Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: FRIDAY, September 3, 1993                   TAG: 9309030149
SECTION: BUSINESS                    PAGE: A-11   EDITION: METRO 
SOURCE: Associated Press
DATELINE:                                 LENGTH: Medium

BACK-TO-SCHOOL SHOPPERS DIDN'T FLOCK BACK TO STORES

August sales figures released by the nation's big retailers on Thursday showed that not even the approach of fall - usually an incentive to shop - could overcome Americans' money worries and send them to stores and malls.

The figures extended uninspired or disappointing sales reports from retailers that began early in the year. Apparel retailers continued to bear the brunt of the weak environment. Several others, including Federated Department Stores Inc. and J.C. Penney Co., said August sales were below expectations.

The ho-hum shopping mood was reflected in the comparable-store sales results, which are a comparison of sales for stores open at least a year and generally considered the most valid measure of retailing.

Shopper traffic in malls and stores was light, said Jeffrey Edelman, a retail industry analyst with C.J. Lawrence Inc. Although the back-to-school season began in August, "there's been an ongoing trend [for consumers] to buy things more at the time of need," he said.

The economy, which has stifled retail sales growth for much of the past few years, was again the culprit.

Rick Nelson of Duff & Phelps Inc. in Chicago said consumers were held back by the same worries that have kept them out of stores all year: the weak job market, higher taxes and health care reform. Economists also have noted that consumers continue to have less money for discretionary items.

The sales results announced Thursday don't bode well for a substantial pickup in the economy, which depends on consumer spending. They also provide little encouragement that the upcoming Christmas shopping season - when retailers hope to earn half their annual sales and profits - will be robust.

Among the sales figures reported:

Charming Shoppes Inc., which operate Fashion Bug and Fashion Bug Plus stores, reported that August sales were $91.4 million, down by $200,000 from the same period in 1992. Sales for comparable stores decreased 8 percent.

The Dress Barn Inc. reported sales of $32.5 million for August, an increase of 16 percent over last year. Comparable-store sales were up 1 percent.

Hechinger Co. had sales of $149.4 million, a 9 percent increase. Comparable-store sales were up 3 percent.

Kmart Corp. reported a sales increase of 10.7 percent to $3.1 billion. Comparable-store sales increased 8 percent in general merchandise stores and 1.2 percent in the company's Waldenbook stores.

The Limited Inc. reported same-store sales fell 1 percent while overall sales stayed about the same, $506.3 million almost even with $506.6 million last August.

The May Department Stores Co., which operates Hecht's and Payless ShoeSource stores, reported preliminary sales of $829.0 million, a 7.8 percent increase. Comparable-store sales were up 5 percent.

Merry-Go-Round sales were $93.5 million, up 11.4 percent from a year ago but down 16 percent in comparable stores.

JCPenney stores' sales increased 3.7 percent to $1.09 billion. Comparable-store sales increased 3.0 percent.

Sears Merchandise Group said its total domestic store sales for August were $1.92 billion, 12.3 percent above restated sales of $1.71 billion in the same period last year. Domestic comparable-store sales were 10.9 percent higher.

Wal-Mart Stores Inc. reported net sales $5.6 billion, an increase of 20 percent. Same-store sales increased 4 percent. Wal-Mart's Sam's Clubs division had sales of $1.2 billion, up 15 percent, but same club sales decreased 7 percent.

Woolworth Corp. reported sales declined 4.4 percent to $827 million. Domestic comparable-store sales declined 2.6 percent.

Staff writer Sandra Brown Kelly contributed to this story.