Outdoor financials: Delayed filing puts Deckers in jeopardy of Nasdaq de-listing, plus Eddie Bauer, Gander Mountain, Payless/Stride Rite, Cabela's, Wellman, GSI Commerce

Delayed filing puts Deckers in jeopardy of Nasdaq de-listing, Eddie Bauer posts narrower Q2 loss and shares fall, Gander Mountain expands credit facility, Payless ShoeSource closes acquisition of Stride Rite, Cabela's to buy S.I.R. Warehouse, Wellman declares quarterly dividend, and GSI to buy Accretive Commerce for $97.5 million.

Delayed filing puts Deckers in jeopardy of Nasdaq de-listing
The Nasdaq Stock Market sent Deckers Outdoor (Nasdaq: DECK) a letter saying the company is not in compliance with the SEC filing requirements for continued listing on the Nasdaq Global Select Market due to the delayed filing of the company's quarterly report.

Deckers has requested a hearing before the Nasdaq Listing Qualifications Panel to review the matter. The hearing request will automatically stay the delisting of the company's common stock, and shares of the company's common stock will continue trading on Nasdaq, pending the outcome of the panel's decision. But Deckers noted that there is no guarantee that the panel will grant the company's request for continued listing as a result of the hearing.

The delay is a result of an internal review by the Audit Committee of the company's board of directors of employee payroll declarations and certain tax payments that were underreported and underpaid by certain of the company's foreign subsidiaries in foreign jurisdictions.

Based upon the Audit Committee's investigation to date, the company believes that the inadequate declarations and underpayments did not exceed $500,000 in any given year and $2.7 million in the aggregate and that interest and penalties with respect thereto could range from $3.3 million to $15.4 million.

But the Audit Committee has not yet completed the internal review or determined whether, or in what amounts, the underpayments will result in any government action or whether any past due interest, fines or other penalties will be imposed. As a result, Deckers said it has not made a final determination as to whether a restatement of any of its historical financial statements is necessary.

Due to the possibility of a restatement of certain financial information, Deckers was not able to timely file its quarterly report on Form 10-Q for the period ended June 30, 2007. It intends to file the report as soon as it can following the conclusion of the Audit Committee's internal review.

Eddie Bauer posts narrower Q2 loss, shares fall
Eddie Bauer Holdings (Nasdaq: EBHI) reported a narrower second-quarter loss compared with a year-ago period that included hefty income tax expenses.

Quarterly losses totaled $22.2 million, or $0.73 per share, versus a wider loss of nearly $42 million, or $1.49 per share in the year-ago quarter.

The company had an income tax benefit of $600,000, compared with tax expense of $32.6 million in the prior-year quarter, which included $23.5 million associated with an increased valuation allowance related to the company's net operating losses.

Revenue rose less than 1 percent to $227 million from $225.7 million last year. Same-store sales rose 0.9 percent in the second quarter.

President and Chief Executive Neil S. Fiske said Eddie Bauer is working on cutting costs and changing its merchandising assortment. Fiske said it will paint a clearer picture of the brand as a "premier active outdoor lifestyle brand" through its catalog, Web site and marketing.

Also during the quarter, gross margin fell nearly 6 percent to $75.3 million, hurt by higher costs.

Fiske said the company has several initiatives underway to cut costs related to distribution, freight product sourcing, and an "underutilized" distribution center in Groveport, Ohio.

Fiske, previously head of Limited Brands Inc. Bath and Body Works, was named chief executive in June, replacing Eddie Bauer's interim chief executive Howard Gross. The company's last chief executive, Fabian Mansson, resigned in February after shareholders rejected the company's proposed $286 million sale to private equity firms.

Shares fell as much as $1.74 in trading on Aug. 15 and eventually closed at $7.98. The stock has traded between $14.27 and $6.50 over the past 52 weeks.

Gander Mountain expands credit facility
Gander Mountain (Nasdaq: GMTN) has increased its revolving credit facility to $345 million from $275 million and extended the maturity date. It added that it also has the option to increase the credit line by another $50 million.

The company said the maturity date for the revolving loan will be extended three years to June 30, 2012.

The company's term loan will remain $20 million, but its maturity date will also be extended three years to June 30, 2012. Gander Mountain said it will continue to utilize the proceeds of the credit facility for working capital and general corporate purposes.

Payless ShoeSource closes acquisition of Stride Rite
Payless ShoeSource (NYSE: PSS) said it has completed its acquisition of competing shoe store chain owner The Stride Rite for about $800 million. Among the brands in Stride Rite's portfolio are Saucony and Hind.

More than 80 percent of Stride Rite shareholders approved the transaction during a special meeting on Aug. 16, the company said. Besides paying $20.50 per share, Payless also is taking on some Stride Rite debt, pushing the deal value to around $900 million.

As previously announced, Payless also said it was changing its corporate name to Collective Brands, a holding company that will operate the Payless and Stride Rite chains under their own names, as well as Collective Licensing International, a brand development and licensing company.

Cabela's to buy S.I.R. Warehouse
Cabela's (NYSE: CAB) has agreed to buy Canadian outdoor retailer S.I.R. Warehouse Sports Store. Terms were undisclosed. The deal is expected to close in 30 to 60 days.

S.I.R. was founded in 1924 by Sydney Isaac Robinson and has grown into one of Canada's leading outdoor outfitters through its mail-order operation and 44,000-square-foot retail store in the heart of Winnipeg's busiest shopping district. A family-owned and operated business, S.I.R is headed by Earl Robinson, son of the company's founder, who serves as president.

