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Abercrombie & Fitch Co. Message Board

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  • gwconcord gwconcord May 20, 2009 10:53 AM Flag

    Without Ruehl

    Don't think Ruehl's cash burn is as big a problem with only about 30 stores out of over 1,100. I'd guess the biggest cash burn was the capital improvements to the stores. Even if sales at Ruehl were zero, I'd guess the current international stores would balance things out. Of course, I'm just guessing all of this!

    They are re-evaluating Ruehl. It's an important demographic for them to get (people out of university with real salaries for the first time in their lives and no mortgages). Even if they shut Ruehl down, at some point they might want to go after this demographic again, so its in their interests to figure out how to get it right now.

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