THE HOME DEPOT ANNOUNCES FOURTH QUARTER AND FISCAL 2008 RESULTS; PROVIDES FISCAL 2009 OUTLOOK
ATLANTA, Feb 24, 2009 The Home Depot®, the worlds largest home improvement retailer,
today reported a fiscal 2008 fourth quarter consolidated net loss of $54 million, or a loss of
$0.03 per diluted share, compared with net earnings of $671 million, or $0.40 per diluted share, in
the same period in fiscal 2007. These results reflect a pre-tax business rationalization charge of
$387 million, a pre-tax write-down of the Companys investment in HD Supply of $163 million, as
well as a loss from discontinued operations of $52 million, net of tax.
The business rationalization charge refers to the action the Company took in the fourth quarter to
exit its EXPO, THD Design Center, Yardbirds and HD Bath businesses and reduce support staff
Earnings per diluted share from continuing operations in the fourth quarter of fiscal 2008 were
$0.00, compared to net earnings per diluted share of $0.40 in the fourth quarter of fiscal 2007.
Excluding the business rationalization charge and the write-down of the Companys investment in HD
Supply, earnings per diluted share from continuing operations were
$0.19 for the fourth quarter, a decrease of 52.5 percent compared to
fourth quarter 2007.
Sales for the fourth quarter totaled $14.6 billion, a 17.3 percent decrease from the fourth quarter
of fiscal 2007. The fourth quarter of 2008 consisted of 13 weeks compared with 14 weeks of sales
in the fourth quarter of fiscal 2007. Excluding the additional week in 2007, sales declined by
12.0 percent from the fourth quarter of fiscal 2007. Comparable store sales for the fourth quarter
were negative 13.0 percent and were negatively impacted by the calendar shift in 2008. Excluding
the calendar shift, comparable store sales were negative 11.5 percent. Like-for-like comparable
store sales for U.S. stores were negative 9.2 percent.
For fiscal 2008, consolidated earnings per diluted share decreased 43.5 percent to $1.34 on
consolidated net earnings of $2.3 billion, compared to consolidated earnings per diluted share of
$2.37 on consolidated net earnings of $4.4 billion in fiscal 2007. Fiscal 2008 results reflect a
$1.1 billion charge related to both the recently announced business rationalization charge of $387
million and the write-down of the Companys investment in HD Supply of $163 million in the fourth
quarter, as well as a $564 million store rationalization charge related to the closing of 15 stores
and the removal of 50 stores from the Companys new store pipeline taken earlier in the year.
Fiscal 2008 results also include a loss from discontinued operations of $52 million, net of tax, or
$0.03 per diluted share.