Initial Settlement From Visa/MasterCard Antitrust Litigation Also Disclosed
MINNEAPOLIS, Nov. 3 /PRNewswire-FirstCall/ -- Target Corporation today
reported that its net retail sales from continuing operations (principally
Target Stores) for the four weeks ended October 29, 2005 increased
11.6 percent to $3.694 billion from $3.311 billion for the four-week period
ended October 30, 2004. On this same basis, comparable-store sales increased
5.7 percent from fiscal October 2004. The sales plan for the month was a
comparable-store increase in the range of 3 to 5 percent.
"We are pleased with our same-store sales in October, which were slightly
above our planned range," said Bob Ulrich, chairman and chief executive
officer of Target Corporation.
Continuing Operations Sales Total Sales Comparable Stores % Change
(millions) % Change This Year Last Year
October $3,694 11.6 5.7 6.0
Third Quarter $11,863 11.7 5.9 4.5
Year-to-Date $34,701 12.6 6.3 5.2
Separately, the Company also confirmed that it will receive at least
$27 million as its ultimate share of proceeds from the $3 billion
Visa/MasterCard antitrust litigation settlement. The Company had previously
disclosed that it expected greater clarity on this issue during the second
half of 2005. No related gain and receivable had been recorded in any prior
period.
"This non-recurring litigation benefit of approximately 2 cents per share
heightens the effects of Target's strong sales momentum and robust gross
margin rate expansion on third quarter earnings growth," Ulrich continued.
"When combined with our more modest outlook for earnings growth in the fourth
quarter, this exceptional third quarter performance reinforces our confidence
in our ability to deliver $1.50, or more, in diluted EPS in this year's second
half."
Target Corporation operates Target Stores, a chain of large, general
merchandise discount stores consisting of 1,400 locations in 47 states, as
well as an on-line business called Target.com. Forward-looking statements in
this release should be read in conjunction with the cautionary statements in
Exhibit (99)C to the company's Second Quarter 2005 Form 10-Q. Comments
regarding the company's sales results are available in a pre-recorded
telephone message that may be accessed by calling 612-761-6500. Target
Corporation news releases are available at http://www.target.com or
http://www.prnewswire.com .
SOURCE Target Corporation
11/03/2005
CONTACT: Susan Kahn (investor), 1-612-761-6735, Cathy Wright
(financial media), 1-847-615-1538, both of Target Corporation
5112 11/03/2005 08:25 EST http://www.prnewswire.com
