NEW YORK (
said it will cut more jobs as part of its extended restructuring plan and, looking ahead, lifted its earnings target for the second quarter
This was just the update investors wanted to hear; shares in the company jumped 6% to $11.88 in afternoon trading.
The women's apparel retailer said it expects to report earnings, excluding restructuring and impairment costs, of slightly better than break-even for the quarter ended Aug. 1. Analysts had been looking for a loss of 2 cents a share.
But the company expects same-store sales to remain a challenge, predicting a second-quarter top line of about $470 million, just above analysts' predictions of about $461 million.
AnnTaylor embarked on a restructuring plan about 18 months ago. Some of its new plans include cutting more corporate and divisional jobs.
While the company did not reveal how many jobs it planned to eliminate, Reuters reported about 160 positions will be cut.
AnnTaylor expects the moves to save about $125 million a year through fiscal 2010, up from a prior target of $85 million to $95 million.
Reported by Jeanine Poggi in New York.
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