GlobeNewswire Inc | Dec 9, 2020 04:05PM EST

December 09, 2020

--Strength in E-commerce in all Brands---Announces Exit of Legacy Lanier Apparel Business---Declares Dividend of $0.25 per share--

ATLANTA, Dec. 09, 2020 (GLOBE NEWSWIRE) -- Oxford Industries, Inc. (NYSE:OXM) today announced financial results for its third quarter of fiscal 2020, ended October 31, 2020. Consolidated net sales were $175 million compared to $241 million in the third quarter of fiscal 2019. For the third quarter of fiscal 2020, the Company reported a loss of $0.64 per share on a GAAP basis and an adjusted loss per share of $0.44. This compares with earnings per share of $0.10 on both a GAAP and adjusted basis in the third quarter of fiscal 2019.

The Company also announced its decision to exit the Lanier Apparel business, which is expected to be complete in the second half of fiscal 2021. The Company expects the wind down of Lanier Apparel to be cash flow positive.

The Companys third quarter fiscal 2020 adjusted results exclude a $10 million pre-tax charge related to the Lanier Apparel exit as well as a LIFO accounting credit of $6 million, among other items.

Thomas C. Chubb III, Chairman and CEO, commented, I am encouraged by our third quarter results as each of our branded businesses exceeded our internal plans. During our historically smallest quarter of the year, our full price e-commerce business grew 51%, helping partially offset the headwinds in other channels due to COVID-19. Our sustained digital success this year underscores the power of our brands and their strong consumer connections and is a great indication that our business is positioned for success in the post-pandemic environment.

Our priorities during much of fiscal 2020 have been focused on protecting our people and customers, supporting our brands, and preserving liquidity, continued Mr. Chubb. These have been basic and important defensive measures and we have executed well on all fronts. As we were carefully navigating this unprecedented environment, we also took steps to reinforce and build upon the strengths of Tommy Bahama, Lilly Pulitzer and Southern Tide, as well as our smaller brands like The Beaufort Bonnet Company and Duck Head. As our brands become more digitally-focused, mobile-centric, and omni-channel, they continue to add capabilities that create personalized and seamlessly integrated digital and bricks and mortar shopping experiences that serve our customers well. Key technology initiatives across the various businesses such as enhanced CRM tools, sophisticated enterprise order management capabilities, website re-design and improved SEO, enrich the customer experience and add efficiencies to our operations.

Through a series of acquisitions and divestitures over many years, Oxford has migrated from being a private label and licensed manufacturer servicing department stores and big box retailers, to owning a portfolio of compelling, direct to consumer lifestyle brands. Throughout that time, our legacy Lanier Apparel business has been well run by an exceptional group of people. That said, Laniers business model does not fit our long-term vision for the enterprise and the challenges presented by the pandemic have amplified the misalignment. Exiting this business will result in a portfolio that is completely in synch with our strategy. I want to personally thank the dedicated employees of Lanier Apparel for their contributions to Oxford over the years.

Mr. Chubb concluded, As they have throughout the year, our people continue to rise to the occasion. We look forward to a solid finish to this year and a return to profitability in fiscal 2021 and I am confident that we will emerge from this pandemic with a bright, long-term future.

Third Quarter Fiscal 2020 Summary of Results

-- Consolidated net sales decreased 27% in the third quarter of fiscal 2020 compared to the third quarter last year. Full price e-commerce sales grew 51% in the third quarter with growth in all the Companys branded businesses. The growth in full-price e-commerce was offset by decreases in other channels of distribution.-- The Company, which temporarily closed its retail stores and restaurants in March, began a gradual reopening of locations in the second quarter. At the time of this release, substantially all stores and restaurants are open, but operating under varying degrees of restricted conditions for the safety of employees and customers.-- Full price retail sales and restaurant sales were 45% and 30% lower, respectively, and the wholesale channel decreased 37% year over year.-- Lilly Pulitzers e-commerce summer clearance event is typically a single event held in the third quarter in September. In 2020, this sale was separated into two events, one of which was held in the second quarter. As a result, Lilly Pulitzers e-commerce clearance event this September was 41% lower than last year, with the combined events 7% higher year over year. -- Gross margin was comparable with last year at 55%. Increased gross margin at Lilly Pulitzer and the impact of a favorable LIFO credit were offset by inventory markdown charges and decreased gross margin in the other businesses. -- SG&A decreased 15% or $21 million to $114 million as cost savings measures were taken, primarily related to employment costs and occupancy costs partially offset by $4 million of SG&A charges related to the exit of Lanier Apparel. -- The effective tax rate was a benefit of 25% compared to a charge of 34% in the third quarter of fiscal 2019. -- The Company reported a loss per share of $0.64 and, on an adjusted basis, a loss per share of $0.44.

