Sales of Costa and Native sunglasses rose 22.2% to $11.4 million in the fourth quarter ended Jan. 1, 2011, according to A.T. Cross Company, which owns the brands through its Cross Optical segment.


Cross Optical revenues for the full year ended Jan. 1 rose 19.0% to $60.5 million.

“2010 was an outstanding year for A.T. Cross,” said David G. Whalen, President and Chief Executive Officer. “Throughout the economic downturn, in anticipation of an economic recovery, we continued to invest in our business and put in place aggressive plans to grow revenue and profit. In 2010, as the economy improved, our plans came to fruition and our shareholders were rewarded. The Cross Optical Group delivered a powerful all around performance and the Cross Accessory Division increased operating profit by $5.8 million. From this position and with our strong balance sheet, we expect to continue to generate profitable growth during 2011.”

A.T. Cross, which also makes pens and other products through its Cross Accessory Division, reported consolidated sales for the fourth quarter of 2010 increased by 11.5% to $44.0 million compared to $39.5 million in the fourth quarter of 2009. The Cross Accessory Division (CAD) recorded revenue of $32.6 million, an increase of 8.2% compared to last year.


Consolidated gross margin in the fourth quarter was 55.2% compared to 54.7% in last year's fourth quarter. Operating expenses, excluding restructuring charges, were $21.7 million, or 49.2% of sales, in the fourth quarter of 2010 compared to $19.1 million, or 48.3% of sales, in the fourth quarter of 2009.

Net income in the fourth quarter was $1.9 million, $0.16 per basic and $0.15 per diluted share, compared to net income of $1.2 million, $0.09 per basic and diluted share, last year. Included in the fourth quarter of 2009 are pretax restructuring charges of $0.8 million.










































































































































A.T. CROSS COMPANY


CONSOLIDATED SUMMARY OF INCOME


(in thousands, except per share amounts)


(unaudited)







Three Months Ended Twelve Months Ended

January 1,
2011 		January 2,
2010 		January 1,
2011 		January 2,
2010





Net sales $ 44,035 $ 39,489 $ 158,312 $ 141,764
Cost of goods sold 19,729 17,874 69,836 65,046
Gross Profit 24,306 21,615 88,476 76,718



Selling, general and administrative expenses 18,783 16,425 68,836 63,978
Service and distribution costs 2,158 1,760 7,524 6,763
Research and development expenses 744 877 2,811 2,817
Restructuring charges (19) 811 (19) 1,860
Operating Income 2,640 1,742 9,324 1,300
Interest and other expense (367) (564) (1,220) (930)
Income Before Income Taxes 2,273 1,178 8,104 370
Income tax provision (benefit) 418 (65) 1,731 (1,485)
Net Income $ 1,855 $ 1,243 $ 6,373 $ 1,855



Net Income per Share:



Basic $ 0.16 $ 0.09 $ 0.50 $ 0.13
Diluted $ 0.15 $ 0.09 $ 0.49 $ 0.13