ATLANTA, March 1 /PRNewswire-FirstCall/ -- Carter's, Inc. (NYSE: CRI) (the "Company"), the largest branded marketer in the United States of apparel exclusively for babies and young children, announced today that it proposes to split the Company's common stock on a two-for-one basis. This intended stock split would be accomplished through a stock dividend entitling each stockholder of record to receive one additional share of common stock for every one share owned.
"Because we have consistently delivered growth in operating and financial results, our share price has increased more than 60% over the last twelve months and more than 200% since our initial public offering in October 2003," said Fred Rowan, the Company's Chairman and Chief Executive Officer. "This proposed stock split reflects our continued confidence in our long-term growth, and we believe it will broaden the market for and widen the distribution of the Company's stock."
To accomplish the stock split, we will ask the Company's stockholders to approve an increase in the number of authorized shares of the Company's common stock from 40,000,000 to 150,000,000. The Company's Board of Directors recommends that the Company's stockholders approve this increase at the Company's May 11, 2006 annual stockholders meeting. Following stockholder approval and subject to then-current market conditions, the Company intends to announce the specific timing of the stock split and declare the stock dividend.
About Carter's, Inc.
Carter's, Inc. is the largest branded marketer in the United States of apparel exclusively for babies and young children. Carter's markets its Carter's and OshKosh B'Gosh brands, two of the most trusted and recognized brands in the marketplace. These brands are sold in more than 4,000 department and national chain stores and through more than 330 Company- operated stores. The OshKosh B'Gosh brand is also sold in more than 50 countries worldwide. Carter's Child of Mine and Just One Year brands are available at Wal-Mart and Target, respectively. OshKosh B'Gosh's Genuine Kid's brand is sold at Target. Carter's is headquartered in Atlanta, Georgia. Additional information may be found at www.carters.com.
This news release contains forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, such as the Company's intention to execute a stock split in the form of a stock dividend subsequent to stockholder approval and subject to market conditions at that time. These statements may be identified by the use of forward- looking words of phrases such as "anticipate," "believe," "could," "expect," "intend," "look forward," "may," "planned," "potential," "should," "will" and "would." Such forward-looking statements are inherently subject to known and unknown risks and uncertainties. The Company's actual actions or results may differ materially from those expected or anticipated in forward-looking statements. Specific factors that might cause such a difference include, but are not limited to: the Company's ability to manufacture, source and ship new and continuing products on a timely basis and the acceptance of those products by customers and consumers at prices that will be sufficient to profitably recover development, manufacturing, marketing, royalty and other costs of products; economic and public health conditions, including factors which impact the retail market or the Company's ability to manufacture and deliver products, higher fuel and commodity process, higher transportation costs, currency fluctuations and government regulation and other conditions in the various markets in which the Company operates throughout the world; work stoppages, slowdowns or strikes, which may impact the Company's ability to manufacture or deliver product; the impact of competition on revenues, margins and other aspects of the Company's business, including the ability to secure, maintain and renew popular licenses and the ability to attract and retain talented employees in a competitive environment; market conditions, third- party actions or approvals and the impact of competition that could delay or increase the cost of implementation of the Company's consolidation programs or alter the Company's actions and reduce actual results; the risk that anticipated benefits of acquisitions may not occur or be delayed or reduced in their realization; and other risks and uncertainties as may be detailed from time to time in the Company's public announcements and SEC filings. The Company undertakes no obligation to make any revisions to the forward-looking statements contained in this release or to update them to reflect events or circumstances occurring after the date of this release.
Vice President, Investor Relations
SOURCE Carter's, Inc.