1

Q4

2

DEMOGRAPHIC SNAPSHOT – Q1LEARNING & DEVELOPMENT ACTUAL RESULTS

Learning Center – % Eligible Employees Completing Program Year to Date All Company

August September October November January February March April May June July

All Programs 59.58% 72.93% 69.81% 38.56% 42.37% 48.57% 55.67% 66.43% 70.83% 73.45% 76.13%Sales Development 62.73% 75.18% 71.82% 69.80% 72.89% 70.14% 72.12% 76.97% 79.13% 79.73% 81.86%LP & Safety 56.42% 70.68% 67.80% 64.72% 67.55% 64.40% 65.70% 70.15% 72.20% 73.85% 75.55%POS 7.86% 12.33% 29.03% 42.22% 59.86% 66.82% 71.16% 75.11%Visual Standards 5.21% 10.08% 25.79% 39.06% 56.61% 63.57% 67.86% 70.86%

Learning Center Online Assessment Completion - 7/10/07

72.93%69.81%

38.56%

48.57%55.67%

66.43%70.83% 73.45%

70.14% 72.12%76.97%

64.40% 65.70%70.15%

59.86%

5.21%

25.79%

76.13%

42.37%

79.13%75.18%

81.86%79.73%

69.80% 72.89%71.82%

70.68%

75.55%73.85%

64.72% 67.55%67.80%

72.20%

12.33%

7.86%

75.11%71.16%

29.03%

42.22%

66.82%

10.08%

70.86%67.86%

39.06%

56.61%63.57%

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

70.00%

80.00%

90.00%

Septe

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Octo

ber

Novem

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Janu

ary

Febru

ary

Mar

chApr

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ayJu

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Month

Per

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All Programs

Sales Development

LP & Safety

POS

Visual Standards

3

DEMOGRAPHIC SNAPSHOT – Q1LEARNING & DEVELOPMENT ROI Q4

Learning Center – Impact of Sales Development Program on Actual Sales Apr- Jun ‘07

Average Sales Q4 Trained: $21,266

Average Sales Q4 Not Trained: $11,167

Q 4 All New Employees Total Sales = $30,100,354

Total SalesNon-Trained $5,516,529

Total SalesTrained

$24,583,825

Trained

Non-Trained

4

DEMOGRAPHIC SNAPSHOT – Q1L & D CONTROLLED SAMPLE ROI Q4

Value Represents

$21.9K Q4 Average Sales/bebe retail Trained Employee

$11.3K Q4 Average Sales/bebe retail Non-Trained Employee

48.5% Difference Expressed as Percentage

$19.6M Total Sales Q4 bebe Trained Employees

$9.5M Q4 Sales Lift with Training

Notes: Sample included bebe retail store employees only who were new to the company in Q4 FY’07. Sample size was 1,436 employees (951 completing training, 485 not completing training).

Successful completion of the Sales Development module of the Learning Center training positively impacts sales. Expressed as an equation:

(21,949 – 11,303) ÷ 21,949 = 48.5% 19,644,434 × 48.5% = $9,527,526

5

DEMOGRAPHIC SNAPSHOT – Q1LEARNING & DEVELOPMENT LEADERS - STORELINE

Learning Center Training – Leading Regions & Districts To Date

RegionYTD

CompletionAvg. Score

Midwest - Allaman 83.62% 88.64%NoCal - Veit 79.57% 87.09%Southeast - Yannotti 79.38% 88.12%

Top 3 Regions - Compliance

83.62%

79.57% 79.38%

88.64

84.0988.12

74.00%

76.00%

78.00%

80.00%

82.00%

84.00%

86.00%

88.00%

90.00%

Midwest - Allaman NoCal - Veit Southeast - Yannotti

Region / Regional Director

Pe

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nt

Co

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lete

- A

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C P

rog

ram

s

YTD Completion Avg. Score

DistrictYTD

CompletionAvg. Score

Minnesota/Chicago - Lopez 95.00% 88.04%Houston -Mora 92.94% 87.78%Philly/South NJ - Malle 89.72% 89.36%Las Vegas - Query 88.95% 86.45%SoCal SPORT - Castillo 88.07% 87.40%

