Preliminary Numbers Off For Eddie Bauer’s Fourth Quarter

Eddie Bauer racked up $365 million in net sales, up slightly from $361 million in fourth-quarter 2005. Comparable store sales for the fourth quarter of 2006 increased 4.6% from the fourth quarter of 2005, while sales from the Redmond, WA-based company’s direct channel, which includes sales from its catalogs and Web sites, were up 0.1%.

For the full fiscal year 06, net merchandise sales declined 4.5%, to $957 million in 2006 from just over $1 billion in 2005. Comparable store sales slipped 2%, and revenue from the direct channel dropped 4.4%. The fiscal year ended Dec. 30.

A previously announced sale of the company, to Eddie B Holding Corp., an affiliate of Sun Capital Partners and Golden Gate Capital, is expected to close in the first quarter of 2007.

William End, Chairman of the Board of Directors of Eddie Bauer, said, “Our fourth quarter sales results were moderately below our expectations,” said Eddie Bauer chairman of the board William End, in a statement. “Our Board of Directors continues to unanimously believe that the sale to Sun Capital and Golden Gate represents the best opportunity to maximize stockholder value. The transaction will provide stockholders with fair and certain value as well as an immediate cash return.”