Question-and-Answer Session
Operator
(Operator Instructions) Our first question is from the line of Robert Samuels from J.P. Morgan. Please go ahead.
Robert Samuels - Morgan Stanley
Hi. Good afternoon, guys. Matt, can you provide just a little bit more color by segment within the Payless stores and then maybe talk about any trends that you are particularly excited about that could potentially impact sales for the spring season.
Matthew E. Rubel
We don’t break out the categories bit by bit, so it’s a little bit hard to get into that, but I will tell you that we are seeing the casual business continue to be very strong, you know, flats and ballet shoes, mocs, inspirations around nautical. We do continue to see diversified things in canvas working well. So not necessarily your old solid twin core, but we are seeing diversified patterns. Sometimes even up on a wedge working well in that category. We’re seeing the play area of kids, which would equate to the casual portion of what you see in other areas doing well also and for us, we are seeing our junior segment continue to trend very nicely.
Robert Samuels - Morgan Stanley
Are you seeing any trade down within the stores from your hiring consumer coming in and possibly helping to offset some weakness on the lower end?
Matthew E. Rubel
The data that I alluded to about the value channel not doing well in the fourth quarter was pretty substantial. It’s out there, it’s in NPD, and you would see though that within that channel when you adjust especially for store rollouts that we did materially better than everyone else in that channel. So is our hypothesis that we have picked up much more from the middle than in fact some of the other players in the value channel. We are doing an attrition study and to kind of understand movement through the channel and the initial results, although I haven’t gotten into the detail so I don’t want to overstate it, is that we’re not losing to our competition. It’s just people are buying fewer shoes right now and coming in the stores a little bit less.
Robert Samuels - Morgan Stanley
Okay great. You touched a little bit on what you’re seeing in terms of cost coming out of China. Have you any way to quantify that at all just in terms of what you’re seeing over the last couple of months?
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