Coldwater Creek reports $18.6M 4Q loss

SANDPOINT — Coldwater Creek reported a fourth-quarter loss of $18.6 million, or 20 cents a share, on Wednesday. That compares to a loss of $17 million, or 19 cents a share, for the same quarter last year.

Net sales were $283.2 million, compared with $345.5 million in the fiscal 2007 fourth quarter.

For the year ending Jan. 31, the Sandpoint company’s net loss was $26 million, 29 cents a share, compared with a net loss of $2.5 million, 3 cents a share, last year.

“We are clearly not satisfied with our fourth quarter and full year sales and earnings results,” said Daniel Griesemer, president and chief executive officer of Coldwater Creek. “While successfully managed the controllable aspects of our business, including our expenses, inventory, and balance sheet, it was not enough to offset the overall macroeconomic environment.”

Net sales for the fiscal year were just over $1.02 billion, down from $1.15 billion the previous year.

Retail sales, which includes the company’s premium retail stores, outlets and day spas, were $199.7 million compared to $226.3 million in the fiscal 2007 fourth quarter.

Direct sales, which is phone and Internet, were $83.5 million, well down from $119.3 million in the same period last year.

Griesemer said the company believes one of the keys to its success in 2009 will be to offer a merchandise assortment with a balance of fashion, fit and value “that will be relevant to the entire range of our target demographic.”

He said Coldwater Creek will remain focused on managing the business conservatively this year.

“We are confident that we are taking all the right steps to position Coldwater Creek to navigate the current economic downtown and emerge a stronger and more efficient organization,” Griesemer said.