PriceSmart Announces October
Sales
San Diego, California
(November 7, 2007) – PriceSmart, Inc. (NASDAQ: PSMT) announced that for the
month of October 2007, net sales increased 21.6% to $80.2 million from $66.0
million in October a year earlier. For
the two months ended October 31, 2007, net sales increased 23.3% to $158.3 million
from $128.4 million in the same period last year. There were 23 warehouse clubs in operation at
the end of October 2007 and 2006.
For the four weeks
ended October 28, 2007, comparable warehouse sales for warehouse clubs open at
least 12 full months increased 22.6% compared to the same four-week period last
year. For the eight-week period ended October
28, 2007, comparable warehouse sales increased 23.3% compared to the comparable
eight-week period a year ago.
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
substantial net losses in fiscal 2003, 2004 and 2005, and may not be able to
sustain the profitability it achieved in fiscal 2006 in future periods; 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 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-K filed pursuant to
the Securities Exchange Act of 1934 on November 13, 2006, as amended by
Amendment No.1 on Form 10K/A filed on December 19, 2006. 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.
For further information,
please contact Robert E. Price, Chief Executive Officer (858) 551-2336; or John
M. Heffner, Executive Vice President and Chief Financial Officer (858)
404-8826.