CALDOR QUARTER NET JUMPS
NEW YORK — Caldor Corp. reported earnings before interest, taxes, depreciation, amortization and reorganization fees more than doubled in the second quarter ended Aug. 2.
Citing progress in marketing and merchandising initiatives, the bankrupt Northeastern discounter said EBITDAR totaled $13.7 million, versus $6.3 million, a year ago.
Caldor also said it is taking the initial steps to formulate a plan of reorganization. Despite its progress, the discounter reiterated that it is unlikely that equity holders in the company would get any recovery. The chain has the exclusive right to file such a plan until Feb. 28.
Caldor slashed its second-quarter operating loss to $1.5 million from $8.6 million last year. The net loss was cut 37 percent to $18 million, after interest expenses of $11 million and reorganization costs of $5.6 million.
Sales slid 3.9 percent to $598 million from $622 million as same-store sales eased 2.3 percent. Caldor, based in Norwalk, Conn., blamed the drop in same-store sales on “unseasonably cool weather in the Northeast.”
For the half, Caldor’s operating loss narrowed to $21.2 million from $34.7 million. Net loss fell to $54.3 million after interest of $21.3 million and reorganization expenses of $11.8 million. In the first half of 1996, Caldor lost $71.7 million after interest of $17.4 million and reorganization costs of $19.5 million.
Sales slumped 5.5 percent to $1.12 billion in the year to date, from $1.19 billion. Same-store sales fell 4.4 percent.