EX-99.1 2 a58163exv99w1.htm EX-99.1 exv99w1
Exhibit 99.1
(QUIKSILVER LOGO)
         
 
  Company Contact:   Bruce Thomas
 
      Vice President, Investor Relations
 
      Quiksilver, Inc.
 
      (714) 889-2200 
Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
—   Fourth quarter 2010 Operating Income up 128% to $34 million
 
—   Full-year fiscal 2010 Operating Income up 80% to $124 million
 
—   Full-year fiscal 2010 pro-forma Adjusted EBITDA up 34% to $214 million despite a 7% revenue decline
 
—   Company’s debt at fiscal year-end reduced 30% compared to a year ago
 
—   Company’s ratio of net debt to pro-forma Adjusted EBITDA at fiscal year-end improved to 2.8x compared to 5.5x at the end of fiscal 2009
 
—   Company completes €200 million private offering of Senior Notes and repays European term loans
Huntington Beach, California, December 16, 2010—Quiksilver, Inc. (NYSE: ZQK) today announced operating results for the fourth quarter and full year ended October 31, 2010. Consolidated net revenues from continuing operations for the fourth quarter of fiscal 2010 decreased by 8%, which was a smaller decrease than the company expected a quarter ago, to $495.1 million compared to $538.7 million in the fourth quarter of fiscal 2009. Fourth quarter pro-forma income from continuing operations was $21.8 million or $0.12 per share, compared to $3.2 million, or $0.02 per share for the fourth quarter of fiscal 2009. Pro-forma income for the fourth quarter of fiscal 2010 excludes a $34.4 million non-cash write-off of deferred debt issuance costs associated with previous financings in addition to $7.9 million of non-cash asset impairments and $2.6 million of restructuring costs. A reconciliation of GAAP results to pro-forma results is provided in the accompanying tables. Including these amounts, the loss from continuing operations for the fourth quarter was $23.1 million or $0.15 per share, compared to $15.7 million or $0.12 per share in the same quarter a year ago.
Consolidated net revenues for the full year of fiscal 2010 decreased 7% to $1.84 billion compared to $1.98 billion in fiscal 2009. Pro-forma income from continuing operations for the full year of fiscal 2010 was $47.6 million and excludes $59.1 million of special charges. Of this amount, $34.4 million represents the non-cash write-off of deferred debt issuance costs associated with previous financings in addition to $10.5 million of non-cash asset impairments and $10.2 million of restructuring costs. Including these amounts, loss from continuing operations was $11.5 million, or $0.09 per share, compared to $73.2 million, or $0.58 per share, for the full year of fiscal 2009. A reconciliation of GAAP results to pro-forma results is provided in the accompanying tables.
Subsequent to the end of the quarter, the company completed its previously-announced offering by its wholly-owned European subsidiary, Boardriders S.A., of €200 million aggregate principal amount of its 8.875% Senior Notes due 2017. The Notes, which are unsecured, were issued at 100% of their face value. Quiksilver used the proceeds of the offering to repay approximately €190 million of existing secured European term loans and to pay related fees and expenses. As a result, the company eliminated certain collateral obligations, extended its debt maturities and eliminated certain restrictions on the transfer of cash between its subsidiaries.
Robert B. McKnight, Jr., Chairman of the Board, Chief Executive Officer and President of Quiksilver, Inc., commented, “We’re very pleased to again deliver financial results that exceeded our prior expectations. Our team executed well in an inconsistent global economic environment. And we were delighted to take advantage of a favorable high-yield

 

 

(QUIKSILVER LOGO)
Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
December 16, 2010
Page 2 of 11
debt market to sell €200 million of Senior Notes at a good rate. By repaying our European term loans and eliminating their required amortization payments, we now have significantly more financial and operating flexibility. This flexibility will enable us to transition from a defensive posture focused on financial and operational restructuring to an offensive strategy focused on investing, over the next few years, in the many attractive growth opportunities that we’ve identified within our own terrific global brands: Quiksilver, Roxy and DC.”
Fourth Quarter Financial Highlights:
•   Pro-forma Adjusted EBITDA increased 19% to $59.5 million compared to $49.9 million in the fourth quarter of fiscal 2009 despite an 8% revenue decline.
 
