Although decreased inventory orders have caused a 6.8% decrease in watches and jewelry sales in the second quarter of 2009, sales in the fashion and leather goods unit grew by 5.3%. The fashion and leather goods unit made up 49% of the company's operating profit in 2008, making it one of the company's most important segments. As one of its most important segments, the performance of the fashion and leather goods segment provides a good indicator to the overall performance of the company, and its sales increase in the second quarter proves customers will still buy luxury goods despite poor economic conditions.
