Federated Department Stores, Inc. reported total sales of $1.047 billion for the four weeks ended August 28, 2004, a decrease in total sales of 2.7% compared to total sales of $1.077 billion in the same period last year. On a same-store basis, Federated's August sales were down 2.4%.
For the year to date, Federated's sales totaled $8.112 billion, up 4.0% from total sales of $7.802 billion in the first 30 weeks of 2003. On a same-store basis, Federated's year-to-date sales also were up 4.0%.
Terry J. Lundgren, Federated's chairman, president and chief executive officer, called August sales disappointing, citing weakness in back-to-school areas of juniors and young men's, as well as in furniture. In addition, August sales in the company's Florida stores were negatively impacted by Hurricane Charley.
“August's same-store sales comparisons also were affected by the shift of Labor Day into the September reporting period this year,” Lundgren said. “Additionally, because August is a clearance month, tight seasonal inventories in our stores are reflected to some degree in our weaker-than-anticipated sales during the month.
“As we look to September, we are somewhat encouraged by sales trends we have seen in fall fashions, accessories and cosmetics,” Lundgren said. “This leads us to remain hopeful of attaining a same-store sales increase of approximately 2 percent for the month.”
Lundgren said the company continues to anticipate a same-store sales increase of 1.5 to 3 percent for the third and fourth quarters.
