Operator: Good morning ladies and gentlemen, and welcome to the Fourth Quarter 2012 Earnings Release Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session.
This conference call may contain forward-looking statements that reflect management's current views of future events and financial performance. These forward-looking statements are based on many assumptions and factors, including the effects of currency fluctuations, customer preferences, economic and market conditions worldwide, and other risks and uncertainties described in the Company's press release and SEC filings.
We refer you to Foot Locker Incorporated's most recently filed Form 10-K or Form 10-Q for a complete description of these factors. Any changes in such assumptions or factors could produce significantly different results and actual results may differ materially from those contained in the forward-looking statements.
If you have not received yesterday's release, it is available on the Internet at www.prnewswire.com or www.footlocker-inc.com. Please note that this conference is being recorded.
I will now turn the call over to John Maurer; Vice President, Treasurer and Investor Relations. Mr. Maurer, you may begin.
John A. Maurer - VP, Treasurer and IR: Thank you and good morning. I'd like to welcome everyone to Foot Locker Inc. fourth quarter and full year earnings conference call. Here with me this morning are Lauren Peter, Executive Vice President and Chief Financial Officer; Dick Johnson, Executive Vice President and Chief Operating Officer; and Ken Hicks, Chairman and Chief Executive Officer.
Lauren will first provide you with the details of our fourth quarter and full year results that we announced earlier this morning and then later she will review some of our key financial assumptions going into 2013.
In between Ken and Dick will review some of our key accomplishments in the first year, working towards our updated long-range plan and describe some of the exciting new store formats and other investments that are part of the increased capital expenditure program that we announced in February.
Let me start by setting the framework for today's discussion. Earlier this morning, we reported that Foot Locker produced earnings of $104 million in the fourth quarter or $0.68 per share, a 28% increase over the $0.53 per share that we earned in Q4 last year. As noted in the release these GAAP results in 2012 included negative impact of $0.05 per share for an impairment charge related to our CCS business.
On a non-GAAP basis without that charge our earnings per share were $0.73 in the fourth quarter.
Figures I just mentioned are based on a 14-week quarter in 2012 compared to the usual 13-week period and the annual figures we reported are based on a 53-week year.
The 53rd week added $14 million after-tax or $0.09 per share to our quarterly and annual results in 2012
The non-GAAP EPS figure of $0.64 that we included in our press release this morning excludes the 53rd week and the CCS impairment charges. This amount compares most closely to the non-GAAP results of $0.55 that we reported in Q4 of last year. Both the years are based on 13 weeks and exclude one-time impairment charges.