Balance Sheet and Liquidity

Inventory decreased 4% to $149 million at the end of the third quarter compared to $154 million in the prior year.

As of October 31,2020, the Company had a strong liquidity position with $53 million of cash and cash equivalents and $35 million of borrowings outstanding under its revolving credit agreement. Unused availability was $287 million at the end of the third quarter. In the prior year, the Company had $22 million of cash and cash equivalents and no borrowings outstanding.

The Company believes its strong liquidity position will satisfy ongoing cash requirements for the foreseeable future.These cash requirements generally consist of working capital and other operating activity needs, dividend payments, and capital expenditures, which are expected to be approximately $30 million in fiscal 2020.

Dividend

The Board of Directors declared a quarterly cash dividend of $0.25 per share, payable on January 29, 2021 to shareholders of record as of the close of business on January 15, 2021. The Company has paid dividends every quarter since it became publicly owned in 1960.

Fiscal 2020 Outlook

Due to the significant uncertainty created by the COVID-19 pandemic, the Company is not providing a financial outlook for fiscal 2020.

Conference Call

The Company will hold a conference call with senior management to discuss its financial results at 4:30 p.m. ET today. A live webcast of the conference call will be available on the Companys website at www.oxfordinc.com. A replay of the webcast will be available on the Companys website and will also be available by telephone through December 23, 2020 by dialing (412) 317-6671 access code 13713066.

About Oxford

Oxford Industries, Inc., a leader in the apparel industry, owns and markets the distinctive Tommy Bahama, Lilly Pulitzer and Southern Tide lifestyle brands, as well as other owned brands. Oxford also produces certain licensed and private label apparel products in its Lanier Apparel business. Oxford's stock has traded on the New York Stock Exchange since 1964 under the symbol OXM. For more information, please visit Oxford's website at www.oxfordinc.com.

Basis of Presentation

All per share information is presented on a diluted basis.

Non-GAAP Financial Information

The Company reports its consolidated financial statements in accordance with generally accepted accounting principles (GAAP). To supplement these consolidated financial results, management believes that a presentation and discussion of certain financial measures on an adjusted basis, which exclude certain non-operating or discrete gains, charges or other items, may provide a more meaningful basis on which investors may compare the Companys ongoing results of operations between periods. These measures include adjusted earnings, adjusted earnings per share, adjusted gross profit, adjusted gross margin, adjusted SG&A, and adjusted operating income, among others.

Management uses these non-GAAP financial measures in making financial, operational and planning decisions to evaluate the Companys ongoing performance. Management also uses these adjusted financial measures to discuss its business with investment and other financial institutions, its board of directors and others. Reconciliations of these adjusted measures to the most directly comparable financial measures calculated in accordance with GAAP are presented in tables included at the end of this release.

