A&F post results

Abercrombie & Fitch this week reported net income of $216.8 million for the thirteen weeks ended February 2, 2008, a 9% increase over the fourteen week period ended February 3, 2007. The Company also reported net income of $475.7 million for the fifty-two week fiscal year ended February 2, 2008, a 13% increase over net income of $422.2 million for the same period ending February 3, 2007.

Fourth Quarter highlights include total Company net sales increased 8% to $1.229 billion; comparable store sales decreased 1%. Total direct-to-consumer net sales increased 45% to $108.6 million

Mike Jeffries, Chief Executive Officer and Chairman of the Board of Abercrombie & Fitch Co., said:"Our brands represent highly productive, consistent businesses that are the result of an unyielding focus on merchandise quality and customer experience. We continue to make strategic investments in the business to sustain and to enhance brand quality and to support future growth, both domestically and internationally."

In 2008 the Company expects net income per diluted share for the first half of Fiscal 2008 to be in the range of $1.61 to $1.65, representing a 5% to 8% increase in earnings over the first half of Fiscal 2007. The low end of the earnings guidance reflects a negative 1% comparable store sales scenario for the first half of Fiscal 2008.

The Company plans total capital expenditures for Fiscal 2008 to be between $420 million and $425 million. Approximately $300 million of this amount is allocated to new store construction and store remodels, including the Hollister Co. flagship in Soho, and Abercrombie & Fitch flagships in Europe and Japan. Approximately $50 million is allocated to "refresh" improvements and other brand enhancing investments planned for existing stores and the balance is allocated to home office, information technology, and direct-to- consumer infrastructure investments.

For Fiscal 2008 A&F will open 110 new North American non-flagship stores including four new Abercrombie & Fitch stores, 67 new Hollister Co. stores, 17 new Abercrombie stores, six new RUEHL stores and 16 new Gilly Hicks stores. The Company also plans to open four new, non-flagship Hollister Co. stores in the United Kingdom in Fiscal 2008.

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