Excluding $1.8 million in non-cash charges associated with an impairment charge for two K&G retail locations and an $8.8 million gain on a sale of a tuxedo distribution center as a result of eminent domain proceedings selling, general and administrative expenses before advertising decreased 9% from the prior year quarter.

We implemented a number of actions during the quarter to adjust our operating costs to the realities and external conditions impacting our business and the domestic economy as a whole. We have streamlined our store field management organization, reduced corporate office personnel, reduced incentive compensation payments, reduced various benefit programs and reduced general administrative spending. These actions clearly impacted fourth quarter results and will also impact fiscal 2009 results as well. While we’re reducing our spending in the areas I just highlighted we are increasing our spending in other areas to further drive increases in market share. We have and will increase our commitments for marketing.

I should highlight that the strengthening US dollar is having a negative impact on reported results due to the translation effects of our Canadian operations. The impact for the quarter is an estimated $0.04 per share and for the year $0.03 per share. The lower than expected effective tax rate for the quarter was primarily due to favorable developments on certain outstanding income tax matters and a true up of a tax provision for the full year. Lastly, I want to highlight that this year’s quarter is being negatively impacted as we anniversary the new uniform program of a major customer of our corporate uniform business of TwinHill. The impact to the quarter is approximately $0.04 per diluted share.

So, to recap the fourth quarter results. Our diluted earnings per share were better than our updated expectations as well as that expected by consensus views on Wall Street driven in part by unusual non-recurring events. Our promotional posture is resonating with customers both new and existing and is positively impacting our gross profit dollars due in large part to effective marketing and merchandising initiatives. Lastly, we are driving reductions in operating costs in response to declining sales trends which has also contributed to our better than expected bottom line performance.

Let me now turn your attention to our liquidity and balance sheet. At quarter end our cash reserves and short term investments were $104.5 million and outstanding debt was $62.9 million. Maturity dates for outstanding debt obligations are $37.9 million coming due in February, 2011 and $25 million coming due in February, 2012. We finished the year with capital expenditures of $88 million which was in line with our last guidance range. Weighted average diluted outstanding shares of 52 million were 1.3% or 700,000 shares less than the fourth quarter of the prior year. We did not repurchase any shares in the quarter and therefore continue to have available approximately $44 million of remaining authorization. That covers the review of the quarter.

Let me now turn the call to George to discuss our operating strategies for the coming year and I will follow up after that to outline our earnings guidance for the first half of the fiscal year. George.

George A. Zimmer

Thanks Neill. As Neill just reported the fourth quarter finished stronger than expected and suit business is strong. In addition to lowering costs we’ve redefined our value proposition at Men''s Wearhouse and Moores stores to mean deep discount sometimes even buy one, get one free. This change was made following evidence that store traffic and suit unit sales rose dramatically when this promotion was advertised.

We believe that this strategy is necessary in the current economic environment and still allows us to offer our customers extraordinary value while maintaining adequate margins. This strategy bear in mind comes from a company that practically invented everyday low pricing. Imagine how difficult it was to change after 25 years.

Willis Harman, a futurist from the Stanford Research Institute once said, “Knowledge is more than the ability to assimilate information, it’s the capacity to hold lightly those ideas we most cherish so new information can change our mind.” To be competitive in this promotional environment we’ve had to adjust and it’s working well and has taught us two things. Number one, shoppers of which there are few want a deal and two, it’s tough predicting the future.

For the first time since the Texas financial meltdown in the early ’80s we’re eliminating people and positions. We are slowing IT growth as well as new store growth. We’re examining all expenses and significantly lowering most beginning with a 20% reduction in my base compensation, a 10% reduction in the Board of Directors’ compensation, and a 5% reduction in other senior executive compensation. The total expense reductions approximate $35 million. These savings however still allow significant corporate events such as holiday parties and training meetings to still take place albeit at a reduced cost.

With approximately 1,200 US stores these gatherings are essential at integrating individual stores and people into the whole organization to continue to provide a quality customer experience nationwide. Partially because of this customer service our tuxedo rental business remains extremely profitable and we are planning on continued growth in 2009.

We are rebranding our tuxedo rental only stores, formerly MW Tux, with our name Men''s Wearhouse and Tux. To accommodate our younger tuxedo rental customer we’re introducing designer jeans, fashion T-shirts and vests along with woven shirts and more complementary shoes and belts into all regular Men''s Wearhouse stores and they will be in all of the standalone Men''s Wearhouse and Tux stores by April.

Although the year has just begun, the three main performance metrics in tux rental are all positive, average wedding size, average paid unit and total sales. At K&G we are just launching a new branding campaign on television and radio. When you see the commercials remember we must first break through the clutter to be heard. In addition, our K&G ladies business as you heard from Neill is growing in importance and we’ve come up with a way to refurbish 80 of the 108 K&G stores with a fresh new look and improved customer navigation for about $3 million all in which is included in Neill’s CapEx estimates. Our marketing spend at K&G will increase both in dollars and more dramatically gross rating points. Because the discount value sector should do better in tough times we’re hopeful K&G has turned the corner

TwinHill, our corporate uniform business and Men''s Wearhouse Cleaners were each profitable last year but still represent less than 3% of our business. Since US Air is one of our fine corporate uniform customers we can only assume that Sully, the Captain who landed in the Hudson River, was wearing our product.

Before I turn this call back to Neill to talk about 2009 guidance let me add that the company is fortunate that our balance sheet affords us the luxury of not sacrificing our values for financial stability. Times like these require making decisions with incomplete information and thinking on one’s feet. Our experienced management team is proactively dealing with and anticipating the challenges we all face. Neill.

Neill P. Davis

Thank you George. As George has outlined our operating strategies for the year are changing. Those modifications coupled with the lack of forward visibility as per the timing and pace of improvements in macroeconomic conditions leads us to a modification of our forward financial guidance practice. Specifically, we are providing guidance for the first half of the fiscal year only at this time which we will reassess at the time we report first quarter results.

Our outlook for the first half is based on observed trending within our various business units over the last four months along with visibility of our tuxedo rental business for the upcoming peak season which is based on the building of advanced rental reservations. We anticipate our comparable store retail apparel sales to be down in the range of 6% to 10%. The lower end of that range is based on realization of trends observed in the fourth quarter of fiscal 2008. The strong end of the range is predicated on continued success in our merchandising and marketing initiatives that George just briefed you on. Results we have realized in the month of February would support the stronger side of that range across all business units. We anticipate a 7% to 9% increase in our tuxedo rental business for the first half of the year.

We are experiencing increases in the average wedding group size as well as higher average unit rental rates, the former being driven in part by improved customer service and the latter, higher demand for rentals of our designer brand styles.