"We are dedicated to keeping our balance sheet and cash flow strong. Inventory at the end of the third quarter was $ 31.0 million or 24.8 % below the year end balance and $24.3 million or 20.6% below year ago levels.
These are slightly leaner than optimum but we expect to move toward more normalized levels in the fourth quarter. With lower capital expenditures and total assets employed during the year-to-date period we were able to reduce the amount owed under our bank revolver from $12.6 million to zero in addition to paying down long term debt by $8.3 million. We also purchased $5.2 million of treasury shares and still increased cash balances $5.7 million.
"In early October we launched our greatly enhanced havertys website which has already proven to be useful in reaching the growing number of consumers that use the internet to pre-shop before going to a store.
The site also provides our sales associates a tool to further engage the customer while she is in the store and extend her shopping when she returns home.
Among the site's new features are customer reviews, much expanded and better quality visual images and product descriptions, easier and more thorough searching methods, specific product availability dates for delivery to a customer's zip code and a locator for the nearest Havertys store displaying any particular merchandise item that peaks a consumer's interest. There are additional features to be implemented early next year including the processing of sales transactions.
"Our Rockville, Maryland store opened this past week and will be a great addition as our sixth location in the Metro-DC market. In October we opened a replacement store in Wilmington, North Carolina and one in Birmingham, Alabama is scheduled to open later this month.
"We believe we have the financial strength to weather this difficult period in our industry and plan to focus on highlighting the quality merchandise values we offer and the high levels of consumer satisfaction we consistently provide."
Haverty Furniture Companies Inc
marketing@alchempro.com
