Apparel retailer Too Inc expects to report second quarter earnings of $.14 to $.15 per diluted share - beating analysts' expectations by $.02 to $.03 per share.

"Significantly higher merchandise margins, well-managed inventories and expense controls are driving the expected earnings improvement," Too Inc chairman and CEO Michael W Rayden said in a statement.
The company reported earnings of $.09 per diluted share for the second quarter 2001.

Too also said it expects comparable store sales for the second quarter 2002 to be flat to slightly positive over the like period last year.