Jones Group forecasts weak Q4, Q1 revenue

Jones Group Inc cut its fourth-quarter revenue outlook and forecast weak revenue for the first quarter of 2012 citing a highly promotional environment amid a difficult economy.

The maker and retailer of clothing, shoes and accessories now expects fourth-quarter revenue of $892-$895 million, down from its previous outlook of $918-$961 million. Analysts were expecting revenue of $940 million for the quarter, according to Thomson Reuters I/B/E/S.

Jones Group also projected first-quarter revenue of $930-$955 million, while analysts were expecting $1.02 billion.

On Monday, the company said it dropped talks with Israeli private label apparel maker Delta Galil Industries Ltd about the potential sale of its struggling jeans division.

Jones Group shares closed at $9.09 on Monday on the New York Stock Exchange. (Reporting by Arpita Mukherjee in Bangalore; Editing by Viraj Nair)