EX-99.1 2 a5655277ex99_1.htm EXHIBIT 99.1

Exhibit 99.1

JoS. A. Bank Clothiers Reports Record Fiscal Year 2007 Results; Earnings Per Share Increase 15%

HAMPSTEAD, Md.--(BUSINESS WIRE)--JoS. A. Bank Clothiers, Inc. (NASDAQ Global Select Market:JOSB) announces today record results for its fiscal year ended February 2, 2008 (“fiscal year 2007”).

Net income for fiscal year 2007 increased to a record $50.2 million, as compared with net income of $43.2 million for the fiscal year ended February 3, 2007 (“fiscal year 2006”). Earnings per share for fiscal year 2007 increased 15% to a record $2.72 as compared with earnings per share of $2.36 for fiscal year 2006. The Company noted that the results for fiscal year 2007 represent the seventh consecutive year of record earnings.

Net sales reached a record of $604.0 million in fiscal year 2007, representing a 10.5% gain as compared with net sales of $546.4 million in fiscal year 2006. The Company ended fiscal year 2007 with no debt and $82.1 million of cash.

Fiscal year 2007 contained 52 weeks and fiscal year 2006 contained 53 weeks, consistent with the National Retail Federation's 4-5-4 week calendar. Total net sales and Direct Marketing sales comparisons presented herein use the actual number of weeks in each fiscal period. Comparable store sales comparisons presented herein use the corresponding weeks in the comparable prior fiscal period.

Comparing the 52 weeks of fiscal year 2007 with the 53 weeks of fiscal year 2006, total net sales increased 10.5% to $604.0 million from $546.4 million and Direct Marketing sales increased 13.1%. Comparing the 52 weeks of fiscal year 2007 with the first 52 weeks of fiscal year 2006, comparable store sales increased 3.8%.

The Company will hold a conference call on Tuesday, April 15, 2008 at 11:00 a.m. ET to discuss its results for fiscal year 2007. To join in the call please dial (USA) 800-762-7308 or (International) 480-629-9033 at least five minutes before 11:00 a.m. ET. A replay of the conference call will be available after 1:00 p.m. ET on April 15, 2008 until April 22, 2008 at 11:59 p.m. ET by dialing (USA) 800-475-6701 or (International) 320-365-3844. The access code for the replay will be 918768. In addition, a webcast replay of the conference call will be posted on the investor relations section of our website: www.josbank.com (select “Company Information” and “Investor Relations”).

All earnings per share amounts in this news release represent diluted earnings per share.

JoS. A. Bank Clothiers, Inc., established in 1905, is one of the nation's leading retailers of men's classically-styled tailored and casual clothing, sportswear, footwear and accessories. The Company sells its full product line through 426 stores in 42 states and the District of Columbia, a nationwide catalog and an e-commerce website that can be accessed at www.josbank.com. The Company is headquartered in Hampstead, Md., and its common stock is listed on the Nasdaq Global Select Market under the symbol "JOSB."

The Company's statements concerning future operations contained herein are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those forecast due to a variety of factors outside of the Company's control that can affect the Company's operating results, liquidity and financial condition. Such factors include risks associated with economic, weather, public health and other factors affecting consumer spending, higher energy and security costs, the successful implementation of the Company's growth strategy including the ability of the Company to finance its expansion plans, the mix and pricing of goods sold, the effectiveness and profitability of new concepts, the market price of key raw materials such as wool and cotton, seasonality, merchandise trends and changing consumer preferences, the effectiveness of the Company's marketing programs, the availability of lease sites for new stores, the ability to source product from its global supplier base, litigations and other competitive factors. Other factors and risks that may affect the Company’s business or future financial results are detailed in the Company’s filings with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K for the year ended February 2, 2008. These cautionary statements qualify all of the forward-looking statements the Company makes herein. The Company cannot assure you that the results or developments anticipated by the Company will be realized or, even if substantially realized, that those results or developments will result in the expected consequences for the Company or affect the Company, its business or its operations in the way the Company expects. The Company cautions you not to place undue reliance on these forward-looking statements, which speak only as of their respective dates. The Company does not undertake an obligation to update or revise any forward-looking statements to reflect actual results or changes in the Company's assumptions, estimates or projections. These risks should be carefully reviewed before making any investment decision.

