SOURCE: PriceSmart, Inc.

July 13, 2010 16:00 ET

PriceSmart Announces Appointment of Jose Luis Laparte as Chief Executive Officer of the Company

SAN DIEGO, CA--(Marketwire - July 13, 2010) -  PriceSmart, Inc. (NASDAQ: PSMT) ( today announced that on July 12, 2010 Jose Luis Laparte, President of the Company, was appointed by the Company's Board of Directors to be Chief Executive Officer and President of the Company. Robert Price, Chairman of the Board and formerly Chief Executive Officer of the Company, will remain Chairman of the Company's Board of Directors.

Commenting on this appointment by the Board Mr. Price stated: "Jose Luis Laparte has demonstrated excellent operational and merchandising skills since he joined our Company in 2004. Under his leadership as President net warehouse sales have more than doubled from $605 million in fiscal year 2005 to over $1.3 billion in the most recent 12 month period. Similarly operating income, which was a loss of $5.4 million in fiscal year 2004 just prior to Jose Luis joining the Company, now stands at $66.6 million for the 12 months ending May 31, 2010. Jose Luis' promotion to Chief Executive Officer and President is very well earned and deserved and I look forward to continuing to work closely with Jose Luis on behalf of our stockholders, members and employees."

About PriceSmart

PriceSmart, headquartered in San Diego, owns and operates U.S.-style membership shopping warehouse clubs in Central America and the Caribbean, selling high quality merchandise at low prices to PriceSmart members. PriceSmart now operates 27 warehouse clubs in 11 countries and one U.S. territory (five in Costa Rica; four each in Panama and Trinidad; three in Guatemala, two each in Dominican Republic, El Salvador and Honduras; and one each in Aruba, Barbados, Jamaica, Nicaragua and the United States Virgin Islands).

This press release may contain forward-looking statements concerning the Company's anticipated future revenues and earnings, adequacy of future cash flow and related matters. These forward-looking statements include, but are not limited to, statements containing the words "expect," "believe," "will," "may," "should," "project," "estimate," "scheduled," and like expressions, and the negative thereof. These statements are subject to risks and uncertainties that could cause actual results to differ materially, including the following risks: the Company's financial performance is dependent on international operations which exposes the Company to various risks; any failure by the Company to manage its widely dispersed operations could adversely affect the Company's business; the Company faces difficulties in the shipment of and inherent risks in the acquisition and importation of merchandise to its warehouse clubs; the Company is exposed to weather and other natural disaster risks associated with international operations; declines in the economies of the countries in which the Company operates its warehouse clubs would harm its business; a few of the Company's stockholders own nearly 40% of the Company's voting stock, which may make it difficult to complete some corporate transactions without their support and may impede a change in control; the loss of key personnel could harm the Company's business; the Company is subject to volatility in foreign currency exchange; the Company faces the risk of exposure to product liability claims, a product recall and adverse publicity; a determination that the Company's long-lived or intangible assets have been impaired could adversely affect the Company's future results of operations and financial position; and the Company faces increased compliance risks associated with compliance with Section 404 of the Sarbanes-Oxley Act of 2002; as well as the other risks detailed in the Company's SEC reports, including the Company's Annual Report on Form 10-K filed pursuant to the Securities Exchange Act of 1934 on November 9, 2009. We assume no obligation and expressly disclaim any duty to update any forward-looking statement to reflect events or circumstances after the date of this presentation or to reflect the occurrence of unanticipated events.

Contact Information

  • For further information, please contact:
    Robert E. Price
    Principal Executive Officer
    (858) 551-2336
    John M. Heffner
    Executive Vice President and Principal Financial Officer
    (858) 404-8826