We continue to focus on portfolio optimization opportunities by closing unprofitable stores and refocusing

efforts to improve 4-wall profitability

# stores

Annual loss aversion

Lease Termination Costs

2009 Normal Closures

280-300

$10

-

2009 Accelerated Closures

300-385

13

($39)

2010 Normal Store Closures

100-125

3

-

2010 Accelerated Store Closures

130-150

4

(21)

Total Stores Closures

810-960

$30

($60)

Revenue Transfer¹

$20-$30

Total Annual EBITDA Impact

$50-$60

Stores w/additional lease mitigation/termination efforts

275-300

Stores that may be converted to outlets

250-300

Total store closures and other actions

1,335-1,560

Domestic Store Portfolio Overview

Store Portfolio Indicators for LTM period ending July 5, 2009

Stores

By-Mail

Digital

Vending

Note: Store financial figures reflect inclusion of allocated chain-wide adjustments; excludes allocation of field management costs

1

Assumes 25% of closed store revenue is transferred to existing stores

Measures to Address Underperformers

2009 & 2010 store closures will also produce a 1-time net working capital benefit of $26M

80%

30%

(10%)

Core

Profitable non-core

Unprofitable

Percentage of Store EBITDA

Percentage of

Stores

35%

47%

18%

Avg. Store Revenue:        

Avg. Store Gross Profit:  

Avg. Store EBITDA:           

Total

Core

Exhibit 99.1

These

materials

are

not

to

be

printed,

downloaded

or

distributed.

These

materials

are

only

available

to

QIBs

and

non-US

persons

$756K

$932K

$414K

$520K

$69K

$158K