Goods Sold

81.4%

81.4%

0.0%

 

81.6%

82.0%

-0.4%

GROSS PROFIT

18.6%

18.6%

0.0%

 

18.4%

18.0%

0.4%

S,G&A

14.8%

14.3%

0.5%

 

15.1%

13.1%

2.0%

EBIT

3.8%

4.4%

-0.6%

 

3.3%

4.8%

-1.5%

Interest Net

0.6%

0.4%

0.2%

 

0.6%

0.4%

0.2%

EARNINGS BEFORE INCOME TAXES

3.2%

3.9%

-0.7%

 

2.7%

4.4%

-1.7%

Income Taxes

1.2%

1.5%

-0.3%

 

1.0%

1.7%

-0.7%

NET EARNINGS

2.0%

2.4%

-0.4%

1.7%

2.7%

-1.0%

Total Company

NET SALES for the third quarter were $197,404, up 5.3% from $187,466 reported in the prior year. The unit sales increase of 8.1% was slightly offset by a decline of 2.6% in the average selling price per unit.

    • Womenswear sales increased primarily due to additional fashion programs with several major mass merchants and direct mail retailers.
    • Shirt Group sales increased primarily due to growth in the groups two golf divisions and the DKNY Kids business.
    • Oxford Slacks sales increased primarily as a result of growth in the specialty catalog distribution tier.

Net sales for the nine months were $596,641, up 0.6% from $593,148 in the prior year. Increased sales in the Oxford Slacks Group more than offset the decline in Oxford Womenswear. Lanier Clothes and the Oxford Shirt Group achieved slight increases.

COST OF GOODS SOLD as a percentage of sales remained constant at 81.4% in the third quarter of the current year and the prior year. Cost of Goods Sold as a percentage of sales for the nine months declined to 81.6% in the current year from 82.0% the prior year. The increased gross margin reflected:

    • A higher proportion of branded business
    • Improved manufacturing performance

S,G&A EXPENSE for the third quarter increased to 14.8% of net sales in the current year from 14.3% of net sales in the prior year. S,G&A expense for the nine months increased to 15.1% of net sales in the current year from 13.1% last year. The higher S,G&A Expense for the quarter and the nine months was attributable to: Continuing expenditures required to establish and grow several new marketing initiatives launched last year, (DKNY Kids, Izod Club Golf, Tommy Hilfiger Womens Golf, and Slates Tailored Clothing.)

INTEREST EXPENSE for the quarter increased to $1,271, up 54.4% from $823 for the same period last year. For the nine months, interest expense increased to $3,627, up 37.2% from $2,643 last year. The increase in interest expense was due to:

    • Higher interest rates.
    • Higher average borrowings.

EFFECTIVE TAX RATE for the quarter and nine months was 38.0% and was unchanged from the same periods for the prior year. The effective tax rate does not differ significantly from the Company’s statutory rate.

Segment Results

The Company is engaged in the design, manufacture and sale of consumer apparel for men, women and children. Principal markets for the Company are customers located primarily in the United States. The Company’s business units are aggregated into the following reportable segments:

    • Oxford Shirt Group
    • Lanier Clothes
    • Oxford Slacks
    • Oxford Womenswear Group

All data with respect to the Company’s specific segments are presented before applicable intercompany eliminations. Certain prior year information has been restated to be consistent with the current presentation. (Percentages are calculated based on actual data, but columns may not add due to rounding.)

 

 

THREE MONTHS ENDED
FEBRUARY

 

NINE MONTHS ENDED
FEBRUARY

   
     

%
CHANGE

     

%
CHANGE

NET SALES

2001

2000  

2001

2000

Oxford Shirt Group

$51,895

$46,612

11.3%

 

$174,174

$172,869

0.8%

Lanier Clothes

40,212

40,670

-1.1%

 

130,450

128,880

1.2%

Oxford Slacks

22,959

22,042

4.2%

 

75,895

71,542

6.1%

Oxford Womenswear Group

82,271

78,082

5.4%

 

215,866

219,679

-1.7%

Corporate and Other

67

60

11.7%

 

256

178

43.8%

Total Net Sales

$197,404

$187,466

5.3%

 

$596,641

$593,148

0.6%

               
AS A PERCENTAGE OF TOTAL SALES:
Oxford Shirt Group

26.3%

24.9%

   

29.2%

29.1%

 
Lanier Clothes

20.4%

21.7%

   

21.9%

21.7%

 
Oxford Slacks

11.6%

11.8%

   

12.7%

12.1%

 
Oxford Womenswear Group

41.7%

41.7%

   

36.2%

37.0%

 
Corporate and Other

0.0%

0.0%

   

0.0%

0.0%

 
Total Net Sales

100.0%

100.0%

100.0%

100.0%

 

 

 

 

 

 

 

 

 

THREE MONTHS ENDED
FEBRUARY

 

EBIT MARGIN

EBIT

2001

2000

CHANGE

2001

2000

Oxford Shirt Group

$(1,710)

$(683)

150.4%

 

-3.3%

-1.5%

Lanier Clothes

2,985

2,269

31.6%

 

7.4%

5.6%

Oxford Slacks

501

759

-34.0%

 

