Lululemon pulls yoga pants _ too revealing

Published on NewsOK Modified: March 19, 2013 at 10:25 am •  Published: March 19, 2013
Advertisement

But the announcement comes just before the company posts earnings for the final quarter and full year on Thursday.

Lululemon Athletica Inc., based in Vancouver, British Columbia, cut its first-quarter revenue forecast as a result of its decision to withdraw the pants. The company now anticipates first-quarter revenue between $333 million and $343 million. Its prior guidance was for $350 million to $355 million. Analysts polled by FactSet expect revenue of $352.1 million.

It also lowered its first-quarter outlook for comparable store revenues, from 11 percent, to between 5 percent and 8 percent.

Lululemon is offering full refunds or exchanges to customers.

Its shares dropped $3.41, or 5.2 percent, to $62.49 in late morning trading Tuesday.