Grupo Inditex 1999 Financial Highlights

Grupo Inditex which includes fashion retailing chains Zara, Pull & Bear, Massimo Dutti, Bershka and Stradivarius has published today its results for FY1999 (February 1, 1999 to January 31, 2000). Net revenues achieved 337,171 Pta. million, 25% above 1998. Sales outside Spain account for 48% of total sales versus 45% in FY98. 87% of items sold in FY99 were manufactured in Europe. Cash flow totalled 53,528 Pta. million, a 32% increase over 1998. Net attributable income was 34.070 Pta. million, 34% above the previous year. Shareholders Funds amount to 145,110 Pta. million at FYE, increasing by 29,5% over the previous year due to retained earnings. In 1999 Grupo Inditex entered 9 countries (Germany, The Netherlands, Poland, Canada, Brazil, Chile, Uruguay, Saudi Arabia and Bahrein) and is currently present in a total of 31. Openings in Germany (stores in Hamburg and Cologne) should be noted and 5 new stores are planned for this market in FY2000. In 1999 Grupo Inditex created 2,016 direct permanent jobs. Average employees increased by 16.8% to 13.984 Grupo Inditex acquired fashion retailing chain Stradivarius last November due to its good market position and strong growth potential. 101 store openings and acquisition of Stradivarius (75 stores) make a group total of 924 stores at FYE99. A exclusive cosmetic line for the Zara chain was launched last December. Capital expenditure for the period increased by 48.6% amounting to 68,500 Pta. Million, including the acquisition of Stradivarius. In 2000 Grupo Inditex plans to launch the Zara chain in Austria, The Netherlands, Luxemburg and Denmark among other countries.