Target (TGT) on the effects of Chinese yuan revaluation (Q1 2005 conf call quotes)

Target Corporation (ticker: TGT), a US discount store operator, announced Q1 2005 earnings results this week. Here are key quotes attributed to Chairman and CEO Bob Ulrich and EVP and CFO Doug Scovanner from the company's earnings results conference call:   

Gergory Melich - Morgan Stanley Dean Witter

....as a follow-up to the inflation/deflation do, could you update us on what would happen or what would be the opportunities or risk if the Chinese were to revalue their currency….

Chairman and CEO Bob Ulrich

....from a standpoint of the countries that we source from we have offices in 40 countries around the world. And that's spread throughout Asia, China is naturally a very important part but we're certainly not exclusively there. We're in India, we're in Pakistan, we're in Vietnam, we're in a variety of places. So, if there some inflation there it's possible some programs would move. Overall, we feel our sourcing is in very good shape. As far as the deflation aspect, Doug might want to comment.

EVP and CFO Doug Scovanner

....I think keying off of Bob's comments, it isn't likely in our view to have a very meaningful impact on our overall equation. Certainly not a meaningful impact in our competitive position given the fact that whatever occurs is something that will have a relatively even effect across many competitors. I think that there's far, far, far more hype in the press regarding this issue than is warranted.

(Quotes are from the CCBN StreetEvents transcript.)