30.04.2008 21:01:00
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1-800-FLOWERS.COM(R) Acquires DesignPac Gifts LLC, a Leading Designer, Assembler and Distributor of Gourmet Gift Baskets, Gourmet Food Towers and Gift Sets
1-800-FLOWERS.COM (NASDAQ: FLWS), a leading multi-channel retailer of
thoughtful gifts for all occasions, today announced its acquisition of
DesignPac Gifts LLC, a leading designer and assembler of gourmet gift
baskets, gourmet food gift towers and gift sets including a broad range
of branded and private label components based in Melrose Park, Illinois.
The acquisition, for approximately $36 million in cash, closed on April
30, 2008. DesignPac generated revenues of more than $50 million in
calendar 2007.
Jim McCann, CEO of 1-800-FLOWERS.COM, said, "DesignPac
is an important addition to our Gourmet Food and Gift Basket business.
It brings tremendous capabilities and experience in the design,
sourcing, production and distribution of gift baskets and gift sets, as
well as strong relationships with many of the leading retailers
throughout the country. It also brings an experienced and focused
management team that has built a cost efficient and profitable business
that, we believe, can help us enhance the growth and profitability of
all our existing gourmet food gifts businesses.”
Jeffrey Burkard, President & CEO of DesignPac said, "We
are very excited about joining together with the 1-800-FLOWERS.COM team.
DesignPac’s food gift product development and
assembly strengths are a natural fit for 1-800-FLOWERS.COM’s
great family of gourmet food gift brands as they seek to provide the
highest quality, value-driven, gifts for their customers. In addition,
1-800-FLOWERS.COM’s manufacturing
capabilities, financial strength, and commitment to being a powerhouse
in the specialty food gift industry will allow us to enhance our service
and offerings to our wholesale customers and take our company to the
next level.”
DesignPac will continue to be based in Illinois and senior management
will remain with the business, which will become a wholly owned
subsidiary of 1-800-FLOWERS.COM. Jeffrey Burkard will continue as
President; Darrell Naughton as Sr. Vice President, Sales and Marketing;
Dorothy Hanley, VP of Finance and Operations, Kathleen Burkard,VP of
Purchasing and Claudia Kerbel,VP of Sales and Marketing.
McCann noted that during the past several years, through a combination
of internal development and strategic acquisitions, 1-800-FLOWERS.COM
has become a leading provider of gourmet gifts including such iconic
brands as Fannie May Confections, The Popcorn Factory and Cheryl&Co. "With
the addition of DesignPac, we have grown this key business category to a
revenue run rate of more than $250 million with strong contribution
margins. We believe DesignPac’s unique
capabilities in the design and production of gift baskets and gift sets
can be leveraged across all of our gourmet food brands to enhance our
product offering and further expand our multi-channel retailing strategy.”
McCann added that "due to the seasonality of
its business, with the majority of its sales and profitability occurring
during the calendar fourth quarter holiday period, the DesignPac
acquisition will be dilutive to our current fiscal fourth quarter but
nicely accretive to our EBITDA and EPS for fiscal 2009 which begins in
July.” About 1-800-FLOWERS.COM, Inc.
1-800-FLOWERS.COM, Inc. is the world’s
leading florist and a provider of specialty gifts for all occasions. For
more than 30 years, 1-800-FLOWERS.COM, Inc. has been providing customers
with fresh flowers and the finest selection of plants, gift baskets,
gourmet foods, confections and plush stuffed animals perfect for every
occasion. 1-800-FLOWERS.COM®
(1-800-356-9377 or www.1800flowers.com),
named one of the top 50 online retailers by Internet Retailer and
the recipient of ICMI’s 2006 Global Call
Center of the Year Award, offers the best of both worlds: exquisite,
florist-designed arrangements individually created by some of the nation’s
top floral artists and hand-delivered the same day, and spectacular
flowers shipped overnight "Fresh From Our
Growerssm.” As
always, 100% satisfaction and freshness are guaranteed.
The 1-800-FLOWERS.COM, Inc. collection of brands also includes Gourmet
Gifts such as popcorn and specialty treats from The Popcorn Factory®
(1-800-541-2676 or www.thepopcornfactory.com);
exceptional cookies and baked gifts from Cheryl&Co.® (1-800-443-8124 or www.cherylandco.com);
premium chocolates and confections from Fannie May Confections Brands® (www.fanniemay.com and www.harrylondon.com);
gourmet foods from Greatfood.com® (www.greatfood.com);
wine gifts from Ambrosia® (www.ambrosia.com);
gift baskets from 1-800-BASKETS.COM® (www.1800baskets.com)
as well as Home Decor and Children’s Gifts
from Plow & Hearth® (1-800-627-1712 or www.plowandhearth.com),
Wind & Weather® (www.windandweather.com),
HearthSong® (www.hearthsong.com)
and Magic Cabin® (www.magiccabin.com);
and the BloomNet® (www.mybloomnet.net)
international floral wire service provides quality products and diverse
services to a select network of professional florists.
1-800-FLOWERS.COM, Inc. stock is traded on the Nasdaq Global Select
Market under ticker symbol FLWS.
Special Note Regarding
Forward-Looking Statements:
This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements represent the Company’s
expectations or beliefs concerning future events and can generally be
identified by the use of statements that include words such as "estimate,” "project,” "believe,” "anticipate,” "intend,” "plan,” "foresee,” "likely,” "will,” "goal,” "target”
or similar words or phrases. Forward-looking statements include, but are
not limited to, statements regarding the Company’s
expectations for continued improvement in revenues, EBITDA and EPS and
the Company’s guidance with respect to its
fiscal 2008 fourth quarter and fiscal 2009, including. These
forward-looking statements are subject to risks, uncertainties and other
factors, many of which are outside of the Company’s
control, that could cause actual results to differ materially from the
results expressed or implied in the forward-looking statements,
including, among others: the Company’s
ability to achieve its revenue and profitability growth guidance for
fiscal year 2008, its ability to grow revenues and contribution margin
in its Gourmet Food and Gift Baskets business category; its ability to
reduce costs and enhance its profit margins; its ability to manage the
increased seasonality of its businesses; its ability to effectively
integrate and grow its acquired companies; its ability to cost
effectively acquire and retain customers; it’s
ability to generate forecasted levels of free cash flow; its ability to
compete against existing and new competitors; its ability to manage
expenses associated with sales and marketing and necessary general and
administrative and technology investments; its ability to cost
efficiently manage inventories; its ability to leverage its operating
infrastructure; and general consumer sentiment and economic conditions
that may affect levels of discretionary customer purchases of the Company’s
products. For a more detailed description of these and other risk
factors, please refer to the Company’s SEC
filings including the Company’s Annual Report
on Form 10-K for the fiscal year ended July 1, 2007 and its subsequent
Quarterly Reports on Form 10-Q. The Company expressly disclaims any
intent or obligation to update any of the forward-looking statements
made in this release or in any of its SEC filings except as may be
otherwise stated by the Company.
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Aktien in diesem Artikel
1-800-FLOWERS.COM Inc. | 8,29 | 0,61% |
Indizes in diesem Artikel
NASDAQ Comp. | 19 060,48 | -0,60% |