Top 5 Districts - Compliance

95.00%

92.94%

89.72%88.95%

88.07%87.40

86.45

89.36

87.7888.04

82.00%

84.00%

86.00%

88.00%

90.00%

92.00%

94.00%

96.00%

Minnesota/Chicago -Lopez

Houston -Mora Philly/South NJ - Malle Las Vegas - Query SoCal SPORT - Castillo

District / District Manager

Pe

rce

nt

Co

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- A

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C P

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sYTD Completion Avg. Score

6

DEMOGRAPHIC SNAPSHOT – Q1LEARNING & DEVELOPMENT QUANTITATIVE RESULTS

Learning Center Training – Employees Successfully Completing Program, by Region

Region All Programs Sales Dev LP & Safety POS Visual Standards

West 79.06% 84.29% 79.45% 77.23% 73.31%NoCal 79.57% 82.90% 77.52% 80.09% 77.36%Midwest 83.62% 87.53% 82.47% 83.97% 79.69%Northeast 72.32% 77.21% 71.55% 69.89% 70.23%Southeast 79.38% 87.71% 79.11% 78.00% 71.39%MidAtlantic 62.81% 70.84% 62.11% 62.11% 55.67%

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

70.00%

80.00%

90.00%

100.00%

West NoCal Midwest Northeast Southeast MidAtlantic

Em

plo

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es

Su

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All Programs

Sales Dev

LP & Safety

POS

Visual Standards

7

DEMOGRAPHIC SNAPSHOT – Q1

Learning Center Training – Online Assessment Average Scores, by Region

LEARNING & DEVELOPMENT QUALITATIVE RESULTS

RegionAvg. All

ProgramsSales Dev LP & Safety POS Visual

Standards

West 88.16 89.83 90.61 86.07 86.14NoCal 87.09 88.83 90.00 84.82 84.70Midwest 88.64 90.56 90.92 86.67 86.39Northeast 87.46 88.94 89.91 85.63 85.37Southeast 88.12 89.02 90.40 86.00 87.06MidAtlantic 87.31 87.78 90.45 84.93 86.08

81.00

82.00

83.00

84.00

85.00

86.00

87.00

88.00

89.00

90.00

91.00

92.00

West NoCal Midwest Northeast Southeast MidAtlantic

On

lin

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sses

smen

t S

core

Avg. All Programs

Sales Dev

LP & Safety

POS

Visual Standards

8

All Programs – Number of Employees Trained Q1 Q2 Q3 Q4 Actual YTD

LC Sales Development 2,641 455 921 1,223 5,240

LC Loss Prevention & Safety 2,483 449 914 1,198 5,044

Workplace Harassment & EEO 20 3 23

Retail Multiunit Management 48 48

Recruiting World Class Talent (at SMC & Relaunch) 112 275 387

Store Manager Training – SMC Pilot 112 112

LC Point of Service (Launched 10/23) 434 1,957 1,117 3,508

LC Visual Standards (Launched 10/23 bebe Retail Only) 282 1,490 794 2,566

Exec Leadership Development (“Leading at the Speed of Trust”) 1 1

Managing at the Distribution Center 11 11

LC Programs / International Licensees (Country Managers) 5 5

DM Onboarding & Training Coordinated Plan 1 3 4

Total Training Delivered 5,416 1,899 5,299 4,335 16,949

DEMOGRAPHIC SNAPSHOT – Q1LEARNING & DEVELOPMENT RECAP

L&D Programs Coming up in Q1 FY ‘08:

Annual Store Manager’s Conference 8/27 – 8/30 (KRONOS Scheduler; KMS Onboarding)

Store Manager Training Launch @ Top Stores (SMs, COs, SLs)