Saks Fifth Avenue 2008 Annual Report Download - page 100

SAKS INCORPORATED & SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENTS OF INCOME
FOR THE YEAR ENDED FEBRUARY 3, 2007
(In Thousands)
SAKS
INCORPORATED
GUARANTOR
SUBSIDIARIES ELIMINATIONS CONSOLIDATED
NET SALES ...................... $2,888,427 $2,888,427
Cost of sales ....................... 1,780,127 1,780,127
GROSS MARGIN ............. 1,108,300 1,108,300
Selling, general and administrative
expenses ........................ $ 6,601 792,691 799,292
Other operating expenses ............. 128 311,950 312,078
Store pre-opening costs .............. 408 408
Impairments and dispositions ......... 11,775 11,775
OPERATING LOSS ............... (6,729) (8,524) — (15,253)
OTHER INCOME (EXPENSE)
Equity in earnings of subsidiaries —
continuing operations .......... 7,493 $ (7,493)
Interest expense ................ (40,442) (9,694) (50,136)
Gain on extinguishment of debt .... 7 7
Other income, net ............... 28,407 28,407
LOSS FROM CONTINUING
OPERATIONS BEFORE BENEFIT
FOR INCOME TAXES ........... (11,264) (18,218) (7,493) (36,975)
Benefit for income taxes ............. (7,315) (25,711) (33,026)
LOSS FROM CONTINUING
OPERATIONS .................. (3,949) 7,493 (7,493) (3,949)
DISCONTINUED OPERATIONS:
Equity in earnings of subsidiaries —
discontinued operations (net of
tax) ........................ 57,691 (57,691) —
Income from discontinued
operations (including gain on
disposal of $191,918) .......... — 188,227 188,227
Provision for income taxes ....... — 130,536 130,536
INCOME FROM DISCONTINUED
OPERATIONS .................. 57,691 57,691 (57,691) 57,691
NET INCOME .................... $53,742 $ 65,184 $(65,184) $ 53,742
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