WAR NOT CURBING CONSUMERS ANGELENOS ATTACK MALLS WITH USUAL FERVOR DESPITE CONFLICT, TERRORISM.

Byline: Brent Hopkins Staff Writer

Angelenos haven't let war or terrorism fears keep them from their malls.

Analysts who follow the shopping business wring their hands over wartime, fearing it usually either depresses shoppers or keeps them occupied away from the mall. For months, stores have blamed disappointing sales on consumers' nervousness over a possible war, and the Tuesday release of the Consumer Confidence Index, which surveys 5,000 households on their shopping habits, showed confidence has dropped to its lowest level since October 1993.

And yet, Angelenos - famous for their relaxed mentality - have kept their wallets out.

``There seems to be an eerie normalcy about the way of life from Calabasas to Ventura,'' said Rick Lemmo, vice president of corporate communications for Caruso Affiliated Holdings. ``It's normal until things hit you directly. If a unit from a base in Ventura County was hit, people would be hurt more, but, otherwise, there's a sense of continuation.''

Lemmo's firm owns a group of outdoor centers, including The Promenade in the Westlake Village area of Thousand Oaks, The Commons at Calabasas and The Grove in Los Angeles' Fairfax District, and he's seen no change in shoppers' habits for the past week. If anything, more are turning out to the centers' common areas, taking advantage of what he calls ``the hanging-out feeling.'' Though market research firm ShopperTrak reported Tuesday that retail sales were off 9.9 percent from last year in the first four days of full-scale war, locals have detached themselves.

Maria Spooner left her Chatsworth home Tuesday and hit the Northridge Fashion Center in the search for some new outfits. Though she lost her job as a receptionist three weeks ago, the 20-year-old wanted an escape from the tension playing out on her TV screen.

``It's scary, but I'm not going to lock myself in the house, even if something could happen,'' she said, picking through a rack of tops at 5-7-9. ``I try not to think too much about it. The war is on every single (TV) channel, so I choose to go out and do something else. It feels good to buy something.''

Many shoppers shared her sentiments, which came as a surprise to retail analysts. They fret about the ``CNN effect,'' in which would-be consumers stay at home and watch cable news and predict dark months ahead for already strapped retail chains. And with all their studies of the trade, they can't figure out the war's lack of impact on locals.

``Maybe we're just airheads here,'' said Ira Kalish, chief economist of the Santa Monica office of consulting firm Retail Forward. ``Maybe we don't care. There's a lot of money out here, and we're heavily dependent on the entertainment industry, which is still doing relatively well. It's swimming in cash, so people may be more confident out here.''

And that could be a saving grace to chains battered by a poor showing over the holidays and further plagued by slow sales in recent months. Though most planned ahead, they still need customers to stay in their stores.

``The fear is that when the security alert goes higher and people are afraid of a terrorist threat, they don't want to go to malls,'' said Aubie Goldenberg, a partner with Ernst & Young's Los Angeles office. ``Retailers don't need negative news right now. Most knew it was coming, so they've had time to prepare, canceling orders and scaling back purchases. A significant number knew what the worst was going to be and put in place contingency plans.''

But while Goldenberg fears that shoppers' moods could change if the United States encounters significant opposition in Iraq or if terrorists strike American soil, the good humor has held up thus far.

``It hasn't affected anyone,'' said Louis Manos, a salesman for Life Time Photography, a portrait kiosk at the Northridge Fashion Center. ``It's not a question of the war going on; that's way far away. People don't think that we could be nuked any second since we haven't had anything happen in more than a year.''

While some areas have held up, pricier purchases might be shelved. Greg Morse, a financial adviser for American Express in Los Angeles, doubts furniture and expensive electronics will be big movers, nor will premium clothing items.

``They're holding off on big-ticket items, but going for the necessities and entertainment,'' he said. ``They're still going out to dinner or the movies, but there's not as much luxury now. People aren't buying things over $500.''

Such was the case for Pat Peck, a North Hills retiree. She hit the mall to get a watch battery and a bite to eat, but felt uncomfortable indulging herself.

``I have a granddaughter in the Gulf right now,'' she said. ``With the war starting and my husband just getting out of the hospital, it puts a damper on the whole thing. I'm concerned about the war, so a new shirt can come later - when my granddaughter's home.''

Ritzier centers like Westfield Shoppingtown Promenade and Fashion Square haven't seen customer drop-off. Marketing director Najla Tabbah reported that the malls have actually seen an increase in certain segments - particularly in military-style attire for women, with camouflage prints and cargo pants flying off shelves.

The Northridge Fashion Center, a popular draw for families and young mothers, has seen no drop-off in sales of traffic, according to Linda Smith Frost, its senior marketing manager. With its family-oriented mix of stores and lower price points, the mall has done brisk business throughout much of the economic downturn, and its owners expect no interruption.

``Your children still need shoes, your teens still want things,'' Smith Frost said. ``Just because there's a war, children don't stop growing and fashions don't stop changing.''

CAPTION(S):

2 photos

Photo:

(1 -- color) Dominic Boyd, left, and his friend Louis Gonzalez joined other shoppers to hang out at Northridge Fashion Center on Tuesday.

(2 -- color) Out-of-work Maria Spooner of Chatsworth chose shopping over watching TV war news Tuesday.

Charlotte Schmid-Maybach/Staff Photographer