TJ Maxx 2006 Annual Report Download - page 18

fashions. Within these broad categories, T.J. Maxx offers a shoe assortment for women and fine jewelry, while Marshalls
offers a full-line footwear department and a larger men’s department. In fiscal 2007, T.J. Maxx substantially completed
the roll out of the expanded jewelry and accessories departments to existing stores and Marshalls continued to add
expanded footwear departments. We believe these expanded offerings further differentiate the shopping experience at
T.J. Maxx and Marshalls, driving traffic to both chains. We expect to add approximately 200 expanded footwear
departments in the Marshalls stores in fiscal 2008, and at T.J. Maxx, we will continue to add expanded jewelry and
accessories departments in new stores, relocated stores and selectively, to existing stores.
T.J. Maxx and Marshalls stores are generally located in suburban community shopping centers. T.J. Maxx stores
average approximately 30,000 square feet. Marshalls stores average approximately 32,000 square feet. We currently
expect to add a net of 50 stores in fiscal 2008. Ultimately, we believe that T.J. Maxx and Marshalls together can operate
approximately 1,800 stores in the United States and Puerto Rico.
HOMEGOODS
HomeGoods is our off-price retail chain that sells exclusively home fashions with a broad array of giftware, home
basics, accent furniture, lamps, rugs, accessories, children’s furniture, and seasonal merchandise for the home. Many of
the HomeGoods stores are stand-alone stores; however, we also combine HomeGoods stores with a T.J. Maxx or
Marshalls store in a superstore format, the majority of which are dual-branded, with both the T.J. Maxx or Marshalls logo
and the HomeGoods logo. We count the superstores as both a T.J. Maxx or Marshalls store and a HomeGoods store. In
fiscal 2007, we continued to open a different superstore format, called a “combo store,” in which a HomeGoods store is
located beside a T.J. Maxx or Marshalls store, with interior passageways providing access between the stores. This
configuration is also dual-branded with both the T.J. Maxx or Marshalls logo and the HomeGoods logo.
Stand-alone HomeGoods stores average approximately 27,000 square feet. In superstores, which average
approximately 53,000 square feet, we dedicate an average of 22,000 square feet to HomeGoods. The 270 stores open
at the end of fiscal 2007 include 147 stand-alone stores, 105 superstores and 18 combo stores. In fiscal 2008, we plan to
net 12 additional stores, including 1 superstore. We believe that the U.S. market could potentially support approx-
imately 500 to 600 HomeGoods stores in the long term.
WINNERS AND HOMESENSE
Winners is the leading off-price retailer in Canada, offering off-price brand name and designer women’s apparel,
lingerie, accessories, home fashions, giftware, fine jewelry, menswear, children’s clothing, and family footwear. Winners
operates HomeSense, our Canadian off-price home-fashions chain, launched in fiscal 2001. Like our HomeGoods
chain, HomeSense offers a wide and rapidly changing assortment of off-price home fashions including giftware, accent
furniture, lamps, rugs, accessories and seasonal merchandise. We operate HomeSense in a stand-alone format, as well
as a superstore format where a HomeSense store and a Winners store are combined or operate side-by-side.
At fiscal 2007 year end, we operated 184 Winners stores, which averaged approximately 29,000 square feet and
68 HomeSense stores, which averaged approximately 24,000 square feet. We expect to add a net of 4 Winners stores and
3 HomeSense stores in fiscal 2008, in both the stand-alone and superstore format. Ultimately, we believe the Canadian
market can support approximately 200 Winners stores and approximately 80 HomeSense stores.
T.K. MAXX
T.K. Maxx, operating in the United Kingdom and Ireland, is the only major off-price retailer in any European
country. T.K. Maxx utilizes the same off-price strategies employed by T.J. Maxx, Marshalls and Winners, and offers the
same types of merchandise. At the end of fiscal 2007, we operated 210 T.K. Maxx stores which averaged approximately
30,000 square feet. We expect to add a total of 10 stores in the United Kingdom and Ireland in fiscal 2008 and believe that
the U.K. and Ireland can support approximately 275 stores in the long term. In addition, in the fall of fiscal 2008, we
expect to open 5 T.K. Maxx stores in Germany.
A.J. WRIGHT
A.J. Wright offers our off-price concept to the moderate income customer demographic, which differentiates this
chain from our other off-price divisions. A.J. Wright stores offer brand-name family apparel, accessories, footwear,
domestics, gift ware, including toys and games, and special, opportunistic purchases. A.J. Wright stores average
approximately 26,000 square feet. We operated 129 A.J. Wright stores in the United States at fiscal 2007 year end.
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