The Children's Place Retail Stores Inc announced sales results for the five-week period ended December 30, 2006. Total sales for the five-week period ended December 30, 2006, increased 11% to $318.5 million compared to $286.6 million last year. Consolidated comparable store sales increased 5%. During December, the Company opened one Children's Place store and one Disney Store.
For the nine-week holiday selling period, The Children's Place brand achieved a 5% increase in comparable store sales on top of an 11% increase for the same period last year. Disney Store reported a 12% increase.
The Company believes that December results at The Children's Place brand were negatively impacted by unseasonable weather, which resulted in higher than planned promotional activity. In addition, the Company believes it would have benefited from increased ownership of key volume drivers and fresh spring goods, given early reads on Spring merchandise.
At Disney Store, December results reflect the Company's strategies to build a full-price business. The month was driven by strong customer response to the Company's toy and apparel assortments.
Separately, as previously announced, an investigation into the Company's stock option granting practices is being conducted by a Special Committee of the Board of Directors with the assistance of outside counsel.
The Board is committed to completing the investigation and resolving any issues regarding the Company's stock option practices as quickly and diligently as possible and currently anticipates making an announcement about the results of the investigation before the end of January.
The Children's Place Retail Stores Inc
marketing@alchempro.com