Safe Harbor

This press release includes statements that constitute forward-looking statements within the meaning of the federal securities laws. Generally, the words "believe," "expect," "intend," "estimate," "anticipate," "project," "will" and similar expressions identify forward-looking statements, which typically are not historical in nature. We intend for all forward-looking statements contained herein, in our press releases or on our website, and all subsequent written and oral forward-looking statements attributable to us or persons acting on our behalf, to be covered by the safe harbor provisions for forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the provisions of Section27A of the Securities Act of 1933 and Section21E of the Securities Exchange Act of 1934 (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). Such statements are subject to a number of risks, uncertainties and assumptions including, without limitation, the impact of the current coronavirus (COVID-19) pandemic, including uncertainties about its depth and duration (including resurgence), future store closures or other restrictions (including reduced hours and capacity) due to government mandates, and the effectiveness of store re-openings and reduction initiatives (including our ability to effectively renegotiate rent obligations), any or all of which may affect many of the following risks; demand for our products, which may be impacted by competitive conditions and/or evolving consumer shopping patterns; macroeconomic factors that may impact consumer discretionary spending for apparel and related products; the impact of any restructuring initiatives we may undertake in one or more of our business lines, including the process, timing, costs, uncertainties and effects of our announced exit of the Lanier Apparel business; costs of products as well as the raw materials used in those products; expected pricing levels; costs of labor; the timing of shipments requested by our wholesale customers; expected outcomes of pending or potential litigation and regulatory actions; changes in international, federal or state tax, trade and other laws and regulations, including the potential imposition of additional duties; the ability of business partners, including suppliers, vendors, licensees and landlords, to meet their obligations to us and/or continue our business relationship to the same degree in light of current or future financial stress, staffing shortages, liquidity challenges and/or bankruptcy filings exacerbated by the pandemic; weather; fluctuations and volatility in global financial markets; retention of and disciplined execution by key management; the timing and cost of store and restaurant openings and remodels, technology implementations and other capital expenditures; acquisition and disposition activities, including our ability to timely recognize expected synergies from acquisitions; access to capital and/or credit markets; the impact of the CARES Act and other legislation; changes in accounting standards and related guidance; and factors that could affect our consolidated effective tax rate, including estimated Fiscal 2020 taxable losses eligible for carry back to pre-U.S. Tax Reform periods. Forward-looking statements reflect our expectations at the time such forward-looking statements are made, based on information available at such time, and are not guarantees of performance. Although we believe that the expectations reflected in such forward-looking statements are reasonable, these expectations could prove inaccurate as such statements involve risks and uncertainties, many of which are beyond our ability to control or predict. Should one or more of these risks or uncertainties, or other risks or uncertainties not currently known to us or that we currently deem to be immaterial, materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated or projected. Important factors relating to these risks and uncertainties include, but are not limited to, those described in Part I, Item 1A. contained in our Annual Report on Form 10-K for the period ended February 1, 2020 under the heading "Risk Factors" and those described from time to time in our future reports filed with the SEC, including our Quarterly Report on Form 10-Q for the fiscal quarter ended May 2, 2020. You should not place undue reliance on forward-looking statements, which speak only as of the date on which they are made. We disclaim any intention, obligation or duty to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Contact: Anne M. ShoemakerTelephone: (404) 653-1455E-mail: InvestorRelations@oxfordinc.com

Oxford Industries, Inc.Condensed Consolidated Balance Sheets(in thousands, except par amounts)(unaudited) October31, November2, 2020 2019 ASSETS Current Assets Cash and cash equivalents $ 53,071 $ 21,568 Receivables, net 39,513 64,593 Inventories, net 148,740 154,229 Prepaid expenses and other current assets 21,139 28,438 Total Current Assets $ 262,463 $ 268,828 Property and equipment, net 178,029 190,537 Intangible assets, net 156,464 175,298 Goodwill 23,857 66,594 Operating lease assets 238,259 287,977 Other assets, net 42,945 23,850 Total Assets $ 902,017 $ 1,013,084 LIABILITIES AND SHAREHOLDERS? EQUITY Current Liabilities Accounts payable $ 52,177 $ 60,708 Accrued compensation 17,947 21,560 Current portion of operating lease liabilities 62,839 49,901 Accrued expenses and other liabilities 43,426 31,949 Total Current Liabilities $ 176,389 $ 164,118 Long-term debt 34,802 ? Non-current portion of operating lease 244,970 293,775 liabilitiesOther liabilities 18,394 17,365 Deferred income taxes 8,516 21,010 Commitments and contingencies ? ? Shareholders? Equity Common stock, $1.00 par value per share 16,884 17,040 Additional paid-in capital 154,103 147,448 Retained earnings 252,392 357,768 Accumulated other comprehensive loss (4,433 ) (5,440 )Total Shareholders? Equity $ 418,946 $ 516,816 Total Liabilities and Shareholders? Equity $ 902,017 $ 1,013,084

