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In his report on the Company,
"We start with a strong foundation - our extremely loyal customer base," said Mr. Edmonds. "All three of our brands continue to attract new customers to their loyalty programs. This is a strong indication that all three of our brands continue to have substantial room for growth."
"Further, we are in a very strong financial position, with very strong
cash flows. At the end of the first quarter of fiscal 2008, the Company had
approximately
Mr. Edmonds discussed how the Company is building on this strong foundation through its strategy for future earnings growth. This strategy includes:
-- Strengthening the Company's bond with its loyal customer by increasing focus on providing "most amazing personal service" to every person that enters our stores;
-- Enhancing the value of its merchandise through improved fit, fabric, and quality with styles that are viewed as only available within the Chico's brands;
-- Executing and delivering an exciting and compelling marketing message that highlights the unique nature of the Company's improved merchandise offerings;
-- Slowing down real estate square footage growth until there is improvement in the overall economy and evidence of improved same store sales, profitability, and cash flow;
-- Implementing tighter controls over inventory levels commensurate with the trend in business thereby avoiding significant markdowns;
-- Attacking the expense structure at all non-customer touch points and tightly controlling headcount across our headquarters; and
-- Reducing capital expenditures from prior years by only allowing expenditures that are crucial to our needs and that provide measurable payback.
"These strategies are being implemented by a management team that I believe is one of the best in the industry," continued Mr. Edmonds, highlighting a number of new hires and promotions the company has made over the past several months.
Mr. Edmonds concluded: "Despite the current challenges, we remain confident in our long-term strategies and are optimistic about our future."
The Company is a specialty retailer of private branded, sophisticated,
casual-to-dressy clothing, intimates, complementary accessories, and other
non-clothing gift items. The Company operates 1,067 women's specialty stores,
including stores in 49 states, the
Certain statements contained herein, including without limitation, statements addressing the beliefs, plans, objectives, estimates or expectations of the Company or future results or events constitute "forward- looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Such forward-looking statements involve known or unknown risks, including, but not limited to, general economic and business conditions, and conditions in the specialty retail industry. There can be no assurance that the actual future results, performance, or achievements expressed or implied by such forward-looking statements will occur. Users of forward-looking statements are encouraged to review the Company's latest annual report on Form 10-K, its filings on Form 10-Q, management's discussion and analysis in the Company's latest annual report to stockholders, the Company's filings on Form 8-K, and other federal securities law filings for a description of other important factors that may affect the Company's business, results of operations and financial condition. The Company does not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that projected results expressed or implied in such statements will not be realized.
For more detailed information, please call (877) 424-4267 to listen to the Company's monthly sales information and investor relations line
A copy of a slide show addressing the Company's recent financial results and current plans for expansion is available on the Company's website at http://www.chicos.com in the investor relations section under Our Company
Additional investor information on Chico's FAS, Inc. is available free of charge on the Company's website at http://www.chicos.com in the investor relations section under Our Company
Executive Contacts: Kent A. Kleeberger F. Michael Smith Executive Vice President Vice President Chief Financial Officer Investor and Community Relations Chico's FAS, Inc. Chico's FAS, Inc. (239) 274-4987 (239) 274-4797
SOURCE Chico's FAS, Inc.