Bakers Footwear Group cut its net losses to $1.6 million in the second quarter ended July 30 from $2.1 million in the year-ago period as the American chain of 233 women's footwear stores raised its sales and margins. With customers responding favorably to its dress and club assortments, total revenues went up by 2.3 percent to $43.3 million, with a 4.7 percent increase on a same-store basis. The gross margin improved by 1.8 percentage points to 29.3 percent. Despite the continued losses, the company said it should remain in compliance with its financial covenants for the remainder of 2011.