J. C. Penney Company, Inc. comparable department store sales increased 2.6% for the month of December, in line with initial expectations for a low-single digit increase and compared with a 2.2% gain last year. Total department store sales increased 4.2% for the five weeks. The best sales performances for the month were in children's, fine jewelry and fashion jewelry, as well as seasonal and gift categories such as home entertainment.
Geographically, the best performances for the month were in the west and northeast regions of the country. While certain apparel areas were impacted by unseasonably warm weather across much of the country, the Company is pleased with overall holiday sales performance and its enhanced “redbox gifts” program.
Internet sales through www.jcp.com increased 15.2% in December, on top of a 26% increase last year. Total Direct sales, including catalog media and outlet stores, decreased 1.4% for the period compared with initial guidance for a low-single digit increase and a 4.3% increase last year. Direct sales reflect improvement in the performance of apparel, accessory and gift merchandise, partially offsetting weakness in soft home, which represents a significant share of the Direct business.
On a four week basis, January comparable department store sales are expected to increase low-single digits and Direct sales are expected to be down slightly. In last year's January period, comparable department store sales and Direct sales increased 2.5 percent and 4.3 percent, respectively. This year's 53rd week, which will be included in the January reporting period, is expected to generate approximately $200 million in total department store and Direct sales, as previously disclosed.
