Tiffany to Expand, Open Smaller Stores

Tiffany to Expand, Open Smaller Stores
October 18, 2007

New York-based Tiffany & Co. announced a significant increase in the number of stores it plans to open in the United States. In order to increase the number of store openings, Tiffany has developed a new, smaller-format store, measuring about 2,000 sq. ft. The smaller format, which will offer a wide range of jewelry designs excluding engagement jewelry, has the working name Tiffany & Co. Collections. The first store is expected to open in 2008. "The addition of this new format affords us with the opportunity to ultimately operate as many as 170 stores in the United States," said Michael J. Kowalski, chairman and CEO of Tiffany. "Our plan continues to call for opening five to seven Tiffany & Co. stores per year of approximately 5,000 gross sq. ft. in size. In addition, up to 70 Collections stores will be opened as location opportunities arise. This new format has the potential to significantly accelerate U.S. sales growth over the medium- to long-term and enhance profitability due to a merchandise mix weighted with higher-margin products." The company currently operates 68 Tiffany & Co. stores in the United States.