Specific initiatives underway for fiscal 2009 include relocation of e-commerce business and company-wide cost-control initiatives.

In January 2009, the company announced that it plans to relocate its rapidly growing e-commerce business from the Secaucus, New Jersey headquarters to its southeast distribution center in Fort Payne, Alabama, in June 2009. This move will provide additional capacity to accommodate continued growth while lowering the overall cost of fulfillment, the company said. This relocation is expected to result in one-time severance costs of $0.9 million pre-tax, capital expenditures of $2 million, and annualized savings of approximately $1.8 million pre-tax beginning in the second half of 2009.

The company has identified approximately $20 million pre-tax in annualized savings which it expects to realize from pervasive cost-control initiatives to be implemented company-wide during the first quarter of 2009, including spending reductions in store operations, distribution centers, shipping, travel, marketing, real estate and human resources.

Sally Kasaks, acting chair of the board and lead director, said: "Our special committee conducted a comprehensive review resulting in several meaningful and significant actions which positively impacted The Children's Place business results during fiscal 2008. These actions included exiting the Disney Store North America business, increasing profitability through a workforce reduction, lowering inventory levels, and enhancing the company's balance sheet and cash flow.

"With the strategic review behind us, the board is renewing and accelerating its search for a permanent CEO. We are very appreciative of the outstanding job interim CEO Chuck Crovitz has done in leading the company through this difficult period and we are grateful for his willingness to continue in this role until a new CEO has been named."

A service of YellowBrix, Inc.