NOTE 17. Quarterly Data (Unaudited)

Condensed consolidated quarterly and interim information is as follows: (Amounts in thousands, except per share data)


	Fiscal Quarter Ended
	June 30,			March 31,			December 31,		September 30,
	2013			2013			2012		2012
Net sales	$	267,579		$	264,484		$	467,919	$	344,541
Gross profit ⁽¹⁾		118,743			126,185			236,466		147,399
(Loss) income from operations ⁽¹⁾		(5,078	)		4,334			63,841		8,863
Net (loss) income ⁽²⁾		(5,009	)		(1,273	)		44,809		2,184
(Loss) income per common share:
Basic ⁽¹⁾	$	(0.17	)	$	(0.04	)	$	1.51	$	0.07
Diluted ⁽¹⁾	$	(0.17	)	$	(0.04	)	$	1.47	$	0.07

(1) For the year ended June 30, 2013, gross profit includes $13.8 million of inventory–related costs ($6.4 million of which did not require the use of cash in fiscal 2013) primarily for inventory purchased by the Company from New Wave Fragrances, LLC and Give Back Brands, LLC prior to the acquisition of licenses and certain other assets from those companies and other transition costs, and $22.6 million of non-recurring product changeover costs and product discontinuation charges related to the repositioning of the Elizabeth Arden brand. In addition, income from operations includes (i) $0.4 million in transition costs associated with the 2012 Acquisitions, (ii) $0.5 million of non-recurring product changeover expenses related to the repositioning of the Elizabeth Arden brand, and (iii) $1.5 million of expenses related to a third party provider of freight audit and payment services that entered into bankruptcy after receiving funds from the Company to pay Company freight invoices and breaching its obligation to remit those funds to the freight companies. For the year ended June 30, 2013, acquisition related costs and expenses, product changeover costs and expenses, product discontinuation charges and other non-recurring expenses reduced both basic and fully diluted earnings per share by $0.83 and $0.81, respectively. The breakout of acquisition related costs and expenses, product changeover costs and expenses, product discontinuation charges and other non-recurring expenses by fiscal quarter is as follows:


			Fiscal Quarter Ended
(*Amounts in millions)*	June 30,		March 31,		December 31,		September 30,
	2013		2013		2012		2012
Inventory–related costs- 2012 Acquisitions	$	-	$	0.6	$	1.9	$	11.3
Product changeover costs and expenses, and product discontinuation
charges related to Elizabeth Arden brand repositioning		12.9		2.8		3.9		3.5
Transition costs- 2012 Acquisitions		-		0.1		-		0.3
Other non-recurring expenses		1.5		-		-		-
Total	$	14.4	$	3.5	$	5.8	$	15.1

(2) For the quarter ended June 30, 2013, net income includes an out-of-period adjustments of $0.9 million to correct an error related to deferred taxes. Income tax expense increased and net income decreased by $0.9 million. The Company did not adjust the prior periods as it concluded that such adjustments were not material to the current or prior period consolidated financial statements.


	Fiscal Quarter Ended
	June 30,			March 31,		December 31,		September 30,
	2012			2012		2011		2011
Net sales	$	265,534		$	239,279	$	429,926	$	303,534
Gross profit		129,690	⁽¹⁾		119,592		217,313		142,436
Income from operations		8,843	⁽¹⁾		7,365		61,792		17,271
Net income		3,625			2,191		42,371		9,232
Income per common share:
Basic	$	0.12	⁽¹⁾	$	0.08	$	1.46	$	0.32
Diluted	$	0.12	⁽¹⁾	$	0.07	$	1.42	$	0.31

(1) For the fourth quarter of the year ended June 30, 2012, gross profit includes (i) $4.5 million of inventory–related costs primarily for inventory purchased by the Company from New Wave Fragrances LLC and Give Back Brands, LLC prior to the asset acquisitions from those companies, and (ii) $0.4 million for product discontinuation charges. In addition, income from operations includes (i) $1.4 million in license termination costs, and (ii) $0.8 million in transaction costs associated with the 2012 Acquisitions. For the year ended June 30, 2012, inventory-related costs and transaction costs for the 2012 Acquisitions, as well as product discontinuation charges and license termination costs reduced both basic and fully diluted earnings per share $0.17 and $0.16, respectively.