"It lacks novelty and variety," Sullivan continued, promising toreinvigorate the Talbots brand with fashion that is "more modern,sophisticated, inspiring and fun." She also said the brand's corecustomers are "incredibly loyal, and they're counting on us."

Key leadership posts are currently vacant, and Sullivan saidsome announcements are "imminent." Phil Kowalczyk, COO, is now alsoserving as president of the company's J.Jill brand. While thesearch is on to fill that post, the retailer also looks to attractadditional creative talent. Meanwhile, Sullivan credited thestrength of in-place management with "keeping the wheels on thebus."

Total sales for the quarter were $556 million. By brand, storesales for Talbots were $366 million, down from $383 million in theyear-ago quarter, while sales at J.Jill stores were $81 million, upfrom $77 million.