OfficeMax Moves To 3Q Profit But Misses Estimates

OfficeMax, based in Naperville, Ill., said retail sales fell 11 percent to $932.3 million, as sales at stores open at least a year — a key retail metric — fell 11.5 percent.

The company said comparable sales for the quarter fell in all major product categories mainly due to weaker spending by consumers and small businesses. The company also said the influenza epidemic in Mexico and weak exchange rates there hurt performance.

Contract sales fell 14.3 percent to $899.6 million, as corporate accounts continued to limit spending.

The company said it remains "very cautious" for the fourth quarter, and expects will post a year-over-year sales decline. But it predicted fourth quarter sales will mark an improvement from the third quarter. The company expects to record an operating loss in the fourth quarter.

OfficeMax also said Thursday it plans to make a voluntary excess contribution of about $100 million in common stock to its qualified pension pans by the end of the year. The company said the net effect of the contribution on earnings per share is expected to be minimal in 2009 and accretive in 2010.