Good morning everyone. This is Chris Holloway with Nordstrom Investor Relations. Welcome to our pre-recorded comments concerning May sales results.
This recording contains forward-looking statements concerning anticipated sales results for the upcoming months of June and July and the second quarter of 2008, which are subject to risks and uncertainties that could cause the company’s actual results to differ materially from the expectations and assumptions discussed due to a variety of factors that affect the company, including the risks specified in the company’s most recently filed Form 10-K. This recording may not be rebroadcast without prior written consent from Nordstrom.
Earlier today, Nordstrom reported preliminary sales of $716 million for the four-week period ended May 31, 2008. This is a 12.2% increase over 2007 sales of $638 million for the same period last year. Same-store sales were consistent with our plans, increasing 10.9%.
May sales were positively impacted by the earlier start of our half-yearly sale for women and kids which began on May 21 and ended on June 1. The earlier start date moved a significant amount of sales from the fiscal month of June into May, causing May same-store sales to be higher than our second quarter expected same-store sales rate of negative 5% to negative 7%. The results for the month of May were consistent with our expectations of 8% to 12% or 1500 to 1700 basis points higher than our second quarter plan. June sales results will be negatively impacted by the earlier start date of the event.
We expect June same-stores sales to be negative 18% to negative 22% or 1300 to 1500 basis points lower than our plans for the second quarter. The company believes that combining the months of May and June will provide the most comparable view of our sales results versus 2007.
Due to the event shift on results, we are not going to provide an update on our strongest-performing merchandise categories or regions at this time. When we release our June results, we will share our strongest performances for the combined months of May and June.
Lastly, please note that we have major sale events coming up in both June and July. Our half-yearly sale for men’s starts June 13 and runs through June 24. Our annual anniversary sale is scheduled to begin on July 18 and ends on August 3. The timing and duration of both events is consistent with last year. Our next scheduled update will be on July 10 when we plan to report June sales results.
Thank you for your interest in Nordstrom.
Copyright policy: All transcripts on this site are the copyright of Seeking Alpha. However, we view them as an important resource for bloggers and journalists, and are excited to contribute to the democratization of financial information on the Internet. (Until now investors have had to pay thousands of dollars in subscription fees for transcripts.) So our reproduction policy is as follows: You may quote up to 400 words of any transcript on the condition that you attribute the transcript to Seeking Alpha and either link to the original transcript or to www.SeekingAlpha.com. All other use is prohibited.
THE INFORMATION CONTAINED HERE IS A TEXTUAL REPRESENTATION OF THE APPLICABLE COMPANY'S CONFERENCE CALL, CONFERENCE PRESENTATION OR OTHER AUDIO PRESENTATION, AND WHILE EFFORTS ARE MADE TO PROVIDE AN ACCURATE TRANSCRIPTION, THERE MAY BE MATERIAL ERRORS, OMISSIONS, OR INACCURACIES IN THE REPORTING OF THE SUBSTANCE OF THE AUDIO PRESENTATIONS. IN NO WAY DOES SEEKING ALPHA ASSUME ANY RESPONSIBILITY FOR ANY INVESTMENT OR OTHER DECISIONS MADE BASED UPON THE INFORMATION PROVIDED ON THIS WEB SITE OR IN ANY TRANSCRIPT. USERS ARE ADVISED TO REVIEW THE APPLICABLE COMPANY'S AUDIO PRESENTATION ITSELF AND THE APPLICABLE COMPANY'S SEC FILINGS BEFORE MAKING ANY INVESTMENT OR OTHER DECISIONS.
If you have any additional questions about our online transcripts, please contact us at: firstname.lastname@example.org. Thank you!