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Burlington Coat Factory Announces Fiscal 2008 Operating Results

BURLINGTON, N.J.-(Business Wire)-September 3, 2008 - Burlington Coat Factory Investments Holdings, Inc. and its operating subsidiaries (the “Company”), a nationwide retailer based in Burlington, New Jersey, today announced its results for the fiscal year ended May 31, 2008.

The Company experienced a decrease in net sales for the 52 week period ended May 31, 2008 (“Fiscal 2008”) compared with the 52 week period ended June 2, 2007 (“Fiscal 2007”). Net sales were $3.39 billion for Fiscal 2008 and $3.40 billion for Fiscal 2007, a 0.3% decrease.

The Company experienced a 5.2% comparative store sales decrease from a year ago due primarily to weakened consumer demand similar to what other retailers are experiencing, unseasonably warm weather in September and October and temporarily low or out of stock issues in certain limited divisions throughout the fiscal year.

The Company recorded a net loss of $49.0 million for Fiscal 2008 compared with a net loss of $47.2 million for Fiscal 2007. The primary drivers of the increased net loss in Fiscal 2008 compared with Fiscal 2007 were a slight decrease in net sales and increased selling and administrative and depreciation expenses. These items are partially offset by lower costs of sales during Fiscal 2008 compared with Fiscal 2007. Please refer to the Company’s annual report on Form 10-K for Fiscal 2008 for further discussion of the Company’s results.

As of August 31, 2008, we operated 417 stores under the names “Burlington Coat Factory Warehouse” (399 stores), “MJM Designer Shoes” (fifteen stores), “Cohoes Fashions” (two stores), and “Super Baby Depot” (one store) in 44 states.

Fiscal 2008 Conference Call

The Company will hold a conference call for investors on Friday, September 12, 2008 at 10:00 a.m. eastern time to discuss the Company’s Fiscal 2008 operating results. To participate in the call, please dial 800-954-0634. This conference call will be recorded and available for replay beginning one hour after the end of the call and will be available through September 16, 2008 at 11:00 a.m. eastern time. To access the replay, please dial 1-800-633-8284, then the access number, 21390966.

About Burlington Coat Factory

Burlington Coat Factory is a nationally recognized retailer of high-quality, branded apparel at every day low prices. The Company currently serves its customers through its 417 stores in 44 states. For more information about Burlington Coat Factory, visit our website at www.burlingtoncoatfactory.com.

Safe Harbor for Forward-Looking and Cautionary Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. As such, final results could differ from estimates or expectations due to risks and uncertainties, including among others, competition in the retail industry, seasonality of our business, adverse weather conditions, changes in consumer preferences and consumer spending patterns, import risks, inflation, general economic conditions, our ability to implement our strategy, our substantial level of indebtedness and related debt-service obligations, restrictions imposed by covenants in our debt agreements, availability of adequate financing, our dependence on vendors for our merchandise, events affecting the delivery of merchandise to our stores, existence of adverse litigation, availability of desirable locations on suitable terms, and other risks. For any of these factors, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, as amended.


BURLINGTON COAT FACTORY INVESTMENTS HOLDINGS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
(All amounts in thousands)

	(Successor)									(Predecessor)
	Year Ended May 31, 2008			Year Ended June 2, 2007			April 13, 2006 to June 3, 2006			May 29, 2005 to April 12, 2006
REVENUES:
Net Sales	$	3,393,417		$	3,403,407		$	421,180		$	3,017,633
Other Revenue		30,556			38,238			4,066			27,675

		3,423,973			3,441,645			425,246			3,045,308

COSTS AND EXPENSES:
Cost of Sales		2,095,364			2,125,160			266,465			1,916,798
Selling and Administrative Expenses		1,090,829			1,062,468			154,691			897,231
Depreciation		133,060			130,398			18,097			78,804
Amortization		43,915			43,689			9,758			494
Impairment Charges		25,256			24,421			-			-
Interest Expense		122,684			134,313			18,093			4,609
Other Income, Net		(12,861	)		(6,180	)		(4,876	)		(3,572	)

		3,498,247			3,514,269			462,228			2,894,364
(Loss) Income Before (Benefit) Provision for Income Tax		(74,274	)		(72,624	)		(36,982	)		150,944
(Benefit) Provision for Income Tax		(25,304	)		(25,425	)		(9,816	)		56,605

Net (Loss) Income		(48,970	)		(47,199	)		(27,166	)		94,339
Net Unrealized (Loss) on Investments, Net of tax		-			-			-			(4	)

Total Comprehensive (Loss) Income	$	(48,970	)	$	(47,199	)	$	(27,166	)	$	94,335

* Predecessor/Successor Presentation: Although Burlington Coat Factory Warehouse Corporation continued as the same legal entity after the Merger Transaction, the Selected Financial Data presented for the fiscal year ended June 3, 2006 is presented for two periods: Predecessor

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