•   Gross margin improved 590 basis points to 53.5% compared to 47.6% in the fourth quarter of fiscal 2009.
 
•   Net debt at October 31, 2010 was $608 million, reduced by $279 million compared to $887 million at October 31, 2009.
Net revenues in the Americas decreased 7% during the fourth quarter of fiscal 2010 to $221.8 million from $239.5 million in the fourth quarter of fiscal 2009. In constant currency, European net revenues decreased 1% compared to the prior year. As measured in U.S. dollars and reported in the financial statements, European net revenues decreased 10% during the fourth quarter of fiscal 2010 to $190.7 million from $211.4 million in the fourth quarter of fiscal 2009. In constant currency, Asia/Pacific net revenues decreased 14% compared to the prior year. As measured in U.S. dollars and reported in the financial statements, Asia/Pacific net revenues decreased 7% to $80.4 million in the fourth quarter of fiscal 2010 from $86.6 million in the fourth quarter of fiscal 2009. Please refer to the accompanying tables in order to better understand the impact of foreign currency exchange rates on revenue trends in our Europe and Asia/Pacific segments.
Fiscal Year 2010 Financial Highlights:
•   Pro-forma Adjusted EBITDA increased 34% to $214.3 million compared to $160.3 million in fiscal year 2009 despite a 7% revenue decline.
 
•   Gross margin improved 550 basis points to 52.6% compared to 47.1% in fiscal year 2009.
 
•   The ratio of net debt to pro-forma Adjusted EBITDA at fiscal year-end improved to 2.8x compared to 5.5x at the end of fiscal 2009.
Net revenues in the Americas for the full year of fiscal 2010 decreased 9% to $843.1 million. In constant currency, European net revenues decreased 7% compared to the prior year. As measured in U.S. dollars and reported in the financial statements, European net revenues decreased 8% during the full year of fiscal 2010 to $729.0 million. In constant currency, Asia/Pacific net revenues decreased 14% compared to the prior year. As measured in U.S. dollars and reported in the financial statements, Asia/Pacific net revenues increased 4% to $260.6 million for the full year of fiscal 2010.
Consolidated inventories remained approximately constant at $268.0 million at October 31, 2010 as compared to $267.7 million at October 31, 2009. Inventories also showed virtually no change when measured in constant currency. Consolidated trade accounts receivable decreased 14% to $368.4 million at October 31, 2010 from $430.9 million at October 31, 2009. The decrease in trade accounts receivable was also 14% in constant currency.
Early in the fourth quarter the company completed a debt-for-equity exchange with its investment partner Rhône Capital after receiving overwhelming support from stockholders in a special meeting vote. As a result of the transaction, the company further reduced its

 

 

