J. C. Penney Company Inc total department store sales decreased 2.7 percent for the four weeks ended May 5, 2007. Comparable department store sales decreased 4.7 percent, compared to initial guidance for sales to be flat and a 2.6 percent increase last year.
Sales for both March and April were distorted by the shift of Easter into this year's March period, as well as shifts in the fiscal calendar due to last year's 53rd week. Combining March and April, total department store sales increased 5.6 percent and comparable store sales increased 3.3 percent for the nine weeks ended May 5, 2007.
The best performing merchandise categories for the March/April period were in apparel where men's, women's and children's all experienced solid gains, while bigger ticket home categories continued to be soft. Sales results for the Company's new merchandise launches, most notably Ambrielle, Liz & Co, CONCEPTS by Claiborne, as well as the Sephora concept, continue to exceed expectations. Geographically, the best performing regions of the country were the northwest and southwest, followed by the northeast.
Internet sales through www.jcp.com increased approximately 15 percent for the month, on top of an increase of about 17 percent last year. Total Direct sales decreased 8.0 percent in the April period, compared to initial guidance for sales to be flat and a 1.5 percent increase last year. Sales in Direct continue to be impacted by softness in home categories, which represent a majority of the Direct channel's volume.
marketing@alchempro.com
