Eddie Bauer Holdings, Inc. said that preliminary comparable store sales fell 5.7%for the quarter and 1.1% for the fiscal year, excluding the effect from foreign exchange rates. Eddie Bauer also said it expects to report that its adjusted earnings before income, taxes, depreciation and amortization in the fourth quarter of $53 million to $58 million, a decrease of $2 million to $7 million from the year-earlier quarter.



The company said its fiscal year results are estimated with $50 million to $55 million growth for fiscal 2008, an increase of $8 million to $13 million.


The company closed 16 retail stores and one outlet store during the year.

Eddie Bauer also said it will make other cost-cutting measures in 2009 including freezing salaries, adjusting its benefits program, cutting the size of its board of directors and cutting total board costs by up to 50 percent.


The company also said it will cut $10 million to $15 million in administrative costs, limit its capital spending and speed up new product development and launches.


“The retail environment in the fourth quarter was brutal, the worst in decades,” said Neil Fiske, president and chief executive officer. “In spite of the recession in 2008, we managed to improve our year-over-year adjusted EBITDA and cash flow. Our sales were soft, but much of the market fared worse. Our turnaround program continues to show results, even in a tough environment.”