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Petco Animal Supplies Inc. Changes Fiscal Forecast; Shares Sag.
By Frank Green, The San Diego Union-Tribune Knight Ridder/Tribune Business News
May 20--Shares of Petco Animal Supplies Inc. dipped nearly 8 percent yesterday after the San Diego-based company said it expected an accounting change to take a bite out of first-quarter and fiscal-year earnings.
The company also announced a proposed public offering of 12.5 million shares.
The change in the way Petco accounts for suppliers' promotional payments will result in higher gross margins and higher selling, general and administrative costs, the company said.
Petco said the new accounting standard was expected to reduce first-quarter earnings by 1 …
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