Nike to Miss Forecasts for Third Quarter

Nike Inc. said its third-quarter results will fall short of Wall Street’s expectations, blaming lower-than-expected U.S. footwear sales. The world’s largest athletic shoe and clothing maker said it expects to earn 34 to 38 cents a share for the quarter ending Wednesday. Analysts were expecting 53 cents, according to First Call/Thomson Financial. Chairman Phil Knight blamed a new planning and inventory system but said the rest of the market for Nike products is mostly healthy, with sales still strong internationally. Knight said Nike will increase efforts to expand its share of the mid-range price market for athletic shoes from $60 to $90. Nike should still meet fourth-quarter expectations of 60 to 65 cents a share, he said. Trading in shares of Beaverton, Ore.-based Nike were halted for the announcement, after closing up 17 cents at $49.17 on the New York Stock Exchange. The shares rose an additional 13 cents to $49.30 in after-hours trading.