Abercrombie & Fitch 2004 Annual Report Download

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Table of contents

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    Abercrombie & Fitch

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    ... 6 Financial Summary 11 Management's Discussion and Analysis 12 Quantitive and Qualitive Disclosures About Market Risk 23 Consolidated Statements...Consolidated Financial Statements 28 Report of Independent Registered Public Accounting Firm 38 Corporate Information 41 Executive Officers and Board of ...

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    ... experience of our customers. A large part of this initiative involved increasing staff coverage in stores by developing detailed programs to be used by store managers and brand representatives, as well as increasing the number of staff hours per week in our stores and enhancing staff training...

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    Abercrombie & Fitch FINANCIAL SUMMARY (Thousands except per share and per square foot amounts, ratios and store and associate data) Fiscal Year Summary of Operations 2004 $2,021,253 $ 909,793 $ 347,635 17.2% $ 216,376 10.7% 0.50 2.33 2.28 95,110 $1,347,701 16% $ 185,065 - $ 669,326 28% 2% $ 360 ...

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    ... size and color assortments. While these initiatives will increase the Company's selling costs, management believes the enhanced aspirational image of the Company's brands and improved customer service will have a positive impact on the Company's sales and profit performance. The Company is planning...

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    ... 22.6% in 2003. The increased rate during the 2004 fiscal year period was primarily due to higher home office and store expenses. Home office expenses increased largely due to the accrual for the settlement of three related class action employment discrimination lawsuits which represented 200 basis...

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    ... 2002. Overall, the Company sought to have a less promotional look to the stores in the 2003 fiscal year. From a merchandising standpoint, womens continued to outperform mens. In Abercrombie & Fitch, womens had strong comparable store sales increases in the fourth quarter in knits, fleece and skirts...

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    ... income taxes. The increase in accounts payable and accrued expenses was primarily due to the accrual for the settlement of three related class action employment discrimination lawsuits, for rent due to the net addition of 88 stores, representing an increase of 574,000 gross square feet in 2004, and...

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    ... relate to a new home office building and other miscellaneous home office and distribution center projects. The Company intends to add approximately 520,000 gross square feet of stores in the 2005 fiscal year, which will represent a 9% increase over year-end 2004. Management anticipates the increase...

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    ... availability and market prices of key raw materials; currency and exchange risks and changes in existing or potential duties, tariffs or quotas; availability of suitable store locations on appropriate terms; ability to develop new merchandise; ability to hire, train and retain associates; and the...

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    ... CONSOLIDATED STATEMENTS OF INCOME Abercrombie & Fitch CONSOLIDATED BALANCE SHEETS (Thousands except per share amounts) Net Sales Cost of Goods Sold, Occupancy and Buying Costs Gross Income General, Administrative and Store Operating Expenses Operating Income Interest Income, Net Income Before...

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    ...CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY Abercrombie & Fitch CONSOLIDATED STATEMENTS OF CASH FLOWS Common Stock Shares Outstanding Par Value Paid-In Capital Retained Earnings Treasury Stock At Average Cost Total Shareholders' Equity (Thousands) Operating Activities 2004 $ 216,376 105,814...

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    ... the store opening date. Subsequent shipments are expensed except for new merchandise presentation programs, which are capitalized. PROPERTY AND EQUIPMENT Depreciation and amortization include distribution center costs including receiving and warehouse costs, store payroll and expenses, home office...

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    ...94 $1.68 to new store openings are charged to operations as incurred. DESIGN AND DEVELOPMENT COSTS Costs to design and Shares of Class A Common stock issued Treasury shares oustanding Basic shares outstanding 103,300 (10,523) 92,777 develop the Company's merchandise are expensed as incurred and...

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    ... Total store rent Buildings, equipment and other Total rent expense $141,450 6,932 $148,382 1,663 $150,045 2003 $122,001 5,194 $127,195 1,219 $128,414 2002 $106,053 4,886 $110,939 1,133 $112,072 settlement of three related class action employment discrimination lawsuits. 7. INCOME TAXES The...

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    ... for retirement prior to age 57. The SERP has been actuarially valued by an independent third party and the expense associated with the SERP is being accrued over the stated term of the Employment Agreement, dated as of May 17, 2004, between the Company and its President and Chief Operating Officer...

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    ... 15. QUARTERLY FINANCIAL DATA (UNAUDITED) Summarized MARKET PRICE AND DIVIDEND INFORMATION A&F's Class A Common Stock (the "Common Stock") is traded on the New York Stock Exchange under the symbol "ANF." The table below sets forth the high and low sales prices of A&F's Common Stock on the New York...

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    ... controls over the selection and application of its lease accounting policies, the Company failed to properly classify and account for property and equipment, deferred lease credits from landlords, rent expense, depreciation expense and the related impact of these items on cash provided by operating...

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    ... Fitch Headquarters, 6301 Fitch Path, New Albany, Ohio 43054. STOCK EXCHANGE LISTING New York Stock Exchange (Trading Symbol "ANF"), commonly listed in newspapers as AberFit. INDEPENDENT AUDITORS PricewaterhouseCoopers LLP , Columbus, Ohio INVESTOR RELATIONS For further information on Abercrombie...

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    ... Senior Vice President - Chief Information Officer REBECCA F. LEE Senior Vice President - Allocation DAVID L. LEINO* Senior Vice President - Stores JOHN LOUGH Senior Vice President - Distribution and Logistics THOMAS D. MENDENHALL* Senior Vice President and General Manager Abercrombie & Fitch and...