(QUIKSILVER LOGO)
Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
December 16, 2010
Page 3 of 11
fiscal 2009 year-end debt level by $140 million in exchange for approximately 31.1 million shares of Quiksilver, Inc. common stock at an exchange price of $4.50 per share.
The company reduced its debt by 30% to $729 million compared to $1,039 million a year ago. Over $100 million of the $310 million debt reduction total was derived from cash generated by the business in fiscal 2010.
Addressing its outlook for continuing operations, the company stated that based on current trends, first quarter revenues are expected to be down approximately 5% compared to the same quarter a year ago. Pro-forma Adjusted EBITDA in the first quarter is expected to be as much as $10 million lower than in the first quarter of fiscal 2010. This anticipated near-term period-over-period decline in pro-forma Adjusted EBITDA is due primarily to increased spending in brand development, including the new Quiksilver Girls collection and higher overall marketing spend, as well as the effects of selling a few minor brands last year and the effects of foreign currency translation.
With respect to the full fiscal year 2011, the company currently expects slight growth in sales compared to fiscal 2010 although visibility is limited pending completion of the holiday sales period and fall order books. Nonetheless, at this point the company believes that it can achieve pro-forma Adjusted EBITDA roughly in line with that of fiscal 2010.
About Quiksilver:
Quiksilver, Inc. (NYSE:ZQK) is the world’s leading outdoor sports lifestyle company, which designs, produces and distributes a diversified mix of branded apparel, footwear, accessories, snowboards and related products. The company’s apparel and footwear brands represent a casual lifestyle for young-minded people that connect with its boardriding culture and heritage.
The reputation of Quiksilver’s brands is based on outdoor action sports. The company’s Quiksilver, Roxy, DC, Lib Tech and Hawk brands are synonymous with the heritage and culture of surfing, skateboarding and snowboarding.
The company’s products are sold in over 90 countries in a wide range of distribution, including surf shops, skate shops, snow shops, its proprietary Boardriders Club shops and other company-owned retail stores, other specialty stores and select department stores. Quiksilver’s corporate and Americas’ headquarters are in Huntington Beach, California, while its European headquarters are in St. Jean de Luz, France, and its Asia/Pacific headquarters are in Torquay, Australia.
Forward looking statements:
This press release contains forward-looking statements including but not limited to statements regarding the company’s revenue guidance, pro-forma Adjusted EBITDA guidance and other future activities. These forward-looking statements are subject to risks and uncertainties, and actual results may differ materially. Please refer to Quiksilver’s SEC filings for more information on the risk factors that could cause actual results to differ materially from expectations, specifically the sections titled “Risk Factors” and “Forward-Looking Statements” in Quiksilver’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.
NOTE: For further information about Quiksilver, Inc., you are invited to take a look at our world at
www.quiksilver.com, www.roxy.com, www.dcshoes.com, www.lib-tech.com and www.hawkclothing.com.

 

 

(QUIKSILVER LOGO)
Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
December 16, 2010
Page 4 of 11
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
                 
    Three Months Ended October 31,  
In thousands, except per share amounts   2010     2009  
Revenues, net
   $ 495,119     $ 538,681  
Cost of goods sold
     230,040       282,295  
 
            
Gross profit
     265,079       256,386  
 
                
Selling, general and administrative expense
     222,335       230,568  
Asset impairments
     8,432       10,737  
 
            
 
                
Operating income
     34,312       15,081  
 
                
Interest expense
     50,567       20,871  
Foreign currency loss
     463       1,804  
Other expense
     —       15  
 
            
Loss before provision for income taxes
     (16,718 )     (7,609 )
 
                
Provision for income taxes
     5,244       6,162  
 
            
 
                
Loss from continuing operations
   $ (21,962 )   $ (13,771 )
Income from discontinued operations
     1,009       13,936  
 
            
Net (loss) income
   $ (20,953 )   $ 165  
Less: net income attributable to non-controlling interest
     (1,107 )     (1,940 )
 
            
Net loss attributable to Quiksilver, Inc.
   $ (22,060 )   $ (1,775 )
 
            
 
                
Loss per share from continuing operations attributable to Quiksilver, Inc.
   $ (0.15 )   $ (0.12 )
 
            
Income per share from discontinued operations  attributable to Quiksilver, Inc.
   $ 0.01     $ 0.11  
 
            
Net loss per share attributable to Quiksilver, Inc.
   $ (0.14 )   $ (0.01 )
 
            
Loss per share from continuing operations attributable to Quiksilver, Inc., assuming dilution
   $ (0.15 )   $ (0.12 )
 
            
Income per share from discontinued operations  attributable to Quiksilver, Inc., assuming dilution
   $ 0.01     $ 0.11  
 
