Thursday, January 8, 2009

Walmart lowers estimates

"Our previous fourth quarter guidance for earnings per share from continuing operations was a range of $1.03 to $1.07, which we provided Nov. 13. This range reflected our expectation that changes in currency exchange rates would negatively affect this year's fourth quarter results by approximately six cents per share," Schoewe said. "The company announced on Dec. 23 that earnings per share from continuing operations also would be negatively impacted by approximately six cents, stemming from the after-tax charge for the settlement of 63 class action wage and hour lawsuits.

Our fourth quarter sales for Sam's Club and Wal-Mart International are trending below our expectations and our expenses are higher than anticipated. Therefore, we now expect fourth quarter earnings per share from continuing operations to be between $0.91 and $0.94," Schoewe added. "Considering the impact of currency and litigation charges, we continue to expect our underlying operating performance for the fourth quarter of fiscal 2009 to be at or above the prior year's quarter."

It's sure tough to find the economy's silver lining, when the good news is Family Dollar Store beats and the bad news is Walmart misses.

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