Financial Highlights Dollars in millions (except per share data) 2001 2000 1999 Results of Operations: Net sales from ongoing operations $320.8  $295.1 $260.9 Operating income 34.1  15.8 32.7 Net income (1) 20.8  13.7 21.0 Net income per share-diluted (1) 1.75  1.06 1.58 Cash Flows and Financial Position: Operating cash flows $025.3 $028.3 $0(9.1) Cash and cash equivalents 23.1 26.6 5.6 Working capital 154.6 157.5 191.0 Shareholders’ equity 159.5 147.8 162.6 Net debt to capitalization 25.2% 20.0% 27.5% (1) Includes $8.3 million pre-tax or $0.46 per share after tax one-time charge and $4.8 million pre-tax or $0.28 per  share after tax gain from the sale of the Company’s Piaget business during 2000. Excluding these items, net income  would have been $15.9 million or $1.24 per share on a diluted basis. 99 00 01 Net Sales from  Ongoing Operations Dollars in Millions Operating Cash Flows Dollars in Millions Gross Margin Performance (9.1) 99 00 01 99 00 01 61.5% 59.5% 59.8% 25.3 28.3 320.8 295.1 260.9 24 Movado Group, Inc.