2.2%

3.4%

Oxford Womenswear Group

5,457

6,159

-11.4%

 

6.6%

7.9%

Corporate and Other

348

(297)

-217.2%

 

N/A

N/A

Total EBIT

$7,581

$8,207

-7.6%

 

3.8%

4.4%

             
 

NINE MONTHS ENDED
FEBRUARY

 

EBIT MARGIN

EBIT 2001 2000 CHANGE 2001 2000
Oxford Shirt Group

$(445)

$8,876

-105.0%

 

-0.3%

5.1%

Lanier Clothes

9,062

8,899

1.8%

 

6.9%

6.9%

Oxford Slacks

3,801

3,653

4.1%

5.0%

5.1%

Oxford Womenswear Group

9,887

12,703

-22.2%

 

4.6%

5.8%

Corporate and Other

(2,400)

(5,403)

-55.6%

 

N/A

N/A

Total EBIT

$19,905

$28,728

-30.7%

 

3.3%

4.8%

             

Oxford Shirt Group

Net sales for the Oxford Shirt Group increased 11.3% in the third quarter to $51,895 from $46,612 last year. The unit sales volume increase of 11.6% was slightly offset by a 0.2% decline in the average sales price per unit. Sales increases in the golf divisions and DKNY Kids were partially offset by declines in the dress shirt and sport shirt divisions. Higher operating expenses associated with new marketing initiatives reduced EBIT for the group to a loss of $1,710 in the current quarter from a loss of $683 last year. For the nine months, sales for this segment increased 0.8% and EBIT declined from $8,876 last year to a loss of $445 in the current year.

Lanier Clothes

Lanier Clothes reported third quarter sales of $40,212, a decline of 1.1% from $40,670 last year. The decline in the average selling price per unit of 3.6% was partially offset by a 2.5% increase in unit sales volume. The unit and average selling price data have been impacted by the shift in product mix from suits to separates. Higher profit margins were somewhat offset by higher operating expenses for a net increase in EBIT to $2,985, up 31.6% from $2,269 last year. For the nine months, sales increased 1.2% and the EBIT margin remained constant at 6.9%.

Oxford Slacks Group

The Oxford Slacks Group reported third quarter sales of $22,959 up 4.2% from $22,042 last year. An increase in the average selling price per unit of 8.7% was slightly offset by a unit sales decline of 4.1%. Most of the sales increase resulted from growth in specialty catalog, the group’s largest distribution tier. Third quarter EBIT declined to $501 from $759 due to manufacturing inefficiencies resulting from the conversion of several of the group’s plants to a new premium construction pant. For the nine months, sales increased 6.1% and the EBIT margin declined to 5.0% of net sales in the current year from 5.1% last year.

Oxford Womenswear Group

The Oxford Womenswear Group reported a third quarter net sales increase of 5.4% to $82,271 from $78,082 last year. The unit sales volume increase of 9.3% was slightly offset by a decline in the average selling price per unit of 3.6%. The sales increase was driven by additional fashion programs with several major mass merchants and direct mail retailers. Product mix and a competitive environment put downward pressure on margins. EBIT for the quarter declined 11.4% to $5,457 this year from $6,159 last year. For the nine months, sales declined 1.7% and the EBIT margin declined from 5.8% last year to 4.6% this year.

Corporate and Other

Corporate and other includes the Company’s corporate offices, transportation and logistics and other costs and services that are not allocated to operating groups. For the nine months, the primary difference in EBIT is due to LIFO accounting. Fiscal 1999 ended with abnormally high markdowns restored. In fiscal 2000, marked down inventory was liquidated to more normal levels resulting in an unfavorable charge to the income statement. In fiscal 2001, the amount of marked down inventory liquidated returned to normal levels resulting in a smaller unfavorable charge to the income statement. Under LIFO accounting, markdowns are not recognized until the inventory is liquidated.

FUTURE OPERATING RESULTS

The extremely challenging retail environment faced by the apparel industry has overshadowed the improvements the Company has made in many of its businesses. Gross margins are up through three quarters but high operating expenses have been the critical issue with respect to the Company’s financial performance this year. These expenditures, however, play an important role in the Company’s strategy to invest in new value-added private label and branded initiatives. The recent launch of several new merchandising divisions has demonstrated the Company’s progress in this area. Though these initiatives have negatively impacted short-term results, the Company remains committed to building a foundation for future growth and profitability.

The Company expects fourth quarter sales to be down 10-15% from last year’s record quarter. Continuing weakness at retail and a shorter accounting period are primarily responsible for the decline. Diluted earnings per share are expected to fall within a range of 10-20% below last year’s diluted earnings per share of $0.94 reflecting continuing improvement in gross margins and moderately higher operating expenses.

LIQUIDITY AND CAPITAL RESOURCES

Financial Condition

Cash flow from operations is the Company’s primary source of liquidity. Management monitors leverage through its debt-to-total capital ratio. Working capital management is achieved primarily by monitoring the Company’s investment in accounts receivable and inventories and by the amount of accounts payable.