Oxford Industries, Inc.Condensed Consolidated Statements of Operations(in thousands, except per share amounts)(unaudited) Third Quarter First Nine Months Fiscal 2020 Fiscal2019 Fiscal2020 Fiscal2019Net sales $ 175,135 $ 241,221 $ 527,466 $ 825,194Cost of goods 78,866 108,241 232,386 346,620soldGross profit $ 96,269 $ 132,980 $ 295,080 $ 478,574SG&A 113,537 134,231 352,201 417,448Impairment ofgoodwill and ? ? 60,452 ?intangibleassetsRoyalties andother operating 3,550 3,845 10,349 11,469incomeOperating (loss) $ (13,718 ) $ 2,594 $ (107,224 ) $ 72,595incomeInterest 339 81 1,673 1,171expense, net(Loss) earningsbefore income $ (14,057 ) $ 2,513 $ (108,897 ) $ 71,424taxesIncome tax(benefit) (3,453 ) 845 (25,422 ) 18,263provisionNet (loss) $ (10,604 ) $ 1,668 $ (83,475 ) $ 53,161earnings Net (loss)earnings per share:Basic $ (0.64 ) $ 0.10 $ (5.04 ) $ 3.17Diluted $ (0.64 ) $ 0.10 $ (5.04 ) $ 3.15Weighted averageshares outstanding:Basic 16,568 16,773 16,576 16,748Diluted 16,568 16,934 16,576 16,896Dividendsdeclared per $ 0.25 $ 0.37 $ 0.75 $ 1.11share

Oxford Industries, Inc.Condensed Consolidated Statements of Cash Flows(in thousands)(unaudited) First Nine Months Fiscal2020 Fiscal2019Cash Flows From Operating Activities: Net (loss) earnings $ (83,475 ) $ 53,161 Adjustments to reconcile net earnings (loss) to cash flows from operating activities:Depreciation 33,389 29,301 Amortization of intangible assets 834 878 Impairment of goodwill and intangible assets 60,452 ? Equity compensation expense 5,626 5,698 Amortization of deferred financing costs 258 298 Deferred income taxes (benefit) expense (8,024 ) 2,370 Changes in operating assets and liabilities, net of acquisitions and dispositions:Receivables, net 19,737 4,559 Inventories, net 3,716 6,203 Prepaid expenses and other current assets 4,275 (2,348 )Current liabilities (747 ) (27,479 )Other balance sheet changes (13,364 ) 2,565 Cash provided by operating activities $ 22,677 $ 75,206 Cash Flows From Investing Activities: Purchases of property and equipment (21,916 ) (26,877 )Other investing activities (3,000 ) ? Cash used in investing activities $ (24,916 ) $ (26,877 )Cash Flows From Financing Activities: Repayment of revolving credit arrangements (222,896 ) (122,241 )Proceeds from revolving credit arrangements 257,698 109,248 Deferred financing costs paid ? (952 )Repurchase of common stock (18,053 ) ? Proceeds from issuance of common stock 1,097 1,307 Repurchase of equity awards for employee tax (1,870 ) (2,453 )withholding liabilitiesCash dividends declared and paid (12,706 ) (18,908 )Other financing activities (459 ) (1,033 )Cash provided by (used in) financing $ 2,811 $ (35,032 )activitiesNet change in cash and cash equivalents $ 572 $ 13,297 Effect of foreign currency translation on cash 39 (56 )and cash equivalentsCash and cash equivalents at the beginning of 52,460 8,327 yearCash and cash equivalents at the end of the $ 53,071 $ 21,568 period

