Efthimios Sotos, CFO, said, "Inventory at July 1, 2006 totaled $585.7 million, compared to $661.7 million at the end of the prior year period. Accounts receivable at the end of the second quarter was $410.1 million, compared to $509.2 million at the end of the prior year period. We ended the quarter with $794.5 million of funded debt and, net of $88.4 million cash on hand, our debt to book capitalization ratio was 21.4%, down from 32.0% in the prior year period. Our operating cash flow for the first six months of 2006 was $261.1 million, an improvement of $109.0 million versus the comparable period in 2005, as our working capital planning remained disciplined."
Boneparth added, "We remain very pleased with the results of our strategic operating initiatives, which are well underway. As the financial results within our wholesale better apparel business demonstrate, we are achieving substantial improvements and cost reductions within the areas of pre-production, supply-chain management, customer service and compliance, and non-merchandise purchasing. We also remain on plan with the phased implementation of a single enterprise resource management system during the fourth quarter of this year. After 12 months of reviewing our business operations and implementing process improvements, we remain very comfortable with our stated cost reduction goal of approximately $30 million in 2006 and over $100 million annually by the end of 2007. These business improvements will serve to offset the impact from the department store consolidations and to expand our future operating margin."
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
