COST » Topics » Preopening Expenses

These excerpts taken from the COST 10-K filed Oct 16, 2009.

Preopening Expenses

 

     2009    2008    2007

Preopening expenses

   $ 41    $ 57    $ 55
                    

Warehouse openings

     19      34      30

Preopening expenses include costs incurred for startup operations related to new warehouses and the expansion of ancillary operations at existing warehouses. Preopening expenses can vary due to the timing of the opening relative to our year-end, whether the warehouse is owned or leased, whether the opening is in an existing, new, or international market. The decline in 2009 is primarily attributable to fewer warehouse openings.

Preopening Expenses

Preopening expenses related to new warehouses, major remodels and expansions, new regional offices and other startup operations are expensed as incurred.

This excerpt taken from the COST 10-Q filed Jun 12, 2009.

Preopening Expenses

 

     12 Weeks Ended    36 Weeks Ended  
      May 10,
2009
    May 11,
2008
   May 10,
2009
    May 11,
2008
 

Preopening expenses

   $ 9     $ 9    $ 29     $ 40  

Warehouse openings

     5       4      13       21  

Relocations

     (1 )          (2 )     (4 )
                               

Warehouse openings, net of relocations

     4       4      11       17  
                               

 

27


Table of Contents

Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) (dollars in millions, except per share data)

 

Preopening expenses include costs incurred for startup operations related to new warehouses, warehouse remodel projects and the expansion of ancillary operations at existing warehouses. Preopening expenses per warehouse opening can vary due to the timing of the opening relative to our fiscal quarter end, whether the warehouse is owned or leased, whether the opening is in an existing, new or international market, and the number and magnitude of warehouse remodel projects.

This excerpt taken from the COST 10-Q filed Mar 18, 2009.

Preopening Expenses

 

     12 Weeks Ended    24 Weeks Ended  
     February 15,
2009
   February 17,
2008
   February 15,
2009
    February 17,
2008
 

Preopening expenses

   $ 7    $ 10    $ 20     $ 31  

Warehouse openings

          7      8       17  

Relocations

               (1 )     (4 )
                              

Warehouse openings, net of relocations

          7      7       13  
                              

Preopening expenses include costs incurred for startup operations related to new warehouses, warehouse remodel projects and the expansion of ancillary operations at existing warehouses. Preopening expenses per warehouse opening can vary due to the timing of the opening relative to our

 

26


Table of Contents

Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) (dollars in millions, except per share data)

 

fiscal quarter end, whether the warehouse is owned or leased, whether the opening is in an existing, new or international market, and the number and magnitude of warehouse remodel projects.

This excerpt taken from the COST 10-Q filed Dec 19, 2008.

Preopening Expenses

 

     Quarter Ended  
     November 23,
2008
    November 25,
2007
 

Preopening expenses

   $ 13     $ 21  

Warehouse openings

     8       10  

Relocations

     (1 )     (4 )
                

Warehouse openings, net of relocations

     7       6  
                

Preopening expenses include costs incurred for startup operations related to new warehouses, warehouse remodel projects and the expansion of ancillary operations at existing warehouses. Preopening expenses per warehouse opening can vary due to the timing of the opening relative to our fiscal quarter end, whether the warehouse is owned or leased, whether the opening is in an existing, new or international market, as well as the number and magnitude of warehouse remodel projects.

 

23


Table of Contents

Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) (dollars in millions, except per share data)

 

These excerpts taken from the COST 10-K filed Oct 17, 2008.

Preopening Expenses

Preopening expenses related to new warehouses, major remodels and expansions, new regional offices and other startup operations are expensed as incurred.

Preopening Expenses

Preopening expenses
related to new warehouses, major remodels and expansions, new regional offices and other startup operations are expensed as incurred.

These excerpts taken from the COST 10-K filed Oct 16, 2008.

Preopening Expenses

Preopening expenses related to new warehouses, major remodels and expansions, new regional offices and other startup operations are expensed as incurred.

Preopening Expenses

Preopening expenses
related to new warehouses, major remodels and expansions, new regional offices and other startup operations are expensed as incurred.

This excerpt taken from the COST 10-Q filed Jun 13, 2008.

Preopening Expenses

 

     12 Weeks Ended    36 Weeks Ended
     May 11,
2008
   May 13,
2007
   May 11,
2008
    May 13,
2007

Preopening expenses

   $ 8,427    $ 9,022    $ 39,618     $ 39,235

Warehouse openings

     4      6      21       22

Relocations

               (4 )    
                            

Warehouse openings, net of relocations

     4      6      17       22
                            

Preopening expenses include costs incurred for startup operations related to new warehouses and the expansion of ancillary operations at existing warehouses. Preopening expenses can vary due to the timing of the opening relative to our fiscal quarter end, whether the warehouse is owned or leased, whether the opening is in an existing, new or international market, as well as the number and magnitude of warehouse remodel projects.

This excerpt taken from the COST 10-Q filed Mar 28, 2008.

Preopening Expenses

 

     12 Weeks Ended    24 Weeks Ended
     February 17,
2008
   February 18,
2007
   February 17,
2008
    February 18,
2007

Preopening expenses

   $ 9,699    $ 7,486    $ 31,191     $ 30,213

Warehouse openings

     7      4      17       16

Relocations

               (4 )    
                            

Warehouse openings, net of relocations

     7      4      13       16
                            

Preopening expenses include costs incurred for startup operations related to new warehouses and the expansion of ancillary operations at existing warehouses. Preopening expenses can vary due to the timing of the opening relative to our fiscal quarter end, whether the warehouse is owned or leased, whether the opening is in an existing, new or international market, as well as the number and magnitude of warehouse remodel projects.

Preopening expenses totaled $9.7 million during the second quarter of fiscal 2008, compared to $7.5 million during the second quarter of fiscal 2007. The increase is largely due to opening more warehouses in the second quarter of 2008 compared to the second quarter of fiscal 2007. Six of the seven openings in the second quarter of fiscal 2008 were in international markets: four in Canada, one in Korea and one in Japan.

Preopening expenses totaled $31.2 million during the first half of fiscal 2008, compared to $30.2 million during the first half of fiscal 2007. The increase is largely due to opening one additional warehouse in the first half of 2008 compared to the first half of fiscal 2007. Seven of the 17 openings in the first half of fiscal 2008 were in international markets: four in Canada, one each in Taiwan, Korea and Japan.

This excerpt taken from the COST 10-Q filed Dec 21, 2007.

Preopening Expenses

 

     12 Weeks Ended
     November 25,
2007
    November 26,
2006

Preopening expenses

   $ 21,492     $ 22,727

Warehouse openings

     10       12

Relocations

     (4 )    
              

Warehouse openings, net of relocations

     6       12
              

 

19


Table of Contents

Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued)

 

Preopening expenses include costs incurred for startup operations related to new warehouses, warehouse remodel projects and the expansion of ancillary operations at existing warehouses. Preopening expenses per warehouse opening can vary due to the timing of the opening relative to our fiscal quarter end, whether the warehouse is owned or leased, whether the opening is in an existing, new or international market as well as the number and magnitude of warehouse remodel projects.

Preopening expenses totaled $21.5 million during the first quarter of fiscal 2008 compared to $22.7 million during the first quarter of fiscal 2007. The decrease is largely due to opening fewer warehouses in the first quarter of 2008 compared to the first quarter of fiscal 2007.

This excerpt taken from the COST 10-K filed Dec 21, 2007.

Preopening Expenses

Preopening expenses related to new warehouses, major remodels and expansions, new regional offices and other startup operations are expensed as incurred.

This excerpt taken from the COST 10-K filed Oct 25, 2007.

Preopening Expenses

Preopening expenses related to new warehouses, major remodels and expansions, new regional offices and other startup operations are expensed as incurred.

This excerpt taken from the COST 10-Q filed Jun 15, 2007.

Preopening Expenses

 

     12 Weeks Ended     36 Weeks Ended  
    

May 13,

2007

   

May 7,

2006

   

May 13,

2007

   

May 7,

2006

 

Preopening expenses

   $ 9,022     $ 10,431     $ 39,235     $ 27,422  

Preopening expenses as a percent of net sales

     0.06 %     0.08 %     0.09 %     0.07 %

Warehouse openings

     6       7       22       18  

Relocations

           (1 )           (2 )
                                

Warehouse openings, net of relocations

     6       6       22       16  
                                

Preopening expenses totaled $9.0 million, or 0.06% of net sales, during the third quarter of fiscal 2007 compared to $10.4 million, or 0.08% of net sales, during the third quarter of fiscal 2006, and totaled $39.2 million, or 0.09% of net sales, during the first thirty-six weeks of fiscal 2007 compared to $27.4 million, or 0.07% of net sales, during the first thirty-six weeks of fiscal 2006. Six warehouses were opened in the third quarter of fiscal 2007 compared to seven warehouses opened (including one relocation) during last year’s third quarter. Twenty-two warehouses were opened in the first thirty-six weeks of fiscal 2007 compared to eighteen warehouses opened (including two relocations) during the first thirty-six weeks of fiscal 2006.

