German retailer Hugo Boss cuts 2008 targets

The German fashion company Hugo Boss said on Thursday that its nine-month net profit had fallen and dropped its forecasts owing to the economic slowdown. Hugo Boss net profit fell by 17% from the first nine months of 2007 to €128 million ($168 million), even though sales gained 3.0% to €1.36 billion, it said in a statement. "In the context of a considerable decline of retail sales in important regions during the second half of 2008," the company said that full year sales growth would not fall within the previously forecast range of 68%. Hugo Boss also said it would not increase core earnings this year, but that on the contrary, they were expected to fall to between €210-220 million.