LOS ANGELES -- Arden Group here said increases in non-salary benefit costs -- including workers' compensation premiums, pension contributions, and health and welfare benefit payments -- were why earnings declined 4.1% to $3.3 million in the 13-week second quarter ended June 28.
d in the SEC filing, this change may not result in a reduction in workers' compensation costs, which, it observed, are "highly dependent on legal and legislative trends, the inflation rates of health care costs, and the company's ability to manage claims."
Along with reporting results for this year's second quarter and first half, Arden also restated its net income for fiscal 2000, 2001, 2002 and the first quarter of 2003. In the SEC filing, the company said the restatement reflects all required adjustments for leases with scheduled rent increases based on a comprehensive review of Arden's leases. On a cumulative basis for fiscal 2000 through first-quarter 2003, the restatement lowered net income approximately 3.1%.