This excerpt taken from the COST 10-Q filed Mar 30, 2007.

Preopening Expenses

 

     12 Weeks Ended     24 Weeks Ended  
     February 18,
2007
    February 12,
2006
    February 18,
2007
    February 12,
2006
 

Preopening expenses

   $ 7,486     $ 4,614     $ 30,213     $ 16,991  

Preopening expenses as a percent of net sales

     0.05 %     0.03 %     0.11 %     0.06 %

Warehouse openings

     4       2       16       11  

Relocations

                       (1 )
                                

Warehouse openings, net of relocations

     4       2       16       10  
                                

Preopening expenses totaled $7.5 million, or 0.05% of net sales, during the second quarter of fiscal 2007 compared to $4.6 million, or 0.03% of net sales, during the second quarter of fiscal 2006, and totaled $30.2 million, or 0.11% of net sales, during the first half of fiscal 2007 compared to $17.0 million, or 0.06% of net sales, during the first half of fiscal 2006. Four warehouses were opened in the

 

22


Table of Contents

Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued)

 

second quarter of fiscal 2007 compared to two warehouses opened during last year’s second quarter. Sixteen warehouses were opened in the first half of fiscal 2007 compared to eleven warehouses opened (including one relocation) during the first half of fiscal 2006.

This excerpt taken from the COST 10-Q filed Dec 22, 2006.

Preopening Expenses

 

     Q1 Fiscal 2007     Q1 Fiscal 2006  

Preopening expenses

   $ 22,727     $ 12,377  

Preopening expenses as a percent of net sales

     0.16 %     0.10 %

Warehouse openings

     12       9  

Relocations

           (1 )
                

Warehouse openings, net of relocations

     12       8  
                

Preopening expenses totaled $22.7 million, or 0.16% of net sales, during the first quarter of fiscal 2007, compared to $12.4 million, or 0.10% of net sales, during the first quarter of fiscal 2006. Twelve warehouses were opened in the first quarter of fiscal 2007 compared to nine warehouses opened (including one relocation) during last year’s first quarter.

This excerpt taken from the COST 10-K filed Nov 17, 2006.

Preopening Expenses

Preopening expenses related to new warehouses, major remodels/expansions, new regional offices and other startup operations are expensed as incurred.

This excerpt taken from the COST 10-Q filed Jun 16, 2006.

Preopening Expenses

Preopening expenses totaled $10,431, or 0.08% of net sales, during the third quarter of fiscal 2006 compared to $9,475, or 0.08% of net sales, during the third quarter of fiscal 2005. Seven warehouses were opened (including one relocation) in the third quarter of fiscal 2006 compared to four warehouses opened (including two relocations) during last year’s third quarter.

Preopening expenses totaled $27,422, or 0.07% of net sales, during the first thirty-six weeks of fiscal 2006 compared to $42,856, or 0.12% of net sales, during the first thirty-six weeks of fiscal 2005. During the second quarter of fiscal 2005, in response to the Securities and Exchange Commission’s February 7, 2005 letter concerning accounting standards related to leases, the Company adjusted its method of accounting for leases (entered into over the previous twenty years), primarily related to ground leases at certain owned warehouse locations that did not require rental payments during the period of construction. As a result, the Company recorded a cumulative pre-tax, non-cash charge of $15,999 to preopening expense in the second quarter of fiscal 2005. Prior periods’ financial results were not restated due to the immateriality of this amount to the consolidated financial statements. Eighteen warehouses were opened (including two relocations) in the first thirty-six weeks of fiscal 2006 compared to 15 warehouses (including five relocations) opened during the first thirty-six weeks of fiscal 2005.

 

6


Table of Contents

Management’s Discussion and Analysis of Financial Condition and Results of Operations (dollars in thousands, except earnings per share and warehouse number data) (Continued)

 

This excerpt taken from the COST 10-Q filed Mar 23, 2006.

Preopening Expenses

 

Preopening expenses totaled $4,614, or .03% of net sales, during the second quarter of fiscal 2006 compared to $22,996, or 0.19% of net sales, during the second quarter of fiscal 2005. During the second quarter of fiscal 2005, in response to the Securities and Exchange Commission’s February 7, 2005 letter concerning accounting standards related to leases, the Company adjusted its method of accounting for leases (entered into over the previous twenty years), primarily related to ground leases at certain owned warehouse locations that did not require rental payments during the period of construction. As a result, the Company recorded a cumulative pre-tax, non-cash charge of $15,999 to preopening expense in the second quarter of fiscal 2005. Prior periods’ financial results were not restated due to the immateriality of this amount to the consolidated financial statements. Two warehouses were opened in the second quarter of fiscal 2006 compared to four warehouses opened during last year’s second quarter.

