FOOTHILL RANCH, Calif.--(BUSINESS WIRE)--June 1, 2006--The Wet Seal, Inc. (Nasdaq:WTSLA), a leading specialty retailer to young women, today reported that comparable store sales decreased 8.3% for the four-week period ended May 27, 2006, compared with an increase of 56.9% in the same period a year ago. Net sales for the four-week period ended May 27, 2006, were $37.3 million, compared with net sales of $40.0 million in the same period last year, a decrease of 6.7%.
Mr. Joel Waller, chief executive officer of The Wet Seal, Inc., commented: "Sales for May were consistent with the update we provided early last week and reflect the tough comparisons to last year and an inventory shortage in fashion tops and dresses at the Wet Seal division. For the month of June, we expect a mid single-digit decrease in comparable store sales. In June 2005 we reported a 59.3% increase in comparable store sales, and our estimate for this June reflects this tough comparison and some continuing impact from the inventory shortages experienced in May. We currently project a return to positive comparable store sales in July."
Headquartered in Foothill Ranch, California, The Wet Seal, Inc. is a leading specialty retailer of fashionable and contemporary apparel and accessory items. At quarter end and currently, the Company operates a total of 401 stores in 46 states, the District of Columbia and Puerto Rico, including 309 Wet Seal stores and 92 Arden B stores. The Company's products can also be purchased online at www.wetseal.com or www.ardenb.com. For more company information, visit www.wetsealinc.com.
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: This news release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements that relate to the Company's sales for June, or any other statements that relate to the intent, belief, plans or expectations of the Company or its management. All forward-looking statements made by the Company involve material risks and uncertainties and are subject to change based on factors beyond the Company's control. Accordingly, the Company's future performance and financial results may differ materially from those expressed or implied in any such forward-looking statements. Such factors include, but are not limited to, those described in the Company's filings with the Securities and Exchange Commission. This news release contains results reflecting partial year data and non-fiscal data that may not be indicative of results for similar future periods or for the full year. The Company will not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.
CONTACT: The Wet Seal, Inc. John J. Luttrell, EVP and CFO, 949-699-3918
SOURCE: The Wet Seal, Inc.