Question-and-Answer Session
Operator
(Operator instructions) We’ll pause for just a moment to compile the Q&A roster. Your first question comes from the line of Neely Tamminga with Piper Jaffray.
Neely Tamminga – Piper Jaffray
Great. Good morning, and up front just best of luck here in ’09. Just want to ask some clarity questions, if I may, on the current guidance, I hear that you’re giving it for the first half and yet you’re talking about de-leveraging on SG&A for the full year based on sales. Just wondering a couple of things. One, what sort of distribution between Q1 and Q2 should you be looking for? Are you looking for a downed – a ten-ish [ph] across the first half? Or would we expect some improvement in Q2 – improvement meaning maybe even less negative?
And then secondly, Richard, your store checks are coming back quite positive, which reflects the most recent foresight you have out there. And it really looks like a big improvement in casual from our perspective. I was just wondering if you can actually size up your comments on casual versus what we might be seeing in the store and talk about any sort of conversion improvements? I might have a couple of follow ups. Thanks.
Richard Crystal
Okay. Long list. I’ll take the second part first, and then I’ll let Sheamus deal with the other part, Neely. We’re happy with the (inaudible) set. We think it’s an improved set from where we’ve been in the past, especially in casual. We’re encouraged by the initial reaction to it. We’ve seen a change in trend over the last few weeks against our plan. But as you know, there’s a big shift in Easter. So it’s a little early to predict that. I’ll let Sheamus talk about the –
Sheamus Toal
The SG&A? Hi, Neely. First, just a clarification. All of our comments relating to both SG&A as well as gross margins are not for the full year, but rather for the – for the spring season. So all the comments were for the spring season.
Neely Tamminga – Piper Jaffray
So that comment on SG&A dollars being down, but yet still de-leveraging because of e-Commerce spend, that’s all related to first half?
Sheamus Toal
That’s correct.
Neely Tamminga – Piper Jaffray
Okay. Cool. And then, I guess – but in terms of the cadence, could we see some relative improvement in Q2 relative to Q1?
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