Gottschalks same store sales for the month of February 2005 decreased 0.6% compared to the prior year. Total sales for the month decreased 0.6% to $42.8 million from $43.1 million in February 2004.

Jim Famalette, president and chief executive officer of Gottschalks, said, “Sales for the month reflect softer sales in most of our apparel categories due to unusually rainy weather experienced in California, where a majority of our stores are located. However, our home division improved compared to the same period last year, with housewares, textiles, furniture and mattresses all generating strong results. We are pleased to already be seeing positive results from the initial new merchandising initiatives we are implementing in the home area. At the close of the month our inventory in comp stores was even with the comparable period last year. We are continuing to strive towards improving inventory turns in 2005.”


    Sales results are summarized as follows:                                                                 Same Store
                          February 26,  February 28,  Total %    Sales %
                              2005          2004      Increase/  Increase/
                                                      Decrease   Decrease
                                 (in 000's)    
   Sales, 4 Weeks Ended   $42,800       $43,070       (0.6%)     (0.6%)