JOS. A. BANK CLOTHIERS, INC.
CONSOLIDATED BALANCE SHEETS
AS OF FEBRUARY 3, 2007 AND FEBRUARY 2, 2008
(In Thousands, Except Share Information)
     
February 3, 2007 February 2, 2008
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 43,080 $ 82,082
Accounts receivable, net 5,193 5,855
Inventories, net 183,471 206,825
Prepaid expenses and other current assets   18,560     18,593  
Total current assets 250,304 313,355
NONCURRENT ASSETS:
Property, plant and equipment, net 117,553 126,235
Other noncurrent assets   535     508  
Total assets $ 368,392   $ 440,098  
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable $ 41,683 $ 47,383
Accrued expenses 63,606 72,150
Deferred tax liability   8,453     6,688  
Total current liabilities 113,742 126,221
NONCURRENT LIABILITIES:
Long-term debt 412 -
Noncurrent lease obligations 42,053 50,185
Noncurrent deferred tax liability 2,595 1,210
Other noncurrent liabilities   1,356     1,317  
Total liabilities   160,158     178,933  
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS’ EQUITY:
Preferred stock, $1.00 par, 500,000 shares authorized, none issued or outstanding - -
Common stock, $.01 par, 45,000,000 shares authorized, 18,039,826 issued and outstanding at February 3, 2007 and 18,179,371 issued and outstanding at February 2, 2008 180 181
Additional paid-in capital 78,101 80,791
Retained earnings 130,092 180,260
Accumulated other comprehensive losses   (139 )   (67 )
Total stockholders’ equity   208,234     261,165  
Total liabilities and stockholders’ equity $ 368,392   $ 440,098  
Note: The foregoing unaudited Condensed Consolidated Balance Sheets are excerpts from our Consolidated Financial Statements (as of February 3, 2007 and as of February 2, 2008) and do not include the Notes, which are considered an integral part thereof. The foregoing unaudited financial information should be read in conjunction with the Company's Annual Report on Form 10-K for the fiscal year ended February 2, 2008 which was filed with the Securities and Exchange Commission on April 10, 2008.
JOS. A. BANK CLOTHIERS, INC.
CONSOLIDATED STATEMENTS OF INCOME
FOR THE YEARS ENDED JANUARY 28, 2006, FEBRUARY 3, 2007 AND FEBRUARY 2, 2008
(In Thousands, Except Per Share Information)
   
Fiscal Year
2005   2006  

2007

NET SALES $ 464,633 $ 546,385 $ 604,010
Cost of goods sold   177,006     207,947     225,364  
GROSS PROFIT   287,627     338,438     378,646  
OPERATING EXPENSES:
Sales and marketing 179,902 212,890 242,655
General and administrative   45,930     52,453     53,240  
Total operating expenses   225,832     265,343     295,895  
OPERATING INCOME 61,795 73,095 82,751
OTHER INCOME (EXPENSE):
Interest income 136 461 1,937
Interest expense   (1,930 )   (1,399 )   (355 )
Total other income (expense)   (1,794 )   (938 )   1,582  
Income before provision for income taxes 60,001 72,157 84,333
Provision for income taxes   24,751     28,935     34,165  
NET INCOME $ 35,250   $ 43,222   $ 50,168  
 
EARNINGS PER SHARE
Net income:
Basic $ 2.07 $ 2.40 $ 2.77
Diluted $ 1.95 $ 2.36 $ 2.72
Weighted average shares outstanding:
Basic 17,021 17,981 18,128
Diluted 18,031 18,342 18,420
Note: The foregoing unaudited Condensed Consolidated Statements of Income are excerpts from our Consolidated Financial Statements for each of the three years ended February 2, 2008 and do not include the Notes, which are considered an integral part thereof. The foregoing unaudited financial information should be read in conjunction with the Company's Annual Report on Form 10-K for the fiscal year ended February 2, 2008 which was filed with the Securities and Exchange Commission on April 10, 2008.
JOS. A. BANK CLOTHIERS, INC.
CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY
FOR THE YEARS ENDED JANUARY 28, 2006, FEBRUARY 3, 2007 AND FEBRUARY 2, 2008
(In Thousands, Except Share Information)
 
