ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Friday, October 11, 1996 TAG: 9610110034
SECTION: BUSINESS PAGE: B-7 EDITION: METRO
SOURCE: Associated Press
The nation's retailers had a bumpy September, but consumers were drawn into the stores by colder weather late in the month, bolstering hopes that the Christmas selling season will be reasonably strong.
Sales figures released by the big stores Thursday varied widely and, for some stores, from one department to another. Some companies were disappointed with their numbers, but analysts who track the stores' performance found strength in the overall trend of the month.
``I think [the numbers are] healthy and we could have a good fall selling season,'' said Rick Nelson, an analyst with Nesbitt Burns Securities Inc. in Chicago. ``I am anticipating that the momentum will carry into the Christmas season.''
Companies that announced stronger numbers included Wal-Mart Stores Inc., Sears, Roebuck and Co., and Limited Inc.
The performance of Talbots Inc., the women's apparel retailer, was a good example of how fragmented business was last month. Talbots said shopper traffic in its stores was weaker than expected, but that its catalog business - which features the same clothes as in the company's stores - has been strong.
Since the holidays historically have accounted for about half of retailers' annual sales and profits, Christmas is a critical time for the industry.
With sales trends favorable, the economy strong and consumer confidence at high levels, it's generally believed consumers will spend more this Christmas than they did last year, when the big season turned into a disaster for many stores. Apparel retailers, many of whom are faring better after a years-long drought, are also expected to have a better year.
But with consumers more fickle than ever, no one in the retail business is taking any chances. Analysts say retailers are playing it safe, keeping inventories and expenses very lean.
Here are September results reported by major chains operating stores in Western Virginia. The monthly sales are followed by the percentage of change from September 1995 results, and by the change in same-store sales. The latter is a measure of stores that have operated for at least 12 months. Same-store sales are considered a better indicator of a retailer's performance because they remove the impact of extraordinarily strong sales from opening new outlets.
* American Eagle Outfitters: sales of $26.4 million, down 7.7 percent from September 1995, same-store sales down 4 percent.
* Bombay Co.: $25.8 million, down 1 percent, unchanged.
* Charming Shoppes, parent of Fashion Bug and Fashion Bug Plus stores: $93.3 million, down 12.7 percent, up 1 percent.
* Circuit City: $561.2 million, up 0.4 percent, down 13 percent.
* Family Dollar Stores: $126.7 million, up 3.2 percent, down 3.2 percent.
* The Gap: $529 million, up 16 percent, unchanged.
* Heilig-Meyers: $91.8 million, down 0.5 percent, down 9.4 percent.
* Hills Department Stores: $161.6 million, up 3.5 percent, up 1.9 percent.
* Lechters: $36.9 million, up 1.9 percent, down 1.5 percent.
* The Limited Inc.: $776.1 million, up 12 percent, up 6 percent.
* Lowe's Cos.: $838 million, up 25 percent, up 10 percent.
* May Department Stores Co., parent of Hecht's: $1.07 billion, up 7.2 percent, up 0.4 percent.
* S&K Famous Brands: $11 million, up 5.8 percent, up 6 percent.
* TJX Cos., parent of T.J. Maxx: $748 million, up 84 percent, up 10 percent.
* Woolworth Corp.: $722 million, down 1.5 percent, up 2.4 percent.
Staff writer Megan Schnabel contributed to this report.
LENGTH: Medium: 69 lines ILLUSTRATION: GRAPHIC: Chart by AP: Sales of top general retailers.by CNB