Oxford Industries, Inc.Reconciliations of Certain Non-GAAP Financial Information(in millions, except per share amounts)(unaudited) Third Quarter First Nine Months AS REPORTED Fiscal2020 Fiscal2019 % Change Fiscal2020 Fiscal2019 % ChangeTommy Bahama Net sales $ 94.9 $ 127.0 (25.3 )% $ 277.1 $ 480.6 (42.3 )%Gross profit $ 56.4 $ 76.5 (26.2 )% $ 161.7 $ 294.5 (45.1 )%Gross margin 59.5 % 60.2 % 58.3 % 61.3 % Operating(loss) $ (7.2 ) $ (7.7 ) NM $ (43.3 ) $ 30.7 NMincomeOperating (7.6 )% (6.1 )% (15.6 )% 6.4 % marginLilly PulitzerNet sales $ 53.7 $ 71.7 (25.0 )% $ 176.7 $ 219.8 (19.6 )%Gross profit $ 32.8 $ 41.0 (19.8 )% $ 108.6 $ 138.3 (21.5 )%Gross margin 61.1 % 57.2 % 61.4 % 62.9 % Operating(loss) $ 5.3 $ 11.0 (52.1 )% $ 25.7 $ 46.7 (45.0 )%incomeOperating 9.8 % 15.3 % 14.5 % 21.2 % marginLanier Apparel^(1)Net sales $ 10.8 $ 28.8 (62.4 )% $ 30.0 $ 75.4 (60.2 )%Gross profit $ (5.0 ) $ 8.2 NM $ (0.6 ) $ 21.2 NMGross margin (46.0 )% 28.5 % (1.9 )% 28.2 % Operating(loss) $ (12.5 ) $ 2.0 NM $ (21.3 ) $ 3.7 NMincomeOperating (115.6 )% 6.9 % (70.9 )% 5.0 % marginSouthern TideNet sales $ 10.0 $ 9.1 10.1 % $ 27.1 $ 35.7 (24.0 )%Gross profit $ 3.4 $ 4.4 (22.2 )% $ 7.9 $ 17.7 (55.1 )%Gross margin 34.1 % 48.3 % 29.2 % 49.5 % Operating(loss) $ (0.5 ) $ 0.5 NM $ (64.8 ) $ 4.9 NMincomeOperating (4.6 )% 5.8 % (238.8 )% 13.7 % marginCorporateand Other^ (1)Net sales $ 5.7 $ 4.7 21.5 % $ 16.5 $ 13.7 20.5 %Gross profit $ 8.6 $ 3.0 NM $ 17.4 $ 6.9 NMOperating $ 1.2 $ (3.2 ) NM $ (3.5 ) $ (13.4 ) NMlossConsolidated Net sales $ 175.1 $ 241.2 (27.4 )% $ 527.5 $ 825.2 (36.1 )%Gross profit $ 96.3 $ 133.0 (27.6 )% $ 295.1 $ 478.6 (38.3 )%Gross margin 55.0 % 55.1 % 55.9 % 58.0 % SG&A $ 113.5 $ 134.2 (15.4 )% $ 352.2 $ 417.4 (15.6 )%SG&A as % of 64.8 % 55.6 % 66.8 % 50.6 % net salesOperating(loss) $ (13.7 ) $ 2.6 NM $ (107.2 ) $ 72.6 NMincomeOperating (7.8 )% 1.1 % (20.3 )% 8.8 % margin(Loss)earnings $ (14.1 ) $ 2.5 NM $ (108.9 ) $ 71.4 NMbeforeincome taxesNet (loss) $ (10.6 ) $ 1.7 NM $ (83.5 ) $ 53.2 NMearningsNet (loss)earnings per $ (0.64 ) $ 0.10 NM $ (5.04 ) $ 3.15 NMdilutedshareWeightedaverageshares 16.6 16.9 (2.2 )% 16.6 16.9 (1.9 )%outstanding- diluted

