Hanover Direct Announces the Impact of the Restatement of Its Financial Statements, the Late Filing of Third Quarter Quarterly R
18 November 2004 - 3:29AM
PR Newswire (US)
Hanover Direct Announces the Impact of the Restatement of Its
Financial Statements, the Late Filing of Third Quarter Quarterly
Report and That the AMEX has Halted Trading of the Common Stock
EDGEWATER, N.J., Nov. 17 /PRNewswire-FirstCall/ -- Hanover Direct,
Inc. today announced that the Company has completed its review of
an error in the accounting treatment of discount obligations due to
members of certain of the Company's buyer's club programs for three
of its catalogs since 1998 and believes that the cumulative impact
of this error on previously issued financial statements through
June 26, 2004 is a reduction of revenue and related income of
approximately $2.6 million, subject to the completion by its
independent registered public accountants of their audit and review
of the figures. The Company will restate its financial statements
for the fiscal years ended December 25, 1999, December 30, 2000,
December 29, 2001, December 28, 2002 and December 27, 2003 and the
fiscal quarters ended March 29, 2003, June 28, 2003, September 27,
2003, March 27, 2004 and June 26, 2004 by amending its Annual
Report on Form 10-K for the fiscal year ended December 27, 2003 and
its Quarterly Reports on Form 10-Q for the fiscal quarters ended
March 27, 2004 and June 26, 2004 as promptly as practicable. The
Company also announced that it was not able to file its Quarterly
Report on Form 10-Q for the fiscal quarter ended September 25, 2004
within the five calendar day extension period it had previously
sought but will file its Quarterly Report on Form 10-Q for the
fiscal quarter ended September 25, 2004 as soon as it is able. The
Company further announced that the Audit Committee of the Board of
Directors of the Company is investigating the matters heretofore
disclosed by the Company and other accounting-related matters with
the assistance of independent outside counsel. As a result of the
foregoing, the Company has been advised by the American Stock
Exchange that it will halt trading of the Company's common stock
until such time as the investigation is complete and the Company
has filed all relevant periodic reports with the Securities and
Exchange Commission. About Hanover Direct, Inc. Hanover Direct,
Inc. (AMEX:HNV) and its business units provide quality, branded
merchandise through a portfolio of catalogs and e-commerce
platforms to consumers, as well as a comprehensive range of
Internet, e-commerce, and fulfillment services to businesses. The
Company's catalog and Internet portfolio of home fashions, apparel
and gift brands include Domestications, The Company Store, Company
Kids, Silhouettes, International Male, Scandia Down, and Gump's By
Mail. The Company owns Gump's, a retail store based in San
Francisco. Each brand can be accessed on the Internet individually
by name. Keystone Internet Services, LLC
(http://www.keystoneinternet.com/), the Company's third party
fulfillment operation, also provides the logistical, IT and
fulfillment needs of the Company's catalogs and web sites.
Information on Hanover Direct, including each of its subsidiaries,
can be accessed on the Internet at http://www.hanoverdirect.com/.
Forward-Looking Statements Certain statements included in this
press release are intended as "forward-looking statements." These
statements include assumptions, expectations, predictions,
intentions or beliefs about future events, particularly the
statements concerning the anticipated impact on revenues of the
restatement and the timing of the Company's restatement of its
financial statements. The Company cautions that actual future
results may vary materially from those expressed or implied in any
forward-looking statements. More information and the risks and
uncertainties relating to these forward- looking statements are
found in the Company's SEC filings, including its Annual Report on
Form 10-K for the fiscal year ended December 27, 2003 and its
Quarterly Report on Form 10-Q for the fiscal quarter ended June 26,
2004 which are available free of charge on the SEC's web site at
http://sec.gov/. The Company expressly disclaims any obligation to
update any forward-looking statements contained in this news
release to reflect events or circumstances that may arise after the
date of this release, except as otherwise required by applicable
law. DATASOURCE: Hanover Direct, Inc. CONTACT: Charles E. Blue,
S.V.P. & Chief Financial Officer, Hanover Direct, Inc.,
+1-201-272-3389; or Rich Tauberman of MWW Group, +1-201-507-9500,
for Hanover Direct, Inc. Web site: http://www.hanoverdirect.com/
Copyright
Hanover Direct (AMEX:HNV)
Historical Stock Chart
From Aug 2024 to Sep 2024
Hanover Direct (AMEX:HNV)
Historical Stock Chart
From Sep 2023 to Sep 2024