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By
Reuters
Published
May 5, 2009
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Kenneth Cole posts first quarter loss

By
Reuters
Published
May 5, 2009

May 5 (Reuters) - U.S. shoe and clothing maker Kenneth Cole Productions Inc (KCP.N) posted a first-quarter loss as inventory cutbacks at its major wholesale partners and lower consumer spending drove a 16 percent fall in revenue.


Kenneth Cole Spring 2009 Campaign

For the quarter ended March 31, the company, known for its leather footwear, posted a loss of $8.2 million, or 46 cents a share, compared with a profit of $807,000, or 4 cents a share, a year earlier.

Excluding items, the company lost 41 cents a share.

Revenue came in at $103.4 million. Comparable-store sales fell 20.4 percent.

Analysts on average were expecting a loss of 42 cents a share on revenue of $107.3 million, according to Reuters Estimates.

"We have placed tighter controls on expenses, inventory and capital investment," said the company, which has been cutting costs and reducing inventory to battle falling sales.

Shares of the New York-based company closed at $8.77 Tuesday on the New York Stock Exchange. (Reporting by Mihir Dalal in Bangalore; Editing by Jarshad Kakkrakandy)

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