Mike Kramer: We have seen the pretty sizable increase and, our sales year-over-year, not just expensive we have seen in our four wall stores, but we are recently pleased with the recent results and as we''d indicated on some of the past calls we’ve initiated some brand protection industries, that have impacted our International sales.
In terms of International we have actually seen a slight decline because of that, but we will start anniversaring those initiatives that we put in place in terms in the second quarter, so, we anticipate a little turn around from that perspective.
Mike Jeffries: What we are doing from a brand protections standpoints such as the point of reference plans we are reducing the content of sale items on the Internet. What we have seen is some of the international customers in buying a fairly large quantities we would also limited the quantities that they can order, just to protect the brand from being exposed to secondary market.
Lauren Levitan: Can you give us some thought on how we should think about cash used?
Mike Jeffries: We are going to be between $315 million in terms of cash, obviously in term of the increase CapEx we feel comfortable with that is going to allow us to grow the business more and we talked about in terms of excess cash the strategy has not changed to the extent that we had excess cash, we may go back out of the market, so really the strategy has not changed.
Barbara Wyckoff: How are the accessories performing versus plan?
Mike Kramer: We are clearly adjusting the handbags, to a more casual attitude in assortment and our handbags have been beautiful but little serious for the business that we want to run.
We have most to learn in the handbag business we are committed to that business we are selling lot of handbags, but we have to continue to adjust yet to the handbags driven more of casual attitude, with sports wear specialist, we are not handbag specialist but we are investing in the business and we will get it.
|
More:
