Clothing manufacturer G-III Apparel Group Ltd said on Friday it expects to perform well for the rest of the year after posting a sharp fall in first quarter net sales and wider losses.

The leather and outerwear company said in a statement that it had cleared out excess inventory and sees improved results for the rest of 2002 after its first quarter net loss climbed $4.2 million, or 62 cents per share, from a loss of $2.9m, or 44 cents per share, in 2001. Sales fell to $12.7m from $17.2m.

It added it expects full-year revenues of $190m and is confident it will report earnings of between 95 cents and $1 per share for the full year ending next January.