Jaclyn Reports Second Quarter Financial Results and Announces Additional Authorization to Repurchase Shares of Its Common Stock

Marketwired

MAYWOOD, NJ--(Marketwire - Oct 12, 2012) - Jaclyn, Inc. (OTCQX: JCLY) today reported financial results for the second quarter ended August 31, 2012.

Net sales for the three-month period ended August 31, 2012 were $43,266,000 compared to $48,579,000 for the three-month period ended August 31, 2011. The Company reported net earnings totaling $248,000, or $.10 per diluted share, for the quarter ended August 31, 2012. This compares to last year's second quarter ended August 31, 2011 net earnings of $2,550,000, or $1.02 per diluted share, which included an after-tax gain on the sale of the Company's West New York, NJ facility totaling $2,005,000, or $.82 per diluted share. 

Net sales for the six-month period ended August 31, 2012 were $71,763,000 compared to $90,098,000 for the same period last year. Net loss for the six-month period ended August 31, 2012 was $626,000, or $.26 per diluted share. For the comparable six-month period in the prior year, the Company reported net earnings of $2,146,000, or $.86 per diluted share, which included the previously reported after-tax gain on the sale of the Company's West New York, NJ facility totaling $2,005,000, or $.82 per diluted share. 

Jaclyn also announced today that its Board of Directors has increased its authorization for the repurchase by the Company of shares of its Common Stock to a total of 350,000 shares. 

Under prior authorizations, the Board of Directors authorized the repurchase of up to 475,000 shares. However, 365,033 shares have been purchased to date, leaving only 109,967 shares that may be purchased. The authorization announced today would increase that number to 350,000. Purchases may be made from time to time in the open market and through private transactions, subject to general market and other conditions, and may be made both from affiliates and control stockholders of the Company, and from unaffiliated stockholders of the Company. Jaclyn intends to finance the repurchases from its own funds and from borrowings under its bank credit facility. The repurchase program does not require the Company to acquire any specific number of shares and may be terminated at any time.

Note: This press release contains information concerning, among other things, our future plans and objectives that are or may be deemed to be forward-looking statements. However, forward-looking statements are subject to a number of known and unknown risks and uncertainties that may cause our actual results, trends, performance or achievements, or industry trends and results, to differ materially from the future results, trends, performance or achievements expressed or implied by such forward-looking statements. Those risks and uncertainties may include, but are not limited to, general economic and business conditions; competition; potential changes in customer spending; acceptance of our product offerings and designs; the variability of consumer spending resulting from changes in domestic economic activity; a highly promotional retail environment; any significant variations between actual amounts and the amounts estimated for those matters identified as our critical accounting estimates as well as other significant accounting estimates made in the preparation of our financial statements; and the impact of current and potential hostilities in various parts of the world; as well as other geopolitical concerns. You are urged to consider all such factors. In light of the uncertainty inherent in such forward-looking statements, you should not consider their inclusion to be a representation that such forward-looking matters will be achieved. We assume no obligation for updating any such forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting such forward-looking statements.

Jaclyn, Inc. is a designer, manufacturer and marketer of apparel, women's sleepwear, infants' and children's apparel, handbags, premium incentives and related accessories. Website: jaclyninc.com

   
JACLYN, INC. AND SUBSIDIARIES  
   
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)  
                       
    Second Quarter     Six Months  
    Ended August 31,     Ended August 31,  
                       
    2012   2011     2012     2011  
                               
Net Sales   $ 43,266,000   $ 48,597,000     $ 71,763,000     $ 90,098,000  
                               
Net Earnings (Loss)   $ 248,000   $ 2,550,000 (1)   $ (626,000 )   $ 2,146,000 (1)
                               
Net Earnings (Loss) per Common Share - Diluted   $ .10   $ 1.02 (1)   $ (.26 )   $ .86 (1)
                               
Weighted Average Number of Shares Outstanding - Diluted     2,443,000     2,426,000       2,443,000       2,426,000  

(1) Note: Includes an after-tax gain on the sale of the Company's former West New York, NJ facility totaling $2,005,000, or $.82 per diluted share, for both the three and six-month periods ended August 31, 2011.

Contact:
Company
Anthony Christon
Chief Financial Officer
Jaclyn, Inc.
(201) 909-6000
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