The company said sales improved in every single merchandise category, with intimate apparel and accessories--especially sunglasses, watches, handbags, and UGG boots--performing especially well. For the fourth quarter, the company said it expects same-store sales growth in the low single digits.

The company also added music to its merchandise mix. In select stores and online, it will be the exclusive seller of the previously out-of-print Marvin Gaye "Anthology" compilation, with repackaged artwork and 47 tracks. Other exclusive selections include jazz ("An Introduction to Jamie Cullum") and "A Nordstrom Classic Holiday," a classic compilation with Bing Crosby and Nat King Cole. (Last week, Target--which has long been in the music business--also announced an exclusive CD: Lil' Jams, a hip-hop and R&B CD performed by kids, for kids.)

Nordstrom said it would also market mainstream titles like The Killers, John Mayer, Justin Timberlake and Beck.

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