Third Quarter First Nine Months ADJUSTMENTS Fiscal2020 Fiscal2019 % Fiscal2020 Fiscal2019 % Change ChangeLIFOadjustments^ $ (5.6 ) $ (0.0 ) $ (9.3 ) $ 0.8 (2)LanierApparel exitcharges in $ 6.4 $ 0.0 $ 6.4 $ 0.0 cost ofgoods sold^(3)Amortizationof LillyPulitzerSignature $ 0.1 $ 0.1 $ 0.2 $ 0.2 Storeintangibleassets^(4)LanierApparel exit $ 3.7 $ 0.0 $ 3.7 $ 0.0 charges inSG&A^(5)LanierApparelintangible $ 0.0 $ 0.0 $ 0.2 $ 0.0 assetimpairmentcharge^(6)Amortizationof SouthernTide $ 0.1 $ 0.1 $ 0.2 $ 0.2 intangibleassets^(7)SouthernTide $ 0.0 $ 0.0 $ 60.2 $ 0.0 impairmentcharge^(8)Tommy BahamaJapan $ 0.0 $ 0.0 $ 0.0 $ 0.6 charges^(9)Impact ofincome taxes $ (1.3 ) $ (0.0 ) $ (10.4 ) $ (0.4 ) ^(10)Adjustmentto net $ 3.3 $ 0.1 $ 51.3 $ 1.5 earnings^(11)AS ADJUSTED Tommy Bahama Net sales $ 94.9 $ 127.0 (25.3 ) $ 277.1 $ 480.6 (42.3 ) % %Gross profit $ 56.4 $ 76.5 (26.2 ) $ 161.7 $ 294.5 (45.1 ) % %Gross margin 59.5 % 60.2 % 58.3 % 61.3 % Operating(loss) $ (7.2 ) $ (7.7 ) NM $ (43.3 ) $ 31.3 NMincomeOperating (7.6 )% (6.1 )% (15.6 )% 6.5 % marginLilly PulitzerNet sales $ 53.7 71.7 (25.0 ) $ 176.7 $ 219.8 (19.6 ) % %Gross profit $ 32.8 41.0 (19.8 ) $ 108.6 $ 138.3 (21.5 ) % %Gross margin 61.1 % 57.2 % 61.4 % 62.9 % Operating ) )(loss) $ 5.3 11.1 (51.8 % $ 25.9 $ 46.9 (44.9 %incomeOperating 9.9 % 15.4 % 14.6 % 21.3 % marginLanier Apparel^(1)Net sales $ 10.8 $ 28.8 (62.4 ) $ 30.0 $ 75.4 (60.2 ) % %Gross profit $ 1.4 $ 8.2 (82.5 ) $ 5.8 $ 21.2 (72.5 ) % %Gross margin 13.3 % 28.5 % 19.4 % 28.2 % Operating(loss) $ (2.4 ) $ 2.0 NM $ (10.9 ) $ 3.7 NMincomeOperating (22.1 )% 6.9 % (36.5 )% 5.0 % marginSouthern TideNet sales $ 10.0 $ 9.1 10.1 % $ 27.1 $ 35.7 (24.0 ) %Gross profit $ 3.4 $ 4.4 (22.2 ) $ 7.9 $ 17.7 (55.1 ) % %Gross margin 34.1 % 48.3 % 29.2 % 49.5 % Operating(loss) $ (0.4 ) $ 0.6 NM $ (4.3 ) $ 5.1 NMincomeOperating (3.9 )% 6.6 % (16.0 )% 14.3 % marginCorporateand Other^ (1)Net sales $ 5.7 $ 4.7 21.5 % $ 16.5 $ 13.7 20.5 %Gross profit $ 2.9 $ 2.9 NM $ 8.1 $ 7.7 NMOperating $ (4.5 ) $ (3.2 ) NM $ (12.8 ) $ (12.6 ) NMlossConsolidated Net sales $ 175.1 $ 241.2 (27.4 ) $ 527.5 $ 825.2 (36.1 ) % %Gross profit $ 97.0 $ 132.9 (27.0 ) $ 292.2 $ 479.4 (39.0 ) % %Gross margin 55.4 % 55.1 % 55.4 % 58.1 % SG&A $ 109.7 $ 134.1 (18.2 ) $ 348.1 $ 416.4 (16.4 ) % %SG&A as % of 62.6 % 55.6 % 66.0 % 50.5 % net salesOperating(loss) $ (9.1 ) $ 2.7 NM $ (45.5 ) $ 74.5 NMincomeOperating (5.2 )% 1.1 % (8.6 )% 9.0 % margin(Loss)earnings $ (9.4 ) $ 2.6 NM $ (47.2 ) $ 73.3 NMbeforeincome taxesNet (loss) $ (7.3 ) $ 1.8 NM $ (32.1 ) $ 54.7 NMearningsNet (loss)earnings per $ (0.44 ) $ 0.10 NM $ (1.94 ) $ 3.24 NMdilutedshare

