EX-99.1 2 dex991.htm PRESENTATION PRESENTATION
1
Exhibit 99.1


2
’06 & ’07 Initiatives
Redefine Casual Male image to increase
market share
Store growth –
expansion of Rochester
Clothing
Continued accelerated growth of internet and
catalog
Gross margin improvement


3
Redefine Casual Male Image


4
Market Share Size Opportunity
Casual Male Sales by Size
$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
$160,000
$180,000
$200,000
Waist Size
Data based on ’04 sales of Casual
Pants, Dress Pants and Jeans


5
National Sales by Size
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
$1,600,000
$1,800,000
$2,000,000
30
32
34
36
38
40
42
44
46+ 
Waist


6
Customer Research
Least favorite aspect of clothing shopping was “difficulty
finding items in my size”
They were shopping at “the end of the rack”
Stigma with “big and tall”
store
“big and tall”
stores were consistently referred to as places
where “fat guys”
shop
Current image associated with Casual Male
A degree of discomfort with shopping at the store for “big
and tall”
Belief
that
the
clothing
started
around
a
48”
waist
Merchandise and selection lacked a sense of style
Had unattractive, inconvenient locations
Casual Male was a place of necessity rather than a
destination of choice


7
50% of customers refer to Casual Male as the “Big & Tall”
store


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Objectives
Change the consumer perception of Casual
Male to increase awareness of brands, sizes
and comfort carried in all channels and appeal
to the younger, smaller and taller B&T
consumers.
Re-engineer the look and feel of the Casual
Male brand in all communications including in-
store experience, web & catalog


9
New Design


10
Reactions to “XL”
logo concept
Majority of respondents reacted positively to
these concepts:
“Yes, that’s my size.”
/ “That’s what I’m looking for.”
“XL”
seen as “manly, powerful”
rather than
overweight
Appeared to create a sense of distinctiveness for
brand
Would communicate “change”
at Casual Male
Seen as youthful by some respondents


11
Developmental Markets
DMA
Population
Market
Rank
Anchor
Stores
Outlet
Stores
Phoenix, AZ
2017.3
15
5
1
Columbus, OH
630.1
34
4
2
Grand Rapids, MI
683.5
38
3
0
Indianapolis, IN
589.6
25
6
1
Rochester, NY
392.6
74
4
0
San Antonio, TX
643.6
37
4
0
Total:
4956.7
26
4


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Effected Change
Exterior store
Interior of store, visual presentation, signage,
POS package
Bags
All communications
Direct mail
Email
Catalog version
Website
New Private label credit card
Associate training


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14
Before


15
After


16


17
Developmental Market Results
Increase in traffic
Increase in transactions
Higher % of sales in smaller sizes as
compared to chain
Increase in comp sales


18


19


20
Rochester Overview
Major growth for next 5 years.  We will be in
expanding Rochester from 24 stores to 40
more stores
Rochester
* 1 London, United Kingdom
9
2
2


21


22
Rochester Brands


23


24
Benefits to CMRG
Combined entities give CMRG 65% market share of
specialty retail sector
Not a turn around –
accretive to earnings in year one
Senior management continues with incentive contracts
Synergies will increase gross margin, reduce overhead
costs (warehouse, administration, insurance, etc.)
Comparable multi-channel opportunities to Casual Male
Internet/catalog over 20% of sales in less than 3 years
Store growth opportunities
Underserved markets
Growth of 5 –
7 stores/yr
International opportunities


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Rochester Big & Tall
Transaction
21 U.S. stores; 1 in London
Total revenue $65.0M
Audited EBIDTA of $3.3M
Potential for an additional 3 million dollar savings through
integration
Average sales per store
$2.3M
vs
CM $650,000
Average transaction
$400
vs
CM $75
Average store sq. footage
5,000-6,000 sq. ft.
vs
CM 3,500 sq. ft.
Average income of customer  
$100,000+
vs
CM $71,000
Cost to open new store
$100 sq. ft.
vs
CM $36 sq. ft.
Inventory needed
$375,000
vs
CM $125,000


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27


28
Continued accelerated growth
of internet and catalog


29
-5.0%
-2.3%
-1.1%
2.4%
9.2%
4.8%
2.3%
2.0%
3.70%
2.5%
1.6%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Comp Store Trend
2004
2003
Stores change to
lifestyle presentation
Launch of George Foreman
collection and TV campaign
2005


30
Internet Sales by Month
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
$1,600,000
$1,800,000
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
2002 - $3,357,447
2003 - $6,229,617 +46.1%
2004 - $9,874,481 +194.1%
2005


31
Store Catalog Sales
* % gains over FYE02
Catalog Sales
$7,053,300
$7,283,100
$7,968,900
$8,814,100
$10,056,800
$-
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
2001
2002
2003
2004
2005


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Store
2.9%
7.4%
0%
20%
40%
60%
80%
100%
online
catalog
Catalog
46.6%
18.6%
0%
20%
40%
60%
80%
100%
store
online
Online
51.1%
32.1%
0%
20%
40%
60%
80%
100%
store
catalog
Multi-Channel


33
Customer Sales by Channel
455
Retail & Catalog & E-commerce
286
Catalog & E-commerce
290
Retail & E-commerce
276
Retail & Catalog
104
E-commerce Only
123
Catalog Only
100
Retail only
* Indexed to retail only shoppers


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35
Gross Margin Improvements
Inventory management
Direct sourcing
Building proprietary brands


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Gross Margin Opportunity
Core
vs.
seasonal/fashion
core
year
round basic stock items (5 pocket jean,
pique polo, pocket tee, underwear, etc.)
Implementation of E3 (replenishment
system) determined that we were 25%
out
of
stocks
on
core
items
demand
exceeded supply
Better margins on core products than
seasonal/fashion


37
Guaranteed In-stock Program
7 key items –
12% of
sales
GIS Program –
Bottoms
49 sizes, delivery in 5
working days or FREE
8/21 launch
Sold 449,405  units
Units 26% increase
4,564  units fulfilled
through catalog
9 pieces of free items
given away


38


39
Direct Sourcing
Direct Sourcing of goods through Li & Fung, as agent
beginning in 2006
New Department created, hiring of industry veteran
Potential for 40% of Casual Male Inventory to go Direct
Cost saving of up to 15%
Better sourcing (reduction of # of Vendors)
Rochester has very little private label, potential for 20%
Cost savings of up to 20% for Rochester 


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Proprietary Brands


41


42


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Collection will consist of Wovens, Casual
Pant, and Knits
Assortment will reflect items/attitude and
overall look of successful contemporary
brands such as George Foreman
Signature, Perry Ellis, I.N.C., etc.


45


46
2 Year Goal
4% comp annually
100 basis point improvement annually
100 basis point improvement in SG&A
annually
2007 = 9 to 10% operating income


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Any remarks that we make today about future expectations,
plans and prospects for Casual Male Retail Group, Inc.
which are not historical facts, are forward-looking statements
that involve risks and uncertainties.  For a discussion of such
risks and uncertainties, which could cause the Company’s
actual results to differ from those contained in the  forward-
looking statements, please read the section entitled
“Forward-Looking Statements”
in the Company’s most recent
Form 10-K and Form 10-Q and the Form 8-K filed on April 8,
2005
with the Securities and Exchange Commission.
Forward -
Looking Statement


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Casual Male Retail Group
555 Turnpike Street
Canton, MA  02021
(781) 828-9300 x 2004
jeffunger@usa.net
clinsky@cmal.com