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Non-Tech : BKST , positive outlook.
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To: Igor Borodine who wrote (2)12/21/1998 11:41:00 AM
From: Igor Borodine   of 13
 
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 Management Discussion: BROOKSTONE INC(BKST)
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS FOR THE THIRTEEN WEEK AND THIRTY-NINE WEEK
PERIODS ENDED OCTOBER 31, 1998
Results of Operations
For the thirteen week and thirty-nine week periods ended October 31, 1998, net sales
increased 11.7% and 15.6%, respectively, over the comparable periods last year. Comparable
store sales for the thirteen week and thirty-nine week periods increased 2.6% and 5.2%,
respectively. The sales increase reflects the results of opening seven new stores during the
fourth quarter of Fiscal 1997 and 14 new stores during Fiscal 1998, offset by the closing of
four stores during Fiscal 1998. The total number of Brookstone stores open at the end of the
thirty-nine week period ended October 31, 1998 was 187 versus 170 at the end of the
comparable period in Fiscal 1997. In addition, the Company operated a total of 50 seasonal
stores during a portion of the thirty-nine week period ended October 31, 1998. Thirteen
seasonal locations were open during a portion of the comparable period last year. Mail order
sales decreased 5.7% compared to the comparable thirty-nine week period last year, due
primarily to an approximate 10% reduction in catalog circulation.
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