            
Net loss per share attributable to Quiksilver, Inc., assuming dilution
   $ (0.14 )   $ (0.01 )
 
            
 
                
Weighted average common shares outstanding
     158,379       127,577  
 
            
 
                
Weighted average common shares outstanding, assuming dilution
     158,379       127,577  
 
            
 
                
Amounts attributable to Quiksilver, Inc.:
                
Loss from continuing operations
   $ (23,069 )   $ (15,711 )
Income from discontinued operations
     1,009       13,936  
 
            
Net loss
   $ (22,060 )   $ (1,775 )
 
            

 

 

(QUIKSILVER LOGO)
Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
December 16, 2010
Page 5 of 11
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
                 
    Fiscal Year Ended October 31,  
In thousands, except per share amounts   2010     2009  
Revenues, net
   $ 1,837,620     $ 1,977,526  
Cost of goods sold
     870,372       1,046,495  
 
            
Gross profit
     967,248       931,031  
 
                
Selling, general and administrative expense
     832,066       851,746  
Asset impairments
     11,657       10,737  
 
            
 
                
Operating income
     123,525       68,548  
 
                
Interest expense
     114,109       63,924  
Foreign currency (gain) loss
     (5,917 )     8,633  
Other income
     —       (387 )
 
            
Income (loss) before provision for income taxes
     15,333       (3,622 )
 
                
Provision for income taxes
     23,433       66,667  
 
            
 
                
Loss from continuing operations
   $ (8,100 )   $ (70,289 )
Income (loss) from discontinued operations
     1,830       (118,827 )
 
            
Net loss
   $ (6,270 )   $ (189,116 )
Less: net income attributable to non-controlling interest
     (3,414 )     (2,926 )
 
            
Net loss attributable to Quiksilver, Inc.
   $ (9,684 )   $ (192,042 )
 
            
 
                
Loss per share from continuing operations attributable to Quiksilver, Inc.
   $ (0.09 )   $ (0.58 )
 
            
Income (loss) per share from discontinued operations
   $ 0.01     $ (0.94 )
 
            
Net loss per share attributable to Quiksilver, Inc.
   $ (0.07 )   $ (1.51 )
 
            
Loss per share from continuing operations attributable to Quiksilver, Inc., assuming dilution
   $ (0.09 )   $ (0.58 )
 
            
Income (loss) per share from discontinued operations attributable to Quiksilver, Inc., assuming dilution
   $ 0.01     $ (0.94 )
 
            
Net loss per share attributable to Quiksilver, Inc., assuming dilution
   $ (0.07 )   $ (1.51 )
 
            
 
                
Weighted average common shares outstanding
     135,334       127,042  
 
            
 
                
Weighted average common shares outstanding, assuming dilution
     135,334       127,042  
 
            
Amounts attributable to Quiksilver, Inc.:
                
 
                
Loss from continuing operations
   $ (11,514 )   $ (73,215 )
Income (loss) from discontinued operations
     1,830       (118,827 )
 
            
Net loss
   $ (9,684 )   $ (192,042 )
 
            

 

 

(QUIKSILVER LOGO)
Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
December 16, 2010
Page 6 of 11
Information related to operating segments is as follows (unaudited):
                 
    Three Months Ended  
    October 31,  
Amounts in thousands   2010     2009  
Revenues, net:
                
Americas
   $ 221,754     $ 239,510  
Europe
     190,692       211,404  
Asia/Pacific
     80,377       86,617  
Corporate operations
     2,296       1,150  
 
            
 
   $ 495,119     $ 538,681  
 
            
 
                
Gross Profit:
                
Americas
   $ 106,643     $ 92,230  
Europe
     114,788       117,868  
Asia/Pacific
     44,026       46,449  
Corporate operations
     (378 )     (161 )
 
            
 
   $ 265,079     $ 256,386  
 
            
 
                
SG&A Expense:
                
Americas
   $ 87,167     $ 91,427  
Europe
     92,159       100,223  
Asia/Pacific
     35,403       31,914  
Corporate operations
     7,606       7,004  
 
            
 
   $ 222,335     $ 230,568  
 
            
 
                
Asset Impairments:
                
Americas
   $ 6,747     $ 10,092  
Europe
     1,685       645  
Asia/Pacific
     —       —  
Corporate operations
     —       —  
 
            
 
   $ 8,432     $ 10,737  
 
            
 
                
Operating Income (Loss):
                
Americas
   $ 12,729     $ (9,289 )
Europe
     20,944       17,000  
Asia/Pacific
     8,623       14,535  
Corporate operations
     (7,984 )     (7,165 )
 
            
 
   $ 34,312     $ 15,081  
 
            

 

 

(QUIKSILVER LOGO)
Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
December 16, 2010
Page 7 of 11
Information related to operating segments (continued):
                 
    Fiscal Year Ended  
    October 31,  
Amounts in thousands   2010     2009  
Revenues, net:
                
Americas
   $ 843,078     $ 929,691  
Europe
     728,952       792,627  
Asia/Pacific
     260,578       251,596  
Corporate operations
     5,012       3,612  
 
            
 
   $ 1,837,620     $ 1,977,526  
 
            
 
                
Gross Profit:
                
Americas
   $ 390,249     $ 349,526  
Europe
     436,088       446,801  
Asia/Pacific
     141,197       135,591  
Corporate operations
     (286 )     (887 )
 
            
 
   $ 967,248     $ 931,031  
 
            
 
                
SG&A Expense:
                
Americas
   $ 324,683     $ 364,727  
Europe
     340,138       341,780  
Asia/Pacific
     128,207       112,418  
Corporate operations
     39,038       32,821  
 
            
 
   $ 832,066     $ 851,746  
 
            
 
                
Asset Impairments:
                
Americas
   $ 8,686     $ 10,092  
Europe
     1,785       645  
Asia/Pacific
     1,186       —  
Corporate operations
     —       —  
 
            
 
   $ 11,657     $ 10,737  
 
            
 
                
Operating Income (Loss):
                
Americas
   $ 56,880     $ (25,293 )
Europe
     94,165       104,376  
Asia/Pacific
     11,804       23,173  
Corporate operations
     (39,324 )     (33,708 )
 
            
 
   $ 123,525     $ 68,548  
 
            

 

 

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Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
December 16, 2010
Page 8 of 11
GAAP TO PRO-FORMA RECONCILIATION (Unaudited)
                 
    Three Months Ended October 31,  
In thousands, except per share amounts   2010     2009  
Loss from continuing operations attributable to Quiksilver, Inc.
   $ (23,069 )   $ (15,711 )
Restructuring charges, net of tax of $658 (2010) and $511 (2009)
     2,612       11,743  
Asset impairments, net of tax of $556 (2010) and $215 (2009)
     7,876       10,522  
Non-cash interest charges
     34,419       —  
Tax adjustment
     —       (3,312 )
 
            
Pro-forma income from continuing operations
   $ 21,838     $ 3,242  
 
            
 
                
Pro-forma income per share from continuing operations
   $ 0.14     $ 0.03  
 
            
 
                
Pro-forma income per share from continuing operations, assuming dilution
   $ 0.12     $ 0.02  
 
            
 
                
Weighted average common shares outstanding
     158,379       127,577  
 
            
 
                
Weighted average common shares outstanding, assuming dilution
     177,020       135,347  
 
            
                 
    Fiscal Year Ended October 31,  
In thousands, except per share amounts   2010     2009  
Loss from continuing operations attributable to Quiksilver, Inc.
   $ (11,514 )   $ (73,215 )
Restructuring charges, net of tax of $929 (2010) and $1,927 (2009)
     10,224       26,847  
Asset impairments, net of tax of $1,172 (2010) and $215 (2009)
     10,485       10,522  
Non-cash interest charges
     34,419       —  
Stock compensation expense
     5,240       —  
Gain from sale of Raisins trademarks
     (1,252 )     —  
Tax adjustments
     —       (10,315 )
Effect of U.S. tax valuation allowance
     —       50,778  
 
