Danny Clark: Over the years, we have built and replaced stores but the growth has of late stagnated. We are planning to open 60 to 65 stores this year. About half of those stores will be replacement stores. This will update our look and extend our reach into the communities. Next year, we are planning to build somewhere between 75 and 100 stores. That will depend on whether get right locations in the right trade area.

Sarah for Colin McGranahan (Bernstein): What systems do you use to evaluate whether the new stores are meeting your hurdle rates?

Danny Clark: We have been opening a few stores and from that we are able to analyze and predict how they''re going to perform. We have had some stores that are above and others below what we expected, but on the average, we understand exactly how the stores are going to perform and add value to the company over time.

Adam Sindler (Deutsche Bank): On the projected $200 million in annual savings to be invested in the four initiatives, i.e. the Firedog, the store growth, the IT and the multi-channel, would you be able to quantify approximately how much of the savings will be reinvested in each of these initiatives?

Bill Cimino: We don’t have a breakdown at the moment but there will be some offsets to the savings that we''ve broken out today that''ll enable us to fund that going forward.

Adam Sindler (Deutsche Bank): You discussed that close rates were down in the quarter. Was any of this possibly due to the change in employment competition and have you seen any difference between the control stores that did not have the change in compensation?

Danny Clark: We obviously changed out a lot of personnel and shifted positions. That created a distraction in the first quarter and possibly had a relative impact on conversion. Besides, we are working on how our store will be set up in terms of things that drive traffic: our end caps, our bulk outs, and our displays. Also how we merchandise the store, how we use traffic drivers inside our and where consumers pick up things inside the store they didn''t expect to pick up. That helps drive conversion. We had a lot of different things going on in the system in the first quarter. We think as we begin to gain traction on our new standard operating platform that the execution issues in the stores will improve over summer.