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The specialty jewelry retailer, weighed down by a number of charges, reported net loss of $26.4 million over a profit of $4.1 million in the year ago period. The charges included a 35 cent charge related to inventory write-downs at Zale and Bailey Banks & Biddle brands. Zale, which is working towards clearing its discontinued merchandise in Zale brand, is investing $120 million in new and expanded assortments. The firm expects to incur loss of 42 cents to 46 cents in the Q1 of fiscal 2007.
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