Guess Inc. (Los Angeles) announced an 8.5 percent decline in total net revenue for its third quarter 2002, ending Sept. 28, 2002. Retail sales fell 0.7 percent and same-store sales decreased 5.4 percent.
As a result, the company said it will embark on a program of what it called “additional cost-savings initiatives.”
Among those steps were the closing of “a few under-performing retail locations,” plus the closure or disposition of certain corporate facilities and the elimination of certain administrative and support positions. Guess announced no specifics.
“Our third quarter operating performance was negatively impacted by lower sales in our retail and wholesale businesses,” said president and coo Carlos Alberini. “As we continue to face challenging conditions across the retail sector, we are focusing on closely managing our inventories, maintaining a strong capital structure and taking steps to further reduce expenses. I believe that the actions we are announcing today will help to ensure Guess is best positioned within the current environment and reinforce our foundation for the future.”