Question-and-Answer Session
Operator
(Operator Instructions) We’ll pause for just one moment. We’ll take our first question from Mitch Kummetz – Robert W. Baird & Co., Inc.
Kevin Kim – Robert W. Baird & Co., Inc.
Just a couple quick questions, first as far as just a housekeeping question, tax rate and shares outstanding for the year, what are you guys expecting?
Lisa K. Peterson
As far as June 30th?
Kevin Kim – Robert W. Baird & Co., Inc.
Yes.
Lisa K. Peterson
As far as our tax rate for the year what you will see in our quarter is that we have done our effective rate through June 30th so we have not gone through an effective rate calculation for the year. As far as our shares outstanding, we had at the end of the quarter our shares were 27,193,000.
Kevin Kim – Robert W. Baird & Co., Inc.
But for the year?
Lisa K. Peterson
I’m sorry, that’s as of June 30th in our EPS calculation.
Kevin Kim – Robert W. Baird & Co., Inc.
You guys obviously provided a lot of guidance as far as second half and that’s helpful but I guess I was curious, if you guys don’t see the pricing hold up with some of these newer core products that have been seeing some improvement in the second quarter, what are your internal plans of possibly providing margin assistance again into Q4?
Donald K. Carroll
The key for us is certainly the inventory management piece. Where you saw us provide markdown assistance in the first quarter was drive by the product environment where you saw retailers going to $29.99 and so forth. We believe through better inventory management we’re not going to see necessarily those retail prices return and so from a perspective of managing the retail price be it with the suggested retail we’re planning on limiting the inventory to maintain more premium pricing at both $49 and $59.
Kevin Kim – Robert W. Baird & Co., Inc.
I know it’s a bit early but coming out of the WSA Show, any reads on early spring orders?
Donald K. Carroll
The spring line was well received. I say that with a little caution though because the retailers were cautious toward the fourth quarter and certainly their fourth quarter will certainly affect how they look at spring orders.
Operator
We’ll hear next from Dimitri Cornasofskia – First Wilshire Securities.
- To read the full transcript on Seeking Alpha, click here »
