X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

SAN DIEGO-Charlotte Russe Holding will be shrinking its store prototype, looking at A mall locations and redoing its outlet business, executives said at the company’s second-quarter conference call.

The company will open a total of 20 new stores for the year, with 11 to open in the second half. But growth will come in its new, 5,500-square-foot prototype (vs. its current 7,200-square-foot store), which should allow it to join better centers, said John D. Goodman, chief executive officer.

“We plan to add A malls where historically would not have been because of our store size,” he said. Currently, just 15% of the company’s 496 stores are in A malls.

Outlet expansion also is planned, with the company developing a new strategy to be announced in the first quarter of 2010. The company currently has 47 outlets and says it has opportunities to open an addition 60 stores.

The retailer continues to negotiate with landlords, among them General Growth Properties, which filed for Chapter 11 bankruptcy protection on April 15.”We wish them well,” Goodman said. “We’ve been good partners with them and hope they get through this.”

Second quarter net sales were $191.2 million up 3.3% from the same quarter of 2009. Comparable store sales decreased 8.0%. The company posted a net loss of $0.8 million.

For the first half, net sales were $431.9 million, compared to $423.3 million in the year-ago period. Comparable store sales decreased 8.6%. The company reported a net loss of $3.7 million, compared to net income of $18.2 million a year earlier.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.