You're watching...
Tanger Factory Outlet Centers CEO Steve Tanger on consumer spending and the outlook for the holiday shopping season.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
Confidence may have picked up to a five month highs recently but overall still not a great picture out there but that in a strange way it might mean good times.
For tender factory outlet centers they are reeling in shoppers who were looking for bargains but.
Top quality designer names and wait until we hear what -- a plan for the holidays.
Joining me now out of Fox Business exclusive is Steve -- he is CEO and president of -- factory outlets which is up about 12% over the past year.
And you just came out with third quarter numbers your revenue was up about 20% to.
I guess the question is how do you see the consumer doing right now.
Well I think the consumer if they have a job is doing very well they've settled and we finance their own personal balance she's just -- most corporations have.
They have confidence in their corporations providing city screaming come and if they have confidence in their job they're gonna go out and spend.
And the outlets -- the place where people save money every day.
But they're spending in a more Smart -- -- things they don't when they when they streamline their balance sheets of their households which is something we wish the government would do but not quite there yet.
They've realized that they have to look for bargains -- they could find quality -- prices that's where you guys come in how are you going to lure in more shoppers.
Instead of letting them go to -- Wal-Mart or target right now on that all important Black Friday.
What we have moonlight madness this year due to the -- the demand.
From our consumers we've opened at midnight many previous years but this year we're opening -- 10 PM.
All are really -- -- shopping center all over the country of 25 states -- -- 38 centers they'll all be open attend via.
OK and are you offering anything else -- all of our tenants are offering special door breakers huge savings.
And we have web sites which will be able to tell our customers -- tremendous offers from the founders and these are brand name the highest and best brand names in the world what are you -- Acting but from that I mean how much does midnight madness on that Thanksgiving Wednesday at those two hours to your bottom line.
It's hard to -- list because we're we're competing with every other type of retail.
But our comp sales are up this year we expect we're reasonably optimistic that our comp sales will be up through Christmas.
And this is the place we're.
Where people go and as I like to -- in good times people like a bargain.
But in tough times like these -- immutable or they love apart -- has -- a times.
Hello Canada you're expanding -- you're not there yes we how much money -- willing to pour into our neighbor to the north.
But we have a partnership with -- Rio -- real estate investment trust which is the largest retail -- in Canada.
We have sites in Toronto Ottawa and Calgary is so far announced.
We have a build -- planned over the next five to seven years and -- of twelve shopping centers.
So we'll see would have -- but we have a high quality of the best and most skilled Canadian partners OK and what then you have high quality names in your your outlets Ralph Lauren Coach what else has come on board recently that you're really excited about.
Oh my gosh every brand -- popular in regular retail is popular now but this is the same stuff -- it.
Specifically made for the factory outlets for the product has made for the -- -- in most instances but it has the brand name.
It's -- made in the same factories as the other products.
Most of the people that sit in my chair or brand managers their sole job is to protect and enhance the brand and every retail distribution.
So we take great pride or vendors take great pride.
And the product is essentially the same product at thirty to 50% -- every -- your earnings per share for the quarter.
Was 32 cents vs 84 cents a year ago so yet you still have some nice moves when it came to actual revenue as I set up 20%.
But what are you trying to change that number get it more you know up to what analysts would like to -- -- earnings per share is not the metric that we use in our industry we use what's called FFO we're funds from operation.
Which takes note depreciation and some of the non cash items.
And -- FFO is up considerably over the previous years and we anticipate it will be up again in the fourth quarter.
Steve we're watching.
I mean I don't know I guess you could burn off calories after eating a gigantic Thanksgiving dinner I going at 10 o'clock at night at the tanker factory outlets -- around buying and -- some deals.
Thank you lose I appreciate you have me back and in time we're very proud of or more folks we'll be watching it thank you very much Steve -- is the CEO and president of tanker factory.
