Traditionally transitional first quarter - Groupe Bikini

11 Jun '10

5 min read

Recognizing that market fluctuations are natural and temporary, and that long-term success is historically accorded to those who are prepared to take advantage the moment conditions improve, Groupe Bikini Village has worked over the last two years to improve its retail network: having renovated stores that are likely to deliver improved results, closed others whose performance didn't meet standards, and exited expiring leases where management identified opportunities to achieve stronger sales in better locations.

Concurrent with its retail renovations, Groupe Bikini Village also upgraded its systems and supply chain to make its operations more effective and efficient. "Together, we believe these strategies have made us more competitive, and we are confident and enthusiastic as we look ahead," said Simard. "Given the positive results they have generated to date, we will remain faithful to these strategies in the coming months, as we continue to focus on sales and profitability, and await the retail sector turnaround that will give us the opportunity to demonstrate their full benefit to our shareholders."

Groupe Bikini Village has also taken steps to improve its capital situation in the coming months, with an application to conduct a rights offering and consolidation of shares within a range of one new share for every 100 currently outstanding shares to one new share for every 150 currently outstanding shares. This proposal, which was announced on May 3, 2010 and, if approved and conducted, would give Groupe Bikini Village a stronger cash position and capital structure. "We firmly believe that such an offering and consolidation would provide Groupe Bikini Village increased latitude to build shareholder value by creating our own opportunities or taking advantage of other strategic alternatives," said Simard.

Groupe Bikini Village inc., serving Canadians for almost a quarter-century, is a leading swimwear retailer with a network of new and renovated boutiques across Eastern Canada. In its bright and inviting stores with comfortable change rooms and knowledgeable staff, Groupe Bikini Village helps its customers choose from among Canada's widest selection of swimsuits, beach accessories, and cruisewear, in the most popular brands the industry has to offer and in styles to suit every figure. The newest addition to its retail network, Lanaï, offers the most popular clothing brands for young girls in Brossard, Quebec. Headquartered in Sainte-Julie, Quebec, Groupe Bikini Village inc. operates 63 stores and employs approximately 500 people; its securities trade on the Toronto Stock Exchange under the stock symbol GBV.

Groupe Bikini Village inc

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