Question-and-Answer Session
Operator
(Operator Instructions) Our first question is from the line David Magee with SunTrust Robinson Humphrey.
David Magee - SunTrust Robinson Humphrey
On historic growth for next year, if you decided to pull back, what will be the impact on the earnings next year?
Steve Miller
David, we haven’t forecasted our 2009 earnings to a specific degree, but certainly as you scale back, depending on how dramatic you scale back your new store openings, that would have certainly some impact on our revenue for next year.
David Magee - SunTrust Robinson Humphrey
They are accretive, are they not, in the first year?
Steven Miller
Yes, they typically are accretive in the first year.
David Magee - SunTrust Robinson Humphrey
The other question I have, on the footwear category, can you recall anything that particularly is working well right now? Nike or any other vendors that seem to be selling well?
Barry Emerson
David, we generally do not comment on the individual vendor performance, just to be consistent with past practice.
Operator
Our next question is from the line Rick Nelson with Stephens, Inc.
Rick Nelson - Stephens, Inc.
Steve, you mentioned your lean inventory position and potentially allowing you to do more in the way of opportunistic purchases, which given the tough macro environment, I would think those would be more plentiful. What are you seeing in terms of opportunistic buys at this point?
Steven Miller
Well, we think from an opportunistic standpoint are pretty dynamic right now, given the growing number of retailers, clothing stores filing from bankruptcy protection. Seems to be more cancellations out there that are creating buying opportunities for us. With that being said, I think the vendors are pretty tuned into the state of the economy and they’re certainly trying to tighten their belts as well, but all-in-all, we think it’s positive. I think it could be hopefully even getting more positive for us as additions play out.
Rick Nelson - Stephens, Inc.
Did you recognize benefits in the third quarter?opportunistic buys?
Steven Miller
I think that helps. Absolutely. I mean it’s really allowing us to create compelling values for our customers and yet maintain margins that are health for our business.
Rick Nelson - Stephens, Inc.
What would the other drivers to the gross margin, the 11 basis points that you referred to, is that mix?
Steven Miller
I guess there’s always an element of mix that’s there, Rick, but I mean it’s pretty consistent with what we’ve tried to achieve in the long run is try and optimize our pricing strategies and really manage the business to maximize gross profit dollars. You know, certainly a goal to try to maintain margins and optimize sales.
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