  Shares of common stock   Common stock   Additional paid-in capital   Retained earnings   Treasury stock   Accumulated other comprehensive losses   Total stockholders’ equity
BALANCE, JANUARY 29, 2005 16,825,370   $ 124 $ 67,594   $ 51,664   $ (5,058 )   $ -   $ 114,324  
Net income - - - 35,250 - - 35,250
Retirement of treasury stock, at cost - - (5,058 ) - 5,058 - -
Issuance of common stock pursuant to Incentive Option Plan 460,156 5 1,596 - - - 1,601
Income tax benefit from exercise of non-qualified stock options - - 2,694 - - - 2,694
Stock dividend fractional share repurchase (1,722 ) - (69 ) - - - (69 )
Stock dividend transfer of par value -     44   -     (44 )   -     -     -  
BALANCE, JANUARY 28, 2006 17,283,804     173   66,757     86,870     -     -     153,800  
Net income - - - 43,222 - - 43,222
Adjustment to minimum pension liability, net of tax effect of $4 - - - - - 6   6  
Comprehensive income 43,228
Adjustment to initially apply FAS No. 158, net of tax benefit of $95 - - - - - (145 ) (145 )
Issuance of common stock pursuant to Incentive Option Plan 756,022 7 7,397 - - - 7,404
Income tax benefit from exercise of non-qualified stock options -     -   3,947     -     -     -     3,947  
BALANCE, FEBRUARY 3, 2007 18,039,826     180   78,101     130,092     -     (139 )   208,234  
Net income - - - 50,168 - - 50,168
Adjustment to minimum pension liability, net of tax benefit of $47 - - - - - 72   72  
Comprehensive income 50,240
Issuance of common stock pursuant to Incentive Option Plan 139,545 1 1,868 - - - 1,869
Income tax benefit from exercise of non-qualified stock options -     -   822     -     -     -     822  
BALANCE, FEBRUARY 2, 2008 18,179,371   $ 181 $ 80,791   $ 180,260   $ -   $ (67 ) $ 261,165  
Note: The foregoing unaudited Consolidated Statements of Stockholders' Equity are excerpts from our Consolidated Financial Statements for each of the three years ended February 2, 2008 and do not include the Notes, which are considered an integral part thereof. The foregoing unaudited financial information should be read in conjunction with the Company's Annual Report on Form 10-K for the fiscal year ended February 2, 2008 which was filed with the Securities and Exchange Commission on April 10, 2008.
JOS. A. BANK CLOTHIERS, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED JANUARY 28, 2006, FEBRUARY 3, 2007 AND FEBRUARY 2, 2008
(In Thousands)
 
  Fiscal Year
2005   2006   2007
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 35,250 $ 43,222 $ 50,168

Adjustments to reconcile net income to net cash provided by operating activities:

Increase (decrease) deferred taxes 12,791 (2,603 ) (3,150 )
Depreciation and amortization 13,020 15,809 18,477
Loss on disposition of assets 31 34 281
Income tax benefit from exercise of non-qualified stock options 2,694 - -
Asset impairment charges - - 833
Non-cash recognition of state grant - - (485 )
Changes in assets and liabilities:
(Increase) decrease in accounts receivable (1,657 ) 1,262 (662 )
Increase in inventories (48,949 ) (6,829 ) (23,354 )
Increase in prepaid expenses and other assets (960 ) (5,708 ) (10 )
Decrease in non-current assets 942 31 27
Increase (decrease) in accounts payable 2,545 (995 ) 5,700
Increase in accrued expenses 15,503 10,490 7,602
Increase in noncurrent lease obligations 4,689 7,046 8,132
Increase (decrease) in other noncurrent liabilities   1,127     (848 )   153  
Net cash provided by operating activities   37,026     60,911     63,712  
CASH FLOWS USED FOR INVESTING ACTIVITIES:
Payments for capital expenditures (31,577 ) (31,141 ) (27,696 )
Proceeds from disposal of assets   -     -     295  
Net cash used for investing activities   (31,577 )   (31,141 )   (27,401 )
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings under revolving loan agreement 106,185 90,135 -
Repayment of borrowings under revolving loan agreement (106,185 ) (90,135 ) -
Proceeds from long-term debt - 400 -
Repayment of other long-term debt (1,062 ) (5,785 ) -
Income tax benefit from exercise of non-qualified stock options - 3,947 822
Proceeds from issuance of common stock, net of fractional share repurchase   1,532     7,404     1,869  
Net cash provided by (used in) financing activities   470     5,966     2,691  
Net increase in cash and cash equivalents 5,919 35,736 39,002
CASH AND CASH EQUIVALENTS, beginning of year   1,425     7,344     43,080  
CASH AND CASH EQUIVALENTS, end of year $ 7,344   $ 43,080   $ 82,082  
 
Note: The foregoing unaudited Condensed Consolidated Statements of Cash Flows are excerpts from our Consolidated Financial Statements for each of the three years ended February 2, 2008 and do not include the Notes, which are considered an integral part thereof. The foregoing unaudited financial information should be read in conjunction with the Company's Annual Report on Form 10-K for the fiscal year ended February 2, 2008 which was filed with the Securities and Exchange Commission on April 10, 2008.

CONTACT:
JoS. A. Bank Clothiers, Inc., Hampstead, Md.
David E. Ullman,
EVP/CFO,
410-239-5715
or
Investor Relations Information Request Website
(http://phx.corporate-ir.net/phoenix.zhtml?c=113815&p=
irol-inforeq),
or Voicemail, 410-239-5900
E-commerce Address for JoS. A. Bank Clothiers, Inc.:
www.josbank.com