We are also focused on those things we can affect in the near term, such as in store execution and marketing, to increase sales.”
Commenting on the current retail environment, Mr. Rayden said, “We believe customers are trading down in their apparel shopping, opting for lower price items or sale items and buying fewer of them. We've seen a much lower average transaction value in the first quarter to-date versus last year.”
Mr. Rayden also said that the company's Justice stores are expected to deliver a first quarter comparable store sales percentage increase in the mid to high teens, in-line with the previous guidance.
“Justice's sportswear has performed relatively well in early spring,” said Mr. Rayden. He also noted that sales of Webkinz have been very strong at both brands and have helped boost transactions.
Tween Brands plans to release its complete operating results for the first quarter on Wednesday, May 21, 2008.