Dennis Highby, Cabela's president and CEO, said in a statement, "This acquisition will allow us to accelerate growth of our retail, catalog and Internet business in Canada, and though we already have a loyal customer base in Canada, we expect significant growth in Canadian business as a result of this transaction."

S.I.R.'s facilities will become the headquarters for Cabela's Canadian operations. It will also retain all S.I.R.'s employees.

Wellman declares quarterly dividend
Wellman's (NYSE: WLM) board of directors declared a quarterly dividend of $0.02 per share on the outstanding shares of the company's common stock payable on Sept. 17, 2007, to stockholders of record as of the close of business on Sept. 4, 2007.

GSI to buy Accretive Commerce for $97.5 million
GSI Commerce (Nasdaq: GSIC), an e-commerce website operator, has agreed to acquire Accretive Commerce, a provider of e-commerce services, for $97.5 million in cash. GSI said the acquisition will expand its partner base and add to its infrastructure.

GSI expects integration-related operating expenses of about $10 million to $12 million and capital expenditures of $10 million to $15 million related to the acquisition, taken in the third quarter of fiscal 2007 through the end of fiscal 2008, mainly for systems migration activities. The acquisition is expected to close within 60 days.

For more information about any public company on this page or its financial reports, as well as to view stock prices updated every 15 minutes, visit the SNEWS® Stock Market Updates. Click on: www.snewsnet.com/cgi-bin/snews/stock_report.html.


Fitness financials: Bally noteholders back Harbinger restructuring plan, terminates interim executives, plus Payless/Stride Rite, Everlast, GSI Commerce

Bally noteholders back Harbinger restructuring plan, terminates interim executivesBally Total Fitness (Pink Sheets: BFTH) said a majority of its senior and subordinated noteholders agreed to support a restructuring plan from Harbinger Capital Partners Master Fund I Ltd. and ...read more

Outdoor financials: Stride Rite Q3 profit rises on strong sales, plus Wolverine, Wellman, Deckers

Stride Rite's Q3 profit rises on strong salesStride Rite Corp. (NYSE: SRR), parent of Saucony and Hind, reported a 10.4 percent increase in third-quarter profit, aided by higher sales. For the quarter, net income rose to $8.5 million, or $0.23 per share, from $7.7 million, or ...read more

Outdoor financials: Gander Mountain narrows Q1 loss, plus Dick's, Stride Rite, Crocs, Jarden, Hibbett, Amer

Gander Mountain narrows Q1 lossGander Mountain's (Nasdaq: GMTN) fiscal first-quarter loss narrowed slightly, while revenue increased. For the quarter ended May 5, the loss totaled $22.8 million, or $1.14 per share, versus a loss of $23 million, or $1.61 per share in the same ...read more

Outdoor financials: Rocky Brands completes $40 million notes issue, plus Payless/Stride Rite, Wellman, Forzani, Big 5

Rocky Brands completes $40 million notes issueRocky Brands (Nasdaq: RCKY) said it completed a private placement of $40 million in 11.5 percent senior notes due in 2012. The company said it used the proceeds to repay outstanding amounts under term loans and will use the remaining ...read more

Fitness financials: Town Sports downgraded on expense concerns, plus Big 5, Payless/Stride Rite, Iconix, Under Armour

Town Sports downgraded on expense concernsA Credit Suisse analyst downgraded shares of Town Sports International (Nasdaq: CLUB), saying the company's stock is priced right and its second-quarter results could disappoint investors. Paul Lejuez lowered his rating to "Neutral" from ...read more

Outdoor financials: Luxottica to buy Oakley for $2.1 billion, plus Phoenix Footwear, Liz Claiborne, Payless/Stride Rite, Big 5, Liberty Media

Luxottica to buy Oakley for $2.1 billionLuxottica Group plans to acquire Oakley (NYSE: OO) for $2.1 billion, or $29.30 a share, in cash. Oakley's board said it will recommend the offer to shareholders for approval. The deal is expected to close in the second half of this year, ...read more

Fitness financials: Bally commences solicitation for pre-packaged Ch. 11 plan, files delayed 2006 10-K; plus Everlast, Nike, Stride Rite, Puma, GSI Commerce, Finish Line

Bally commences solicitation of approvals for pre-packaged Ch. 11 plan, reports results of delayed 2006 10-K On June 27, Bally Total Fitness (Pink Sheets: BFTH) said it has started the formal process of soliciting approvals for a prepackaged Chapter 11 plan of reorganization from ...read more

Outdoor financials: Analysts grill Dick's about Galyan's buyout during Q2, plus Gander, Deckers, Nautica, Wellman, Cabela's, NRF

Analysts grill Dick's about Galyan's buyout during Q2With just three days of full ownership of Galyan's, Dick's Sporting Goods (NYSE: DKS) reported its second-quarter results and fielded numerous questions about the integration of Galyan's during its earnings conference call. ...read more

Outdoor financials: Wellman files for Ch. 11 bankruptcy reorganization, plus Cabela's, Crocs, Deckers, Columbia Sportswear, Timberland, Kellwood

Wellman files for Ch. 11 bankruptcy reorganization Wellman (OTCBB:WMAN) has filed for Chapter 11 bankruptcy reorganization due to deteriorating business conditions and substantial debt obligations. Along with the filing, it has received a commitment from its revolving ...read more