WeightWatchers 2002 Annual Report Download - page 82

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WEIGHT WATCHERS INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
18. Quarterly Financial Information (Unaudited) (Continued)
The Company reclassified certain expenses from other expense, net to selling, general and
administrative expenses in the fourth quarter of the fiscal year ended December 29, 2001 which
resulted in the quarterly data presented herein to differ from that reported previously on Form 10-Q’s.
For the Fiscal Quarters Ended
March 30, June 29, September 28, December 28,
2002 2002 2002 2002
Fiscal year ended December 28, 2002
Revenues, net ........................... $212,503 $217,893 $189,172 $190,078
Operating income ........................ $71,056 $90,521 $74,407 $60,873
Net income ............................. $37,284 $41,220 $36,832 $28,358
Basic EPS.............................. $ 0.35 $ 0.39 $ 0.35 $ 0.27
Diluted EPS ............................ $ 0.34 $ 0.38 $ 0.34 $ 0.26
For the Fiscal Quarters Ended
March 31, June 30, September 29, December 29,
2001 2001 2001 2001
Fiscal year ended December 29, 2001
Revenues, net ........................... $171,951 $162,325 $144,064 $145,530
Operating income ........................ $48,245 $57,496 $49,148 $39,800
Net income ............................. $23,238 $26,078 $16,118 $81,753
Basic EPS:
Income before extraordinary item ............. $ 0.20 $ 0.23 $ 0.15 $ 0.80
Extraordinary item, net of taxes .............. $ — $ — $ — $ (0.03)
Net income ........................... $ 0.20 $ 0.23 $ 0.15 $ 0.77
Diluted EPS:
Income before extraordinary item ............. $ 0.20 $ 0.23 $ 0.14 $ 0.78
Extraordinary item, net of taxes .............. $ — $ — $ — $ (0.03)
Net income ........................... $ 0.20 $ 0.23 $ 0.14 $ 0.75
Basic and diluted EPS are computed independently for each of the periods presented. Accordingly,
the sum of the quarterly EPS amounts may not agree to the total for the year.
19. Subsequent Event
On March 7, 2003, the Company executed a letter of intent to acquire the assets of nine of the
fifteen franchises of the WW Group. The Company intends to account for this transaction by the
purchase method of accounting. The Company intends to finance this transaction through additional
borrowings and cash.
20. Guarantor Subsidiaries
The Company’s payment obligations under the Senior Subordinated Notes are fully and
unconditionally guaranteed on a joint and several basis by the following wholly-owned subsidiaries: 58
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