Destination Xl Group, Inc. · NASDAQ:DXLG
Destination Xl — Casual Male Retail Group — Investor Presentation (May 2009)
29 slides from Destination Xl's investor presentation, May 28, 2009
Slide 1: Casual Male Retail Group Inc.
CASUAL|MALE retail group inc.
Slide 2: Big & Tall Market
Big & Tall Market Market defined as: big = waist size between 40” and 70” tall = height over 6’2” Big and tall men account for approximately 11% of the male population. Big and tall market size is approximately $6 billion and growing at almost twice the rate of the regular size men’s apparel market.
Slide 3: Market is growing as a percent to total menswear sales
Market is growing as a percent to total menswear sales Obesity Trends* Among U.S. Adults (*BMI 30, or about 30 lbs overweight) No Data <10% 10%–14% 15%–19% 20%–24% 25%–29% 30% 1985 2005 2000 1995 1990 2007 Source: CDC
Slide 4: 2009 Goals
2009 Goals Improving Free Cash Flow to a projected $25 million Maximizing Credit Facility availability and paying down bank debt to $20 - $25 million at year-end Managing inventory levels and reducing by 10% or $10 million Reducing SG&A by 15% to $151 million Cutting Capital Expenditures to $5 milli
Slide 5: Selected Balance Sheet Information
Selected Balance Sheet Information 17.3 12.5 7.6 Fixed Term Loan 41.0 38.7 12.5 – 18.0 Borrowing Under Revolver 117.8 98.6 88.6 Inventory 2007 2008 2009 Projected
Slide 6: Selected Income Statement Information
Selected Income Statement Information 33.9 34.1 21.6 Marketing Expense 4.3 3.0 1.5 Interest Expense 44.4% 42.7% 44.0 % – 44.5% Gross Margin 178.1 178.1 151.0 SG&A 464.1 444.2 400.0 Sales 2007 2008 2009 Projected
Slide 7: CASUAL! MALE
CASUAL! MALE ROCHESTER CASUALIMALE CLOTHING BBM CASUAL MALE XL Se
Slide 8: Slide 8
Slide 9: Rochester targets the higher income consumer within the big and tall market
Rochester Targets the higher income consumer within the big and tall market $100,000 per year average salary 22 store locations in downtown major metropolitan areas and upscale suburbs Average store size: 8,156 square ft Average sales / square foot: $256 Stores carry higher-end designer product Aver
Slide 10: Casual Male Rochester
CASUAL MALE 1 ROCHESTER
Slide 11: Concept
Concept The Hybrid store, as conceived, is a combination Casual Male, Rochester store featuring the lifestyle sportswear apparel wardrobe needs offered by Casual Male, but with an added lifestyle of higher end fashion apparel offered by Rochester and an enhanced Clothing section featuring the qualit
Slide 12: Hybrids
Hybrids Eliminated duplicative accessories/furnishings between combined Rochester and Casual Male. Good, better, best tiered offering with most of best coming from Rochester’s good and better assortment. Edited assortment for brands carried in both companies i.e. Polo, CK Jeans. Assortment will be m
Slide 13: Operational Models
OPERATIONAL MODELS Tailoring Service Pricing Average Unit Retail Square Footage Full Service Tailoring Full Service Tailoring No Tailoring Service Offered Leaning Towards Full Service Full Service Semi Self Service Mid-High Moderate High End Moderate $45.00 $74.90 $32.10 9,045 8,156 3,515 Hybrid Sto
Slide 14: Oakbrook, IL - Existing Locations
OAKBROOK, IL • Existing Locations
Slide 15: Oakbrook, IL - Hybrid Store Front
OAKBROOK, IL • Hybrid Store Front
Slide 16: Typical Hybrid Store Layout Proposal
TYPICAL HYBRID STORE LAYOUT PROPOSAL
Slide 17: Typical Hybrid Store Shop Identity
TYPICAL HYBRID STORE SHOP IDENTITY LIGHT WOOD vs. DARK WOOD
Slide 18: CMRG Comp Sales Trend
CMRG Comp Sales Trend -15.0% -10.0% -5.0% 0.0% 5.0% 10.0% 2005 2006 2007 Q1 Q2 Q3 Q4 Q1 2008 2009
Slide 19: Our Direct to Consumer Brands
Our Direct to Consumer Brands CasualmaleXL.com Rochesterclothing.com Livingxl.com BTDirect.com ShoesXL.com
Slide 20: CMRG Internet Sales by Year
CMRG Internet Sales by Year $0 $10,000,000 $20,000,000 $30,000,000 $40,000,000 $50,000,000 $60,000,000 2002 2003 2004 2005 2006 2007 2008
Slide 21: CASUAL!IMALE
CASUAL!IMALE Bice -ALL CASUAL/MALE ee ekg Father's Day hy ® - isdune 21st make It hot out...casual Male XL keepsyou looking cool “OVER 120 NEW (, ITEMS INSIDE life's better when it fits
Slide 22: Rochester Clothing
ROCHESTER CLOTHING ROCHESTER _wsrone-omieveanaise HIG & TALL Tose HR TRENT SOTO OFF sitronc: ST eR . f= & A, bee
Slide 23: (QURIBEST/SELLING]
(QURIBEST/SELLING] BOLO}OnLEEE as BUY 2, GET ~ THE 3RD | YOUR SIZES. YOUR STYLI OUR BEST-SELLING POLO OR TEE... RD a2 oS Canyon Ridge® Solid Piqué Polo $21.99 each DESIGNER DEALS ememae | ERED | ino.
Slide 24: LivingXL
LivingXL EVERYTHING UNDER THE SUN a mxtauaury Amore comfortable, convenient life awaits. Visit LivingXL.com or Call 1-800-535-7639
Slide 25: Bigger. Wider. Better.
Bigger. Wider. Better. with from 12M & 10W on up. ce ing Cleon Brame GY UGB bead vernon Qrocerone ‘00 current styles
Slide 26: lel
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Slide 27: Obesity in Europe
Obesity in Europe 135 million adults are affected by obesity Many countries more than half the adult population is overweight and 30% defined as clinically obese In most European countries 1 in 4 children are obese which is over 80 million children • • •
Slide 28: Casual Male XL Loyalty Program Rewards
Casual Male XL Loyalty Program Rewards Current Program Performance: 2.2MM customers have been enrolled to date Of the 1.43MM retail customers, 1.18 or 83% are enrolled 83% of new customers captured in POS are being enrolled 88% of transactions involved an XL Rewards member Loyalty members average sp
Slide 29: Forward Looking Statements
Forward Looking Statements: This presentation contains certain forward-looking statements concerning the Company's operations, performance, and financial condition. Such forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially fro
Casual Male Retail Group — Investor Presentation (May 2009) on 6ix