Retailers, consumers and prices
Check Out Line: Good news from apparel companies
Chico’s FAS, American Eagle Outfitters and Polo Ralph Lauren posted quarterly results that were better than Wall Street’s expectations, as they kept a close watch on expenses and inventories.
Investors’ spirits lifted as the results came as a spot of good news for a sector hit hard in the recession, which has gobbled up demand for anything other than essential items such as food.
Retailers have taken steps like slashing inventory and costs to counter declining sales, but it is still unknown as to when shoppers will open their wallets again as job losses remain high and access to credit remains tight.
”We are now two months into fiscal 2010 and there is still tremendous uncertainty regarding how long the current retrenchment in consumer spending will last or how much additional deterioration in personal consumption may occur,” Polo Chief Financial officer Tracey Travis said on a conference call with analysts.
Also in the basket:
McDonald’s plans to open McCafe stores in Europe – FT