            
Pro-forma income from continuing operations
   $ 47,602     $ 4,617  
 
            
 
                
Pro-forma income per share from continuing operations
   $ 0.35     $ 0.04  
 
            
 
                
Pro-forma income per share from continuing operations, assuming dilution
   $ 0.31     $ 0.04  
 
            
 
                
Weighted average common shares outstanding
     135,334       127,042  
 
            
 
                
Weighted average common shares outstanding, assuming dilution
     151,954       128,089  
 
            

 

 

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Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
December 16, 2010
Page 9 of 11
ADJUSTED EBITDA and PRO-FORMA ADJUSTED EBITDA RECONCILIATION
                 
    Three Months Ended October 31,  
Amounts in thousands   2010     2009  
Loss from continuing operations attributable to Quiksilver, Inc.
   $ (23,069 )   $ (15,711 )
Provision for income taxes
     5,244       6,162  
Interest expense
     50,567       20,871  
Depreciation and amortization
     13,646       14,616  
Non-cash stock-based compensation expense
     1,417       996  
Non-cash asset impairments
     8,432       10,737  
 
            
Adjusted EBITDA
   $ 56,237     $ 37,671  
Restructuring charges
     3,270       12,254  
 
            
Pro-forma Adjusted EBITDA
   $ 59,507     $ 49,925  
 
            
                 
    Twelve Months Ended October 31,  
Amounts in thousands   2010     2009  
Loss from continuing operations attributable to Quiksilver, Inc.
   $ (11,514 )   $ (73,215 )
Provision for income taxes
     23,433       66,667  
Interest expense
     114,109       63,924  
Depreciation and amortization
     53,861       55,004  
Non-cash stock-based compensation expense
     12,831       8,415  
Non-cash asset impairments
     11,657       10,737  
 
            
Adjusted EBITDA
   $ 204,377     $ 131,532  
Restructuring and other special charges
     9,901       28,775  
 
            
Pro-forma Adjusted EBITDA
   $ 214,278     $ 160,307  
 
            
Definition of Adjusted EBITDA:
Adjusted EBITDA is defined as income from continuing operations attributable to Quiksilver, Inc. before (i) interest expense, (ii) income tax expense, (iii) depreciation and amortization, (iv) non-cash stock-based compensation expense and (v) asset impairments. Adjusted EBITDA is not defined under generally accepted accounting principles (“GAAP”), and it may not be comparable to similarly titled measures reported by other companies. We use Adjusted EBITDA, along with other GAAP measures, as a measure of profitability because Adjusted EBITDA helps us to compare our performance on a consistent basis by removing from our operating results the impact of our capital structure, the effect of operating in different tax jurisdictions, the impact of our asset base, which can differ depending on the book value of assets, the accounting methods used to compute depreciation and amortization, the existence or timing of asset impairments and the effect of non-cash stock-based compensation expense. We believe EBITDA is useful to investors as it is a widely used measure of performance and the adjustments we make to EBITDA provide further clarity on our profitability. We remove the effect of non-cash stock-based compensation from our earnings which can vary based on share price, share price volatility and the expected life of the equity instruments we grant. In addition, this stock-based compensation expense does not result in cash payments by us. We remove the effect of asset impairments from Adjusted EBITDA for the same reason that we remove depreciation and amortization as it is part of the impact of our asset base. Adjusted EBITDA has limitations as a profitability measure in that it does not include the interest expense on our debts, our provisions for income taxes, the effect of our expenditures for capital assets and certain intangible assets, the effect of non-cash stock-based compensation expense and the effect of asset impairments.