 

Preopening expenses totaled $16,991, or .06% of net sales, during the first half of fiscal 2006 compared to $33,381, or 0.14% of net sales, during the first half of fiscal 2005. The first half of fiscal 2005 included the $15,999 charge noted above. Eleven warehouses were opened (including one relocation) in the first half of fiscal 2006 compared to eleven warehouses (including three relocations) opened during the first half of fiscal 2005.

 

This excerpt taken from the COST 10-Q filed Dec 21, 2005.

Preopening Expenses

 

Preopening expenses totaled $12,377, or .10% of net sales, during the first quarter of fiscal 2006 compared to $10,385, or .09% of net sales, during the first quarter of fiscal 2005. Nine warehouses were opened (including one relocation) in the first quarter of fiscal 2006 compared to seven warehouses opened (including three relocations) during the first quarter of fiscal 2005. Preopening expenses also include costs related to remodels and expanded ancillary operations at existing warehouses.

 

This excerpt taken from the COST 10-K filed Nov 10, 2005.

Preopening Expenses

 

Preopening expenses related to new warehouses, major remodels/expansions, new regional offices and other startup operations are expensed as incurred.

 

This excerpt taken from the COST 10-Q filed Jun 16, 2005.

Preopening Expenses

 

Preopening expenses totaled $9,475, or .08% of net sales, during the third quarter of fiscal 2005 compared to $4,552, or .04% of net sales, during the third quarter of fiscal 2004. Four warehouses were opened in the third quarter of fiscal 2005 compared to three warehouses opened during last year’s third quarter. Costs related to international warehouses increased preopening expenses for the third quarter by approximately $2,000 with no similar impact in fiscal 2004.

 

Preopening expenses totaled $42,856, or .12% of net sales, during the first thirty-six weeks of fiscal 2005 compared to $18,893, or .06% of net sales, during the first thirty-six weeks of fiscal 2004. During the second quarter of fiscal 2005, in response to the Securities and Exchange Commission’s February 7, 2005 letter related to leases, the Company adjusted its method of accounting for leases (entered into over the past twenty years), primarily related to ground leases at certain owned warehouse locations that did not require rental payments during the period of construction. As a result, the Company recorded a cumulative pre-tax, non-cash charge of $15,999 to preopening expense in the second quarter of fiscal 2005 to effect this accounting adjustment. Prior periods’ financial results have not been restated due to the immateriality of this amount to the consolidated financial statements. Fifteen warehouses (including five relocations) were opened in the first thirty-six weeks of fiscal 2005 compared to 13 opened during the first thirty-six weeks of fiscal 2004.

 

This excerpt taken from the COST 10-Q filed Mar 24, 2005.

Preopening Expenses

 

Preopening expenses totaled $22,996, or .19% of net sales, during the second quarter of fiscal 2005 compared to $4,216, or .04% of net sales, during the second quarter of fiscal 2004. During the second quarter of fiscal 2005, in response to the Securities and Exchange Commission’s recent letter related to leases, the Company adjusted its method of accounting for leases (entered into over the past twenty years), primarily related to ground leases at certain owned warehouse locations that did not require rental payments during the period of construction. As a result, the Company recorded a cumulative pre-tax, non-cash charge of $15,999 to preopening expense in the second quarter of fiscal 2005. Prior periods’ financial results have not been restated due to the immateriality of this amount to the consolidated statements of income and consolidated balance sheets. Four warehouses were opened in the second quarter of fiscal 2005 compared to one warehouse opened during last year’s second quarter. Three of these warehouses were opened within the first two weeks of the second quarter and, therefore, the majority of the preopening expense related to these warehouses was incurred in the first quarter of fiscal 2005.

 

Preopening expenses totaled $33,381, or .14% of net sales, during the first half of fiscal 2005 compared to $14,341, or .07% of net sales, during the first half of fiscal 2004. The first half of fiscal 2005 included the cumulative $15,999 charge as noted above. Eleven warehouses (including three relocations) were opened in the first half of fiscal 2005 compared to ten warehouses (including one relocation) opened during the first half of fiscal 2004.

 

"Preopening Expenses" elsewhere:

KOHLS CORPORATION (KSS)
Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki