SOURCE: Concord Camera Corp.

September 27, 2007 18:24 ET

Concord Camera Corp. Announces the Filing of Its Annual Report on Form 10-K for the Fiscal Year Ended June 30, 2007

HOLLYWOOD, FL--(Marketwire - September 27, 2007) - Concord Camera Corp. ("Concord" or "Company") (NASDAQ: LENS) today reported financial results for the fourth quarter and fiscal year ended June 30, 2007 ("Fiscal 2007") and announced that it filed its Annual Report on Form 10-K for Fiscal 2007 with the Securities and Exchange Commission (see attached tables).

About Concord Camera Corp.

Concord Camera Corp., through its subsidiaries, is a global provider of easy-to-use single-use and 35mm traditional film cameras. Concord currently markets and sells its cameras on a private-label basis and under the POLAROID and POLAROID FUNSHOOTER brands through in-house sales and marketing personnel and independent sales representatives. The POLAROID trademark is owned by Polaroid Corporation and is used by Concord under license from Polaroid. The FUNSHOOTER trademark is a registered trademark of Concord Camera Corp. in the United States and other countries. Learn more about Concord Camera Corp. at www.concord-camera.com.

Except for the historical information contained herein, statements in this press release are forward-looking and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that forward-looking statements involve risks and uncertainties that may affect the Company's business and prospects, including the risks discussed under "Risk Factors" and disclosures in the Company's Annual Report on Form 10-K for the fiscal year ended June 30, 2007 and subsequently filed reports. Such forward-looking statements include, without limitation, statements regarding expected cost reductions, anticipated or expected results of the implementation of the Company's cost-reduction initiatives and new business initiatives, anticipated financial benefits of de-emphasizing the sale of digital cameras and increasing its focus on the sale of single-use and 35mm traditional film cameras, the development of its business, anticipated revenues or capital expenditures, its ability to improve gross margin percentages on the sale of its products, projected profits or losses, the expected market size for single-use and 35mm traditional film cameras and the sufficiency of its working capital and cash to fund its operations in the next twelve months. In particular, the Company's expected results could be adversely affected by, among other things, production difficulties or economic conditions negatively affecting its suppliers, customers or the market for its products or by its inability to negotiate favorable terms with its suppliers, customers or licensors. Any forward-looking statements contained in this press release represent the Company's estimates only as of the date hereof, or as of such earlier dates as are indicated, and should not be relied upon as representing its estimates as of any subsequent date. While the Company may elect to update forward-looking statements in the future, it disclaims any intent or obligation to do so, even if its estimates change.


Concord Camera Corp. and Subsidiaries
Consolidated Balance Sheets
(in thousands)


                                                       June 30,   July 1,
                                                         2007       2006
                                                      ---------  ---------
Assets
Current Assets:
  Cash and cash equivalents                           $   3,853  $   6,795
  Restricted cash                                         6,200      8,264
  Short-term investments                                 30,475     23,550
  Accounts receivable, net                               10,702     16,648
  Inventories                                            15,806     28,260
  Prepaid expenses and other current assets               1,401      3,277
                                                      ---------  ---------
                Total current assets                     68,437     86,794
Property, plant and equipment, net                       10,616     13,778
Other assets                                              3,451      4,170
                                                      ---------  ---------
                Total assets                          $  82,504  $ 104,742
                                                      =========  =========

Liabilities and Stockholders’ Equity
Current Liabilities:
  Short-term borrowings under financing facilities    $   2,756  $      --
  Accounts payable                                       17,042     26,589
  Accrued royalty                                         2,499      3,223
  Accrued expenses                                        5,775      8,265
  Other current liabilities                               1,346      1,874
                                                      ---------  ---------
                Total current liabilities                29,418     39,951
Other long-term liabilities                               1,442      1,824
                                                      ---------  ---------
                Total liabilities                        30,860     41,775
Commitments and contingencies

Stockholders’ equity:
  Blank check preferred stock, no par value,
   1,000 shares authorized, none issued                      --         --
  Common stock, no par value, 20,000 shares
   authorized; 6,261 and 6,185 shares issued
   as of June 30, 2007 and July 1, 2006                 143,860    143,518
  Additional paid-in capital                              5,189      5,128
  Deferred share arrangement                                413        624
  Accumulated deficit                                   (92,412)   (80,686)
                                                      ---------  ---------
                                                         57,050     68,584
  Less: treasury stock, at cost, 347 shares
   as of June 30, 2007 and July 1, 2006                  (4,993)    (4,993)
  Less: common stock held in trust, 66 and 102
   shares as of June 30, 2007 and July 1, 2006             (413)      (624)
                                                      ---------  ---------
                 Total stockholders’ equity              51,644     62,967
                                                      ---------  ---------
                 Total liabilities and stockholders’
                  equity                              $  82,504  $ 104,742
                                                      =========  =========




Concord Camera Corp. and Subsidiaries
Consolidated Statements of Operations
(in thousands, except per share data)


                                  For the Quarter     For the Fiscal Year
                                  Ended (unaudited)          Ended
                                --------------------  --------------------
                                 June 30,    July 1,   June 30,    July 1,
                                   2007       2006       2007       2006
                                --------------------  --------------------

Net sales                       $  22,115  $  32,964  $  86,653  $ 137,529

Cost of products sold              20,051     28,310     77,452    122,928
                                ---------  ---------  ---------  ---------

Gross profit                        2,064      4,654      9,201     14,601

Selling expenses                    2,329      3,701      9,133     13,895

General and administrative
  expenses                          3,254      5,006     13,451     20,978
                                ---------  ---------  ---------  ---------

Operating loss                     (3,519)    (4,053)   (13,383)   (20,272)

Interest expense                       87         60        336        374

Other income, net                    (400)      (659)    (1,999)    (1,142)
                                ---------  ---------  ---------  ---------

Loss before income taxes           (3,206)    (3,454)   (11,720)   (19,504)

Provision (benefit) for
 income taxes                         (28)      (121)         6        107
                                ---------  ---------  ---------  ---------

Net loss                        $  (3,178) $  (3,333) $ (11,726) $ (19,611)
                                =========  =========  =========  =========

Basic and diluted loss
 per common share               $   (0.54) $   (0.57) $   (1.99) $   (3.36)
                                =========  =========  =========  =========

Weighted average common
 shares outstanding - basic
 and diluted                        5,914      5,838      5,878      5,838
                                =========  =========  =========  =========

Contact Information

  • CONTACT:
    Concord Camera Corp.
    Blaine Robinson
    Vice President Finance and Treasurer
    (954) 331-4238