 

 

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Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
December 16, 2010
Page 10 of 11
SUPPLEMENTAL EXCHANGE RATE INFORMATION
(UNAUDITED)
In order to better understand growth rates in our foreign operating segments, we make reference to constant currency. Constant currency reporting improves visibility into actual growth rates as it adjusts for the effect of changing foreign currency exchange rates from period to period. Constant currency is calculated by taking the ending foreign currency exchange rate (for balance sheet items) or the average foreign currency exchange rate (for income statement items) used in translation for the current period and applying that same rate to the prior period. Our European segment is translated into constant currency using euros and our Asia/Pacific segment is translated into constant currency using Australian dollars as these are the primary functional currencies of each reporting segment. As such, this methodology does not account for movements in individual currencies within an operating segment (for example, non-euro currencies within our European segment). A constant currency translation methodology that accounts for movements in each individual currency could yield a different result compared to using only euros and Australian dollars. The following table presents revenues by segment in both historical currency and constant currency for the three months ended October 31, 2009 and 2010 (in thousands):
                                         
Historical currency (as reported)   Americas   Europe   Asia/Pacific   Corporate   Total
October 31, 2009
   $ 239,510     $ 211,404     $ 86,617     $ 1,150     $ 538,681  
October 31, 2010
     221,754       190,692       80,377       2,296       495,119  
Percentage decrease
     (7 %)     (10 %)     (7 %)             (8 %)
 
                                        
Constant currency (current year exchange rates)
                                        
 
                                        
October 31, 2009
   $ 239,510     $ 192,978     $ 93,812     $ 1,150     $ 527,450  
October 31, 2010
     221,754       190,692       80,377       2,296       495,119  
Percentage decrease
     (7 %)     (1 %)     (14 %)             (6 %)
The following table presents revenues by segment in both historical currency and constant currency for the fiscal years ended October 31, 2009 and 2010 (in thousands):
                                         
Historical currency (as reported)   Americas   Europe   Asia/Pacific   Corporate   Total
October 31, 2009
   $ 929,691     $ 792,627     $ 251,596     $ 3,612     $ 1,977,526  
October 31, 2010
     843,078       728,952       260,578       5,012       1,837,620  
Percentage (decrease) increase
     (9 %)     (8 %)     4 %             (7 %)
 
                                        
Constant currency (current year exchange rates)
                                        
 
                                        
October 31, 2009
   $ 929,691     $ 783,871     $ 303,136     $ 3,612     $ 2,020,310  
October 31, 2010
     843,078       728,952       260,578       5,012       1,837,620  
Percentage decrease
     (9 %)     (7 %)     (14 %)             (9 %)

 

 

(QUICK SILVER LOGO)
Quiksilver, Inc. Reports Fourth Quarter and Fiscal Year 2010 Results
December 16, 2010
Page 11 of 11
CONSOLIDATED SELECTED BALANCE SHEET INFORMATION (UNAUDITED)
                 
    October 31,
Amounts in thousands   2010   2009
Cash and cash equivalents
   $ 120,593     $ 99,516  
Restricted cash
     —       52,706  
Trade accounts receivable, net
     368,428       430,884  
Inventories
     268,037       267,730  
Lines of credit and long-term debt
     728,773       1,039,253  
Principal payments on lines of credit and long-term debt are due approximately as follows (note that $265.2 million due on European term loans as of October 31, 2010 is included as due in 2017 as the company issued €200 million of seven-year unsecured senior notes in December 2010 and used the proceeds to repay these existing European term loans):
                 
    Fiscal Year Ended October 31,  
Amounts in thousands   2010     2009  
Uncommitted debt
   $ 22,586     $ 32,592  
2010
     —       95,231  
2011
     5,182       105,759  
2012
     8,199       101,321  
2013
     6,180       164,000  
2014
     16,872       140,350  
2015
     404,532       400,000  
Thereafter
     265,222       —  
 
            
 
   $ 728,773     $ 1,039,253