Third Third First Nine Months Quarter Quarter Fiscal2020 Fiscal2019 Fiscal2020 Fiscal2019 Actual Actual Actual Actual Net (loss)earnings per dilutedshare:GAAP basis $ (0.64 ) $ 0.10 $ (5.04 ) $ 3.15 LIFOadjustments^ (0.25 ) 0.00 (0.39 ) 0.04 (12)Amortizationof recentlyacquired 0.01 0.01 0.02 0.02 intangibleassets^(13)Impairmentof goodwilland 0.00 0.00 3.02 0.00 intangibleassets^(14)LanierApparel exit 0.45 0.00 0.45 0.00 charges^(15)Tommy BahamaJapan 0.00 0.00 0.00 0.03 charges^(16)As adjusted^ $ (0.44 ) $ 0.10 $ (1.94 ) $ 3.24 (11) ^(1) As of the First Quarter of Fiscal 2020, the Duck Head^(R) operations areincluded in Corporate and Other, whereas the operations were previouslyincluded in Lanier Apparel. Lanier Apparel and Corporate and Other amounts for prior periods have been restated to conform to the current period presentation.During the full year of Fiscal 2019, Duck Head net sales and operating losswere $2.0 million and $0.5 million, respectively.^(2) LIFO adjustments represents the impact on cost of goods sold resultingfrom LIFO accounting adjustments. These adjustments are included in Corporate and Other.^(3) Lanier Apparel exit charges in cost of goods sold relate to the ThirdQuarter of Fiscal 2020 decision to exit the Lanier Apparel business, which isexpected to be completed during the Second Half of Fiscal 2021. These charges consist of inventory markdowns and charges related to the Merida manufacturingfacility, which ceased operations in the Third Quarter of Fiscal 2020. Thesecharges are included in cost of goods sold in Lanier Apparel.^(4) Amortization of Lilly Pulitzer Signature Store intangible assetsrepresents the amortization related to the intangible assets acquired as part of Lilly Pulitzer's acquisition of certain Lilly Pulitzer Signature Stores.These charges are included in SG&A in Lilly Pulitzer.^(5) Lanier Apparel exit charges in SG&A relate to the Third Quarter of Fiscal2020 decision to exit the Lanier Apparel business, which is expected to becompleted during the Second Half of Fiscal 2021. These charges consist of operating lease asset impairment charges, employee charges, and fixed assetimpairment charges in the Third Quarter of Fiscal 2020. These charges areincluded in SG&A in Lanier Apparel.^(6) Lanier Apparel intangible asset impairment charge represents theimpairment related to a trademark acquired in a prior year. Thischarge is included in impairment of goodwill and intangible assets in Lanier Apparel.^(7) Amortization of Southern Tide intangible assets represents theamortization related to the customer relationship intangible assets acquired as part of the Southern Tide acquisition. These charges are included in SG&A inSouthern Tide.^(8) Southern Tide impairment charge represents the impairment related togoodwill and intangible assets related to Southern Tide. This charge is included in impairment of goodwill and intangible assets in Southern Tide.^(9) Tommy Bahama Japan charges represents the impact of the restructuring andexit of the Tommy Bahama Japan operations. These charges are included in SG&A in Tommy Bahama.^(10) Impact of income taxes represents the estimated tax impact of the aboveadjustments based on the estimated effective tax rate on current year earnings in the respective jurisdiction.^(11) Amounts in columns may not add due to rounding. ^(12) LIFO adjustments represents the impact, net of income taxes, on net(loss) earnings per diluted share resulting from LIFO accounting adjustments. No estimate for LIFO accounting adjustments is reflected in the guidance forany future periods.^(13) Amortization of recently acquired intangible assets represents theimpact, net of income taxes, on net (loss) earnings per diluted share resulting from the amortization of intangible assets acquired as part of the LillyPulitzer Signature Store and Southern Tide acquisitions.^(14) Impairment of goodwill and intangible assets represents the impact, netof income taxes, on net (loss) earnings per diluted share resulting from theimpairment charges in Southern Tide and Lanier Apparel. Due to the non-deductibility of $18 million of Southern Tide goodwill amounts, theeffective tax rate on these impairment charges for goodwill and intangibleassets was 17%.^(15) Lanier Apparel exit charges represents the impact, net of income taxes,on net (loss) earnings per diluted share resulting from the Third Quarter of Fiscal 2020 decision to exit the Lanier Apparel business in the Second Half ofFiscal 2021.^(16) Tommy Bahama Japan charges represents the impact, net of income taxes, onnet (loss) earnings per diluted share of the restructuring and exit of the Tommy Bahama Japan operations.

Location Count Beginning of End of Q1 End of Q2 End of Q3 End of Q4 YearFiscal 2020 Tommy Bahama Full-price retail 111 110 107 106 ?storeRetail-restaurant 16 18 19 19 ?Outlet 35 35 35 35 ?Total Tommy Bahama 162 163 161 160 ?Lilly Pulitzer 61 61 59 59 ?Southern Tide 1 1 2 3 ?Oxford Total 224 225 222 222 ?Fiscal 2019 Tommy Bahama Full-price retail 113 113 113 111 111storeRetail-restaurant 17 17 17 17 16Outlet 37 37 37 37 35Total Tommy Bahama 167 167 167 165 162Lilly Pulitzer 62 63 63 63 61Southern Tide ? ? ? ? 1Oxford Total 229 230 230 228 224