An equally important goal for us in 1999 is to continue to strengthen our balance sheet. We expect to continue to generate strong EBITDA, and we are aggressively managing working capital. We are focused on reducing our capital expenditures, and our goal in fiscal 1999 is to spend approximately $50 million, a significant decline from $103 million in 1996. This reduction reflects substantial prior investments in technology and the success of our domestic distribution center consolidation program, which is now near completion.

We anticipate reducing the total debt on our balance sheet in 1999 through the generation of operating cash flow and asset sale proceeds. We have also ended the common stock repurchase program we conducted in 1998, and we have amended the credit facility with our lender banks to facilitate the disposition of non-core businesses. We believe these combined efforts will provide greater financial flexibility to help us execute our plan and fulfill our growth objectives.


Previous | Return to Main page | Next