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From Red Envelope's conference call (full transcript here):

However, our Jewelry and Accessories categories did not perform as planned. Jewelry has traditionally been one of our largest and most profitable categories. And although jewelry did grow over last year our customer did not respond as well as we would have liked to our assortments this holiday season. This had an important impact on our top-line and bottom-line growth.

And then there was this in the Q&A:

Q - Jim Bear

I see, thank you. And then, Alison or Polly, are the order trends you're seeing in Q4 [Editor: ie. calendar Q1], which I assume in the first three weeks of January, are they consistent with by category with the trends you saw during the holiday?

A - Alison May

It's actually -- it's a little early to tell for us for Valentine's Day yet.

Q - Jim Bear

Okay.

A - Alison May

Because it's so early in the season and in addition to that, some of the categories changed dramatically as you move into Valentine's Day versus holiday. Home is not quite as dominant and there's just other products: Food, Plants, Flowers, things like that tend to be the key drivers during the Valentine's Day season. So it is a little early to say that.

Q - Jim Bear

But at this point it sounds like you're forecasting a soft Valentine's Day?

A - Alison May

Yes, that is correct.

Q - Jim Bear

Okay, thank you.

Quick comment: One needs to be careful extrapolating from Red Envelope (REDE) to Blue Nile (NASDAQ:NILE), as Blue Nile sells higher-end jewelry than Red Envelope, and in particular derives a signficant proportion of its revenue from the sale of engagement rings. But still...

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Source: Negative Data Point for Online Jewelry Retailer Blue Nile? (NILE, REDE)