YTD sales in the first half of 2015 were up 0.9% compared to the same period last year. Cars accounted for 93% of the top selling segments' sales and Beads accounted for 89% of the losing segments. Overall inventory levels have dropped 11 points. Before the merchandising display (hutch) was changed, car sales were growing fastest and accounted for two thirds of the increase in top segments' sales. After the change, jar candles saw the largest sales drop, accounting for two thirds of declining segments. Sales of regular tumblers performed similarly to medium jars but behind large jars. New fragrances and products performed well initially after the hutch change but then saw a large drop-

1. Segment Sales – YTD, 1H15
YTD 1H15 POS Sales, +0.9% with current OH$ (15.0%)
Car accounts for 93% of the sales leaders POS $’s and Beads accounts for 89% of losing segments while inventory has
dropped 11 pts overall in comparison to pre-hutch change
Source: Sky IT, thru wk. 23 fiscal calendar (w/e 6.13.15)
YTD Sales by Segment (thous) YOY Sales by Segment % chg.
YTD OH $ by Segment (thous) YOY OH by Segment % chg.

2. Segment Sales – L8W Trend Pre-Hutch Change
Sales Trend Pre-Hutch Change, +15.7% with current OH$ (4.3%)
Prior to the hutch change, Car accounted for 2/3 of the sales leaders POS increase with 4X the growth rate of Jar Candle
while Beads were the only losing segment, dropping -2.8 pts. of sales mix despite a 23% OH$ increase.
Source: Sky IT, thru wk. 15 fiscal calendar (w/e 4.18.15)
YTD Sales by Segment (thous) YOY Sales by Segment % chg.
YTD OH $ by Segment (thous) YOY OH by Segment % chg.

3. Segment Sales – L8W Trend Post-Hutch Change
Sales Trend Post-Hutch Change, (7.4%) with current OH$ (15.0%)
After the hutch change, our largest category Jar Candle accounted for 2/3 of lost business segments and Car ran at ¼ the
pace of pre-hutch change with more than half the YOY OH $ decrease.
Source: Sky IT, L8W fiscal calendar (w/e 6.13.15)
YTD Sales by Segment (thous) YOY Sales by Segment % chg.
YTD OH $ by Segment (thous) YOY OH by Segment % chg.

4. Car
Source: Sky IT, 2013 – 2015, fiscal calendar (w/e 6.13.15)
Car Sales Trend 2013-present
Car YTD 1H15 POS Sales, +18.9% with current OH$ (27.4%)
Car continues to grow in mix, +6.1 pts, and overall sales. The July spike is vacation driven and the average weeks are 3x v.
rest of spring. The 2/$10 Feb promotion outpaced LY $3.99 offer by 47% and improved the average ticket 30%.

5. REG Tumbler
REG Tumbler average weekly sales $ per fragrance are on par with the MED Jar and behind the iconic LG
Jar by (20%) since joining FOM. Prior to the hutch change, Jar Candle sales were +9.6% with the
stronger inclusion of REG Tumbler in 12 fragrances.
Source: Sky IT, 2015 YTD fiscal calendar (w/e 6.13.15); Spring Assortment fragrances only; REG Tumbler 12 fragrances v. 20 for LG/MED Jar
Avg. Wk. Sales $ per Fragrance L8W Trend

6. FOM
FOM performed well Feb – Apr, +17%, but has had a (34) pt. swing for May – Jun
Early spring success with new fragrances and forms (Samplers, Tarts, and REG Tumbler)
New fragrances had a similar change in sales trajectory with the hutch disruption, +52% early then a (74) pt. swing
Source: Sky IT, FOM thru (w/e 6.13.15)
FOM Sales by Month and YOY % Change