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THE LIMITED, INC. REPORTS FLAT EARNINGS IN SECOND QUARTER

 THE LIMITED, INC. REPORTS FLAT EARNINGS IN SECOND QUARTER
 COLUMBUS, Ohio, Aug. 11 /PRNewswire/ -- The Limited, Inc. (NYSE/LSE/TSE: LTD) reported net sales of $1.489 billion, an increase of 8.3 percent from $1.375 billion one year ago. Net income of $80 million increased only slightly from $79.2 million last year, while earnings per share were flat to last year at $.22 per share.
 Leslie H. Wexner, chairman and chief executive officer, said, "Slower than normal mall traffic, consumer uncertainty and the difficult economic environment provide no excuse for our disappointing second quarter. The results were a consequence of below standard merchandising decisions. As seen in three of our businesses, when we offer the right fashion and value, sales and profit increases are produced.
 "Of the retail business, Grace Nichols and her associates at Victoria's Secret Stores deserve particular praise as they attained new records in both operating income dollars and income as a percent of sales. Our catalogue businesses, led by Pete Canzone, president of Brylane, and Cynthia Fedus, president of Victoria's Secret Catalogue, and all of their associates deserve to be singled out for their measurable gains during the second quarter. These catalogue businesses experienced significant increases in operating income dollars and income as a percent of sales. Brylane's three books, Lane Bryant Direct, Roaman's and Lerner Direct, had significant improvements in sales and gross margins. Victoria's Secret Catalogue also produced record operating income dollars, largely from margin improvements.
 "Although our retail businesses performed below our expectations, we were still able to maintain earnings at last year's level despite the fact that sales declined in stores open for more than a year. This is a result of our associates' ability to control expenses and manage inventory levels to customer demand. But flat earnings are unacceptable and clearly there is no misunderstanding -- I am very disappointed.
 "Now for fall. The third quarter is an important period in the refocusing of Limited Stores and Lerner. While Limited Stores produced only modest increases in operating income dollars and rate during the second quarter, I am encouraged by early customer acceptance of the fall fashions. Similarly, Express, Victoria's Secret, Lane Bryant and the catalogue businesses also have received positive customer responses to their fall merchandise. While we will be able to develop a better understanding of fall when we analyze the last half of August and early September sales, I am guardedly optimistic. Lerner's transition into a more conventional specialty store should become evident in the third quarter."
 The Limited, Inc., through Limited Stores, Lerner New York, Express, Lane Bryant, Victoria's Secret, Structure, Limited Too, Abercrombie & Fitch, Henri Bendel, Cacique, Bath & Body Works and Penhaligon's, presently operates 4,315 specialty stores and distributes apparel nationally through the Victoria's Secret, Lane Bryant Direct, Roaman's and Lerner Direct catalogues.
 The Limited, Inc. and Subsidiaries
 Second Quarter Report
 August 1, 1992
 The following are The Limited's unaudited results for the second quarter of fiscal year 1992, compared to the second quarter of fiscal year 1991:
 Thirteen Weeks Ended
 (in thousands except per share data)
 Aug. 1 Aug. 3 Percent
 1992 1991 Increase
 Net Sales $1,489,393 $1,375,185 8.3
 Income Before Income
 Taxes 131,073 129,225 1.4
 Net Income 80,073 79,225 1.1
 Earnings Per Share $0.22 $0.22 0.0
 Weighted Average Shares
 Outstanding 363,256 363,435
 The following are The Limited's unaudited results for the 26 weeks ended Aug. 1, 1992, compared to the same period in fiscal year 1991:
 26 Weeks Ended
 (in thousands except per share data)
 Aug. 1 Aug. 3 Percent
 1992 1991 Increase
 Net Sales $2,905,018 $2,659,667 9.2
 Income Before Income
 Taxes 215,598 213,085 1.2
 Net Income 131,598 130,085 1.2
 Earnings Per Share $0.36 $0.36 0.0
 Weighted Average Shares
 Outstanding 363,581 363,379
 -0- 8/11/92
 /CONTACT: Alfred S. Dietzel of The Limited, Inc., 614-479-7070/
 (LTD) CO: The Limited, Inc. ST: Ohio IN: REA SU: ERN


KK -- CL002 -- 8822 08/11/92 08:49 EDT
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