In the aftermath of Hurricane Katrina, and for other reasons indicated below, West Marine is lowering its fiscal year 2005 earnings guidance to range from $0.70 to $0.75 per share. The decrease in earnings directly attributable to the impact of Hurricane Katrina is expected to range from ($0.03) to ($0.04) per share. The trend in higher fuel prices and reduced boating activity nationwide associated with Hurricane Katrina, and the resulting decrease in sales of boating-related merchandise, as well as higher shipping costs, is expected to further reduce 2005 earnings from ($0.14) to ($0.17) per share. In addition, West Marine's continuing long-term commitment to maintaining proper store service staffing levels is expected to reduce fiscal 2005 earnings by another ($0.03) to ($0.04) per share.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.