“Nordstrom, Inc. (NYSE:JWN) recently reported its fourth quarter earnings and discussed the following topics in its earnings conference call.
Gross Margin Performance
Deborah Weinswig – Citi: Can you discuss the gross margin
performance in the quarter maybe just give us little more color?
Michael G. Koppel – EVP and CFO: Sure. Our gross profit benefit this quarter by an improvement in markdowns year-over-year. We saw some significant improvement in our women’s apparel business, which was reflected in that, and that was partially offset by the increased costs as it relates to our Fashion Rewards program. But overall a relatively good merchandise margin performance.
Deborah Weinswig – Citi: As your guidance – in the future you talked about not relying onEBIT margin expansion to drive future growth. And obviously there is a lot of moving pieces and Internet growth and growth in the outlet, no Rack business. As we look at all the moving pieces and not much borrowing growth, how should we think about one offsetting the other?…”
