But as Ken Goldstein, economist at the Conference Board which published the report said, "dangers present in the first five months of the year have not disappeared completely. Chief among them is a lack of business confidence."

And this what the designers showing this season will have to face - still a very challenging retail environment, with the light at the end of the finally finally showing.

It is not just the events at the other side of the Atlantic that the Milan fashion houses have to muse about.

Published reports have said that Camera Nazionale della Moda, Italy's fashion governing body have entered an agreement with IMG, owner of 7th on Sixth, the organizers of New York Fashion Week.

Under the terms of agreement which will take effect starting the Menswear Fall 2004 season, "IMG will be responsible for organizing and promoting the event and creating more enriched programs for partners and sponsors."

Hence the question, "Is Camera for sale?" was raised. Mario Boselli, the chairman of Camera Nazionale della Moda assured everyone that it is not, and that IMG will "NOT gobble up" the organization.

As in every season, the shows are expected to create a paparazzi mayhem with international stars and celebrities expected to attend the shows.

Traditional favorites by the stars are Giorgio Armani and the Versace/Versus shows. Both houses have not announced though who are coming.

The original list of American designers who will be showing is now down to four, with Ralph Lauren deciding to cancel at the last minute.

John Varvatos and DKNY Jeans will be making their debut in Milan, with Varvatos opting for a runway show, while DKNY Jeans will have a more intimate 'presentation.'

Calvin Klein, which will be showing as a 'subsidiary' of Phillips-Van Heusen for the first time is expected to show its latest menswear line which was developed after it was acquired by PVH.

Jil Sander will not be showing this season. Having just returned last month to the company which bears her name, there was not enough time to create the minimum 50 looks that is a requirement by Camera Moda for a designer to show.

Milan remains the commercial lion of the menswear fashion industry, with the U.S. as the biggest consumer of its luxury products.

Even with the good news that U.S. economy is finally pointing to a recovery, this season still has to contend with the 'disappearing' retail space for menswear in the U.S. Competition for retail space will be stiffer.

With this in mind, expect the fashion houses to show their best and brightest during the shows.