This represents effectively over a billion improvement in liquidity from a yr ago, and is a results of the combined influence of the gross proceeds from the sale/leaseback transaction and really strong operating results during the primary half of 2020. We count on our money position to average during the third quarter as we make our preliminary tax fee associated to the gain on the sale of the distribution centers and as inventory returns to extra regular levels and builds toward the seasonal pre-vacation peak. We also incurred roughly million of rent expense associated with the sale leaseback transaction that closed in the course of the quarter and accrued further complete bonus expense of million in comparison with last 12 months. Adjusted internet revenue for the quarter was .1 million compared to adjusted internet income of .6 million in Q2 of final yr. Even with these impacts, wonderful general price management resulted in adjusted SG&A as a % of gross sales of 32.5%, representing 470 foundation factors of improvement in comparison with final 12 months and tremendous leverage on our underlying expense construction. These results will probably be partially offset by lower annual depreciation expense of roughly million. This pertains to discretionary retailer and DC bonuses we elected to pay as a result of robust efficiency in July, plus the partial shift of corporate bonus expense from the back half of the yr into Q2.
“What we’re seeing today is the results of specific decisions.” In the aughts, China’s President, Hu Jintao, had a weak hold over the politburo; to keep away from a repeat of Mao’s dictatorship, the Party practiced “collective management,” in which top bosses divvied up powers, from intelligence-gathering to propaganda to the manufacturing of steel. Consequently of these factors, our current expectation is that our Q3 gross margin fee can be just like final year. In Q3, we count on much less gross margin charge profit from seasonal and combine and we’ll even be lapping some tariff rebates from the third quarter of final 12 months. Gross margin fee for Q2 was 41.6%, up 180 basis factors from last year’s second quarter charge. We added extra digital clients than in any prior quarter and had greater than three times the speed from the second quarter of last 12 months. Coming again to the second quarter, as we highlighted on our Q1 earnings call, Q2 bought off to an excellent begin in May. As you recall, I’ve said prior to now that we have got two, we have bought multiple customer segments, however in the long run, they actually visit our stores for 2 essential reasons, two buying journeys.
But we’ll report that as we get via each quarter going ahead. As you understand, Q2 was pushed up by traffic and basket, both in double digits. Just to give you some colour on it, but this is now a brand new means of life for us and everyone is enthusiastic about it and we’re working as a group as a result of this really funds our growth initiatives. She has simply carried out a pleasant job engaged on our ecosystem. The — thanks once more, Paul, in your nice feedback. Thanks for that reply. I’d like to add my thanks for the unimaginable efforts of our staff over the past quarter. Thanks, Bruce. Operator, we would now prefer to open the lines for questions.
It is not possible to present guarantee that a BlackJack Game portal is trustworthy. So probably can’t give you way more shade on that. And I’d say, simply on the color of the quarter, May and June were obviously double-digit comps and July was excessive single-digit comps. The tempo moderated into June and more so in July, once we did not run our standard associates and family event. And quite frankly, certainly one of the large detractors from July was our — was our comping of pals and household event and that mates and household occasion we did away with because of obvious reasons with the social distancing in our shops. Now that he is one month into the job, the place may you count on him to have probably the most immediate influence, notably at the shop stage that we would be able to observe with a few of our store checks? However, your level total will probably be much greater because every day you place an actual money wager or deposit or more or hundred or more, you earn extra factors. Learning some suggestions and strategies as properly as the tricks to scale back the home edge is far crucial specially to those gambling enthusiast who needs to earn tons of cash out of taking part in tucson casinos games.
Learning a couple of suggestions and tips can nevertheless carry player a lot near the prize of jackpot. Older games can decide to a regulatory guy s regulation means. So actually empowering our frontline heroes on the market to make a difference on the underside line and that is been an amazing financial savings this year and can be ongoing financial savings. And once again, we noticed improved bottom line efficiency in our direct business. Our omnichannel initiatives are driving prime line development, expanding the comfort of the purchasing experience and supply choices, increasing buyer engagement and positioning the company for long-term success. And then on prime of that, we’re continuing to roll out our own inner initiatives which are further supporting the overall comp. Within the near term, we count on to proceed prioritizing the rollout of The Lot and the queue line given the high returns related to those initiatives. Earlier in the decision, you mentioned initiatives round apparel, small appliances, obviously furniture, food, chemicals. After which I’d also add that onerous Home, we’re seeing an evolution the place there is more emphasis on staying at residence, baking, cooking all these varieties of appliances, leaning into that a bit is an opportunity for us over the next six-plus months.