8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 8–K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15 (d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of Earliest Event Reported): January 7, 2004

THE WET SEAL, INC.

(Exact Name of Registrant as Specified in Charter)

Delaware	0-18632	33-0415940
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)

26972 Burbank Foothill Ranch, California	92610
(Address of Principal Executive Offices)	(Zip Code)

Registrant’s telephone number, including area code: (949) 583-9029

N/A

(Former Name or Former Address, if Changed Since Last Report)

Item 5.    Other Events

On January 7, 2004, The Wet Seal, Inc. (the “Company”) announced strategic initiatives involving the potential sale or closure of all 31 Zutopia stores. The Company also announced that Jennifer Pritchard has been named president of the Arden B. division, following the resignation of Greg Scott. A copy of the Company’s press release appears as Exhibit 99.1 to this Current report and is incorporated herein by reference.

Item 7.    Financial Statements and Exhibits

(a)  Financial Statements of Business Acquired.

Not Applicable.

(b)  Pro Forma Financial Information.

Not Applicable.

(c)  Exhibits.

99.1	Copy of press release, dated January 7, 2004, issued by the Company.
99.2	Copy of press release, dated January 8, 2004, issued by the Company.

Item 12.    Disclosure of Results of Operations and Financial Condition

On January 8, 2004, the Company reported its net sales for the five-week period ended January 3, 2004 and announced estimated financial results for the fourth quarter of fiscal 2003. A copy of the Company’s press release appears as Exhibit 99.2 to this Current report and is incorporated herein by reference.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned hereunto duly authorized.

		THE WET SEAL, INC. (Registrant)
Date: January 9, 2004	By:	/s/ William Langsdorf
		Name: William Langsdorf
		Title: Senior Vice President and Chief Financial Officer

EXHIBIT INDEX

EXHIBIT
NUMBER	DESCRIPTION
99.1	Copy of press release, dated January 7, 2004, issued by the Company.
99.2	Copy of press release, dated January 8, 2004, issued by the Company.

EX-99.1

EXHIBIT 99.1

contact: Investor Relations

(949) 699-4804

THE WET SEAL ANNOUNCES STRATEGIC CHANGES

FOOTHILL RANCH, CA, January 7, 2004 — Specialty retailer The Wet Seal, Inc. (Nasdaq: WTSLA) today announced strategic initiatives involving the potential sale or closure of all 31 of the company’s pre-teen Zutopia stores. The company confirmed that if a buyer is not found, all stores will be closed by the end of the first quarter fiscal 2004.

Under the new organization, Zutopia divisional president Jennifer Pritchard has been named president of the Arden B. division, replacing Greg Scott, who has resigned from the company. “Jennifer has made a significant contribution to the company since she joined in September 2002. Her depth of experience in specialty retailing and her success in building a merchant led organization will help us continue to build the Arden B. brand,” said chief executive officer of The Wet Seal, Inc. Peter D. Whitford. Prior to joining Wet Seal, she held senior merchandising positions with Urban Outfitters and The Limited.

“We believe these strategic initiatives will further strengthen our corporate standing and are vital to our long-term goal of returning this company to a successful and profitable fashion retailer,” added Whitford. “As the Zutopia stores continued to struggle in this highly competitive pre-teen market, the board felt our efforts and resources would be better directed toward a more streamlined focus on our core strengths in the teen and better/juniors categories. We deeply appreciate the contributions that our talented Zutopia team has made to the company, and we are making every effort to offer as many of them as possible new opportunities within the organization.”

The company said it expects to record an approximate $5.5 million pre-tax non-cash charge in the fourth quarter, reflecting the write down of fixed assets at the Zutopia stores to their estimated fair value. The company will report December sales results tomorrow, January 8, 2004.

