Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Todd Slater - Lazard Capital Markets.
Todd Slater - Lazard Capital Markets
I love the marketing of the three new pant fits, by the way, and I like the $5 try-on offer. It seems like it's working.
But, Trudy, about the merchandising, to me the store looks better, but also it seems very flat and kind of conservative. Dresses don't look that important in the assortment at the moment. The store looks kind of solid. And to me the denim is - unfortunately, it's kind of a step backwards in one of the strongest denim trends in a long time.
So I'm trying to be constructive here, but I'm wondering what direction you're taking the brand. Is it more fun and assorted over time or is it more basic and narrow, and can you get back to double-digit operating margin on safe and traditional and predictable?
Trudy F. Sullivan
Well, Todd, that's a mouthful, so first of all thank you for the positive on the $5 incentive and yes, it has worked extremely well.
We are a brand that's rooted, as you know, in classics and we talk about this as tradition transforms. And so you're always going to see in our assortment what we call the Talbots always piece, which our customers absolutely love and expect to see in every season. Obviously, we do not see it as safe. We see it as part of our heritage and it must be there.
The re-launch of pants has been nothing short of terrific, to tell you the truth, and that is the big initial thrust for our fall merchandising. But I have to tell you that our business is being driven not only by pants but also by jackets and sweaters, and those are the key winning categories for Talbots - always will, always have been. So we're actually quite pleased.
And, yes, we think on this assortment, with this quality level and the kind of choice and fresh flow that we are now bringing to our customers we can get back to double-digit operating levels.
Todd Slater - Lazard Capital Markets
I guess my second question goes to Mike. Excellent job on the SG&A line and, to Trudy's point, with a more efficient cost structure now, what type of productivity as in sales per square foot would the model require to return you to double-digit operating margins? I'm assuming you don't believe that that level of seven or eight years ago is out of the question.
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