Comparable store sales rise at Gap North America in July
10 Aug '07
3 min read
For the year-to-date, about 1,500 positions were eliminated, excluding Forth & Towne, and approximately $25 million of expenses on a pre- tax basis have been recognized as a result of the cost reduction initiatives.
Regarding Forth & Towne, year-to-date the company has eliminated about 550 positions. The pre-tax loss related to the discontinued operation of Forth & Towne for the second quarter of fiscal 2007 was approximately $9million and for the year-to-date was approximately $54 million.
For the second quarter of fiscal year 2007, the company expects diluted earnings per share on a GAAP basis to be $0.17 to $0.18. This includes a benefit of about $0.01 per share from tax rate adjustments impacting the second quarter; a loss of $0.01 per share related to the discontinued operation of Forth & Towne and $0.01 per share of expenses associated with the company's ongoing cost reduction initiatives.
Excluding the loss associated with the discontinued operation of Forth & Towne and the expenses associated with the cost reduction initiatives, the company expects diluted earnings per share for the second quarter of fiscal year 2007 to be $0.19 to $0.20.
The company reiterated that it expects the year-over-year percent change in inventory per square foot to be down in the low-single digits at the end of the second quarter.
marketing@alchempro.com
