Talbots lowers fall outlook

HINGHAM, Mass. Talbots revised its earnings per share outlook for the fall season, following weaker than expected quarter-to-date sales results primarily for the Talbots brand. The company said that the conservative consumer spending and industry outlook also contributed to its lowered outlook.

The company said it currently anticipates that its consolidated fall season comparable-store sales will be negative mid to high single digits, compared to its previous plan announced in August of approximately flat with the prior year period. Total company sales for the fall season will be approximately $65 to $75 million below its prior August plan, and now expects a fall season loss for the six-month period ending Febr. 2, 2008 to be in the range of (25 cents) to (35 cents) per share.

Despite, the lowered outlook, Talbots said it has taken steps to strengthen its business. The company said it has revamped its marketing strategy, with increased focus on the Talbots brand. It has also engaged a global consulting firm to assist in strategic review of business, which includes among other operating matters, store growth, productivity, non-core concepts and distribution channels.