Federated May Comp Sales Down 3.3%.Business Editors CINCINNATI--(BUSINESS WIRE)--June 7, 2001 Federated Connected and treated as one. See federated database and federated directories. Department Stores This is a list of department stores. In the case of department store groups the location of the flagship store is given. This list does not include large specialist stores, which sometimes resemble department stores. , Inc. (NYSE NYSE See: New York Stock Exchange :FD)(PCX (1) A bitmapped graphics file format that handles monochrome, 2-bit, 4-bit, 8-bit and 24-bit color and uses RLE to achieve compression ratios of approximately 1.1:1 to 1.5:1. Images with large blocks of solid colors compress best under the RLE method. See PC Paintbrush. :FD) today reported total sales of $1.242 billion for the four weeks ended June 2, 2001. This is a decrease of 7.1 percent from total sales of $1.336 billion for the same period last year, in part reflecting the strategic downsizing (1) Converting mainframe and mini-based systems to client/server LANs. (2) To reduce equipment and associated costs by switching to a less-expensive system. (jargon) downsizing of Fingerhut and the closing of the Stern's division. On a comp-store basis, Federated's May sales were down 3.3 percent. For the 17-week year to date, Federated's sales totaled $5.064 billion, a decrease of 5.7 percent compared to sales of $5.368 billion for the first 17 weeks of last year. On a comp-store basis, Federated's year-to-date sales were down 2.0 percent. James M. Zimmerman, Federated's chairman and chief executive officer, said the year's continuing weak sales trend was exacerbated in May by unusually cool weather in the East and the impact of rising energy costs on the consumer in California. "Although we are only one month into the second quarter, we are concerned by the May sales trend," Zimmerman said. "We are hopeful that more seasonably sea·son·a·ble adj. 1. In keeping with the time or the season. See Usage Note at seasonal. 2. Occurring or performed at the proper time; timely. warm weather in June, combined with the boost to the economy from lower interest rates and anticipated federal tax rebates tax rebate n → devolución f de impuestos; reembolso fiscal tax rebate n → ristourne f d'impôt tax rebate , will trigger a strengthening of sales as we move into the summer. "Unless this trend in our department store sales is reversed, it is likely that earnings for the quarter will drop below prior guidance," Zimmerman added. He said an improvement in the sales trend should lead to June comp-store sales that are flat to down 2 percent, reflecting the shift of Memorial Day into May this year, while a continuation of current sales trends would produce a 4-5 percent decline in June comp-store sales. Zimmerman said the company has initiated another review of its fall sales plan, which may be reduced below the flat to up 1 percent current expectation. At this point, the company still hopes to attain its projected earnings of $4.00 to $4.25 a share for 2001, although Zimmerman noted that the goal will be difficult to achieve unless there is sales improvement shortly. Federated, with corporate offices in Cincinnati and New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , is one of the nation's leading department store retailers, with annual sales of more than $18.4 billion. Federated currently operates more than 430 stores in 33 states and Puerto Rico Puerto Rico (pwār`tō rē`kō), island (2005 est. pop. 3,917,000), 3,508 sq mi (9,086 sq km), West Indies, c.1,000 mi (1,610 km) SE of Miami, Fla. under the names of Bloomingdale's, The Bon Marche, Burdines, Goldsmith's, Lazarus, Macy's and Rich's, as well as macys.com, bloomingdales.com and Bloomingdale's By Mail. Federated also operates the Fingerhut catalog catalog, descriptive list, on cards or in a book, of the contents of a library. Assurbanipal's library at Nineveh was cataloged on shelves of slate. The first known subject catalog was compiled by Callimachus at the Alexandrian Library in the 3d cent. B.C. and e-commerce subsidiary.
Sales Summary - $ in billions
Comp-
Period Ended Total Store
6/2/2001 5/27/2000 Decrease Decrease
-------- --------- -------- --------
4 weeks
-------
Department Stores (1) $ 1.161 $ 1.206 (3.8)% (3.3)%
Fingerhut .081 .130 (37.7)%
------- ------- -------
Total Federated $ 1.242 $ 1.336 (7.1)%
17 weeks
--------
Department Stores (1) $ 4.717 $ 4.779 (1.3)% (2.0)%
Fingerhut .347 .589 (41.1)%
------- ------- -------
Total Federated $ 5.064 $ 5.368 (5.7)%
Note:
(1) Includes department-store-related Internet and catalog operations.
(NOTE: Weekly sales updates are available at 513/579-7987 and on the
Internet at www.federated-fds.com.)
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