Headquartered in Foothill Ranch, California, The Wet Seal, Inc. is a leading specialty retailer of fashionable and contemporary apparel and accessory items. The company currently operates a total of 621 stores in 47 states, the District of Columbia and Puerto Rico, including 485 Wet Seal stores, 105 Arden B. stores and 31 Zutopia stores. The company’s products can also be purchased online at www.wetseal.com or www.ardenb.com. For more company information, visit www.wetsealinc.com.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: This news release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements that relate to the Company’s opening and closing of stores, profitability and growth, demand for its products or any other statements that relate to the intent, belief, plans or expectations of the Company or its management. All forward-looking statements made by the Company involve material risks and uncertainties and are subject to change based on factors beyond the Company’s control. Accordingly, the Company’s future performance and financial results may differ materially from those expressed or implied in any such forward-looking statements. Such factors include, but are not limited to, those described in the Company’s filings with the Securities and Exchange Commission. This news release contains results reflecting partial year data and non-fiscal data that may not be indicative of results for similar future periods or for the full year. The Company will not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.

SOURCE: The Wet Seal, Inc.

# # #

EX-99.2

EXHIBIT 99.2

Results

contact: Investor Relations

(949) 699-4804

THE WET SEAL ANNOUNCES DECEMBER 2003 SALES,

REVISES FOURTH QUARTER OUTLOOK

FOOTHILL RANCH, CA, January 8, 2004 — Specialty retailer The Wet Seal, Inc. (Nasdaq: WTSLA) today reported net sales for the five-week period, ended January 3, 2004, of $78.9 million, compared with net sales of $84.1 million for the comparable five-week period a year ago. Comparable store sales declined 7.3 percent for December versus a decline of 19.4 percent for the same period a year ago.

“The lackluster holiday season contributed to our lower than expected sales during December and resulted in higher than anticipated promotional and markdown activity throughout the period,” said Peter D. Whitford, chief executive officer. “It is however, pleasing to see a continuing positive trend in transaction count across both brands versus the prior year, in addition to the ongoing strength of our Arden B. business.”

Whitford added, “The actions we have taken during the period position us well for the new year, with inventory levels significantly below the prior year. The strategic initiatives announced yesterday will further help us achieve our long term goals of streamlining our operations and returning the company to profitability. We look forward to introducing some promising new merchandising strategies — the full effects of which are expected to materialize in our back to school and fall lines.”

Due to softer than expected December sales as well as higher promotional markdowns during December and expected again in January, the company now expects to record a net loss for the fourth quarter, ending January 31, 2004, of between $0.44 and $0.49 per diluted share. In addition, the company expects to record an approximate $5.5 million pre-tax non-cash charge in the fourth quarter, for a net impact of approximately $0.12 per share, to reflect the write down of fixed assets at the Zutopia stores to their estimated fair value. The company also reiterated its expectation that it will end the quarter with a total of cash and investments that is similar to the $69.3 million amount in the previous quarter, with no debt outstanding.

In a separate release, the company announced that it intends to sell or close all 31 of its pre-teen Zutopia stores, and has made several management changes. The company noted that during the first 10 months of this fiscal year the Zutopia division incurred a pre-tax loss of nearly $7 million.

Headquartered in Foothill Ranch, California, The Wet Seal, Inc. is a leading specialty retailer of fashionable and contemporary apparel and accessory items. The company currently operates a total of 621 stores in 47 states, the District of Columbia and Puerto Rico, including 485 Wet Seal stores, 105 Arden B. stores and 31 Zutopia stores. The company’s products can also be purchased online at www.wetseal.com or www.ardenb.com. For more company information, visit www.wetsealinc.com.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: This news release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements that relate to the Company’s opening and closing of stores, profitability and growth, demand for its products or any other statements that relate to the intent, belief, plans or expectations of the Company or its management. All forward-looking statements made by the Company involve material risks and uncertainties and are subject to change based on factors beyond the Company’s control. Accordingly, the Company’s future performance and financial results may differ materially from those expressed or implied in any such forward-looking statements. Such factors include, but are not limited to, those described in the Company’s filings with the Securities and Exchange Commission. This news release contains results reflecting partial year data and non-fiscal data that may not be indicative of results for similar future periods or for the full year. The Company will not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.

SOURCE: The Wet Seal, Inc.