Article: Duty-free stores seeking classier image.

NICE, France (FNS) -- The Tax-Free World Exhibition held here recently had fragrance executives pondering ways to stop diversion and discussing the duty-free stores' attempt to polish their low-price image.

Long regarded as second-class citizens in the retail fragrance business, duty-free operators are also trying to fight off discounters and gain concessions from major suppliers.

Fragrance executives agree on one thing: the 1,200 duty-free sotres worldwide are big business. Last year, the top 500 stores rang up sales of $2,652,000,000 and fragrances and cosmetics generated $577,300,000, according to Frontier, a trade publication based in London.

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