TOUCHE.   NIVEN.   BAILEY  &   SMART

CERTIFIED   PUBLIC  ACCOUNTANTS
233     B ROADWAY

NEW YORK 7.  N. Y.
 

Aprd 16, 1948

Board of Directors and Stockholders,
Abraham & Straus, Inc.,
Brooklyn, New York.

We have examined the balance sheet of Abraham & Straus, Inc. as of
January 31, 1948, and the statements of profit and loss and surplus for the 52
weeks then ended, have reviewed the system of internal control and the accounting
procedures of the Company and, without making a detailed audit of the transactions,
have examined or tested accounting records of the Company and other supporting
evidence, by methods and to the extent we deemed appropriate. Our examination
was made in accordance with generally accepted auditing standards and included
all procedures which we considered necessary in the circumstances.

In our opinion, the accompanying balance sheet and related statements of
profit and loss and surplus present fairly the position of Abraham dc Straus, Inc.
at January 31, 1948, and the results of its operations for the 52 weeks then ended,
in conformity with generally accepted accounting principles applied on a basis
consistent with that of the preceding year.
 

Touche, Niven, Bailey & Smart
Certified Public Accountants