Question-and-Answer Session
Operator
(Operator Instructions) Our first question comes from the line of Paul Lejuez from Credit Suisse.
Paul Lejuez - Credit Suisse
Thanks, guys. Jim, just one clarification -- when you say the direct business returned to more normal levels, did that mean in line with your guidance of up high singles or did that mean consistent with what you were seeing prior to the systems issues?
And then a question on the comps -- did you see any change? You provided some color on the monthly change on direct. Can you provide the same on the comps? Thanks.
James Scully
Paul, my reference in terms of beginning to return to more normalized levels was reflective of our guidance in the high-single-digits, and I think you know, as the quarterly issuer of comps, we don’t comment in intra-quarter in terms of as it relates to comp. But I would say that we do not see a material impact throughout the quarter by month.
Paul Lejuez - Credit Suisse
Okay, and then also, can you provide shipping costs, what they were this year versus last year? That’s kind of tied up in the gross margin line, just to help us understand magnitude?
James Scully
I can help you and say that, as I mentioned, that we had approximately $3 million of unanticipated costs in operating income. It was split about 50-50 between merchandise margins, as it relates to some of the shipping costs, and the other half was in SG&A, due to some expenses.
Paul Lejuez - Credit Suisse
Thanks.
Operator
Our next question comes from the line of John Morris, Wachovia. I’m sorry, we seem to have just lost Mr. Morris’ line. (Operator Instructions) Our next question comes from Jeff Black with Lehman Brothers.
Jeff Black - Lehman Brothers
Thanks. Could we just get a breakdown on the comp in terms of AUR and traffic? And Mickey, could you talk about two things? I mean, do we think we are pushing the envelope too much on price here and that we have reached limits in this environment? And secondly, do you think we’re back to having enough specialty to the products? I think you harped on that a lot on the 2Q call. Do you think we move into fall with some better product and when do we see it? Thanks.
Millard S. Drexler
Regarding AUR and traffic, there’s a very big headline in the world today of retail and that’s traffic. And then the next headline is traffic and the third headline is traffic. If you look at the numbers, that’s really a pretty big impact on our business, so that’s really our big -- I think that’s the big concern, that’s the big issue.
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