New York & Company, Inc. F2Q08 (Qtr End 08/02/08) Earnings Call Transcript

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2008-08-15 07:32:29.0

Tags: New York & Company Inc.

Question-and-Answer Session

Operator

(Operator Instructions) Your first question comes from the line of Neely Tamminga – Piper Jaffray

Neely Tamminga – Piper Jaffray

Can you give us a sense on the POS rollout, what some of the additional functionalities might be and how that might help you at the store, maybe back at home office?

Ronald Ristau

Well the POS system is a significant leap forward in capability from our existing system. It number one, speeds transaction processing time. Number two it enables improved capture of customer information and enables us to build our customer marketing databases much more efficiently and it saves a lot of time and efficiency within store operations.

We’re getting a lot of benefits from the system and we are very, very pleased with the success of the rollout and can assure everyone that there’ll be absolutely no impact to our business as we continue to rollout through the third quarter.

Neely Tamminga – Piper Jaffray

In terms of the trends for fall, are you seeing anything with respect, obviously overall the environment has been tough, you have been doing a pretty good job in this environment, just wondering where the trends are from a fashion perspective, are you noticing the customer migrating towards categories that do carry higher average unit retails, jackets and sweaters, etc. are you noticing a layered look, kind of a deconstructed suiting, some sort of perspective on the fashion?

Leslie Goldman

In terms of categories that we believe in with respect to AUR we are experiencing an increase in AUR in this environment which is a bit counter intuitive at the same time we believe that our customers, is really buying clothes that she does not already own and as a result we’re really pushing the fashion and she’s responding to it.

We also are looking to capture some of the trade-down markets and again believe by improved fashion offerings that in this particularly difficult environment that we might be getting that and that might also be increasing our AUR.

Operator

Your next question comes from the line of Barbara Wyckoff – Buckingham Research

Barbara Wyckoff – Buckingham Research

Could you talk about the impact of the third party design goods on second quarter business, what was the penetration of receipts, the performance versus the private label goods and then where are you taking this going forward and then could you talk a little about accessories and what worked, what didn’t work?

 

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