PriceSmart Announces August Sales
For the five weeks ended September 4,
2005, comparable warehouse sales, excluding sales from discontinued operations,
for warehouse clubs open at least 12 full months increased 18.6% compared to
the same five-week period last year. For
the fifty-two weeks ended
Net sales, excluding sales from discontinued
operations, and comparable warehouse sales, excluding sales from discontinued
operations, excludes those sales associated with the Company's Philippine
subsidiary as a result of the sale of the Company's interest in PriceSmart
About PriceSmart
PriceSmart, headquartered
in
This press release may
contain forward-looking statements concerning the Company's anticipated future
revenues and earnings, adequacy of future cash flow and related matters. These
forward-looking statements include, but are not limited to, statements
containing the words "expect," "believe," "will,"
"may," "should," "project," "estimate,"
"scheduled," and like expressions, and the negative thereof. These
statements are subject to risks and uncertainties that could cause actual
results to differ materially, including the following risks: the Company had a
substantial net loss in fiscal 2004, a net loss in the first nine months of
2005, and may continue to incur losses in future periods; if the Company fails
to comply with covenants governing its indebtedness, the lenders may elect to
accelerate the Company’s indebtedness and foreclosure on the collateral pledged
to secure the indebtedness; the Company’s financial performance is dependent on
international operations which exposes the Company to various risks; any
failure by the Company to manage its widely dispersed operations could
adversely affect the Company’s business; although the Company has taken and
continues to take steps to improve significantly its internal controls, there
may be material weaknesses or significant deficiencies that the Company has not
yet identified; the Company faces significant competition; the Company faces difficulties
in the shipment of and inherent risks in the importation of merchandise to its
warehouse clubs; the success of the Company’s business requires effective
assistance from local business people; the Company is exposed to weather and
other risks associated with international operations; declines in the economies
of the countries in which the Company operates its warehouse clubs would harm
its business; a few of the Company’s stockholders have control over the
Company's voting stock, which will make it difficult to complete some corporate
transactions without their support and may prevent a change in control; the
loss of key personnel could harm the Company’s business; the Company is subject
to volatility in foreign currency exchange; the Company faces the risk of
exposure to product liability claims, a product recall and adverse publicity; a
determination that the Company's long-lived or intangible assets have been
impaired could adversely affect the Company's future results of operations and
financial position; and the Company faces increased costs and compliance risks
associated with compliance with Section 404 of the Sarbanes-Oxley Act of 2002;
as well as the other risks detailed in the Company's SEC reports, including the
Company's Form 10-Q filed pursuant to the Securities Exchange Act of 1934 on July
15, 2005. We assume no obligation and expressly disclaim any duty to update any
forward-looking statement to reflect events or circumstances after the date of
this presentation or to reflect the occurrence of unanticipated events. Certain prior period amounts may have been
reclassified to confirm to the current period presentation.
For further information, please contact Robert E.
Price, Interim Chief Executive Officer (858) 551-2336; or John M. Heffner,
Executive Vice President and Chief Financial Officer (858) 404-8826.