“With more than half the year behind us, I am pleased with how our organization has navigated through this difficult operating environment,” continued Martinez. “We remain confident about the strength of our brands and their respective long-term growth prospects. This sentiment was underscored by the Board of Directors’ recent decision to authorize a new $200 million stock repurchase program, which comes on top of the $100 million stock repurchase program announced in February 2012 and completed during the second quarter of 2012.”
UGG brand net sales for the second quarter decreased 0.3% to $107.9 million compared to $108.3 million for the same period last year. Increases in domestic wholesale sales and global direct to consumer sales were offset by lower international wholesale and distributor sales.Teva Brand Teva brand net sales for the second quarter decreased 15.4% to $34.1 million compared to $40.3 million for the same period last year. Record domestic wholesale sales and growth in domestic eCommerce sales were offset by a decline in international wholesale and distributor sales. Sanuk Brand Sanuk brand net sales were $28.0 million for the second quarter of 2012. The Company’s financial results include the Sanuk operations beginning July 1, 2011, the date that the Company acquired the Sanuk brand. Other Brands Combined net sales of the Company’s other brands decreased 21.2% to $4.5 million for the second quarter compared to $5.7 million for the same period last year. Second quarter 2011 results included the Simple® brand, for which distribution ceased at the end of 2011. Retail Stores Sales for the retail store business, which are included in the brand sales numbers above, increased 25.0% to $25.2 million for the second quarter compared to $20.1 million for the same period last year. This increase was driven by 21 new stores opened after the second quarter of 2011 and a same store sales increase of 6.8% for the thirteen weeks ending July 1, 2012 compared to the thirteen weeks ending July 3, 2011.