Gregory D. Wasson

Scott, I think we have to keep in mind too that obviously the benefits of CCR should help cover a lot of these costs as we roll it out and also, one of the things that I think we are excited about, obviously private brands picking up quite a bit for us, as we talked about, but also with the work that Kim Feil done on our customer segmentation, I think we can become much more effective and efficient with our promotional strategy and drive more effective volume but at the same time, protect margins.

Scott Mushkin – Jefferies & Co

One final one and thanks, and then I’ll give it up here. Are you guys using third-party liquidators? And then Wade, if you can go over that LIFO thing again, because I think you said your LIFO rate was down but the money, the charge was up? I didn’t actually fully understand that, so those two things, third-party liquidators and LIFO, and I’m done.

Wade D. Miquelon

We’re not using third-party liquidation at this point. We’re really just trying to make sure that we market at an appropriate price and move it out on our own, so there might be some later but right at this point, we’re not. In terms of LIFO, it was down. It was basically down for the rate for the year was 2.25 but we dropped it to 2 in this quarter, but versus year-ago, it’s up, so my number being up again was referencing 2% for the year versus 1.25 a year ago, but the being down was referencing the rate going into the quarter was 2.25 and we dropped it to 2.

Scott Mushkin – Jefferies & Co

Thanks. Thanks very much.

Operator

And we’ll go next to Meredith Adler of Barclays Capital.

Meredith Adler - Barclays Capital

Thanks. I would just like to start with trying to figure out where the $0.06 of cost-savings showed up in the numbers, because you talked about an SG&A rate of 7.4%, or 7.3% but where are the cost-savings?

Wade D. Miquelon

You are getting cost-savings at several levels. You are getting it in the indirect spend bucket. You are getting it in headquarter, SG&A. You are getting in the field and you are getting it in the stores. What you have to remember again is that our new store openings, right, on an established store basis, we were negative. Our new store openings were significant for the quarter versus year-ago. You’ll see that number start dropping starting next quarter but again, if you were to take out the new store opening relating costs, you would have seen that we were in general probably slightly negative.

Meredith Adler - Barclays Capital

Actually my question though was how are you recording the savings? Does it go into the SG&A line?

Wade D. Miquelon

Yeah, it’s folded into whatever item it’s in.

Meredith Adler - Barclays Capital

Then I don’t really understand why you gave us the actual number and the adjusted number if the adjusted number includes $0.06 of one-time costs and $0.06 of one-time savings. Doesn’t that mean the reported number is the growth rate for SG&A dollars?