Wexner Optimistic

Holiday sales should be good for Limited Brands this year, probably better than last year, even though consumers are nervous.
That was the prediction offered by Leslie H. Wexner, chairman and CEO of the Columbus-based retailer known temporarily as L Brands, at the company’s annual investor update yesterday in New York.
“I think business is remarkably good, considering all the static,” Wexner said, referring to the partial federal shutdown and debt-limit debate. “I think our year will be good, perhaps very good, unless Washington completely mucks everything up.”
However, Wexner added, “I think the consumer is just nervous for obvious reasons. I think we all are. ... There’s financial instability that exists in the world. ... We as a country were kind of a bastion of stability; now we’re the epicenter of stupidity.”
While Wexner was optimistic about the holidays, he was less so about some retailers’ forays into the popular-again outlet business.
“Typically, it’s the beginning of the end,” he said. “Coach became a discount outlet brand, and as they were growing their outlet channel, they cut their own throat.
“I think the outlet business is a terrific business, but don’t delude yourself. Whether it’s Gap or Nordstrom, you’re cutting off your own water. It’s really hard to have a dual identity.”