PHILADELPHIA, July 29 /PRNewswire-FirstCall/ -- Mothers Work, Inc.
(Nasdaq: MWRK), the world's leading maternity apparel retailer, today
announced that its Board of Directors approved a program to repurchase up
to $7 million of the Company's outstanding common stock. Under the program,
the Company may repurchase shares from time to time through solicited or
unsolicited transactions in the open market or in negotiated or other
transactions. The program will be in effect until the end of July 2010.
Edward M. Krell, Chief Operating Officer of Mothers Work, noted, "We
are pleased to announce that our Board has authorized this share repurchase
program of up to $7 million. Over the past two years, we have been very
focused on deleveraging our balance sheet through debt prepayment, as
evidenced by our total debt reduction of nearly $50 million in the last 24
months. However, we also believe that, at current market prices, our shares
represent an attractive investment opportunity, and we believe that an
investment in our own stock is a very appropriate one. While our priority
remains continued deleveraging through additional potential prepayments of
our Term Loan, this authorized share repurchase program gives us excellent
flexibility, indicates our continued commitment to increase shareholder
value, and reflects our continued confidence in our generation of free cash
flow despite a challenging overall economic environment."
Mothers Work is the world's largest designer and retailer of maternity
apparel, using its custom TrendTrack(TM) merchandise analysis and planning
system as well as its quick response replenishment process to "give the
customer what she wants, when she wants it." As of June 30, 2008, Mothers
Work operates 1,055 maternity locations, including 761 stores,
predominantly under the tradenames Motherhood Maternity(R), A Pea in the
Pod(R), Mimi Maternity(R), and Destination Maternity(R), and sells on the
web through its DestinationMaternity.com and brand-specific websites. In
addition, Mothers Work distributes its Oh Baby by Motherhood(TM) collection
through a licensed arrangement at Kohl's(R) stores throughout the United
States and on Kohls.com.
The Company cautions that any forward-looking statements (as such term
is defined in the Private Securities Litigation Reform Act of 1995)
contained in this press release or made from time to time by management of
the Company, including those regarding results of operations, liquidity,
financial condition, free cash flow, potential debt prepayments, potential
stock repurchases, and various business initiatives, involve risks and
uncertainties, and are subject to change based on various important
factors. The following factors, among others, in some cases have affected
and in the future could affect the Company's financial performance and
actual results and could cause actual results to differ materially from
those expressed or implied in any such forward-looking statements: our
ability to successfully manage our various business initiatives, our
ability to successfully manage and retain our leased department and
licensed relationships and marketing partnerships, future sales trends in
our existing store base, weather, changes in consumer spending patterns,
raw material price increases, consumer preferences and overall economic
conditions, the impact of competition and pricing, availability of suitable
store locations, continued availability of capital and financing, ability
to hire and develop senior management and sales associates, ability to
develop and source merchandise, ability to receive production from foreign
sources on a timely basis, potential stock repurchases, potential debt
prepayments, changes in market interest rates, war or acts of terrorism,
and other factors set forth in the Company's periodic filings with the
Securities and Exchange Commission, or in materials incorporated therein by
reference.
Mothers Work press releases available through Company News On-Call at
http://www.prnewswire.com/comp/581877.html
SOURCE Mothers Work, Inc.
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Related links:
http://www.motherswork.com
http://www.prnewswire.com/comp/581877.html /
CONTACT:
Judd P. Tirnauer, Senior Vice President &
Chief Financial Officer of Mothers Work, Inc., +1-215-873-2278
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