The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Stephen MacLeod - BMO Capital Markets Equity Research - Analyst
: Meghan, congrats on -- congratulations on your appointment.
Question: Stephen MacLeod - BMO Capital Markets Equity Research - Analyst
: I just wanted to start off with a couple of things. In terms of the SG&A that was down year-over-year, can you talk a little bit about what proportion
of it was you cited as isolated to the quarter versus what proportion of the savings can continue into future quarters?
Question: Stephen MacLeod - BMO Capital Markets Equity Research - Analyst
: Okay. Okay. And then can you just talk a little bit about kind of what you've seen in your stores that have opened? What kind of trends you've seen
in terms of store traffic and sales, if you can provide that.
Question: Stephen MacLeod - BMO Capital Markets Equity Research - Analyst
: I just wanted to follow up with one or another question regarding the appointment of your new Chief Product Officer. Do you -- are you able to
give any color at this point as to what potential changes you might be making or shifts you might be making in terms of the collection?
Question: Sabahat Khan - RBC Capital Markets, Research Division - Analyst
: Just a question around the commentary you provided earlier on the rent expense. It seems like you likely expense the kind of a total rent for the
quarter. Correct me if I'm wrong. And then as you get some of these rent deferments or, in some cases, kind of just suspension of rent, how should
we see that flowing through the financials? Sort of would it be a boost in some future quarters and -- or just understanding how the reversal of
some of those -- the expense that you took now might work in future quarters.
Question: Sabahat Khan - RBC Capital Markets, Research Division - Analyst
: That's helpful. I'm just wondering more on the seasonality. So that's helpful. And then on the comment around e-commerce, you mentioned that
up 200% year-over-year was on a non-comp promotional basis. Is that excluding kind of the upside from additional promotional activity during
that quarter? Or how should we think about that comment?
Question: Sabahat Khan - RBC Capital Markets, Research Division - Analyst
: Okay. That's helpful. And then in terms of your e-commerce fulfillment, I understand some of it used to be done from stores as needed. Kind of
how are you doing that now in terms -- obviously, a lot -- obviously, during the closure, there's like the warehouse, but were you able to find that,
that was more efficient? Like how did that compare to in-store fulfillment? And how are you thinking about that whole fulfillment aspect going
forward?
Question: Sabahat Khan - RBC Capital Markets, Research Division - Analyst
: Okay. And then the one last one from me just on the mix. I think you indicated earlier that a lot of the -- or some of the sales during the quarter
were shifted to some higher-margin product. Obviously, some of the product offering that you have fits well within the current sort of environment
with work-from-home and stuff. How are you thinking about the mix that you're seeing sort of now that things are starting to reopen? And what's
your expectations -- or in terms of the kind of product that you're selling in comparable period last year, do you still see the mix shift going towards
some higher-margin stuff?
Question: Patricia A. Baker - Scotiabank Global Banking and Markets, Research Division - Analyst
: Meghan, I couldn't -- didn't quite catch everything you mentioned in your opening remarks with respect to the partners business. So can you just
walk us through what the partners business looked like, let's say, from February through to June?
Question: Patricia A. Baker - Scotiabank Global Banking and Markets, Research Division - Analyst
: Okay. That's helpful. And then just 2 small points here. You did say that you didn't pay the April rent. So does that imply that you paid your May
rent?
Question: Patricia A. Baker - Scotiabank Global Banking and Markets, Research Division - Analyst
: Okay. And then the switch in the mix to the sweats, just curious whether you saw any differences in the male or female category or it was pretty
even across the board.
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