Net earnings per diluted share were 52 cents or approximately $138 million.

This compares with net earnings per diluted share of approximately 50 cents or approximately $142 million earned in last year’s comparable period which included a then year-to-date non cash selling general and administrative charge of approximately 2 cents per diluted share related to the review of stock option grants and procedures and the associated legal and accounting expenses.

For the nine months net earnings per share were $1.44 or $390 million compared with approximately $1.36 per share or $388 million earned a year ago.

Net sales for the fiscal third quarter were approximately $1.8 billion about 10.8% higher than in the corresponding quarter a year ago. Net sales for the third quarter benefited from a calendar shift that resulted in the week after Thanksgiving falling in the third quarter this year compared to falling in the fourth quarter last year. This calendar shift will also affect the comparability of fourth quarter results.

Comp store sales were up 0.8%.

The comp store sales calculation compares the 13 weeks in the third quarter of 2007 to the same 13 weeks as last year so that the week after Thanksgiving in 2007 was compared to the week after Thanksgiving in 2006. The overall comp store sales increase was impacted by lower comp store sales in those areas of the country significantly affected by housing market issues notably Arizona, California, Florida and Nevada.

For the first nine months net sales advanced to approximately $5.1 billion about 10.7% higher than in the similar nine month period last year again reflecting the results of a few key markets most affected by certain macro economic factors related to the home comp store sales for the nine months increased by approximately 1.5%.

Gross profit for the third quarter was approximately 41.7% of net sales compared with approximately 43.5% of net sales during the fiscal third quarter 2006.

The 180 basis point decrease in the gross profit margin resulted from a number of factors including an increase in coupon redemptions associated with a heightened promotional environment, an increase in inventory acquisition cost and a shift in mix of merchandise sold as the company experiences a higher percentage of sales of hard line goods.

Selling, general and administrative expenses for the fiscal third quarter were 30.4% of net sales about the sale as a year ago.

The quarter benefited from a relative decrease in payroll and payroll related items primarily due to the anniversarying of last year’s $7.2 million charge related to the review of stock option grants and procedures. Advertising expenses for the quarter were deleveraged as a result of the increased distribution of advertising pieces in response to a heightened promotional environment.

Lower interest income in this year’s third quarter of $5 million versus $10.6 million a year ago is a result of lower cash balances principally due to share repurchases.

The company’s provision for income taxes for the fiscal third quarter was 33.6% versus 35.8% for the prior year’s period. The provision for income taxes in the current quarter included an approximate $8 million benefit due to a favorable resolution of discreet tax items required to be recorded in the quarter.

Over the past 15 years as a public company including the two stores opened since the beginning of fiscal fourth quarter the company’s store count has grown from 34 stores in nine states doing about $168 million in net sales to expecting to end this year with over 970 stores in 49 states, the District of Columbia, Puerto Rico and Canada with sales expected to approximate $7 billion.

In the last five years the company has acquired buybuy BABY, Christmas Tree Shops and Harmon stores, entered the company’s first international market and vastly improved the infrastructure putting us in a better position than ever to support future growth.

The company continues to test new merchandise initiatives throughout its stores.

It also continues to open new fine china and Harmon Face Value health and beauty care departments within Bed Bath & Beyond stores and increase its capability to service the bridal and gift registry customers.

The company continues its efforts to increase the productivity of existing stores by expanding, remodeling and/or relocating them.

The company anticipates opening 65 to 70 Bed Bath & Beyond stores for fiscal 2007, on additional buybuy BABY store and a new eService fulfillment center to accommodate growth in online business are expected to open before year end. The company also plan to add one to two more Christmas Tree Shop stores and substantially complete a new state of the art distribution facility which will help support the approximately 12 new Christmas Tree Shop stores opening in 2008 as well as the additional new Christmas Tree Shop stores opening beyond next year.

The capital spending plan for all of fiscal 2007 is currently estimated at $360 million.