Target Corp June Comps Inch Up; Mervyn’s Continues Drag

Target Corporation reported that its net retail sales for the five weeks ended July 5, 2003 increased 7.9 percent to $4.135 billion from $3.833 billion for the five-week period ended July 6, 2002. Comparable-store sales increased 0.8 percent from fiscal June 2002.

“Sales in June were on plan at both Target Stores and Marshall Field’s and well below plan at Mervyn’s,” said Bob Ulrich, chairman and chief executive officer of Target Corporation. “Given the significance of this month’s contribution to our second quarter earnings performance, we now expect our most likely EPS outcome in the quarter to be $0.39 or $0.40.”

                                                      Comparable Stores
                                 Sales   Total Sales      % Change
                               (millions) % Change   This Year  Last Year

    June
    Target                      $3,577       10.4        2.4       6.1
    Mervyn's                       288      (12.5)     (12.7)     (0.1)
    Marshall Field's               220       (3.2)      (1.9)     (2.0)
    Other                           50       43.2         na        na
    Total                        4,135        7.9        0.8       4.9

    Year-to-date
    Target                     $14,871        9.4        1.4       6.2
    Mervyn's                     1,308       (7.6)      (7.9)     (2.9)
    Marshall Field's               953       (4.8)      (3.8)     (1.7)
    Other                          189       42.0         na        na
    Total                       17,321        7.3        0.3       4.7