Great. Thanks so much, Kay.

Michael J. Nicholson

Janet, just in terms of SG&A to clarify, the 245 is a perspective, it’s my perspective, it doesn’t necessarily represent specific guidance. What I’d say is that in terms of the top line, what we’ve said is we do expect the top line will continue to be under significant pressure in the second quarter, specifically at the Ann division. However, we do expect the top line to improve modestly in Q2 versus Q1. And so the perspective of 245 reflected in that thinking is a flex up on the incremental sales. What I would say is that if the top line is not there, we will clearly continue to go after opportunities to flex down variable store expenses.

And then more holistically, more broadly we are always looking at opportunities to manage this business more efficiently and where there are opportunities to go further after costs we absolutely will.

Janet Kloppenburg - JJK Research

Great. Thanks so much and good luck.

Operator

Your next question comes from Liz Dunn, Thomas Weisel Partners.

Liz Dunn - Thomas Weisel Partners

Hi. I had a question related to the store closures. Are you continuing to evaluate your store base for potential closures and what’s the differential between the stores that you’re closing and the stores that are remaining open in terms of productivity, so that we can model it out? Also, any update on lease negotiations.

Michael J. Nicholson

So, what I would say is that consistent with where we were in mid-March, under the terms of the current program we’re looking at about 163 store closures, 60 of which we completed last year. In the current year, we’re looking at about 35 to 40 stores. The majority of these locations, well let me step back and say all of these locations, clearly were underperforming locations and the majority of these locations were lease events either at the end of a lease life or there was an opportunity for us under the terms of the lease to kick the property back to the landlord.

This is really sort of an ongoing process and an every day activity within the business where we continue to evaluate at the store level operating performance and in the event where stores aren’t performing, we will engage in conversations with the landlord to see if we can find a solution to make that property work for both parties.

Liz Dunn - Thomas Weisel Partners

Is there anything, are you finding that on the stores that you had slated for closure or is this like the stores that maybe are on the fence and as you think about lease negotiations?

Michael J. Nicholson

What I would say is that we are as well as the landlord interested in engaging in conversation with respect to opportunities across the entire portfolio.

Liz Dunn - Thomas Weisel Partners

Okay. Thanks.

Operator