BARNEYS POSTS PROFIT OF $473,000 FOR DEC.
NEW YORK — Barneys Inc. notched a net profit of $473,000 on sales of $43.7 million in the five weeks ended Jan. 4, 1997, though the results include a myriad of special items that makes results difficult to gauge.
Barneys reported a gross profit of $21.5 million, a respectable 49.2 percent of sales. Selling, general and administrative expenses were $15.8 million, leaving a $5.7 million profit from operations.
Results marked improvement from November, when the upscale chain showed a net loss of $6 million and operating earnings of $1.7 million.
Barneys figures are muddled by depreciation and amortization charges of $1 million, real estate payments of $1.2 million, fixtures and equipment rental costs of $552,000 and interest and finance costs of $615,000. All these costs reduced earnings before bankruptcy reorganization costs and taxes to $2.6 million.
Bankruptcy reorganization costs amounted to $2.1 million, including professional fees of $1.3 million and other costs of $760,000.
As of Jan. 4, Barneys had cash borrowings of $41 million outstanding under the debtor-in-possession credit agreement with Chase Manhattan Bank and about $20.1 million was committed under letters of credit.