ST. PETERSBURG, Fla., Aug. 15 /PRNewswire-FirstCall/ -- Catalina Marketing
Corporation (NYSE: POS) announced today that it will delay the filing of its
quarterly report on Form 10-Q for first quarter of fiscal 2004, ended June 30,
2003. Catalina has filed a notification of late filing with the Securities
and Exchange Commission under Rule 12b-25. The company has not yet completed
its quarterly financial statements as a result of the previously announced
review of certain revenue recognition timing matters within its Catalina
Health Resource ("CHR") business unit and its base business. Previously filed
financial statements, including the associated audit opinions and review
reports, of the company should not be relied upon until the company files its
annual report for the year ended March 31, 2003, on Form 10-K, and its
quarterly report filed on Form 10-Q for the first quarter of fiscal 2004.
As previously announced, management of the company initiated a review
related to the timing of revenue recognition at CHR, and is continuing to work
with its auditors, Ernst & Young, to evaluate these issues. The company
currently anticipates that upon completion of its review of the financial
results of CHR, that certain revenues will shift from fiscal 2003 to fiscal
2004 and will have an impact on the results for the company's first quarter of
fiscal 2004, as well as on the forecasted results for the balance of the
current fiscal year, but are not expected to impact subsequent fiscal years.
The company also continues to evaluate whether the CHR revenue recognition
issues affect the company's financial statements for periods prior to fiscal
2003.
In addition to the revenue recognition review at CHR, the company, in
conjunction with Ernst & Young, is evaluating the method of revenue
recognition in its base business. Historically, the company has recognized
revenue on the basis of promotions printed. The company is reviewing this
revenue recognition policy and evaluating its appropriateness. As part of
this review, the company is still evaluating the effect, if any, on fiscal
2003 and prior year financial statements. The company expects that any
resulting changes that could occur from a change in revenue recognition policy
in this regard would not have an impact on aggregate revenues.
Daniel D. Granger, Chairman and Chief Executive Officer, commented, "We
continue to work with Ernst & Young and other outside advisors to resolve
these matters in an expedient manner. While the review is taking longer that
we had originally anticipated, we still expect that the primary effect of any
restatement that may be required will relate to the timing of revenue
recognition. Together with Ernst & Young, and our outside advisors, we are
expending every effort to provide the necessary resources to resolve these
issues correctly and in a prompt and efficient manner; however, we have no
reason to believe the ongoing review is impacting our day to day business
operations."
Based in St. Petersburg, Fla., Catalina Marketing Corporation
(http://www.catalinamarketing.com) provides a wide range of behavior-based marketing
services for manufacturers and retailers. These behavior-based marketing
services are provided by interrelated operating groups that strive to
influence purchase behavior of consumers wherever and whenever they make
purchase decisions. Through these operating groups, Catalina Marketing
Corporation is able to reach consumers internationally and domestically -- in-
store, using incentives, loyalty programs and advertising messages, and at-
home, through direct mail and sampling. Personally identifiable data that may
be collected from the company's targeted marketing programs, as well as its
research programs, is never sold or given to any outside party without the
express permission of the consumer.
Certain statements in the preceding paragraphs are forward looking, and
actual results may differ materially. Statements not based on historic facts
involve risks and uncertainties, including, but not limited to, the changing
market for promotional activities, especially as it relates to policies and
programs of packaged goods and pharmaceutical manufacturers for the issuance
of certain product coupons and other promotions, the effect of economic and
competitive conditions and seasonal variations, actual promotional activities
and programs with the company's customers, the pace of installation of the
company's store network, the policies and programs of the company's retail
partners, the success of new services and businesses and the pace of their
implementation, and the company's ability to maintain favorable client
relationships.
SOURCE Catalina Marketing Corporation
 back to top
Related links:
http://www.catalinamarketing.com
CONTACT:
Christopher W. Wolf, Chief Financial Officer,
+1-727-579-5218, or Joanne Freiberger, Vice President, Finance,
+1-727-579-5116, both of Catalina Marketing
|