Leverage

Total debt represented 38.9% of total capital at the end of February 2001 as compared to 26.4% at the end of May 2000 and 31.6% at the end of the February 2000. The Company believes it has adequate borrowing capacity to pursue strategic acquisitions.

Working Capital

Working capital increased from $155,786 at the end of the third quarter of the prior year to $162,935 at the end of the 2000 fiscal year and increased to $166,960 at the end of the third quarter of the current year. The ratio of current assets to current liabilities was 2.3 at the end of the third quarter of the prior year, 2.3 at the end of the 2000 fiscal year and 2.1 at the end of the third quarter of the current year. Accounts Receivable at the end of the third quarter of the current year increased $16,392 or 13.7% compared to the prior year. Customer accounts receivable days outstanding decreased from 52.0 days in the prior year to 51.8 days in the current year. Accounts payable increased $4,279 or 7.7% compared to the prior year. The increase from changes in accounts receivable and inventory, were partially offset by the increase in accounts payable. The inventory buildup was due to sluggish retail sell throughs of basic replenishment items and inventory buildups for new marketing divisions. The Company’s overall inventory days on hand were 82.3 at the end of the third quarter of the current year and 75.0 in the prior year.

Investing Activities

Capital expenditures were $3,306 for the first nine months compared to $4,657 in the prior year.

Financing Activities

The Company continued its stock repurchase activity during the quarter with the purchase and retirement of 15,004 shares of common stock. Stock repurchase activity for the nine months totaled 289,604 shares. At quarter end, the remaining open authorization to repurchase outstanding shares was approximately 1,468,227 shares.

On April 2, 2001 the Company’s Board of Directors declared a cash dividend of $0.21 per share, payable on June 2, 2001 to shareholders of record on May 15, 2001.

FUTURE LIQUIDITY AND CAPITAL RESOURCES

The Company believes it has the ability to generate cash and/or has available borrowing capacity to meet its foreseeable needs. The sources of funds primarily include funds provided by operations and both short-term and long-term borrowings. The uses of funds primarily include working capital requirements, capital expenditures, acquisitions, stock repurchases, dividends and repayment of short-term and long-term debt. The Company regularly utilizes committed bank lines of credit and other uncommitted bank resources to meet working capital requirements. On March 2, 2001 the Company had available for its use lines of credit with several lenders aggregating $45,000. The Company has agreed to pay commitment fees for these available lines of credit. On March 2, 2001, $45,000 was in use under these lines, of which $40,000 was long-term. In addition, the Company has $196,500 in uncommitted lines of credit, of which $133,500 is generally reserved for letters of credit. The Company pays no commitment fees for these available lines of credit. On March 2, 2001, $59,000 was in use under these lines of credit. Maximum borrowings from all these sources during the current year were $104,000 of which $40,000 was long-term. The Company anticipates continued use and availability of both committed and uncommitted resources as working capital needs may require.

The Company considers possible acquisitions of apparel-related businesses that are compatible with its long-term strategies. The Company's Board of Directors has authorized the Company to purchase shares of the Company's common stock on the open market and in negotiated trades as conditions and opportunities warrant.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

This Quarterly Report contains forward-looking statements of the Company’s beliefs or expectations regarding anticipated future results of the Company. These statements are based on numerous assumptions and are subject to risks and uncertainties. Although the Company feels that the beliefs and expectations in the forward-looking statements are reasonable, it does not and cannot give any assurance that the beliefs and expectations will prove to be correct. Many factors could significantly affect the Company’s operations and cause the Company’s actual results to be substantially different from the Company’s expectations. Those factors include, but are not limited to: (i) general economic and apparel business conditions; (ii) continued retailer and consumer acceptance of the Company’s products; (iii) global manufacturing costs; (iv) the financial condition of customers or suppliers; (v) changes in capital market conditions; (vi) governmental and business conditions in countries where the Company’s products are manufactured; (vii) changes in trade regulations; (viii) the impact of acquisition activity; (ix) changes in the Company’s plans, strategies, objectives, expectations or intentions, which may happen at any time in the discretion of the Company; and (x) other risks and uncertainties indicated from time to time in the Company’s filings with the Securities and Exchange Commission. The Company does not have an obligation to publicly update any forward-looking statements, whether as a result of the receipt of new information, the occurrence of future events or otherwise.

ADDITIONAL INFORMATION

For additional information concerning the Company's operations, cash flows, liquidity and capital resources, this analysis should be read in conjunction with the Consolidated Financial Statements and the Notes to Consolidated Financial Statements contained in the Company’s Annual Report for the fiscal year ended June 2, 2000.

 

 

 

 

 

 

PART II. OTHER INFORMATION

Item 6. Exhibits and Reports on Form 8-K.

(a) Exhibits.

10(i) Note Agreement between the Company and SunTrust of Georgia dated February 18, 2001 covering the Company’s long term note due June 15, 2001

 

(b) Reports on Form 8-K.

The Registrant did not file any reports on Form 8-K during the quarter ended March 2, 2001.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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.

 

OXFORD INDUSTRIES, INC.

(Registrant)

 

/s/Ben B. Blount, Jr.

Date: April 12, 2001. Ben B. Blount, Jr

Chief Financial Officer