Fashion and footwear retailer Colorado Group Ltd on Wednesday said it expects full-year operating profit to increase by at least 10 per cent with earnings boosted by its acquisition of the JAG brand and Diana Ferrari.

The company said same-store sales were ahead of last year with its Williams the Shoemen division performing particularly well. It added it also expects to substantially slash supply chain costs.

Managing director, Rowan Webb, commented: "Our core strategy of creating a powerful portfolio of proprietary mid-market brands underpinned our success in 2001 and will continue to provide us with the product differentiation and margin protection, so vital for success in our industry.

"This is reflected in our gross margin percentages, which grew in all divisions for the year despite the extremely competitive environment."

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